ETF Versus

VGT vs VWO

Vanguard Information Technology Index Fund ETF Shares vs Vanguard Emerging Markets Stock Index Fund

Last updated: 2026-04-02

VGT

Vanguard Information Technology Index Fund ETF Shares (VGT) is an exchange-traded fund that provides exposure to us sector - technology securities. It charges a low expense ratio of 0.09%. The fund offers a modest dividend yield of 0.43%. Launched in 2004, the fund has a 22-year track record.

AUM: $102.6B ER: 0.09% Yield: 0.43% Since: Jan 26, 2004
VWO Vanguard

Vanguard Emerging Markets Stock Index Fund (VWO) is an exchange-traded fund issued by Vanguard that provides exposure to stocks in emerging market economies with higher growth potential. It charges a low expense ratio of 0.06%. The fund offers an attractive dividend yield of 2.76%. Launched in 2005, the fund has a 21-year track record.

AUM: $107.3B ER: 0.06% Yield: 2.76% Since: Mar 4, 2005

Quick Verdict

VWO has a slightly lower expense ratio (0.06% vs 0.09%), saving about $60 per $10,000 over 10 years. Over the past year, VGT has significantly outperformed with a 29.2% return vs 19.4%. Income investors may prefer VWO for its higher yield (2.8% vs 0.4%).

Key Metrics

Metric VGT VWO
Expense Ratio 0.09% 0.06%
Dividend Yield 0.4% 2.8%
Fund Family N/A Vanguard
Category US Sector - Technology Emerging Markets

Performance Chart

Indexed to 100 at start (5-year comparison)

65 95 125 155 185 215 2021-04 2022-06 2023-09 2024-12 2026-04
VGT +89.7%
VWO +3.0%

Performance Comparison

Period VGT VWO Difference
1 Month -3.71% -5.29% +1.58%
3 Months -6.53% -1.31% -5.22%
6 Months -6.49% -1.06% -5.43%
YTD -6.53% -1.31% -5.22%
1 Year +29.20% +19.38% +9.82%
3 Years +83.56% +33.62% +49.94%
5 Years +89.73% +3.00% +86.73%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period VGT Fees VWO Fees You Save
$10.000 10 years $179 $120 $60
$10.000 20 years $771 $515 $256
$10.000 30 years $2.486 $1.664 $822
$50.000 10 years $896 $598 $298
$50.000 30 years $12.428 $8.318 $4.109
$100.000 30 years $24.855 $16.637 $8.218

Risk Metrics

Based on 5 years of daily returns

Metric VGT VWO
Annualized Volatility 25.1% 17.3%
Max Drawdown -35.5% -35.9%
Sharpe Ratio 0.46 -0.14

Dividend Comparison

Metric VGT VWO
Annual Dividend (per share) $3.06 $1.45
Dividend Yield 0.43% 2.68%
Distribution Frequency Quarterly Quarterly

Top Holdings

0 of top 8 holdings overlap (0% overlap in top holdings)

VGT Top Holdings

NameWeight
NVIDIA CorporationNVDA18.07%
Apple Inc.AAPL15.84%
Microsoft CorporationMSFT10.39%
Broadcom Inc.AVGO4.34%
Micron Technology, Inc.MU2.37%
Advanced Micro Devices, Inc.AMD1.65%
Cisco Systems, Inc.CSCO1.63%
Palantir Technologies Inc.PLTR1.57%
Applied Materials, Inc.AMAT1.54%
Lam Research CorporationLRCX1.53%

VWO Top Holdings

NameWeight
Taiwan Semiconductor Manufacturing Company Limited!tpe/233012.71%
Tencent Holdings Limited!hkg/07003.44%
Alibaba Group Holding Limited!hkg/99882.74%
HDFC Bank Limited!nse/HDFCBANK0.93%
Reliance Industries Limited!nse/RELIANCE0.88%
Hon Hai Precision Industry Co., Ltd.!tpe/23170.78%
MediaTek Inc.!tpe/24540.76%
China Construction Bank Corporation!hkg/09390.75%

Which One Should You Choose?

Choose VWO if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose VGT if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

Choose VWO if...

you prioritize dividend income and want higher regular distributions from your portfolio.

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