# FTEC vs VGT: fees, holdings and returns compared

> FTEC vs VGT: what each ETF holds, what it costs, and how both did over the same dates, with yearly returns and worst drops.

FTEC and VGT both hold US information technology companies of every size and follow nearly the same MSCI index. Their fees are close and their returns have been almost the same. Over the same dates since October 2013, FTEC returned about 21.8% a year and VGT returned about 21.8% a year.

Written by [the Tactfolio research team](https://tactfolio.com/about/editorial-policy). Fund facts checked October 17, 2026. Prices through October 20, 2026.

## Key points

- FTEC costs less: 0.084% a year against 0.09%.
- FTEC started trading in October 2013. VGT started in January 2004.
- Worst drops since 2013: FTEC −34.9%, VGT −35.1%.
- Daily correlation: 1.00 (1 means they always move together).

## What is the difference between FTEC and VGT?

There is very little difference. Both track an MSCI index of US tech companies that caps how much one company can weigh. FTEC comes from Fidelity and VGT from Vanguard. VGT is the larger fund and holds a few more companies. Small gaps come from fees and trading inside each fund.

| Fact | FTEC | VGT |
| --- | --- | --- |
| Full name | Fidelity MSCI Information Technology Index ETF | Vanguard Information Technology ETF |
| Issuer | Fidelity | Vanguard |
| Expense ratio | 0.084% a year | 0.09% a year |
| Started trading | October 21, 2013 | January 26, 2004 |
| Tracks | MSCI USA IMI Information Technology 25/50 Index | MSCI US Investable Market Information Technology 25/50 Index |
| Holdings | 282 holdings as of July 31, 2026 | 318 holdings as of September 30, 2026 |
| Type | US stocks, ETF | US stocks, ETF |

Fund facts checked on the [Fidelity FTEC page](https://www.sec.gov/Archives/edgar/data/945908/000094590825000729/filing10088.htm) and the [Vanguard VGT page](https://investor.vanguard.com/investment-products/etfs/profile/vgt).

## Is FTEC or VGT cheaper?

FTEC costs less: 0.084% a year against 0.09%. On $10,000, that is about $8.40 a year for FTEC and $9 for VGT. The fund takes its fee out of its own value a little each day, so you never get a bill.

## FTEC vs VGT performance over the same dates

Both funds are measured from October 2013 to October 2026, the dates both traded. FTEC returned about 21.8% a year and VGT returned about 21.8% a year. VGT came out ahead over this period, which does not mean it will again.

| Measure | FTEC | VGT |
| --- | --- | --- |
| $10,000 grew to | $128,837 | $130,113 |
| Total return | 1,188% | 1,201% |
| Return per year (CAGR) | 21.8% | 21.8% |
| Worst drop from a high | −34.9% | −35.1% |
| Volatility (how much it swings) | 23.3% | 23.3% |
| Last 12 months | 27.1% | 26.7% |
| Last 3 years, per year | 33.8% | 33.6% |
| Last 5 years, per year | 18.6% | 18.4% |
| Last 10 years, per year | 24.1% | 24.3% |

Prices through October 20, 2026. Figures use daily closing prices adjusted for splits, with dividends reinvested. They do not include taxes or the cost of buying and selling. Past results do not tell you what will happen next.

## FTEC and VGT returns by year

| Year | FTEC | VGT |
| --- | --- | --- |
| 2026 (part of the year) | 28.1% | 28.0% |
| 2025 | 22.1% | 21.8% |
| 2024 | 29.4% | 29.3% |
| 2023 | 53.3% | 52.7% |
| 2022 | −29.6% | −29.7% |
| 2021 | 30.5% | 30.4% |
| 2020 | 45.8% | 46.0% |
| 2019 | 48.9% | 48.6% |
| 2018 | −0.4% | 2.5% |
| 2017 | 36.8% | 37.1% |
| 2016 | 13.5% | 13.8% |
| 2015 | 5.0% | 5.1% |
| 2014 | 18.3% | 16.7% |
| 2013 (part of the year) | 8.3% | 8.5% |

## Which fell further in bad times?

A drawdown is how far a fund falls from its last high point. FTEC's worst fall was −34.9%, from December 27, 2021 to October 14, 2022. It got back to that high on November 20, 2023.

VGT's worst fall was −35.1%, from December 27, 2021 to October 14, 2022. It got back to that high on November 20, 2023.

Their daily moves had a correlation of 1.00. A correlation of 1 means two funds always move up and down together. Near 0 means they move on their own. So holding both adds little variety.

## Why people choose FTEC or VGT

**FTEC.** People who use Fidelity often pick FTEC, which also has a lower share price.

**VGT.** People who use Vanguard, or want the larger and older fund, often pick VGT.

## Strategies that hold FTEC or VGT

No classic strategy holds FTEC or VGT yet.

## Other funds like FTEC and VGT

Each fund has more funds that hold the same kind of investments, ranked by how closely they move with it: [FTEC alternatives](https://tactfolio.com/alternatives/FTEC.md) and [VGT alternatives](https://tactfolio.com/alternatives/VGT.md).

## Test a mix of FTEC and VGT

Open the [builder](https://tactfolio.com/builder), add FTEC and VGT, and give each a weight, such as 50% and 50%. The backtest shows how the mix would have done, with its worst drop, on daily prices. You can also add a rule, for example to switch between them, and compare. Read the full pages for [FTEC](https://tactfolio.com/etf/FTEC.md) and [VGT](https://tactfolio.com/etf/VGT.md), or see [more ETF comparisons](https://tactfolio.com/etf-comparisons.md).

## The details

Both funds use Tactfolio's stored daily prices, adjusted for splits, with dividends reinvested. They are compared only on days both traded, starting the later fund's first day, so neither gets a head start. Correlation uses daily returns over the same days. Read [what a backtest simulates](https://tactfolio.com/docs/backtests.md) for more on these measures.

## Research and test it

- [Sector rotation](https://tactfolio.com/learn/sector-rotation): Sector rotation explained: the 11 GICS sectors and their ETFs, business-cycle vs momentum rotation, and a classic rule with dated backtest figures.
- [S&P 500 index](https://tactfolio.com/learn/sp500-index): The S&P 500 tracks about 500 large US companies. Learn how stocks get in, how the index is weighted, how to invest in it, and how far it has fallen before.
- [What is an ETF](https://tactfolio.com/learn/what-is-an-etf): An ETF is a fund that trades like a stock. Learn how ETFs work, what they cost, the main types, and the risks, with SEC sources.
- [ETF screener](https://tactfolio.com/screener.md): A free ETF screener for 162 US-listed funds. Filter by type, issuer and fee, sort by returns or worst drop, and compare funds side by side.
- [ETF expense ratio](https://tactfolio.com/learn/etf-expense-ratio): What an ETF expense ratio is, how the fund charges it, and how 0.03% vs 1% adds up over 10 and 30 years, with real fund examples.
- [Backtest a portfolio](https://tactfolio.com/trading-tools/backtest-portfolio): Backtest a portfolio of US stocks and ETFs. Enter tickers and shares, pick when to rebalance, and get the results with a link to share.

## Common questions

### Is FTEC the same as VGT?

Very close. Both follow an MSCI index of US tech companies of all sizes, with the same limits on the biggest companies. Their holdings and returns have been nearly the same.

### Which is older, FTEC or VGT?

VGT started in 2004 and FTEC in 2013, so the comparison above starts in October 2013.

### Which is cheaper, FTEC or VGT?

FTEC costs less: 0.084% a year against 0.09%. Fees come from each issuer and were checked on October 17, 2026.

### Which did better, FTEC or VGT?

From October 2013 to October 2026, FTEC returned about 21.8% a year and VGT returned about 21.8% a year, with dividends reinvested. Their worst drops were −34.9% and −35.1%. Past returns do not tell you what comes next.

## Sources

- [Fidelity: Fidelity MSCI Information Technology Index ETF fund page](https://www.sec.gov/Archives/edgar/data/945908/000094590825000729/filing10088.htm)
- [Vanguard: Vanguard Information Technology ETF fund page](https://investor.vanguard.com/investment-products/etfs/profile/vgt)

> Not financial advice. Tactfolio is a research and automation tool. It is not a broker or a financial adviser. This page is for education only. Backtests are hypothetical. They show how rules would have done on past prices, not how they will do. All investing involves risk, including losing the money you put in.