# SCHG vs VUG: fees, holdings and returns compared

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

SCHG holds about 200 large US growth companies picked by a Dow Jones index. VUG holds about 135 picked by a Morningstar index. The same tech giants lead both, and their fees are almost the same. Over the same dates since January 2010, SCHG returned about 16.2% a year and VUG returned about 15.8% 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

- VUG costs less: 0.03% a year against 0.04%.
- SCHG started trading in December 2009. VUG started in January 2004.
- Worst drops since 2010: SCHG −34.6%, VUG −35.6%.
- Daily correlation: 0.99 (1 means they always move together).

## What is the difference between SCHG and VUG?

Both take the growth side of large US companies and weight by size, so they look much alike. Their indexes sort growth and value with different measures and draw the line in different places, so SCHG holds more companies and the weights of the largest names differ a little. Those differences have led to small gaps in returns in some years.

| Fact | SCHG | VUG |
| --- | --- | --- |
| Full name | Schwab U.S. Large-Cap Growth ETF | Vanguard Morningstar Growth ETF |
| Issuer | Schwab | Vanguard |
| Expense ratio | 0.04% a year | 0.03% a year |
| Started trading | December 11, 2009 | January 26, 2004 |
| Tracks | Dow Jones U.S. Large-Cap Growth Total Stock Market Index | Morningstar US Large Cap Growth Index |
| Holdings | 195 holdings as of February 28, 2026 | 135 holdings as of September 30, 2026 |
| Type | US stocks, ETF | US stocks, ETF |

Fund facts checked on the [Schwab SCHG page](https://www.sec.gov/Archives/edgar/data/1454889/000110465926020693/tm266454-3_497k.htm) and the [Vanguard VUG page](https://investor.vanguard.com/investment-products/etfs/profile/vug).

## Is SCHG or VUG cheaper?

VUG costs less: 0.03% a year against 0.04%. On $10,000, that is about $4 a year for SCHG and $3 for VUG. The fund takes its fee out of its own value a little each day, so you never get a bill.

## SCHG vs VUG performance over the same dates

Both funds are measured from January 2010 to October 2026, the dates both traded. SCHG returned about 16.2% a year and VUG returned about 15.8% a year. SCHG came out ahead over this period, which does not mean it will again.

| Measure | SCHG | VUG |
| --- | --- | --- |
| $10,000 grew to | $123,704 | $116,610 |
| Total return | 1,137% | 1,066% |
| Return per year (CAGR) | 16.2% | 15.8% |
| Worst drop from a high | −34.6% | −35.6% |
| Volatility (how much it swings) | 19.7% | 19.6% |
| Last 12 months | 10.4% | 10.2% |
| Last 3 years, per year | 25.9% | 26.0% |
| Last 5 years, per year | 13.2% | 12.3% |
| Last 10 years, per year | 18.7% | 17.9% |

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.

## SCHG and VUG returns by year

| Year | SCHG | VUG |
| --- | --- | --- |
| 2026 (part of the year) | 9.3% | 9.4% |
| 2025 | 17.5% | 19.4% |
| 2024 | 35.0% | 32.7% |
| 2023 | 50.1% | 46.8% |
| 2022 | −31.8% | −33.2% |
| 2021 | 28.1% | 27.4% |
| 2020 | 39.1% | 40.3% |
| 2019 | 36.0% | 37.0% |
| 2018 | −1.4% | −3.3% |
| 2017 | 28.1% | 27.7% |
| 2016 | 6.6% | 6.3% |
| 2015 | 3.2% | 3.2% |
| 2014 | 15.8% | 13.6% |
| 2013 | 34.0% | 32.5% |
| 2012 | 16.9% | 17.0% |
| 2011 | −0.7% | 1.8% |
| 2010 | 14.9% | 15.3% |

## Which fell further in bad times?

A drawdown is how far a fund falls from its last high point. SCHG's worst fall was −34.6%, from November 19, 2021 to January 5, 2023. It got back to that high on December 18, 2023.

VUG's worst fall was −35.6%, from November 19, 2021 to November 3, 2022. It got back to that high on January 23, 2024.

Their daily moves had a correlation of 0.99. 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 SCHG or VUG

**SCHG.** People who use Schwab, or want a slightly wider set of growth companies, often pick SCHG.

**VUG.** People who use Vanguard often pick VUG.

## Strategies that hold SCHG or VUG

These classic strategies hold one or both at least some of the time. Each is a set of written rules you can open, test and copy.

- [Papa Bear Portfolio (Muscular Portfolios)](https://tactfolio.com/strategies/papa-bear-portfolio.md), by Brian Livingston, 2018 (holds VUG)

## Other funds like SCHG and VUG

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

## Test a mix of SCHG and VUG

Open the [builder](https://tactfolio.com/builder), add SCHG and VUG, 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 [SCHG](https://tactfolio.com/etf/SCHG.md) and [VUG](https://tactfolio.com/etf/VUG.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

- [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.
- [Backtesting](https://tactfolio.com/backtesting): Free backtesting software for stocks, ETFs, and crypto perps.

## Common questions

### Do SCHG and VUG hold the same stocks?

Mostly. Their largest holdings are the same tech and growth giants. SCHG holds more companies in all.

### Why do SCHG and VUG returns differ?

Their indexes pick growth companies with different rules and weigh the largest ones a little differently. Over most years the gap has been small.

### Which is cheaper, SCHG or VUG?

VUG costs less: 0.03% a year against 0.04%. Fees come from each issuer and were checked on October 17, 2026.

### Which did better, SCHG or VUG?

From January 2010 to October 2026, SCHG returned about 16.2% a year and VUG returned about 15.8% a year, with dividends reinvested. Their worst drops were −34.6% and −35.6%. Past returns do not tell you what comes next.

## Sources

- [Schwab: Schwab U.S. Large-Cap Growth ETF fund page](https://www.sec.gov/Archives/edgar/data/1454889/000110465926020693/tm266454-3_497k.htm)
- [Vanguard: Vanguard Morningstar Growth ETF fund page](https://investor.vanguard.com/investment-products/etfs/profile/vug)

> 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.