Table of Contents
The Vanguard S&P 500 Growth ETF (NYSEMKT:VOOG) and the Vanguard Russell 1000 Growth ETF (NASDAQ:VONG) both deliver low-cost U.S. growth stock exposure, but they track different indexes and thus offer distinct portfolio compositions. This comparison looks at fees, performance, portfolio tilt, and practical considerations to help clarify which approach may appeal more .
Key Differences at a Glance
| Metric | VOOG | VONG |
|---|---|---|
| Index Tracked | S&P 500 Growth | Russell 1000 Growth |
| Expense Ratio | 0.10% | 0.08% |
| Number of Holdings | ~250 | ~400 |
| AUM | $25 billion | $15 billion |
| Top Sector | Technology (~45%) | Technology (~50%) |
Portfolio Composition
Both ETFs focus on growth-oriented U.S. large-cap stocks, but their underlying indexes use different methodologies to define “growth.”
VOOG selects growth stocks from the S&P 500 based on three factors: sales growth, earnings change-to-price ratio, and momentum . This results in a more concentrated portfolio of around 250 stocks with a slight value tilt compared to pure growth indexes .
VONG pulls from the broader Russell 1000 universe, using a more comprehensive growth classification methodology that considers historical and projected earnings growth, sales growth, and price momentum . This yields a more diversified portfolio of roughly 400 stocks with a heavier technology weighting .
Fees and Performance
Both ETFs are exceptionally low-cost, but VONG’s 0.08% expense ratio edges out VOOG’s 0.10% . Performance has been similar over long periods, though slight differences emerge due to index construction:
| Period | VOOG | VONG |
|---|---|---|
| 1-Year Return | 22.5% | 23.1% |
| 3-Year Annualized | 15.2% | 15.8% |
| 5-Year Annualized | 18.4% | 18.9% |
Past performance does not guarantee future results .
Which One Should You Choose?
Choose VOOG if:
- You prefer a more concentrated portfolio of S&P 500 growth stocks
- You want slightly less technology exposure
- You value the S&P’s growth methodology
Choose VONG if:
- You want broader diversification with ~400 holdings
- You prefer the lowest possible expense ratio (0.08%)
- You want maximum technology sector exposure
📝 The Bottom Line
Both VOOG and VONG are excellent low-cost vehicles for U.S. growth stock exposure. The choice ultimately comes down to whether you prefer the S&P 500’s more selective growth methodology (VOOG) or the Russell 1000’s broader growth universe with slightly lower fees (VONG). For most investors, either ETF can serve as a core growth holding in a diversified portfolio .
