From The Motley Fool · Dana George · · 50s
Vanguard vs iShares Healthcare ETFs
Vanguard Health Care ETF offers lower costs and broader exposure than iShares U.S. Healthcare ETF for most investors.
In brief
Vanguard Health Care ETF offers lower costs and broader exposure than iShares U.S. Healthcare ETF for most investors. Vanguard Health Care ETF is better for most investors due to lower costs and wider stock holdings. Originally reported by The Motley Fool.
Quick answers
- Which ETF is better?
- VHT is better for most investors due to lower costs and broader exposure; IYH suits concentrated portfolios.
- What is the key takeaway from Vanguard vs iShares Healthcare ETFs?
- Vanguard Health Care ETF is better for most investors due to lower costs and wider stock holdings.
Vanguard Health Care ETF
Vanguard Health Care ETF (VHT) offers broad exposure across 411 healthcare stocks with lower costs.
iShares U.S. Healthcare ETF
iShares U.S. Healthcare ETF (IYH) focuses on 100 stocks with higher fees and concentrated holdings.
Cost Comparison
VHT has a 0.09% expense ratio versus IYH's 0.37%, making it significantly cheaper for investors.
Performance
Both ETFs show similar 25.5% one-year returns with comparable drawdowns over five years.
Which ETF is better?
VHT is better for most investors due to lower costs and broader exposure; IYH suits concentrated portfolios.
What it means
Vanguard Health Care ETF is better for most investors due to lower costs and wider stock holdings.
