# Vanguard vs iShares Healthcare ETFs

> Vanguard Health Care ETF offers lower costs and broader exposure than iShares U.S. Healthcare ETF for most investors.
- Title: Vanguard vs iShares Healthcare ETFs · The Motley Fool
- Summary: 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…
- Keywords: vanguard health care etf, ishares us healthcare etf, healthcare sector, etf investing, expense ratio, dividend yield, finance, money, Vanguard, iShares, Healthcare, ETFs
- Source: The Motley Fool — https://fool.com/coverage/etfs/2026/10/21/vanguard-health-care-etf-vs-ishares-us-healthcare-etf
- Author: Dana George
- Published: 2026-10-21T22:30:02+00:00
- Read time: 1 min
- Topics: vanguard health care etf, ishares us healthcare etf, healthcare sector, etf investing, expense ratio, dividend yield, finance, money
## 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.
## Key takeaway

Vanguard Health Care ETF is better for most investors due to lower costs and wider stock holdings.