Vanguard Growth ETF Outperforms Small-Cap Peer Over Five Years

Vanguard Morningstar Growth ETF (VUG) significantly outperformed Vanguard Morningstar Small-Cap Growth ETF (VBK) over five years, delivering 79% total return versus 17%, driven by heavy concentration in mega-cap technology stocks. VUG offers a lower expense ratio (0.03% vs 0.05%) and better performance, while VBK provides broader diversification across 579 holdings with lower volatility for investors seeking to reduce tech exposure.