ETF Versus

IAU vs VUG

iShares Gold Trust vs Vanguard Growth Index Fund ETF Shares

Last updated: 2026-04-09

IAU

iShares Gold Trust (IAU) is an exchange-traded fund that provides exposure to gold securities. It charges a moderate expense ratio of 0.25%. Launched in 2005, the fund has a 21-year track record.

AUM: $73.9B ER: 0.25% Yield: N/A Since: Jan 21, 2005
VUG

Vanguard Growth Index Fund ETF Shares (VUG) is an exchange-traded fund that provides exposure to large-cap U.S. growth stocks with above-average earnings potential. It charges a very low expense ratio of 0.03%. The fund offers a modest dividend yield of 0.44%. Launched in 2004, the fund has a 22-year track record.

AUM: $187.5B ER: 0.03% Yield: 0.44% Since: Jan 26, 2004

Quick Verdict

VUG is significantly cheaper at 0.03% vs 0.25% expense ratio, saving you approximately $435 per $10,000 invested over 10 years. Over the past year, IAU has significantly outperformed with a 51.5% return vs 21.0%.

Key Metrics

Metric IAU VUG
Expense Ratio 0.25% 0.03%
Dividend Yield N/A 0.4%
Fund Family N/A N/A
Category Gold US Large Cap Growth

Performance Chart

Indexed to 100 at start (5-year comparison)

75 121 167 213 259 305 2021-04 2022-07 2023-10 2024-12 2026-04
IAU +166.3%
VUG +63.5%

Performance Comparison

Period IAU VUG Difference
1 Month -9.60% -3.96% -5.64%
3 Months +4.21% -9.39% +13.60%
6 Months +14.25% -7.23% +21.48%
YTD +8.46% -8.49% +16.95%
1 Year +51.52% +20.97% +30.55%
3 Years +134.21% +80.06% +54.15%
5 Years +168.06% +63.49% +104.57%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period IAU Fees VUG Fees You Save
$10,000 10 years $495 $60 $435
$10,000 20 years $2,111 $258 $1,853
$10,000 30 years $6,758 $835 $5,923
$50,000 10 years $2,473 $299 $2,173
$50,000 30 years $33,792 $4,176 $29,616
$100,000 30 years $67,584 $8,352 $59,232

Risk Metrics

Based on 5 years of daily returns

Metric IAU VUG
Annualized Volatility 17.7% 22.2%
Max Drawdown -20.9% -36.0%
Sharpe Ratio 0.95 0.35

Dividend Comparison

Metric IAU VUG
Annual Dividend (per share) $0.00 $1.99
Dividend Yield 0.00% 0.45%
Distribution Frequency None Quarterly

Top Holdings

VUG Top Holdings

NameWeight
NVIDIA CorporationNVDA12.82%
Apple Inc.AAPL12.23%
Microsoft CorporationMSFT9.15%
Alphabet Inc.GOOG4.49%
Meta Platforms, Inc.META4.44%
Amazon.com, Inc.AMZN4.41%
Broadcom Inc.AVGO3.95%
Tesla, Inc.TSLA3.58%
Eli Lilly and CompanyLLY2.82%

Which One Should You Choose?

Choose VUG if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Choose IAU if...

recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.

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