MGC vs XLI
Vanguard Mega Cap Index Fund vs State Street Industrial Select Sector SPDR ETF
Last updated: 2026-04-02
Vanguard Mega Cap Index Fund (MGC) is an exchange-traded fund issued by Vanguard that provides exposure to large-cap U.S. equities across growth and value styles. It charges a very low expense ratio of 0.05%. The fund offers a moderate dividend yield of 1.02%. Launched in 2007, the fund has a 19-year track record.
State Street Industrial Select Sector SPDR ETF (XLI) is an exchange-traded fund issued by State Street that provides exposure to us sector - industrials securities. It charges a low expense ratio of 0.09%. The fund offers a moderate dividend yield of 1.25%. Launched in 1998, the fund has a 28-year track record.
Quick Verdict
MGC has a slightly lower expense ratio (0.05% vs 0.09%), saving about $79 per $10,000 over 10 years. Over the past year, XLI has significantly outperformed with a 23.4% return vs 16.9%.
Key Metrics
Performance Chart
Indexed to 100 at start (5-year comparison)
Performance Comparison
Fee Impact Over Time
Estimated fee cost difference assuming 8% annual returns
Risk Metrics
Based on 5 years of daily returns
Dividend Comparison
Top Holdings
XLI Top Holdings
| Name | Weight |
|---|---|
| General Electric Co | 680.74% |
| Caterpillar Inc | 561.69% |
| RTX Corp | 515.19% |
| GE Vernova Inc | 371.52% |
| Boeing Co/The | 356.20% |
| Uber Technologies Inc | 355.71% |
| Union Pacific Corp | 287.47% |
| Honeywell International Inc | 259.50% |
| Eaton Corp PLC | 259.19% |
| Deere & Co | 245.23% |
Which One Should You Choose?
Choose MGC if...
you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.
Choose XLI if...
recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.