VDC vs XLP
Vanguard Consumer Staples Index Fund ETF Shares vs State Street Consumer Staples Select Sector SPDR ETF
Last updated: 2026-04-02
Vanguard Consumer Staples Index Fund ETF Shares (VDC) is an exchange-traded fund that provides exposure to us sector - consumer staples securities. It charges a low expense ratio of 0.09%. The fund offers a moderate dividend yield of 2.15%. Launched in 2004, the fund has a 22-year track record.
State Street Consumer Staples Select Sector SPDR ETF (XLP) is an exchange-traded fund that provides exposure to us sector - consumer staples securities. It charges a low expense ratio of 0.08%. The fund offers an attractive dividend yield of 2.67%. Launched in 1998, the fund has a 28-year track record.
Quick Verdict
Both funds have nearly identical expense ratios (0.08% vs 0.09%), so fees are not a differentiator here. VDC has edged ahead over the past year (1.9% vs -0.4%). Income investors may prefer XLP for its higher yield (2.7% vs 2.1%).
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
9 of top 10 holdings overlap (90% overlap in top holdings)
VDC Top Holdings
| Name | Weight |
|---|---|
| Walmart Inc.WMT | 14.89% |
| Costco Wholesale CorporationCOST | 11.61% |
| The Procter & Gamble CompanyPG | 9.85% |
| The Coca-Cola CompanyKO | 8.22% |
| PepsiCo, Inc.PEP | 4.62% |
| Philip Morris International Inc.PM | 4.48% |
| Altria Group, Inc.MO | 3.55% |
| Mondelez International, Inc.MDLZ | 2.47% |
| Colgate-Palmolive CompanyCL | 2.38% |
| Monster Beverage CorporationMNST | 1.98% |
XLP Top Holdings
| Name | Weight |
|---|---|
| Walmart Inc.WMT | 11.87% |
| Costco Wholesale CorporationCOST | 9.64% |
| The Procter & Gamble CompanyPG | 7.31% |
| The Coca-Cola CompanyKO | 6.41% |
| Philip Morris International Inc.PM | 5.61% |
| Mondelez International, Inc.MDLZ | 4.80% |
| PepsiCo, Inc.PEP | 4.62% |
| Altria Group, Inc.MO | 4.59% |
| Colgate-Palmolive CompanyCL | 4.39% |
| Target CorporationTGT | 3.71% |
Which One Should You Choose?
Choose VDC if...
recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.
Choose XLP if...
you prioritize dividend income and want higher regular distributions from your portfolio.
Either works if...
you just need broad us sector - consumer staples exposure. Both are solid options — pick whichever your brokerage offers commission-free.