VDE vs XLE
Vanguard Energy Index Fund ETF Shares vs State Street Energy Select Sector SPDR ETF
Last updated: 2026-04-02
Vanguard Energy Index Fund ETF Shares (VDE) is an exchange-traded fund that provides exposure to us sector - energy securities. It charges a low expense ratio of 0.09%. The fund offers a moderate dividend yield of 2.36%. Launched in 2004, the fund has a 22-year track record.
State Street Energy Select Sector SPDR ETF (XLE) is an exchange-traded fund that provides exposure to us sector - energy securities. It charges a low expense ratio of 0.08%. The fund offers an attractive dividend yield of 2.53%. 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. VDE has edged ahead over the past year (28.0% vs 25.5%).
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)
VDE Top Holdings
| Name | Weight |
|---|---|
| Exxon Mobil CorporationXOM | 22.42% |
| Chevron CorporationCVX | 14.86% |
| ConocoPhillipsCOP | 5.76% |
| The Williams Companies, Inc.WMB | 3.82% |
| SLB N.V.SLB | 2.85% |
| EOG Resources, Inc.EOG | 2.85% |
| Kinder Morgan, Inc.KMI | 2.80% |
| Baker Hughes CompanyBKR | 2.71% |
| Valero Energy CorporationVLO | 2.67% |
| Phillips 66PSX | 2.62% |
XLE Top Holdings
| Name | Weight |
|---|---|
| Exxon Mobil CorporationXOM | 23.77% |
| Chevron CorporationCVX | 17.32% |
| ConocoPhillipsCOP | 7.22% |
| EOG Resources, Inc.EOG | 4.15% |
| SLB N.V.SLB | 4.07% |
| The Williams Companies, Inc.WMB | 4.06% |
| Valero Energy CorporationVLO | 3.99% |
| Phillips 66PSX | 3.89% |
| Marathon Petroleum CorporationMPC | 3.81% |
| Kinder Morgan, Inc.KMI | 3.48% |
Which One Should You Choose?
Choose VDE if...
recent performance momentum matters to your strategy. Note that past performance doesn't guarantee future results.
Either works if...
you just need broad us sector - energy exposure. Both are solid options — pick whichever your brokerage offers commission-free.