KNCT vs. VGT

Last updated Apr 2, 2026

Compare and contrast key facts about Invesco Next Gen Connectivity ETF (KNCT) and Vanguard Information Technology ETF (VGT).

KNCT and VGT are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. KNCT is a passively managed fund by Invesco that tracks the performance of the STOXX World AC NexGen Connectivity Index. It was launched on Jun 23, 2005. VGT is a passively managed fund by Vanguard that tracks the performance of the MSCI US Investable Market Information Technology 25/50 Index. It was launched on Mar 25, 2004. Both KNCT and VGT are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

KNCT vs. VGT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Next Gen Connectivity ETF (KNCT) and Vanguard Information Technology ETF (VGT). The values are adjusted to include any dividend payments, if applicable.

KNCT vs. VGT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
KNCT Invesco Next Gen Connectivity ETF	5.86%	28.65%	19.41%	27.39%	-29.54%	21.83%	39.14%	26.35%	5.78%	15.41%
VGT Vanguard Information Technology ETF	-6.16%	21.77%	29.30%	52.66%	-29.70%	30.45%	46.04%	48.62%	2.46%	37.08%

Returns By Period

In the year-to-date period, KNCT achieves a 5.86% return, which is significantly higher than VGT's -6.16% return. Over the past 10 years, KNCT has underperformed VGT with an annualized return of 16.41%, while VGT has yielded a comparatively higher 21.51% annualized return.

KNCT

• 1D: 2.12%
• 1M: -4.06%
• YTD: 5.86%
• 6M: 10.12%
• 1Y: 41.49%
• 3Y*: 23.88%
• 5Y*: 12.33%
• 10Y*: 16.41%

VGT

• 1D: 1.28%
• 1M: -3.61%
• YTD: -6.16%
• 6M: -5.90%
• 1Y: 29.76%
• 3Y*: 23.10%
• 5Y*: 14.83%
• 10Y*: 21.51%

*Multi-year figures are annualized to reflect compound growth (CAGR)

KNCT vs. VGT - Expense Ratio Comparison

KNCT has a 0.40% expense ratio, which is higher than VGT's 0.09% expense ratio.

KNCT

Invesco Next Gen Connectivity ETF

VGT

Vanguard Information Technology ETF

Return for Risk

KNCT vs. VGT — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

KNCT

KNCT Risk / Return Rank: 88
KNCT Sharpe Ratio Rank: 84
KNCT Sortino Ratio Rank: 87
KNCT Omega Ratio Rank: 84
KNCT Calmar Ratio Rank: 89
KNCT Martin Ratio Rank: 93

VGT

VGT Risk / Return Rank: 62
VGT Sharpe Ratio Rank: 60
VGT Sortino Ratio Rank: 63
VGT Omega Ratio Rank: 61
VGT Calmar Ratio Rank: 71
VGT Martin Ratio Rank: 57

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

KNCT vs. VGT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Next Gen Connectivity ETF (KNCT) and Vanguard Information Technology ETF (VGT). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	KNCT	VGT	Difference
Sharpe ratio Return per unit of total volatility	1.79	1.10	+0.69
Sortino ratio Return per unit of downside risk	2.50	1.67	+0.82
Omega ratio Gain probability vs. loss probability	1.35	1.23	+0.11
Calmar ratio Return relative to maximum drawdown	3.26	1.88	+1.38
Martin ratio Return relative to average drawdown	15.18	5.77	+9.41
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

KNCT vs. VGT - Sharpe Ratio Comparison

The current KNCT Sharpe Ratio is 1.79, which is higher than the VGT Sharpe Ratio of 1.10. The chart below compares the historical Sharpe Ratios of KNCT and VGT, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	KNCT	VGT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.79	1.10	+0.69
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.54	0.59	-0.05
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.72	0.88	-0.16
Sharpe Ratio (All Time) Calculated using the full available price history	0.49	0.61	-0.12

Correlation

The correlation between KNCT and VGT is 0.82, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.

Dividends

KNCT vs. VGT - Dividend Comparison

KNCT's dividend yield for the trailing twelve months is around 0.88%, more than VGT's 0.43% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
KNCT Invesco Next Gen Connectivity ETF	0.88%	0.86%	1.38%	0.60%	2.24%	0.55%	0.18%	0.44%	1.22%	0.66%	0.44%	0.00%
VGT Vanguard Information Technology ETF	0.43%	0.40%	0.60%	0.65%	0.91%	0.64%	0.82%	1.11%	1.29%	0.99%	1.31%	1.28%

Drawdowns

KNCT vs. VGT - Drawdown Comparison

The maximum KNCT drawdown since its inception was -57.18%, roughly equal to the maximum VGT drawdown of -54.63%. Use the drawdown chart below to compare losses from any high point for KNCT and VGT.

Drawdown Indicators

	KNCT	VGT	Difference
Max Drawdown Largest peak-to-trough decline	-57.18%	-54.63%	-2.55%
Max Drawdown (1Y) Largest decline over 1 year	-12.94%	-16.40%	+3.46%
Max Drawdown (5Y) Largest decline over 5 years	-34.55%	-35.07%	+0.52%
Max Drawdown (10Y) Largest decline over 10 years	-34.55%	-35.07%	+0.52%
Current Drawdown Current decline from peak	-4.97%	-11.66%	+6.69%
Average Drawdown Average peak-to-trough decline	-10.82%	-8.00%	-2.82%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.78%	5.35%	-2.57%

Volatility

KNCT vs. VGT - Volatility Comparison

Invesco Next Gen Connectivity ETF (KNCT) and Vanguard Information Technology ETF (VGT) have volatilities of 8.36% and 8.03%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	KNCT	VGT	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.36%	8.03%	+0.33%
Volatility (6M) Calculated over the trailing 6-month period	15.60%	16.35%	-0.75%
Volatility (1Y) Calculated over the trailing 1-year period	23.35%	27.27%	-3.92%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.87%	25.06%	-2.19%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.72%	24.48%	-1.76%