MTUM vs. VUG

Last updated Jun 9, 2026

MTUM (iShares MSCI USA Momentum Factor ETF) and VUG (Vanguard Growth ETF) are both exchange-traded funds - MTUM is a Momentum fund tracking the MSCI USA Momentum SR Variant Index, while VUG is a Large Cap Growth Equities fund tracking the CRSP US Large Cap Growth Index. Both are passively managed. Over the past 10 years, MTUM returned 16.75%/yr vs 17.95%/yr for VUG. Their correlation of 0.86 suggests significant overlap in exposure. MTUM charges 0.15%/yr vs 0.03%/yr for VUG.

Performance

MTUM vs. VUG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI USA Momentum Factor ETF (MTUM) and Vanguard Growth ETF (VUG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MTUM achieves a 25.99% return, which is significantly higher than VUG's 6.14% return. Over the past 10 years, MTUM has underperformed VUG with an annualized return of 16.75%, while VUG has yielded a comparatively higher 17.95% annualized return.

MTUM

• 1D: 2.81%
• 1M: 4.40%
• YTD: 25.99%
• 6M: 24.80%
• 1Y: 36.47%
• 3Y*: 32.71%
• 5Y*: 14.38%
• 10Y*: 16.75%

VUG

• 1D: 0.33%
• 1M: -0.73%
• YTD: 6.14%
• 6M: 5.11%
• 1Y: 23.11%
• 3Y*: 24.71%
• 5Y*: 14.33%
• 10Y*: 17.95%

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

MTUM vs. VUG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MTUM iShares MSCI USA Momentum Factor ETF	25.99%	22.15%	32.89%	9.15%	-18.27%	13.36%	29.86%	27.25%	-1.67%	37.50%
VUG Vanguard Growth ETF	6.14%	19.40%	32.69%	46.83%	-33.16%	27.35%	40.25%	37.03%	-3.32%	27.72%

Correlation

The correlation between MTUM and VUG is 0.78, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.78
Correlation (3Y) Calculated over the trailing 3-year period	0.85
Correlation (5Y) Calculated over the trailing 5-year period	0.81
Correlation (10Y) Calculated over the trailing 10-year period	0.85
Correlation (All Time) Calculated using the full available price history since Apr 19, 2013	0.86

The correlation between MTUM and VUG has been stable across timeframes, ranging from 0.78 to 0.86 - a consistent structural relationship.

MTUM vs. VUG - Sectors Allocation Comparison

Sectors	MTUM	VUG
Technology	44.4%	53.5%
Industrials	15.6%	3.6%
Financial Services	10.4%	4.3%
Communication Services	7.4%	17.3%
Healthcare	6.9%	4.6%
Consumer Cyclical	3.6%	12.2%
Energy	3.5%	0.4%
Consumer Defensive	3.3%	1.5%
Real Estate	1.8%	1.0%
Basic Materials	1.7%	0.6%
Utilities	1.6%	0.9%

Return for Risk

MTUM vs. VUG — Risk / Return Rank

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

MTUM

MTUM Risk / Return Rank: 64
MTUM Sharpe Ratio Rank: 60
MTUM Sortino Ratio Rank: 56
MTUM Omega Ratio Rank: 61
MTUM Calmar Ratio Rank: 70
MTUM Martin Ratio Rank: 73

VUG

VUG Risk / Return Rank: 40
VUG Sharpe Ratio Rank: 45
VUG Sortino Ratio Rank: 43
VUG Omega Ratio Rank: 44
VUG Calmar Ratio Rank: 31
VUG Martin Ratio Rank: 35

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.

MTUM vs. VUG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI USA Momentum Factor ETF (MTUM) and Vanguard Growth ETF (VUG). 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.

	MTUM	VUG	Difference
Sharpe ratio: Return per unit of total volatility	1.82	1.43	+0.38
Sortino ratio: Return per unit of downside risk	2.42	1.95	+0.47
Omega ratio: Gain probability vs. loss probability	1.33	1.25	+0.08
Calmar ratio: Return relative to maximum drawdown	3.17	1.40	+1.77
Martin ratio: Return relative to average drawdown	12.48	4.90	+7.58
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MTUM vs. VUG - Sharpe Ratio Comparison

The current MTUM Sharpe Ratio is 1.82, which is comparable to the VUG Sharpe Ratio of 1.43. The chart below compares the historical Sharpe Ratios of MTUM and VUG, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	MTUM	VUG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.82	1.43	+0.38
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.69	0.65	+0.05
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.80	0.84	-0.04
Sharpe Ratio (All Time) Calculated using the full available price history	0.82	0.61	+0.21

Drawdowns

MTUM vs. VUG - Drawdown Comparison

The maximum MTUM drawdown since its inception was -34.08%, smaller than the maximum VUG drawdown of -50.68%. Use the drawdown chart below to compare losses from any high point for MTUM and VUG.

Drawdown Indicators

	MTUM	VUG	Difference
Max Drawdown Largest peak-to-trough decline	-34.08%	-50.68%	+16.60%
Max Drawdown (1Y) Largest decline over 1 year	-11.54%	-16.53%	+4.99%
Max Drawdown (3Y) Largest decline over 3 years	-20.99%	-22.85%	+1.86%
Max Drawdown (5Y) Largest decline over 5 years	-32.28%	-35.61%	+3.33%
Max Drawdown (10Y) Largest decline over 10 years	-34.08%	-35.61%	+1.53%
Current Drawdown Current decline from peak	-4.38%	-4.52%	+0.14%
Average Drawdown Average peak-to-trough decline	-6.21%	-7.09%	+0.88%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.93%	4.73%	-1.80%

Volatility

MTUM vs. VUG - Volatility Comparison

iShares MSCI USA Momentum Factor ETF (MTUM) has a higher volatility of 9.96% compared to Vanguard Growth ETF (VUG) at 5.17%. This indicates that MTUM's price experiences larger fluctuations and is considered to be riskier than VUG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MTUM	VUG	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.96%	5.17%	+4.79%
Volatility (6M) Calculated over the trailing 6-month period	17.87%	12.68%	+5.19%
Volatility (1Y) Calculated over the trailing 1-year period	20.21%	16.25%	+3.96%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.81%	22.28%	-1.47%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.15%	21.48%	-0.33%

MTUM vs. VUG - Expense Ratio Comparison

MTUM has a 0.15% expense ratio, which is higher than VUG's 0.03% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

MTUM vs. VUG - Dividend Comparison

MTUM's dividend yield for the trailing twelve months is around 0.62%, more than VUG's 0.38% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MTUM iShares MSCI USA Momentum Factor ETF	0.62%	0.91%	0.75%	1.35%	1.80%	0.55%	0.83%	1.48%	1.27%	1.02%	1.43%	1.12%
VUG Vanguard Growth ETF	0.38%	0.41%	0.47%	0.58%	0.70%	0.48%	0.66%	0.95%	1.32%	1.14%	1.39%	1.30%

Frequently Asked Questions

Can I hold both MTUM and VUG in my portfolio?

MTUM and VUG have a correlation of 0.78, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MTUM or VUG?

MTUM has higher volatility (9.96%) compared to VUG (5.17%). In terms of maximum drawdown, MTUM dropped -34.08% vs VUG's -50.68%.

Which ETF is better, MTUM or VUG?

On 10-year performance, VUG leads with 17.95% vs 16.75% for MTUM. On fees, VUG is cheaper at 0.03% per year. On volatility, VUG has been the lower-risk option at 5.17%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, MTUM or VUG?

Over the 10-year period, VUG has performed better with a 17.95% return vs 16.75%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, MTUM or VUG?

VUG is cheaper with a 0.03% expense ratio, compared with 0.15% for MTUM.

Which ETF pays a higher dividend yield, MTUM or VUG?

MTUM has the higher dividend yield at 0.62%, compared with 0.38% for VUG.

What is the main difference between MTUM and VUG?

MTUM is categorized as Momentum, while VUG is Large Cap Growth Equities. MTUM tracks MSCI USA Momentum SR Variant Index, while VUG tracks CRSP US Large Cap Growth Index. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.15% for MTUM and 0.03% for VUG.

Which has better risk-adjusted returns?

MTUM currently has the higher Sharpe Ratio (1.82 vs 1.43), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.