RGAGX vs. VFIAX

Last updated Jun 24, 2026

RGAGX (American Funds The Growth Fund of America Class R-6) and VFIAX (Vanguard 500 Index Fund Admiral Shares) are both mutual funds - RGAGX is a Large Cap Growth Equities fund actively managed by American Funds, while VFIAX is a S&P 500 fund tracking the S&P 500 Index. RGAGX is actively managed, while VFIAX is passively managed. Over the past 10 years, RGAGX returned 16.70%/yr vs 15.76%/yr for VFIAX. With a 0.95 correlation, they move nearly in lockstep. RGAGX charges 0.30%/yr vs 0.04%/yr for VFIAX.

Performance

RGAGX vs. VFIAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Funds The Growth Fund of America Class R-6 (RGAGX) and Vanguard 500 Index Fund Admiral Shares (VFIAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RGAGX achieves a 8.89% return, which is significantly lower than VFIAX's 9.77% return. Over the past 10 years, RGAGX has outperformed VFIAX with an annualized return of 16.70%, while VFIAX has yielded a comparatively lower 15.76% annualized return.

RGAGX

• 1D: -0.52%
• 1M: 1.99%
• YTD: 8.89%
• 6M: 7.98%
• 1Y: 23.17%
• 3Y*: 24.32%
• 5Y*: 11.82%
• 10Y*: 16.70%

VFIAX

• 1D: -0.36%
• 1M: 0.10%
• YTD: 9.77%
• 6M: 8.77%
• 1Y: 25.48%
• 3Y*: 21.36%
• 5Y*: 13.57%
• 10Y*: 15.76%

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

RGAGX vs. VFIAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
RGAGX American Funds The Growth Fund of America Class R-6	8.89%	20.08%	28.41%	37.66%	-30.53%	19.67%	38.30%	29.22%	-2.88%	26.53%
VFIAX Vanguard 500 Index Fund Admiral Shares	9.77%	17.83%	24.97%	26.24%	-18.16%	28.65%	18.32%	31.46%	-4.45%	21.78%

Correlation

The correlation between RGAGX and VFIAX is 0.95 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.95
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (5Y) Calculated over the trailing 5-year period	0.95
Correlation (10Y) Calculated over the trailing 10-year period	0.94
Correlation (All Time) Calculated using the full available price history since May 1, 2009	0.95

The correlation between RGAGX and VFIAX has been stable across timeframes, ranging from 0.94 to 0.95 - a consistent structural relationship.

Return for Risk

RGAGX vs. VFIAX — Risk / Return Rank

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

RGAGX

RGAGX Risk / Return Rank: 30
RGAGX Sharpe Ratio Rank: 31
RGAGX Sortino Ratio Rank: 29
RGAGX Omega Ratio Rank: 31
RGAGX Calmar Ratio Rank: 26
RGAGX Martin Ratio Rank: 32

VFIAX

VFIAX Risk / Return Rank: 65
VFIAX Sharpe Ratio Rank: 63
VFIAX Sortino Ratio Rank: 57
VFIAX Omega Ratio Rank: 59
VFIAX Calmar Ratio Rank: 68
VFIAX Martin Ratio Rank: 78

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.

RGAGX vs. VFIAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Funds The Growth Fund of America Class R-6 (RGAGX) and Vanguard 500 Index Fund Admiral Shares (VFIAX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	RGAGX	VFIAX	Difference
Sharpe ratio: Return per unit of total volatility	1.50	2.15	-0.64
Sortino ratio: Return per unit of downside risk	2.07	2.91	-0.83
Omega ratio: Gain probability vs. loss probability	1.27	1.39	-0.11
Calmar ratio: Return relative to maximum drawdown	1.79	3.01	-1.23
Martin ratio: Return relative to average drawdown	6.83	13.60	-6.76

RGAGX vs. VFIAX - Sharpe Ratio Comparison

The current RGAGX Sharpe Ratio is 1.50, which is lower than the VFIAX Sharpe Ratio of 2.15. The chart below compares the historical Sharpe Ratios of RGAGX and VFIAX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

RGAGX vs. VFIAX - Drawdown Comparison

The maximum RGAGX drawdown since its inception was -36.19%, smaller than the maximum VFIAX drawdown of -55.20%. Use the drawdown chart below to compare losses from any high point for RGAGX and VFIAX.

Drawdown Indicators

	RGAGX	VFIAX	Difference
Max Drawdown Largest peak-to-trough decline	-36.19%	-55.20%	+19.01%
Max Drawdown (1Y) Largest decline over 1 year	-13.71%	-8.90%	-4.81%
Max Drawdown (3Y) Largest decline over 3 years	-21.54%	-18.75%	-2.79%
Max Drawdown (5Y) Largest decline over 5 years	-36.19%	-24.53%	-11.66%
Max Drawdown (10Y) Largest decline over 10 years	-36.19%	-33.83%	-2.36%
Current Drawdown Current decline from peak	-1.55%	-1.72%	+0.17%
Average Drawdown Average peak-to-trough decline	-5.48%	-9.38%	+3.90%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.57%	1.97%	+1.60%

Volatility

RGAGX vs. VFIAX - Volatility Comparison

American Funds The Growth Fund of America Class R-6 (RGAGX) has a higher volatility of 6.79% compared to Vanguard 500 Index Fund Admiral Shares (VFIAX) at 4.67%. This indicates that RGAGX's price experiences larger fluctuations and is considered to be riskier than VFIAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RGAGX	VFIAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.79%	4.67%	+2.12%
Volatility (6M) Calculated over the trailing 6-month period	13.01%	9.84%	+3.17%
Volatility (1Y) Calculated over the trailing 1-year period	16.30%	12.50%	+3.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.43%	16.99%	+3.44%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.78%	18.11%	+1.67%

RGAGX vs. VFIAX - Expense Ratio Comparison

RGAGX has a 0.30% expense ratio, which is higher than VFIAX's 0.04% expense ratio.

Dividends

RGAGX vs. VFIAX - Dividend Comparison

RGAGX's dividend yield for the trailing twelve months is around 10.09%, more than VFIAX's 1.03% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
RGAGX American Funds The Growth Fund of America Class R-6	10.09%	10.99%	9.29%	7.70%	4.44%	8.49%	4.57%	7.93%	12.36%	7.34%	6.95%	9.22%
VFIAX Vanguard 500 Index Fund Admiral Shares	1.03%	1.12%	1.24%	1.45%	1.68%	1.24%	1.53%	1.87%	2.05%	1.78%	2.02%	2.10%

Frequently Asked Questions

Can I hold both RGAGX and VFIAX in my portfolio?

With a correlation of 0.95, RGAGX and VFIAX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, RGAGX or VFIAX?

RGAGX has higher volatility (6.79%) compared to VFIAX (4.67%). In terms of maximum drawdown, RGAGX dropped -36.19% vs VFIAX's -55.20%.

Which has better risk-adjusted returns?

VFIAX currently has the higher Sharpe Ratio (2.15 vs 1.50), 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.