TCAF vs. MGC

Last updated Jun 13, 2026

TCAF (T. Rowe Price Capital Appreciation Equity ETF) and MGC (Vanguard Mega Cap ETF) are both Large Cap Blend Equities funds. TCAF is actively managed, while MGC is passively managed. Over the past year, TCAF returned 16.10% vs 25.09% for MGC. Their correlation of 0.93 suggests significant overlap in exposure. TCAF charges 0.31%/yr vs 0.05%/yr for MGC.

Performance

TCAF vs. MGC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in T. Rowe Price Capital Appreciation Equity ETF (TCAF) and Vanguard Mega Cap ETF (MGC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TCAF achieves a 4.37% return, which is significantly lower than MGC's 8.42% return.

TCAF

• 1D: 0.18%
• 1M: -0.77%
• YTD: 4.37%
• 6M: 5.06%
• 1Y: 16.10%
• 3Y*: —
• 5Y*: —
• 10Y*: —

MGC

• 1D: 0.38%
• 1M: -0.61%
• YTD: 8.42%
• 6M: 9.06%
• 1Y: 25.09%
• 3Y*: 22.21%
• 5Y*: 14.07%
• 10Y*: 16.23%

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

TCAF vs. MGC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
TCAF T. Rowe Price Capital Appreciation Equity ETF	4.37%	15.45%	20.93%	9.71%
MGC Vanguard Mega Cap ETF	8.42%	19.31%	27.16%	10.80%

Correlation

The correlation between TCAF and MGC is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.90
Correlation (All Time) Calculated using the full available price history since Jun 15, 2023	0.93

The correlation between TCAF and MGC has been stable across timeframes, ranging from 0.90 to 0.93 - a consistent structural relationship.

TCAF vs. MGC - Sectors Allocation Comparison

Sectors	TCAF	MGC
Technology	33.7%	39.3%
Healthcare	17.3%	8.9%
Communication Services	11.4%	13.1%
Consumer Cyclical	10.6%	10.1%
Utilities	8.6%	1.0%
Financial Services	6.0%	11.7%
Industrials	4.6%	6.5%
Consumer Defensive	3.3%	4.8%
Energy	2.6%	2.6%
Basic Materials	0.1%	1.2%
Real Estate	0.1%	1.0%

Return for Risk

TCAF vs. MGC — Risk / Return Rank

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

TCAF

TCAF Risk / Return Rank: 41
TCAF Sharpe Ratio Rank: 44
TCAF Sortino Ratio Rank: 42
TCAF Omega Ratio Rank: 44
TCAF Calmar Ratio Rank: 33
TCAF Martin Ratio Rank: 40

MGC

MGC Risk / Return Rank: 67
MGC Sharpe Ratio Rank: 70
MGC Sortino Ratio Rank: 67
MGC Omega Ratio Rank: 69
MGC Calmar Ratio Rank: 58
MGC Martin Ratio Rank: 70

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.

TCAF vs. MGC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for T. Rowe Price Capital Appreciation Equity ETF (TCAF) and Vanguard Mega Cap ETF (MGC). 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.

	TCAF	MGC	Difference
Sharpe ratio: Return per unit of total volatility	1.37	1.96	-0.59
Sortino ratio: Return per unit of downside risk	1.91	2.65	-0.75
Omega ratio: Gain probability vs. loss probability	1.25	1.35	-0.10
Calmar ratio: Return relative to maximum drawdown	1.43	2.56	-1.13
Martin ratio: Return relative to average drawdown	5.64	11.18	-5.54

TCAF vs. MGC - Sharpe Ratio Comparison

The current TCAF Sharpe Ratio is 1.37, which is comparable to the MGC Sharpe Ratio of 1.96. The chart below compares the historical Sharpe Ratios of TCAF and MGC, 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

TCAF vs. MGC - Drawdown Comparison

The maximum TCAF drawdown since its inception was -16.37%, smaller than the maximum MGC drawdown of -52.26%. Use the drawdown chart below to compare losses from any high point for TCAF and MGC.

Drawdown Indicators

	TCAF	MGC	Difference
Max Drawdown Largest peak-to-trough decline	-16.37%	-52.26%	+35.89%
Max Drawdown (1Y) Largest decline over 1 year	-11.33%	-9.85%	-1.48%
Max Drawdown (3Y) Largest decline over 3 years	—	-19.28%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-25.74%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-33.07%	—
Current Drawdown Current decline from peak	-2.97%	-2.92%	-0.05%
Average Drawdown Average peak-to-trough decline	-2.07%	-7.18%	+5.11%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.86%	2.25%	+0.61%

Volatility

TCAF vs. MGC - Volatility Comparison

The current volatility for T. Rowe Price Capital Appreciation Equity ETF (TCAF) is 3.60%, while Vanguard Mega Cap ETF (MGC) has a volatility of 4.62%. This indicates that TCAF experiences smaller price fluctuations and is considered to be less risky than MGC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TCAF	MGC	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.60%	4.62%	-1.02%
Volatility (6M) Calculated over the trailing 6-month period	9.20%	10.04%	-0.84%
Volatility (1Y) Calculated over the trailing 1-year period	11.77%	12.84%	-1.07%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.98%	17.34%	-3.36%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.98%	18.24%	-4.26%

TCAF vs. MGC - Expense Ratio Comparison

TCAF has a 0.31% expense ratio, which is higher than MGC's 0.05% expense ratio.

Dividends

TCAF vs. MGC - Dividend Comparison

TCAF's dividend yield for the trailing twelve months is around 0.48%, less than MGC's 0.89% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MGC Vanguard Mega Cap ETF	0.89%	0.93%	1.15%	1.35%	1.65%	1.17%	1.45%	1.81%	2.10%	1.83%	2.14%	2.11%
TCAF T. Rowe Price Capital Appreciation Equity ETF	0.48%	0.50%	0.43%	0.26%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TCAF and MGC in my portfolio?

With a correlation of 0.90, TCAF and MGC 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, TCAF or MGC?

MGC has higher volatility (4.62%) compared to TCAF (3.60%). In terms of maximum drawdown, TCAF dropped -16.37% vs MGC's -52.26%.

Which ETF is better, TCAF or MGC?

On 1-year performance, MGC leads with 25.09% vs 16.10% for TCAF. On fees, MGC is cheaper at 0.05% per year. On volatility, TCAF has been the lower-risk option at 3.60%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TCAF or MGC?

Over the 1-year period, MGC has performed better with a 25.09% return vs 16.10%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TCAF or MGC?

MGC is cheaper with a 0.05% expense ratio, compared with 0.31% for TCAF.

Which ETF pays a higher dividend yield, TCAF or MGC?

MGC has the higher dividend yield at 0.89%, compared with 0.48% for TCAF.

What is the main difference between TCAF and MGC?

They also come from different issuers: T. Rowe Price and Vanguard. Their fees differ too: 0.31% for TCAF and 0.05% for MGC.

Which has better risk-adjusted returns?

MGC currently has the higher Sharpe Ratio (1.96 vs 1.37), 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.