VCR vs. PEZ

Last updated Jun 3, 2026

VCR (Vanguard Consumer Discretionary ETF) and PEZ (Invesco DWA Consumer Cyclicals Momentum ETF) are both exchange-traded funds - VCR is a Consumer Discretionary Equities fund tracking the MSCI US Investable Market Consumer Discretionary 25/50 Index, while PEZ is a Momentum fund tracking the DWA Consumer Cyclicals Technical Leaders Index. Both are passively managed. Over the past 10 years, VCR returned 13.55%/yr vs 9.41%/yr for PEZ. Their correlation of 0.83 suggests significant overlap in exposure. VCR charges 0.10%/yr vs 0.60%/yr for PEZ.

Performance

VCR vs. PEZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Consumer Discretionary ETF (VCR) and Invesco DWA Consumer Cyclicals Momentum ETF (PEZ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VCR achieves a 0.01% return, which is significantly higher than PEZ's -4.66% return. Over the past 10 years, VCR has outperformed PEZ with an annualized return of 13.55%, while PEZ has yielded a comparatively lower 9.41% annualized return.

VCR

• 1D: -0.34%
• 1M: -0.28%
• YTD: 0.01%
• 6M: 0.97%
• 1Y: 11.24%
• 3Y*: 15.28%
• 5Y*: 6.49%
• 10Y*: 13.55%

PEZ

• 1D: -0.28%
• 1M: -1.77%
• YTD: -4.66%
• 6M: 0.31%
• 1Y: 5.29%
• 3Y*: 14.66%
• 5Y*: 2.46%
• 10Y*: 9.41%

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

VCR vs. PEZ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VCR Vanguard Consumer Discretionary ETF	0.01%	5.77%	24.27%	40.38%	-35.15%	24.86%	48.36%	27.45%	-2.31%	22.82%
PEZ Invesco DWA Consumer Cyclicals Momentum ETF	-4.66%	5.40%	20.06%	29.55%	-29.59%	20.35%	38.97%	18.05%	-6.85%	19.87%

Correlation

The correlation between VCR and PEZ is 0.77, 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	0.77
Correlation (3Y) Calculated over the trailing 3-year period	0.77
Correlation (5Y) Calculated over the trailing 5-year period	0.79
Correlation (10Y) Calculated over the trailing 10-year period	0.79
Correlation (All Time) Calculated using the full available price history since Oct 13, 2006	0.83

The correlation between VCR and PEZ has been stable across timeframes, ranging from 0.77 to 0.83 - a consistent structural relationship.

Return for Risk

VCR vs. PEZ — Risk / Return Rank

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

VCR

VCR Risk / Return Rank: 19
VCR Sharpe Ratio Rank: 19
VCR Sortino Ratio Rank: 19
VCR Omega Ratio Rank: 18
VCR Calmar Ratio Rank: 18
VCR Martin Ratio Rank: 19

PEZ

PEZ Risk / Return Rank: 13
PEZ Sharpe Ratio Rank: 12
PEZ Sortino Ratio Rank: 13
PEZ Omega Ratio Rank: 12
PEZ Calmar Ratio Rank: 13
PEZ Martin Ratio Rank: 13

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.

VCR vs. PEZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Consumer Discretionary ETF (VCR) and Invesco DWA Consumer Cyclicals Momentum ETF (PEZ). 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.

	VCR	PEZ	Difference
Sharpe ratio Return per unit of total volatility	0.61	0.26	+0.35
Sortino ratio Return per unit of downside risk	0.97	0.53	+0.45
Omega ratio Gain probability vs. loss probability	1.12	1.06	+0.06
Calmar ratio Return relative to maximum drawdown	0.73	0.39	+0.34
Martin ratio Return relative to average drawdown	2.28	1.03	+1.25
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VCR vs. PEZ - Sharpe Ratio Comparison

The current VCR Sharpe Ratio is 0.61, which is higher than the PEZ Sharpe Ratio of 0.26. The chart below compares the historical Sharpe Ratios of VCR and PEZ, 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

	VCR	PEZ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.61	0.26	+0.35
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.27	0.10	+0.17
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.61	0.38	+0.23
Sharpe Ratio (All Time) Calculated using the full available price history	0.51	0.32	+0.19

Drawdowns

VCR vs. PEZ - Drawdown Comparison

The maximum VCR drawdown since its inception was -61.54%, which is greater than PEZ's maximum drawdown of -58.39%. Use the drawdown chart below to compare losses from any high point for VCR and PEZ.

Drawdown Indicators

	VCR	PEZ	Difference
Max Drawdown Largest peak-to-trough decline	-61.54%	-58.39%	-3.15%
Max Drawdown (1Y) Largest decline over 1 year	-15.59%	-15.83%	+0.24%
Max Drawdown (3Y) Largest decline over 3 years	-27.36%	-31.48%	+4.12%
Max Drawdown (5Y) Largest decline over 5 years	-39.20%	-41.72%	+2.52%
Max Drawdown (10Y) Largest decline over 10 years	-39.20%	-52.05%	+12.85%
Current Drawdown Current decline from peak	-4.54%	-11.65%	+7.11%
Average Drawdown Average peak-to-trough decline	-9.40%	-13.86%	+4.46%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.96%	5.93%	-0.97%

Volatility

VCR vs. PEZ - Volatility Comparison

Vanguard Consumer Discretionary ETF (VCR) and Invesco DWA Consumer Cyclicals Momentum ETF (PEZ) have volatilities of 5.22% and 5.42%, 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

	VCR	PEZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.22%	5.42%	-0.20%
Volatility (6M) Calculated over the trailing 6-month period	13.06%	15.12%	-2.06%
Volatility (1Y) Calculated over the trailing 1-year period	18.46%	20.08%	-1.62%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.99%	24.50%	-0.51%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.41%	25.06%	-2.65%

VCR vs. PEZ - Expense Ratio Comparison

VCR has a 0.10% expense ratio, which is lower than PEZ's 0.60% expense ratio.

Dividends

VCR vs. PEZ - Dividend Comparison

VCR's dividend yield for the trailing twelve months is around 0.73%, more than PEZ's 0.22% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PEZ Invesco DWA Consumer Cyclicals Momentum ETF	0.22%	0.11%	0.12%	0.60%	0.43%	0.23%	0.39%	0.01%	0.40%	0.42%	0.83%	0.64%
VCR Vanguard Consumer Discretionary ETF	0.73%	0.74%	0.74%	0.84%	0.98%	0.79%	1.71%	1.17%	1.37%	1.21%	1.60%	1.32%

Frequently Asked Questions

Can I hold both VCR and PEZ in my portfolio?

VCR and PEZ have a correlation of 0.77, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VCR or PEZ?

PEZ has higher volatility (5.42%) compared to VCR (5.22%). In terms of maximum drawdown, VCR dropped -61.54% vs PEZ's -58.39%.

Which ETF is better, VCR or PEZ?

On 10-year performance, VCR leads with 13.55% vs 9.41% for PEZ. On fees, VCR is cheaper at 0.10% per year. On volatility, VCR has been the lower-risk option at 5.22%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VCR or PEZ?

Over the 10-year period, VCR has performed better with a 13.55% return vs 9.41%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VCR or PEZ?

VCR is cheaper with a 0.10% expense ratio, compared with 0.60% for PEZ.

Which ETF pays a higher dividend yield, VCR or PEZ?

VCR has the higher dividend yield at 0.73%, compared with 0.22% for PEZ.

What is the main difference between VCR and PEZ?

VCR is categorized as Consumer Discretionary Equities, while PEZ is Momentum. VCR tracks MSCI US Investable Market Consumer Discretionary 25/50 Index, while PEZ tracks DWA Consumer Cyclicals Technical Leaders Index. They also come from different issuers: Vanguard and Invesco. Their fees differ too: 0.10% for VCR and 0.60% for PEZ.

Which has better risk-adjusted returns?

VCR currently has the higher Sharpe Ratio (0.61 vs 0.26), 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.