VFAIX vs. VUIAX

Last updated Jun 24, 2026

VFAIX (Vanguard Financials Index Fund Admiral Shares) and VUIAX (Vanguard Utilities Index Fund Admiral Shares) are both mutual funds - VFAIX is a Financials Equities fund tracking the MSCI US Investable Market Financials 25/50 Index, while VUIAX is a Utilities Equities fund managed by Vanguard. Over the past 10 years, VFAIX returned 13.53%/yr vs 9.13%/yr for VUIAX. At a 0.45 correlation, their price movements are largely independent. VFAIX charges 0.09%/yr vs 0.10%/yr for VUIAX.

Performance

VFAIX vs. VUIAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Financials Index Fund Admiral Shares (VFAIX) and Vanguard Utilities Index Fund Admiral Shares (VUIAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VFAIX achieves a -0.70% return, which is significantly lower than VUIAX's 6.06% return. Over the past 10 years, VFAIX has outperformed VUIAX with an annualized return of 13.53%, while VUIAX has yielded a comparatively lower 9.13% annualized return.

VFAIX

• 1D: 0.52%
• 1M: 3.73%
• YTD: -0.70%
• 6M: -2.07%
• 1Y: 8.46%
• 3Y*: 20.82%
• 5Y*: 10.43%
• 10Y*: 13.53%

VUIAX

• 1D: 0.45%
• 1M: -0.83%
• YTD: 6.06%
• 6M: 6.10%
• 1Y: 13.13%
• 3Y*: 14.55%
• 5Y*: 10.15%
• 10Y*: 9.13%

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

VFAIX vs. VUIAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VFAIX Vanguard Financials Index Fund Admiral Shares	-0.70%	14.90%	30.46%	14.07%	-12.26%	36.27%	-2.15%	31.63%	-13.47%	20.05%
VUIAX Vanguard Utilities Index Fund Admiral Shares	6.06%	16.39%	23.03%	-7.49%	1.13%	17.16%	-0.90%	24.97%	4.45%	12.49%

Correlation

The correlation between VFAIX and VUIAX is 0.20, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.20
Correlation (3Y) Calculated over the trailing 3-year period	0.37
Correlation (5Y) Calculated over the trailing 5-year period	0.41
Correlation (10Y) Calculated over the trailing 10-year period	0.31
Correlation (All Time) Calculated using the full available price history since Feb 2, 2004	0.45

Over the past year, the correlation between VFAIX and VUIAX has dropped to 0.20 - well below their long-term average of 0.45, suggesting their price drivers have been diverging.

VFAIX vs. VUIAX - Sectors Allocation Comparison

Sectors	VFAIX	VUIAX
Financial Services	96.8%	-
Technology	2.1%	-
Real Estate	0.8%	-
Industrials	0.2%	0.2%
Healthcare	0.1%	-
Communication Services	0.0%	-
Consumer Cyclical	0.0%	-
Basic Materials	-	-
Consumer Defensive	-	-
Energy	-	0.5%
Utilities	-	99.3%

Return for Risk

VFAIX vs. VUIAX — Risk / Return Rank

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

VFAIX

VFAIX Risk / Return Rank: 8
VFAIX Sharpe Ratio Rank: 8
VFAIX Sortino Ratio Rank: 8
VFAIX Omega Ratio Rank: 8
VFAIX Calmar Ratio Rank: 7
VFAIX Martin Ratio Rank: 7

VUIAX

VUIAX Risk / Return Rank: 16
VUIAX Sharpe Ratio Rank: 15
VUIAX Sortino Ratio Rank: 14
VUIAX Omega Ratio Rank: 14
VUIAX Calmar Ratio Rank: 23
VUIAX 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.

VFAIX vs. VUIAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Financials Index Fund Admiral Shares (VFAIX) and Vanguard Utilities Index Fund Admiral Shares (VUIAX). 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.

	VFAIX	VUIAX	Difference
Sharpe ratio: Return per unit of total volatility	0.66	1.01	-0.35
Sortino ratio: Return per unit of downside risk	0.98	1.42	-0.44
Omega ratio: Gain probability vs. loss probability	1.12	1.18	-0.06
Calmar ratio: Return relative to maximum drawdown	0.67	1.65	-0.98
Martin ratio: Return relative to average drawdown	1.74	3.52	-1.79

VFAIX vs. VUIAX - Sharpe Ratio Comparison

The current VFAIX Sharpe Ratio is 0.66, which is lower than the VUIAX Sharpe Ratio of 1.01. The chart below compares the historical Sharpe Ratios of VFAIX and VUIAX, 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

VFAIX vs. VUIAX - Drawdown Comparison

The maximum VFAIX drawdown since its inception was -78.64%, which is greater than VUIAX's maximum drawdown of -46.29%. Use the drawdown chart below to compare losses from any high point for VFAIX and VUIAX.

Drawdown Indicators

	VFAIX	VUIAX	Difference
Max Drawdown Largest peak-to-trough decline	-78.64%	-46.29%	-32.35%
Max Drawdown (1Y) Largest decline over 1 year	-14.72%	-8.87%	-5.85%
Max Drawdown (3Y) Largest decline over 3 years	-17.31%	-17.42%	+0.11%
Max Drawdown (5Y) Largest decline over 5 years	-25.71%	-25.18%	-0.53%
Max Drawdown (10Y) Largest decline over 10 years	-44.37%	-36.21%	-8.16%
Current Drawdown Current decline from peak	-3.73%	-4.70%	+0.97%
Average Drawdown Average peak-to-trough decline	-18.57%	-7.76%	-10.81%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.66%	4.14%	+1.52%

Volatility

VFAIX vs. VUIAX - Volatility Comparison

The current volatility for Vanguard Financials Index Fund Admiral Shares (VFAIX) is 4.21%, while Vanguard Utilities Index Fund Admiral Shares (VUIAX) has a volatility of 5.27%. This indicates that VFAIX experiences smaller price fluctuations and is considered to be less risky than VUIAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VFAIX	VUIAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.21%	5.27%	-1.06%
Volatility (6M) Calculated over the trailing 6-month period	11.38%	11.61%	-0.23%
Volatility (1Y) Calculated over the trailing 1-year period	14.96%	14.54%	+0.42%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.29%	17.09%	+2.20%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.62%	19.21%	+3.41%

VFAIX vs. VUIAX - Expense Ratio Comparison

VFAIX has a 0.09% expense ratio, which is lower than VUIAX's 0.10% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VFAIX vs. VUIAX - Dividend Comparison

VFAIX's dividend yield for the trailing twelve months is around 1.47%, less than VUIAX's 2.61% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VFAIX Vanguard Financials Index Fund Admiral Shares	1.47%	1.56%	1.75%	2.08%	2.31%	2.62%	2.21%	2.17%	2.30%	1.54%	1.64%	2.00%
VUIAX Vanguard Utilities Index Fund Admiral Shares	2.61%	2.73%	3.01%	3.49%	2.98%	2.56%	3.17%	2.82%	3.23%	3.18%	3.19%	3.64%

Frequently Asked Questions

Can I hold both VFAIX and VUIAX in my portfolio?

VFAIX and VUIAX have a correlation of 0.20, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VFAIX or VUIAX?

VUIAX has higher volatility (5.27%) compared to VFAIX (4.21%). In terms of maximum drawdown, VFAIX dropped -78.64% vs VUIAX's -46.29%.

Which has better risk-adjusted returns?

VUIAX currently has the higher Sharpe Ratio (1.01 vs 0.66), 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.