VSMAX vs. MGK

Last updated Jun 13, 2026

VSMAX (Vanguard Small-Cap Index Fund Admiral Shares) and MGK (Vanguard Mega Cap Growth ETF) are both funds - VSMAX is a Small Cap Blend Equities fund tracking the CRSP US Small Cap Index, while MGK is a Large Cap Growth Equities fund tracking the CRSP US Mega Cap Growth Index. Both are passively managed. Over the past 10 years, VSMAX returned 11.48%/yr vs 18.85%/yr for MGK. A 0.79 correlation means they provide meaningful diversification when combined. Both charge a 0.05% expense ratio.

Performance

VSMAX vs. MGK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Small-Cap Index Fund Admiral Shares (VSMAX) and Vanguard Mega Cap Growth ETF (MGK). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VSMAX achieves a 14.59% return, which is significantly higher than MGK's 5.33% return. Over the past 10 years, VSMAX has underperformed MGK with an annualized return of 11.48%, while MGK has yielded a comparatively higher 18.85% annualized return.

VSMAX

• 1D: 2.58%
• 1M: 3.08%
• YTD: 14.59%
• 6M: 12.93%
• 1Y: 27.91%
• 3Y*: 16.37%
• 5Y*: 6.83%
• 10Y*: 11.48%

MGK

• 1D: 0.22%
• 1M: -2.06%
• YTD: 5.33%
• 6M: 6.21%
• 1Y: 23.03%
• 3Y*: 24.17%
• 5Y*: 14.87%
• 10Y*: 18.85%

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

VSMAX vs. MGK - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VSMAX Vanguard Small-Cap Index Fund Admiral Shares	14.59%	8.83%	14.23%	18.17%	-17.61%	17.74%	19.06%	27.36%	-9.33%	16.24%
MGK Vanguard Mega Cap Growth ETF	5.33%	20.67%	32.94%	51.67%	-33.59%	28.58%	41.01%	37.38%	-2.91%	29.49%

Correlation

The correlation between VSMAX and MGK is 0.58, 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	0.58
Correlation (3Y) Calculated over the trailing 3-year period	0.60
Correlation (5Y) Calculated over the trailing 5-year period	0.70
Correlation (10Y) Calculated over the trailing 10-year period	0.71
Correlation (All Time) Calculated using the full available price history since Dec 27, 2007	0.79

Over the past year, the correlation between VSMAX and MGK has dropped to 0.58 - well below their long-term average of 0.79, suggesting their price drivers have been diverging.

VSMAX vs. MGK - Sectors Allocation Comparison

Sectors	VSMAX	MGK
Industrials	20.8%	1.1%
Technology	17.2%	56.1%
Financial Services	12.6%	4.5%
Consumer Cyclical	11.3%	12.8%
Healthcare	11.1%	4.5%
Real Estate	7.6%	1.3%
Basic Materials	4.8%	0.7%
Energy	4.7%	-
Consumer Defensive	3.4%	0.4%
Utilities	3.3%	1.2%
Communication Services	3.1%	17.3%

Return for Risk

VSMAX vs. MGK — Risk / Return Rank

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

VSMAX

VSMAX Risk / Return Rank: 62
VSMAX Sharpe Ratio Rank: 52
VSMAX Sortino Ratio Rank: 54
VSMAX Omega Ratio Rank: 46
VSMAX Calmar Ratio Rank: 81
VSMAX Martin Ratio Rank: 78

MGK

MGK Risk / Return Rank: 39
MGK Sharpe Ratio Rank: 44
MGK Sortino Ratio Rank: 42
MGK Omega Ratio Rank: 42
MGK Calmar Ratio Rank: 31
MGK 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.

VSMAX vs. MGK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Small-Cap Index Fund Admiral Shares (VSMAX) and Vanguard Mega Cap Growth ETF (MGK). 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.

	VSMAX	MGK	Difference
Sharpe ratio: Return per unit of total volatility	1.67	1.37	+0.30
Sortino ratio: Return per unit of downside risk	2.39	1.89	+0.50
Omega ratio: Gain probability vs. loss probability	1.29	1.24	+0.05
Calmar ratio: Return relative to maximum drawdown	3.11	1.37	+1.73
Martin ratio: Return relative to average drawdown	11.42	4.65	+6.77

VSMAX vs. MGK - Sharpe Ratio Comparison

The current VSMAX Sharpe Ratio is 1.67, which is comparable to the MGK Sharpe Ratio of 1.37. The chart below compares the historical Sharpe Ratios of VSMAX and MGK, 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

VSMAX vs. MGK - Drawdown Comparison

The maximum VSMAX drawdown since its inception was -59.68%, which is greater than MGK's maximum drawdown of -48.43%. Use the drawdown chart below to compare losses from any high point for VSMAX and MGK.

Drawdown Indicators

	VSMAX	MGK	Difference
Max Drawdown Largest peak-to-trough decline	-59.68%	-48.43%	-11.25%
Max Drawdown (1Y) Largest decline over 1 year	-8.97%	-16.85%	+7.88%
Max Drawdown (3Y) Largest decline over 3 years	-25.25%	-23.36%	-1.89%
Max Drawdown (5Y) Largest decline over 5 years	-28.14%	-36.01%	+7.87%
Max Drawdown (10Y) Largest decline over 10 years	-41.82%	-36.01%	-5.81%
Current Drawdown Current decline from peak	-0.32%	-5.63%	+5.31%
Average Drawdown Average peak-to-trough decline	-9.68%	-7.58%	-2.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.44%	4.97%	-2.53%

Volatility

VSMAX vs. MGK - Volatility Comparison

The current volatility for Vanguard Small-Cap Index Fund Admiral Shares (VSMAX) is 5.47%, while Vanguard Mega Cap Growth ETF (MGK) has a volatility of 5.96%. This indicates that VSMAX experiences smaller price fluctuations and is considered to be less risky than MGK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VSMAX	MGK	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.47%	5.96%	-0.49%
Volatility (6M) Calculated over the trailing 6-month period	12.32%	13.29%	-0.97%
Volatility (1Y) Calculated over the trailing 1-year period	16.69%	16.87%	-0.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.77%	22.72%	-1.95%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.59%	21.93%	-0.34%

VSMAX vs. MGK - Expense Ratio Comparison

Both VSMAX and MGK have an expense ratio of 0.05%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VSMAX vs. MGK - Dividend Comparison

VSMAX's dividend yield for the trailing twelve months is around 1.19%, more than MGK's 0.33% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MGK Vanguard Mega Cap Growth ETF	0.33%	0.35%	0.43%	0.50%	0.70%	0.41%	0.65%	0.85%	1.12%	1.23%	1.53%	1.43%
VSMAX Vanguard Small-Cap Index Fund Admiral Shares	1.19%	1.33%	1.30%	1.56%	1.54%	1.24%	1.14%	1.39%	1.67%	1.35%	1.49%	1.48%

Frequently Asked Questions

Can I hold both VSMAX and MGK in my portfolio?

VSMAX and MGK have a correlation of 0.58, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VSMAX or MGK?

MGK has higher volatility (5.96%) compared to VSMAX (5.47%). In terms of maximum drawdown, VSMAX dropped -59.68% vs MGK's -48.43%.

Which has better risk-adjusted returns?

VSMAX currently has the higher Sharpe Ratio (1.67 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.