VTCAX vs. VWUAX

Last updated Jun 23, 2026

VTCAX (Vanguard Communication Services Index Fund Admiral Shares) and VWUAX (Vanguard U.S. Growth Fund Admiral Shares) are both mutual funds - VTCAX is a Technology Equities fund managed by Vanguard, while VWUAX is a Large Cap Growth Equities fund actively managed by Vanguard. Over the past 10 years, VTCAX returned 8.70%/yr vs 16.10%/yr for VWUAX. A 0.76 correlation means they provide meaningful diversification when combined. VTCAX charges 0.10%/yr vs 0.25%/yr for VWUAX.

Performance

VTCAX vs. VWUAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Communication Services Index Fund Admiral Shares (VTCAX) and Vanguard U.S. Growth Fund Admiral Shares (VWUAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VTCAX achieves a -3.25% return, which is significantly lower than VWUAX's 1.49% return. Over the past 10 years, VTCAX has underperformed VWUAX with an annualized return of 8.70%, while VWUAX has yielded a comparatively higher 16.10% annualized return.

VTCAX

• 1D: 0.75%
• 1M: -4.40%
• YTD: -3.25%
• 6M: -2.91%
• 1Y: 16.54%
• 3Y*: 22.09%
• 5Y*: 7.17%
• 10Y*: 8.70%

VWUAX

• 1D: 1.64%
• 1M: -0.14%
• YTD: 1.49%
• 6M: 0.67%
• 1Y: 13.98%
• 3Y*: 19.91%
• 5Y*: 5.28%
• 10Y*: 16.10%

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

VTCAX vs. VWUAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VTCAX Vanguard Communication Services Index Fund Admiral Shares	-3.25%	26.28%	33.10%	44.73%	-38.78%	14.09%	28.95%	28.03%	-16.51%	-5.57%
VWUAX Vanguard U.S. Growth Fund Admiral Shares	1.49%	15.49%	31.79%	45.32%	-39.58%	2.43%	58.80%	48.42%	0.77%	31.26%

Correlation

The correlation between VTCAX and VWUAX is 0.73, 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	0.73
Correlation (3Y) Calculated over the trailing 3-year period	0.80
Correlation (5Y) Calculated over the trailing 5-year period	0.84
Correlation (10Y) Calculated over the trailing 10-year period	0.78
Correlation (All Time) Calculated using the full available price history since Sep 29, 2004	0.76

The correlation between VTCAX and VWUAX shifts across timeframes, from 0.73 (1 year) to 0.84 (5 years), reflecting how their relationship changes across market environments.

VTCAX vs. VWUAX - Sectors Allocation Comparison

Sectors	VTCAX	VWUAX
Communication Services	98.0%	16.2%
Technology	1.7%	45.1%
Consumer Cyclical	0.2%	12.4%
Real Estate	0.1%	1.3%
Industrials	0.0%	5.6%
Healthcare	0.0%	10.3%
Basic Materials	-	0.4%
Consumer Defensive	-	1.2%
Energy	-	-
Financial Services	-	5.5%
Utilities	-	0.5%

Return for Risk

VTCAX vs. VWUAX — Risk / Return Rank

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

VTCAX

VTCAX Risk / Return Rank: 14
VTCAX Sharpe Ratio Rank: 14
VTCAX Sortino Ratio Rank: 15
VTCAX Omega Ratio Rank: 13
VTCAX Calmar Ratio Rank: 13
VTCAX Martin Ratio Rank: 16

VWUAX

VWUAX Risk / Return Rank: 9
VWUAX Sharpe Ratio Rank: 10
VWUAX Sortino Ratio Rank: 10
VWUAX Omega Ratio Rank: 10
VWUAX Calmar Ratio Rank: 8
VWUAX Martin Ratio Rank: 8

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.

VTCAX vs. VWUAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Communication Services Index Fund Admiral Shares (VTCAX) and Vanguard U.S. Growth Fund Admiral Shares (VWUAX). 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.

	VTCAX	VWUAX	Difference
Sharpe ratio: Return per unit of total volatility	0.98	0.77	+0.21
Sortino ratio: Return per unit of downside risk	1.48	1.13	+0.35
Omega ratio: Gain probability vs. loss probability	1.18	1.14	+0.03
Calmar ratio: Return relative to maximum drawdown	1.13	0.70	+0.43
Martin ratio: Return relative to average drawdown	4.06	2.06	+2.00

VTCAX vs. VWUAX - Sharpe Ratio Comparison

The current VTCAX Sharpe Ratio is 0.98, which is comparable to the VWUAX Sharpe Ratio of 0.77. The chart below compares the historical Sharpe Ratios of VTCAX and VWUAX, 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

VTCAX vs. VWUAX - Drawdown Comparison

The maximum VTCAX drawdown since its inception was -57.11%, which is greater than VWUAX's maximum drawdown of -50.37%. Use the drawdown chart below to compare losses from any high point for VTCAX and VWUAX.

Drawdown Indicators

	VTCAX	VWUAX	Difference
Max Drawdown Largest peak-to-trough decline	-57.11%	-50.37%	-6.74%
Max Drawdown (1Y) Largest decline over 1 year	-13.56%	-19.12%	+5.56%
Max Drawdown (3Y) Largest decline over 3 years	-21.19%	-25.01%	+3.82%
Max Drawdown (5Y) Largest decline over 5 years	-46.58%	-50.17%	+3.59%
Max Drawdown (10Y) Largest decline over 10 years	-46.58%	-50.17%	+3.59%
Current Drawdown Current decline from peak	-6.53%	-3.91%	-2.62%
Average Drawdown Average peak-to-trough decline	-11.87%	-12.81%	+0.94%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.76%	6.50%	-2.74%

Volatility

VTCAX vs. VWUAX - Volatility Comparison

The current volatility for Vanguard Communication Services Index Fund Admiral Shares (VTCAX) is 5.07%, while Vanguard U.S. Growth Fund Admiral Shares (VWUAX) has a volatility of 6.62%. This indicates that VTCAX experiences smaller price fluctuations and is considered to be less risky than VWUAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VTCAX	VWUAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.07%	6.62%	-1.55%
Volatility (6M) Calculated over the trailing 6-month period	11.75%	13.70%	-1.95%
Volatility (1Y) Calculated over the trailing 1-year period	15.62%	17.45%	-1.83%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.30%	25.02%	-3.72%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.03%	23.77%	-2.74%

VTCAX vs. VWUAX - Expense Ratio Comparison

VTCAX has a 0.10% expense ratio, which is lower than VWUAX's 0.25% 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

VTCAX vs. VWUAX - Dividend Comparison

VTCAX's dividend yield for the trailing twelve months is around 1.01%, less than VWUAX's 9.36% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VTCAX Vanguard Communication Services Index Fund Admiral Shares	1.01%	0.95%	1.06%	1.04%	0.88%	1.20%	0.73%	0.89%	2.77%	3.84%	2.68%	3.55%
VWUAX Vanguard U.S. Growth Fund Admiral Shares	9.36%	9.50%	4.70%	0.37%	0.49%	3.60%	4.00%	13.28%	9.80%	4.63%	1.67%	9.10%

Frequently Asked Questions

Can I hold both VTCAX and VWUAX in my portfolio?

VTCAX and VWUAX have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VTCAX or VWUAX?

VWUAX has higher volatility (6.62%) compared to VTCAX (5.07%). In terms of maximum drawdown, VTCAX dropped -57.11% vs VWUAX's -50.37%.

Which has better risk-adjusted returns?

VTCAX currently has the higher Sharpe Ratio (0.98 vs 0.77), 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.