VTWG vs. MDY

Last updated Jun 4, 2026

VTWG (Vanguard Russell 2000 Growth ETF) and MDY (SPDR S&P MidCap 400 ETF) are both Small Cap Growth Equities funds - VTWG tracks the Russell 2000 Growth Index while MDY tracks the S&P MidCap 400 Index. Both are passively managed. Over the past 10 years, VTWG returned 11.33%/yr vs 11.04%/yr for MDY. Their correlation of 0.90 suggests significant overlap in exposure. VTWG charges 0.15%/yr vs 0.23%/yr for MDY.

Performance

VTWG vs. MDY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Russell 2000 Growth ETF (VTWG) and SPDR S&P MidCap 400 ETF (MDY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VTWG achieves a 16.90% return, which is significantly higher than MDY's 13.91% return. Both investments have delivered pretty close results over the past 10 years, with VTWG having a 11.33% annualized return and MDY not far behind at 11.04%.

VTWG

• 1D: -1.35%
• 1M: 4.49%
• YTD: 16.90%
• 6M: 15.29%
• 1Y: 37.62%
• 3Y*: 18.23%
• 5Y*: 5.70%
• 10Y*: 11.33%

MDY

• 1D: -0.09%
• 1M: 3.81%
• YTD: 13.91%
• 6M: 14.15%
• 1Y: 25.00%
• 3Y*: 15.77%
• 5Y*: 7.92%
• 10Y*: 11.04%

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

VTWG vs. MDY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VTWG Vanguard Russell 2000 Growth ETF	16.90%	13.07%	15.15%	18.90%	-26.49%	2.84%	34.72%	28.75%	-9.45%	22.27%
MDY SPDR S&P MidCap 400 ETF	13.91%	7.19%	13.64%	16.07%	-13.28%	24.53%	13.50%	25.78%	-11.29%	15.93%

Correlation

The correlation between VTWG and MDY is 0.87, 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	0.87
Correlation (3Y) Calculated over the trailing 3-year period	0.91
Correlation (5Y) Calculated over the trailing 5-year period	0.91
Correlation (10Y) Calculated over the trailing 10-year period	0.90
Correlation (All Time) Calculated using the full available price history since Sep 23, 2010	0.90

The correlation between VTWG and MDY has been stable across timeframes, ranging from 0.87 to 0.91 - a consistent structural relationship.

VTWG vs. MDY - Sectors Allocation Comparison

Sectors	VTWG	MDY
Technology	23.5%	15.4%
Industrials	23.1%	25.1%
Healthcare	22.4%	8.7%
Financial Services	8.2%	13.9%
Consumer Cyclical	7.7%	10.8%
Basic Materials	4.2%	4.8%
Energy	3.5%	5.6%
Consumer Defensive	2.6%	3.8%
Communication Services	2.2%	1.0%
Real Estate	2.1%	7.7%
Utilities	0.7%	3.1%

Return for Risk

VTWG vs. MDY — Risk / Return Rank

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

VTWG

VTWG Risk / Return Rank: 49
VTWG Sharpe Ratio Rank: 50
VTWG Sortino Ratio Rank: 49
VTWG Omega Ratio Rank: 45
VTWG Calmar Ratio Rank: 50
VTWG Martin Ratio Rank: 53

MDY

MDY Risk / Return Rank: 50
MDY Sharpe Ratio Rank: 46
MDY Sortino Ratio Rank: 46
MDY Omega Ratio Rank: 44
MDY Calmar Ratio Rank: 56
MDY Martin Ratio Rank: 58

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.

VTWG vs. MDY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Russell 2000 Growth ETF (VTWG) and SPDR S&P MidCap 400 ETF (MDY). 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.

	VTWG	MDY	Difference
Sharpe ratio: Return per unit of total volatility	1.76	1.63	+0.14
Sortino ratio: Return per unit of downside risk	2.44	2.39	+0.06
Omega ratio: Gain probability vs. loss probability	1.29	1.29	0.00
Calmar ratio: Return relative to maximum drawdown	2.54	2.85	-0.31
Martin ratio: Return relative to average drawdown	9.16	10.38	-1.21
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VTWG vs. MDY - Sharpe Ratio Comparison

The current VTWG Sharpe Ratio is 1.76, which is comparable to the MDY Sharpe Ratio of 1.63. The chart below compares the historical Sharpe Ratios of VTWG and MDY, 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

	VTWG	MDY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.76	1.63	+0.14
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.23	0.40	-0.17
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.47	0.52	-0.05
Sharpe Ratio (All Time) Calculated using the full available price history	0.52	0.53	-0.01

Drawdowns

VTWG vs. MDY - Drawdown Comparison

The maximum VTWG drawdown since its inception was -42.07%, smaller than the maximum MDY drawdown of -55.33%. Use the drawdown chart below to compare losses from any high point for VTWG and MDY.

Drawdown Indicators

	VTWG	MDY	Difference
Max Drawdown Largest peak-to-trough decline	-42.07%	-55.33%	+13.26%
Max Drawdown (1Y) Largest decline over 1 year	-14.88%	-8.82%	-6.06%
Max Drawdown (3Y) Largest decline over 3 years	-28.58%	-24.03%	-4.55%
Max Drawdown (5Y) Largest decline over 5 years	-40.49%	-24.03%	-16.46%
Max Drawdown (10Y) Largest decline over 10 years	-42.07%	-42.22%	+0.15%
Current Drawdown Current decline from peak	-1.39%	-0.09%	-1.30%
Average Drawdown Average peak-to-trough decline	-10.53%	-7.03%	-3.50%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.12%	2.42%	+1.70%

Volatility

VTWG vs. MDY - Volatility Comparison

Vanguard Russell 2000 Growth ETF (VTWG) has a higher volatility of 6.62% compared to SPDR S&P MidCap 400 ETF (MDY) at 4.33%. This indicates that VTWG's price experiences larger fluctuations and is considered to be riskier than MDY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VTWG	MDY	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.62%	4.33%	+2.29%
Volatility (6M) Calculated over the trailing 6-month period	15.90%	11.28%	+4.62%
Volatility (1Y) Calculated over the trailing 1-year period	21.50%	15.48%	+6.02%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.52%	19.77%	+4.75%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.21%	21.19%	+3.02%

VTWG vs. MDY - Expense Ratio Comparison

VTWG has a 0.15% expense ratio, which is lower than MDY's 0.23% 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

VTWG vs. MDY - Dividend Comparison

VTWG's dividend yield for the trailing twelve months is around 0.59%, less than MDY's 1.04% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MDY SPDR S&P MidCap 400 ETF	1.04%	1.15%	1.18%	1.21%	1.37%	0.96%	1.12%	1.34%	1.39%	1.18%	1.31%	1.35%
VTWG Vanguard Russell 2000 Growth ETF	0.59%	0.64%	0.55%	0.79%	0.71%	0.54%	0.48%	0.72%	0.72%	0.64%	0.96%	0.72%

Frequently Asked Questions

Can I hold both VTWG and MDY in my portfolio?

VTWG and MDY have a correlation of 0.87, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VTWG or MDY?

VTWG has higher volatility (6.62%) compared to MDY (4.33%). In terms of maximum drawdown, VTWG dropped -42.07% vs MDY's -55.33%.

Which ETF is better, VTWG or MDY?

On 10-year performance, VTWG leads with 11.33% vs 11.04% for MDY. On fees, VTWG is cheaper at 0.15% per year. On volatility, MDY has been the lower-risk option at 4.33%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VTWG or MDY?

Over the 10-year period, VTWG has performed better with a 11.33% return vs 11.04%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VTWG or MDY?

VTWG is cheaper with a 0.15% expense ratio, compared with 0.23% for MDY.

Which ETF pays a higher dividend yield, VTWG or MDY?

MDY has the higher dividend yield at 1.04%, compared with 0.59% for VTWG.

What is the main difference between VTWG and MDY?

VTWG tracks Russell 2000 Growth Index, while MDY tracks S&P MidCap 400 Index. They also come from different issuers: Vanguard and State Street. Their fees differ too: 0.15% for VTWG and 0.23% for MDY.

Which has better risk-adjusted returns?

VTWG currently has the higher Sharpe Ratio (1.76 vs 1.63), 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.