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VUG vs. FTEC

Vanguard Growth ETF

VUG
$--
vs

Fidelity MSCI Information Technology Index ETF

FTEC
$--

Correlation

0.97
VUGVanguard Growth ETF
FTECFidelity MSCI Information Technology Index ETF

What is VUG?

Seeks to track the performance of the CRSP U.S. Large Cap Growth Index. Provides a convenient way to match the performance of many of the nation s largest growth stocks. Follows a passively managed full-replication approach.

Snapshot
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VUG Vanguard Growth ETF
FTEC Fidelity MSCI Information Technology Index ETF
Inception date
Jan 26 2004
Oct 24 2013
Expense ratio
0.04%
0.08%
VUG has a lower expense ratio than FTEC by 0.04%. This can indicate that it’s cheaper to invest in VUG than FTEC.
Type
US Equities
US Equities
VUG targets investing in US Equities, while FTEC targets investing in US Equities.
Fund owner
Vanguard
Fidelity
VUG is managed by Vanguard, while FTEC is managed by Fidelity.
Volume (1m avg. daily)
$205,784,508
$25,275,556
Both VUG and FTEC are considered high-volume assets. They’re less likely to be affected by issues like slippage and failed orders on Composer than low-volume assets.
AUM
$89,278,316,853
$6,896,905,950
VUG has more assets under management than FTEC by $82,381,410,903. Higher AUM can be associated with better liquidity and lower slippage in trading.
Associated index
CRSP U.S. Large Cap Growth Index
MSCI USA IMI Information Technology 25/50 Index
VUG is based off of the CRSP U.S. Large Cap Growth Index, while FTEC is based off of the MSCI USA IMI Information Technology 25/50 Index
Inverse/Leveraged
No
No
VUG and FTEC use the same leverage ratio. Inverse and leveraged ETFs can be used to either take an opposite position or amplify returns of a given index.
Passive/Active
Passive
Passive
VUG and FTEC both use a Passive investing strategy. In an actively managed fund, the fund manager makes decisions about how funds are invested. A passively managed fund typically tries to track or follow a market index.
Dividend
No
No
VUG and FTEC may offer dividends. The frequency and yield of the dividend may not be the same.
Prospectus
Neither VUG nor FTEC require a K1.
VUG and FTEC’s Correlation
When ETFs are correlated, there are 3 main topics to analyze that will help you build your automated trading strategy: liquidity, expense, and risk.
  • Liquidity: In an active trading strategy (trading multiple time per week), it’s important to consider the liquidity of the ETF you’re using. Lower liquidity can mean more money lost in slippage. AUM and average daily volume are both indicators of liquidity.
  • Expense: Some ETFs are more expensive to use than others. For strategies that are focused on longer holding periods, it’s important to factor in how expensive it is to hold this ETF. Expense ratio is the main indicator of how expensive an ETF is.
  • Risk: Some ETFs will be highly correlated, but have varying degrees of returns, due to leverage. It’s important to consider if an ETF is using leverage or not. The main indicators of a riskier ETF will be the use of leverage and higher standard deviation or max drawdown in a backtest.

Automated Strategies
Related toVUG

#BTD

Buy the Dips: Nasdaq 100

Category

Featured, Technology Focus

Risk Rating

Aggressive

Automated Strategies
Related toFTEC

#BTD

Buy the Dips: Nasdaq 100

Category

Featured, Technology Focus

Risk Rating

Aggressive

Create your own algorithmic
trading strategy

Disclaimers

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We show information directly obtained from our data provider, Xignite. Data shown here is provided by Xignite, an unaffiliated third party. Composer believes the information shown here is reliable, but has not been verified and there is no guarantee that the information is accurate.

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We show information based on calculations performed by Composer using data from our provider. Information provided here is based on calculations performed by Composer using data sourced from Xignite, an unaffiliated third party. Composer believes this information is reliable, but has not verified the data and there is no guarantee that the calculations are accurate.