🤝 BFF Take
Both Excellent — SCHG Is More Concentrated, VUG Slightly Broader
SCHG (Schwab US Large-Cap Growth ETF) and VUG (Vanguard Growth ETF) both charge 0.04% and target US large-cap growth stocks. SCHG holds about 230 stocks from the Dow Jones US Large-Cap Growth Total Stock Market Index, while VUG also holds about 200-230 stocks from the CRSP US Large Cap Growth Index. Top holdings overlap heavily — Apple, Microsoft, Nvidia, Amazon, and Meta dominate both. The key difference: SCHG tends to be slightly more concentrated in the very largest growth names, while VUG is nearly identical in practice. Both are superior to QQQ (0.20%) for pure growth exposure with a lower fee.
📋 Quick Takeaways
🔄Both charge 0.04% and hold large-cap US growth stocks — functionally very similar
📊SCHG tracks Dow Jones US Large-Cap Growth; VUG tracks CRSP US Large Cap Growth — slight methodology differences
🏦VUG has significantly more AUM ($135B vs $35B) — marginally better liquidity for large trades
📊 Data-Based Take: SCHG has the lower fee
Whether the lower-cost fund suits your situation depends on your existing holdings, account type, tax situation, and how you use each fund. This is a cost comparison, not a personalized recommendation.
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Reviewed by a CFA® Charterholder · Data updated Jun 2026 · Educational only, not financial advice
SCHG
Schwab US Large-Cap Growth ETF
📋 SCHG vs VUG — Key Facts Side by Side
| Metric |
SCHG |
VUG |
| Fund Name |
Schwab US Large-Cap Growth ETF |
Vanguard Growth ETF |
| Issuer |
Schwab |
Vanguard |
| Tracks Index |
Dow Jones US Large-Cap Growth |
CRSP US Large Cap Growth |
| Expense Ratio |
0.04% |
0.04% |
| Cost per $10K/yr |
$4.00 |
$4.00 |
| AUM |
$35B |
$135B |
| Holdings |
230 |
225 |
| Inception |
2009 |
2004 |
| 1-Year Return |
+24.80% |
+24.20% |
| 3-Year Return |
+13.50% |
+13.20% |
| 5-Year Return |
+19.20% |
+18.90% |
| Avg Bid-Ask Spread |
0.01% |
0.00% |
Data from ETF BFF database. Returns are annualised. Not investment advice.
📊 SCHG vs VUG — Annualised Returns
Annualised returns (trailing, price-based). Past performance does not guarantee future results.
🎯 Should You Buy SCHG or VUG?
Choose if...
SCHG
- You want tech-heavy large-cap growth exposure via Dow Jones US Large-Cap Growth
- You already use Schwab and prefer staying within their fund family
Choose if...
VUG
- You want tech-heavy large-cap growth exposure via CRSP US Large Cap Growth
- You already use Vanguard and prefer staying within their fund family
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❓ SCHG vs VUG — Frequently Asked Questions
What is the difference between SCHG and VUG?
SCHG and VUG are both low-cost large-cap US growth ETFs with the same 0.04% expense ratio. The main differences are the underlying index (SCHG uses Dow Jones US Large-Cap Growth; VUG uses CRSP US Large Cap Growth) and fund size (VUG has ~$135B vs SCHG's ~$35B). Both hold mega-cap growth names like Apple, Microsoft, and Nvidia as their top weights. Performance is very similar — choose based on your brokerage.
Is SCHG better than QQQ?
For a long-term buy-and-hold investor, SCHG (and VUG) are worth considering over QQQ because they charge 0.04% vs QQQ's 0.20% — that's 16 basis points in annual savings. The tradeoff: SCHG tracks US large-cap growth broadly, while QQQ specifically tracks the Nasdaq-100, which is more concentrated in tech. SCHG includes more non-tech growth names; QQQ has higher tech concentration. SCHG's lower fee gives it a structural edge for long-term holders.
Which growth ETF has better 10-year performance?
SCHG and VUG have produced very similar 10-year returns — both close to QQQ and driven by the same mega-cap tech stocks. Minor differences reflect index methodology rather than manager skill. Both have significantly outperformed the S&P 500 over the past decade, driven by the dominance of technology and growth names in the US market.
Should I add SCHG or VUG to a portfolio that already has VOO?
If you add SCHG or VUG alongside VOO, you're intentionally tilting your portfolio toward growth stocks. This overweights the names already in VOO's growth sleeve. It's a deliberate bet on growth outperformance — not inherently wrong, but worth understanding you're moving away from neutral market exposure. A simpler alternative is just holding VOO or VTI, which already have substantial growth exposure.
Do SCHG and VUG pay dividends?
Yes, but growth ETFs tend to pay lower dividend yields than the broad market because growth-oriented companies typically reinvest earnings rather than distribute them as dividends. SCHG and VUG dividend yields are typically around 0.4% to 0.7% — much lower than value or dividend ETFs, but their total return focus relies on share price appreciation.
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ℹ️ Data shown is for educational purposes and may not reflect the most current figures. Returns are trailing price-based and exclude dividend reinvestment. Past performance does not guarantee future results. ETF BFF is not a licensed financial advisor — this is not personalized financial advice.