Dividend comparison
VHT vs XLV: Which Is Better?
Fees, yield, total returns, drawdowns, holdings overlap and dividend history for Vanguard Health Care ETF and State Street Health Care Select Sector SPDR ETF, side by side. Updated October 21, 2026.
VHT vs XLV: key differences
The short answer, from the latest data on this page.
- Fees. XLV is cheaper at 0.08% a year versus 0.09% for VHT. On $10,000 that is $1 a year less in fees.
- Income. Their trailing yields are almost the same: 1.38% for VHT and 1.42% for XLV. Both pay annual.
- Performance. Over the last 5 years, XLV returned 46.9% versus 39.7% for VHT, with dividends reinvested. $10,000 would have grown to $14,689 in XLV and $13,975 in VHT.
- Risk. Their worst declines over the last 5 years were similar: -17.7% for VHT and -17.1% for XLV from peak to trough.
- Diversification. VHT holds 411 positions and XLV holds 61. The ten largest positions make up 51.8% of VHT and 60.3% of XLV.
- Overlap. 85% of the two portfolios overlap by weight, across 59 shared holdings. Owning both adds little diversification.
- Dividend growth. VHT grew its yearly payout 11.1% a year over the last 4 years, versus 7.2% for XLV.
- Size. XLV is the larger fund with $46.1 billion in assets, against $21.8 billion for VHT.
Bottom line: VHT fits better if you care most about faster dividend growth and broader diversification. XLV fits better if you care most about stronger 5-year returns. With 85% overlap, most investors would hold one or the other rather than both.
Side-by-side snapshot
Trailing twelve-month figures where available. Higher yield is highlighted — not a buy recommendation.
| Metric | VHT Vanguard Health Care ETF | XLV State Street Health Care Select Sector SPDR ETF |
|---|---|---|
| Dividend yield (TTM) | 1.38% | 1.42% |
| Dividend / share (TTM) | $4.61 | $2.55 |
| Payout frequency | Annual | Annual |
| Last dividend | $0.9685 on Sep 25, 2026 | $0.6422 on Sep 23, 2026 |
| Ex-dividend date | Sep 23, 2026 | Sep 21, 2026 |
| Dividend growth (CAGR) | 11.1% over 4 yrs | 7.2% over 4 yrs |
| Price | $333.60 | $179.82 |
| Dividend growth streak | 5 years | 5 years |
| Beta | 0.59 | 0.56 |
| Max drawdown (5Y) | -17.7% | -17.1% |
| Market cap | $21.81B | $45.90B |
| Exchange | AMEX | AMEX |
| Expense ratio | 0.09% | 0.08% |
| Assets under management | $21.80B | $46.07B |
| Number of holdings | 411 | 61 |
| Top 10 concentration | 51.8% | 60.3% |
Income on a $10,000 investment
Illustrative only — assumes current TTM yield stays constant. Actual distributions change.
VHT
$11.53/mo
$138 /yr at 1.38% yield
XLV
$11.82/mo
$142 /yr at 1.42% yield
Dividend history
Total dividends paid per share in each calendar year. VHT pays annual; XLV pays annual.
| Year | VHT | XLV |
|---|---|---|
| 2025 | $4.6434 | $2.4766 |
| 2024 | $3.8699 | $2.2943 |
| 2023 | $3.4081 | $2.1688 |
| 2022 | $3.2959 | $1.9925 |
| 2021 | $3.0446 | $1.8729 |
Strategy: Sector and thematic
Funds that hold a single industry or theme, such as technology, semiconductors, healthcare or energy. Funds covering the same sector can still differ in concentration rules: some cap the largest positions while others let the biggest companies take a quarter of the fund. Sector funds are usually used to tilt a portfolio rather than as its core.
A single sector can fall far further than the broad market and stay down for years, and the largest names often dominate the fund.
Performance
Total returns with dividends reinvested, from the adjusted closing price series. $10,000 invested on Oct 20, 2021 would now be worth $13,975 in VHT and $14,689 in XLV.
| Period | VHT | XLV |
|---|---|---|
| 1 month | 5.62% | 6.79% |
| 3 months | 10.01% | 11.63% |
| Year to date | 15.89% | 16.16% |
| 1 year | 23.25% | 24.19% |
| 3 years | 48.06% | 45.19% |
| 5 years | 39.75% | 46.89% |
- VHT
- XLV
Both series indexed to 100 on 2021-10-20 using the adjusted closing price series. Past performance does not guarantee future results.
Sector allocation
Weight of each sector within the fund. Sectors are aligned on the same row so the two funds can be read against each other directly.
- VHT
- XLV
VHT vs XLV holdings overlap
85% overlap by weight, with 59 holdings in common. Overlap adds up the smaller of the two weights for every stock both funds own, so 100% would mean identical portfolios.
| Largest shared holdings | VHT weight | XLV weight |
|---|---|---|
| LLYEli Lilly & Co | 12.93% | 15.57% |
| JNJJohnson & Johnson | 8.78% | 9.60% |
| ABBVAbbVie Inc | 6.45% | 7.84% |
| MRKMerck & Co Inc | 5.01% | 5.56% |
| UNHUnitedHealth Group Inc | 4.65% | 5.73% |
| TMOThermo Fisher Scientific Inc | 3.50% | 3.94% |
| AMGNAmgen Inc | 3.18% | 3.60% |
| GILDGilead Sciences Inc | 2.58% | 2.98% |
| ABTAbbott Laboratories | 2.40% | 2.82% |
| PFEPfizer Inc | 2.27% | 2.63% |
Top 10 holdings
Largest positions by portfolio weight.
VHT411 holdings total
Quick verdict
VHT fits better if you care most about faster dividend growth and broader diversification. XLV fits better if you care most about stronger 5-year returns. With 85% overlap, most investors would hold one or the other rather than both. Model the holding inside your real portfolio before deciding.
Still deciding? Compare them in your portfolio
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Frequently asked questions
Is VHT or XLV better for dividend income?
It depends on your goals. VHT currently yields 1.38% Trailing Twelve Months (TTM) while XLV yields 1.42%. Higher yield means more current income per dollar invested, but may come with different risk, growth, or NAV characteristics. Compare total return and payout sustainability — not just the headline yield.
What is the difference between VHT and XLV?
Vanguard Health Care ETF (VHT) is an ETF listed on AMEX. State Street Health Care Select Sector SPDR ETF (XLV) is an ETF listed on AMEX. Side-by-side metrics on this page cover yield, fees, returns, drawdowns, holdings overlap and dividend history when available.
Which is cheaper, VHT or XLV?
XLV has the lower expense ratio. VHT charges 0.09% a year and XLV charges 0.08%, a difference of $1 a year on a $10,000 investment.
Which has performed better, VHT or XLV?
Over the last 5 years, XLV has the higher total return with dividends reinvested: VHT returned 39.7% and XLV returned 46.9%. Past performance does not predict future returns.
Which is riskier, VHT or XLV?
Measured by the worst peak-to-trough decline over the last five years, VHT has been riskier: VHT fell as much as 17.7% and XLV as much as 17.1%. Their betas are 0.59 and 0.56.
How much do VHT and XLV overlap?
About 85% of the two portfolios overlap by weight, across 59 shared holdings. The largest shared positions are LLY, JNJ, ABBV. Holding both adds little diversification.
How often do VHT and XLV pay dividends?
Both pay annual. The most recent payments were $0.9685 for VHT and $0.6422 for XLV.
How much income does $10,000 in VHT vs XLV generate?
At current TTM yields, $10,000 in VHT would generate roughly $11.53 per month ($138 annually). The same amount in XLV would produce about $11.82 per month ($142 annually). Actual payouts vary with distribution changes and reinvestment.
Can I hold both VHT and XLV?
Yes. Many income investors hold both to diversify strategy or index exposure. Whether the combination actually diversifies depends on overlapping holdings and factor exposure. Model both inside Dividend Wealth to see combined income, sector mix, and forecast impact.
Where can I compare VHT vs XLV with my full portfolio?
Create a free Dividend Wealth account to import or enter holdings, forecast dividend income, and see how VHT and XLV fit alongside the rest of your portfolio. A 14-day free trial of Standard is available with no credit card required; a limited Free plan is also available.
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For informational and educational purposes only. Not investment advice. Past performance and current yields do not guarantee future results. Verify figures independently before making investment decisions.