State Street’s XLV charges 0.08% vs Vanguard’s VHT at 0.09%, with XLV focused on large-caps and VHT offering broader sector exposure.
The State Street Health Care Select Sector SPDR ETF (XLV) and Vanguard Health Care ETF (VHT) target the healthcare sector but differ in structure and risk. XLV holds 65 large-cap stocks, while VHT includes 423 holdings, spanning small- to mid-cap firms, reducing concentration risk but increasing volatility exposure.
Both funds carry a 1.5% dividend yield, but XLV’s expense ratio is 0.08%, undercutting VHT’s 0.09%. VHT’s top holdings include Eli Lilly (LLY) at 14.2% and Johnson & Johnson (JNJ) at 8.9%, while XLV’s portfolio skews toward blue-chip giants with narrower diversification.
Beta metrics, calculated over five years, indicate XLV’s volatility aligns more closely with the S&P 500, while VHT’s broader holdings may introduce higher risk. Cost and market-cap exposure remain key differentiators for investors weighing the two funds.