Vanguard Health Care ETF Outperforms VanEck Biotech on Returns, Yield, and Fees
VHT's diversified portfolio of 411 holdings delivered $1,278 from a $1,000 investment over five years, while its lower expense ratio and higher dividend yield appeal to income investors.
Overview
VanEck Biotech ETF (NASDAQ:BBH) offers concentrated exposure to the biotech industry, whereas Vanguard Health Care ETF (NYSEMKT:VHT) provides broad, low-cost diversification across the entire healthcare sector.
Investors looking to capitalize on medical breakthroughs often choose between a narrow biotechnology focus or broad healthcare exposure. This comparison analyzes how a concentrated sector play differs from a diversified industry-wide approach in terms of cost, volatility, and long-term results.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.