VGT vs XLK ETF Comparison
Compare VGT and XLK across fund costs, diversification, holdings, performance, income, risk and current AlgovestIQ evidence.
What is the main difference between VGT and XLK?
VGT is Vanguard Information Technology ETF, while XLK is State Street Technology Select Sector SPDR ETF. VGT is tied to Sector Equity; XLK is tied to Equity. VGT is broader by holdings count, with 319 positions versus 74 for XLK. VGT is more concentrated at the top, based on top-10 holdings weight.
| Metric | VGT | XLK | Type |
|---|---|---|---|
| Expense ratio | 0.09% | 0.08% | Fund |
| Holdings | 319 | 74 | Fund |
| Top-10 concentration | 101.9% | 99.8% | Fund |
| Underlying exposure | Sector Equity | Equity | Fund |
| Annualized volatility | 20.7% | 26.4% | Risk |
| Max drawdown | -11.6% | -16.1% | Risk |
| Beta | 1.66 | 1.75 | Risk |
| Sharpe ratio | 0.38 | 1.26 | Risk |
| Sortino ratio | 0.54 | 1.96 | Risk |
| AIQ Score | 53/100 | 56/100 | AlgovestIQ |
| AIQ Edge Score | 6/10 | 7/10 | AlgovestIQ |
| Momentum | - | 54/100 | AlgovestIQ |
| Risk Resilience | 65/100 | 60/100 | AlgovestIQ |
AlgovestIQ AIQ Comparison
Vanguard Information Technology ETF vs State Street Technology Select Sector SPDR ETF
XLK leads
XLK leads by 3 AIQ points, primarily on Value.
Fragile: 1 of 3 evidence groups support XLK, and its current signal state is conflicted.
Vanguard Information Technology ETF
State Street Technology Select Sector SPDR ETF
The Algovestiq AIQ Score currently favors XLK over VGT, 56 versus 53 as of Sep 2, 2026. XLK's advantage is driven primarily by stronger value, while VGT holds the stronger risk resilience profile. 1 of 3 covered evidence groups favor XLK today, and the comparison is rated Fragile on stability: the AIQ gap is narrow at 3 points.
Compare Vanguard Information Technology ETF and State Street Technology Select Sector SPDR ETF across performance, expense ratio, dividend yield, drawdown, volatility and the Algovestiq AIQ Score.
AIQ Factor Divergence
Where the two separate, on the four dimensions behind the AIQ Score. Bars read outward from a shared zero: further from the centre is a wider gap.
- Value30%28 vs 36XLK +8
- Risk Resilience15%65 vs 60VGT +5
- Quality30%71 vs 74Even
1 of 3 evidence groups favor XLK. XLK’s edge is concentrated in value; VGT keeps a meaningful risk resilience edge.
What changed since the last close
Latest scored session 2026-09-02, compared against the prior scored session 2026-09-01.
No factor moved materially.
No new signals fired.
Deeper signal detail for each name lives on its own signals page — VGT and XLK both carry a full feed there.
The central trade-off
XLK (State Street Technology Select Sector SPDR ETF): the stronger current systematic profile, led by value.
VGT (Vanguard Information Technology ETF): the counter-case, on risk resilience.
Which one fits your objective
The same two names rank differently depending on what you are optimizing for. All six reads are shown at once — none of them is hidden behind a toggle.
Balanced
XLKXLK on the overall AIQ Score, which weights Quality and Value at 30% each.
Growth
EvenGrowth figures are not covered for both names.
Value
XLKXLK on the peer-relative Value factor, by 8 points.
Momentum
EvenThe two are level on Momentum.
Lower downside
VGTVGT on Risk Resilience, by 5 points.
Analyst upside
EvenAnalyst targets are level or not covered for both names.
Fund facts, side by side
Two funds tracking overlapping universes are separated by cost and risk far more than by holdings. Those lead here.
| Measure | VGT | XLK | Why it matters |
|---|---|---|---|
| Expense ratio | 0.09% | 0.08% | Lower is better — it compounds against you every year you hold. |
| Assets under management | $160.2B | $121.4B | Larger funds generally carry tighter spreads. |
| Holdings | 310 | 73 | More holdings means broader diversification, not better returns. |
| Average volume | 756,706 | 6,005,380 | Liquidity — matters most if you trade size. |
| Annualized volatility | 20.7% | 26.4% | Lower is a steadier ride for the same exposure. |
| Max drawdown | -11.6% | -16.1% | The worst peak-to-trough loss on record for the fund. |
| Sharpe ratio | 0.38 | 1.26 | Return per unit of risk. Higher is better. |
| Beta | 1.66 | 1.75 | Sensitivity to the broad market. Neither direction is better — it depends on the role in your portfolio. |
Where the exposure actually sits
VGT and XLK share 129.26% of their weighted exposure across 73 common holdings.
VGT is the more concentrated of the two: its ten largest positions are 101.9% of the fund, against 99.82% for XLK (319 holdings vs 74). Concentration cuts both ways — it is what drives outperformance when the top names work, and what makes the drawdown deeper when they do not.
246 holdings are unique to VGT and 1 to XLK. Owning both adds little diversification — they are largely the same exposure in different wrappers.
Largest shared positions
| Holding | VGT | XLK | Shared |
|---|---|---|---|
| AAPLApple Inc | 32.51% | 25.02% | 25.02% |
| MSFTMicrosoft Corp | 21.93% | 20.26% | 20.26% |
| NVDANVIDIA CORP | 17.16% | 14.37% | 14.37% |
| MUMicron Technology Inc | 7.64% | 8% | 7.64% |
| AMDAdvanced Micro Devices Inc | 6.35% | 7.86% | 6.35% |
| AVGOBROADCOM INC | 4.21% | 4.71% | 4.21% |
| AMATApplied Materials Inc | 3.38% | 4.77% | 3.38% |
| INTCIntel Corp | 3.31% | 5.8% | 3.31% |
Shared weight is the lower of the two positions — the portion of capital both funds genuinely have in the same security.
ETF comparison questions
Short answers to the fund-specific questions behind this comparison.
Which ETF is more diversified, VGT or XLK?
VGT currently has more reported holdings, with 319 positions versus 74.
Which has the lower expense ratio?
XLK has the lower reported expense ratio in the current fund profile.
Which ETF has the higher distribution yield?
The current dataset does not show a higher-yield winner.
Which ETF has been more volatile?
XLK has the higher annualized volatility in the current risk snapshot.
Which ETF has had the smaller drawdown?
VGT has the less severe max drawdown in the current risk snapshot.
Which ETF has the stronger current AlgovestIQ evidence?
XLK currently leads on supporting AlgovestIQ evidence, 56 to 53.
AIQ Agreement Matrix
1 of 3 covered evidence groups favor XLK. A wide gap backed by one group is a weaker case than a narrow gap backed by five.
| Evidence group | Favors | Reading |
|---|---|---|
| AIQ Score | Even | 53 vs 56 |
| Fundamentals | Not covered | Not covered |
| Valuation | XLK | Value 28 vs 36 |
| Technicals | Not covered | Not covered |
| Risk Resilience | VGT | Risk Resilience 65 vs 60 |
| Analyst expectations | Not covered | Not covered |
✓ agrees with the overall verdict · ✕ points the other way. Groups marked “not covered” lack data on one or both of VGT and XLK and are excluded from the count.
AIQ Decision Stability
The conclusion is sensitive to small changes. Treat the lead as provisional and watch the flip conditions below.
- The AIQ gap is narrow at 3 points. (argues the conclusion is provisional)
- Only 1 of 3 covered evidence groups agree. (argues the conclusion is provisional)
- The leader is throwing conflicting signals. (argues the conclusion is provisional)
Stability combines the score gap, how broadly the evidence agrees, how steady the lead has been across daily snapshots, the current signal state on both names, and analyst dispersion on XLK.
AIQ Signal Divergence
Only the signals that bear on the head-to-head. A conflicted name is carrying bullish and bearish rules at the same time — the technical evidence is not pointing one way.
No active signals
3 bullish / 1 bearish, conflicted
- Golden Cross Active — bullish, trend, long horizon (14.27%)
- EMA Ribbon Expansion Bullish — bullish, trend, medium horizon
- Uptrend Structure Active — bullish, trend, long horizon
XLK leads the comparison while carrying a conflicted signal state, which is one reason the stability rating is not higher.
What would flip this result
A state, not a forecast. These are the specific, observable changes that would reverse the verdict — not a price prediction.
- 1VGT closes the Value gap — currently 8 points behind, the largest single contributor to XLK's edge.
- 2VGT generates a confirmed bullish trend signal it does not currently carry, such as Golden Cross Active or MACD Bullish Crossover.
- 3XLK's conflicting signal state resolves bearish — it currently carries 3 bullish and 1 bearish rules at once.
- 4A regime shift changes factor weighting — the composite weights Quality and Value at 30% each, so a rotation toward either would move the result most.
The full evidence
Every number behind the verdict. The leader is called above each group so you are not left to solve it from the table.
Technicals
Split| Metric | VGT | XLK |
|---|---|---|
| RSI (14) | — | 40.9 |
| ADX (14) | — | 12.3 |
| Price vs 50-day | — | 0.6% |
| Price vs 200-day | — | 15% |
| Volatility (1M, annualized) | — | 21% |
Risk
VGT is the more resilient| Metric | VGT | XLK |
|---|---|---|
| Beta | 1.66 | 1.75 |
| Sharpe ratio | 0.38 | 1.26 |
| Sortino ratio | 0.54 | 1.96 |
| Max drawdown | -11.6% | -16.1% |
| Current drawdown | -8.3% | -7.3% |
| Annualized volatility | 20.7% | 26.4% |
| Value at risk (95%) | -2.3% | -2.6% |
Straight answers
Each answer is regenerated from the current snapshot, not written once and left to age.
Which is better, VGT or XLK?
On the Algovestiq AIQ Score, XLK is the stronger of the two as of Sep 2, 2026, scoring 56 against VGT's 53. The edge comes from value. VGT is not without a case — it holds the better risk resilience profile, which matters more if that is the objective you are optimizing for. This is a systematic score, not a recommendation: it ranks the two on the same evidence, it does not know your holding period or tax position.
Is VGT or XLK the better buy right now?
XLK carries the stronger systematic profile as of Sep 2, 2026, and the comparison is rated Fragile — 1 of 3 covered evidence groups agree. A Fragile rating means the conclusion is sensitive: the AIQ gap is narrow at 3 points. Treat the lead as provisional.
Why does the AIQ Score favor XLK over VGT?
The composite weights Quality at 30%, Value at 30%, Momentum at 25% and Risk Resilience at 15%. XLK leads Value by 8 points; VGT leads Risk Resilience by 5 points. Where the two split, the factor with the larger weight carries the result.
Which is better value, VGT or XLK?
XLK is the better-valued of the two on the peer-relative Value factor. XLK on the peer-relative Value factor, by 8 points. The Value factor reads valuation relative to sector peers and to the company's own fundamental quality, so it is not the same as simply having the lower multiple.
Which has stronger growth, VGT or XLK?
Growth figures are not covered for both names. Growth here is measured on reported revenue and earnings, not on forward estimates — it describes what the businesses have delivered, not what the Street expects next.
Which has stronger momentum, VGT or XLK?
The two are level on Momentum. Momentum carries 25% of the AIQ composite. It has documented persistence over three- to twelve-month horizons, which makes it a timing input rather than a reason to hold something indefinitely.
Which is riskier, VGT or XLK?
VGT is the more resilient of the two, so the other name carries the higher downside risk. VGT on Risk Resilience, by 5 points. The Risk Resilience factor weights 15% of the composite; position sizing usually responds to it more usefully than the buy/avoid decision does.
Is VGT more profitable than XLK?
Margin data is not comparable for both names in the current snapshot.
What would change the VGT vs XLK verdict?
The result is a state, not a forecast, so it changes when the underlying evidence changes. Concretely: VGT closes the Value gap — currently 8 points behind, the largest single contributor to XLK's edge; VGT generates a confirmed bullish trend signal it does not currently carry, such as Golden Cross Active or MACD Bullish Crossover; XLK's conflicting signal state resolves bearish — it currently carries 3 bullish and 1 bearish rules at once; a regime shift changes factor weighting — the composite weights Quality and Value at 30% each, so a rotation toward either would move the result most.
What do the current signals say about VGT and XLK?
VGT: No active signals. XLK: 3 bullish / 1 bearish, conflicted. A conflicted state means bullish and bearish rules are active on the same name at once — the technical evidence is not pointing one way, and a decision taken on it carries more timing risk. On XLK it is Golden Cross Active (bullish, long horizon).
Compare VGT and XLK with others
How this comparison is scored
The Algovestiq AIQ Score composites four factors — Quality (30%), Value (30%), Momentum (25%) and Risk (15%). Sentiment is reported separately as SentimentPulse and is not folded into the composite. Scores refresh every trading day, and this page regenerates from the latest snapshot rather than being written once.
The verdict names a leader, states how broadly six independent evidence groups agree, and rates how durable that conclusion is given the score gap, its recent trajectory and the current signal state on both names.
How to use side-by-side comparison →This comparison is informational and educational, not investment advice. AIQ scores update daily; re-check after earnings, guidance or macro data that materially changes either name’s factor profile.