Data as of Oct 28, 2026.

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VNQ vs VTWO: Differences, Returns & Fees

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Over the year to Oct 28, 2026, VNQ returned +4.8% to VTWO's +14.3%; 5% of their weight is in the same names.

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Net assets on Sep 30, 2026: $35.9bn for Vanguard Real Estate ETF and $16.6bn for Vanguard Russell 2000 ETF.

At a glance
+4.8%
VNQ total return, 1 year
+14.3%
VTWO total return, 1 year
0.13%
VNQ expense ratio
0.06%
VTWO expense ratio

Pair scorecard

VTWO costs 0.07 points a year less; their one-year returns differ by 9.5 points; VNQ is 2.2 times larger.

VNQ vs VTWO: Differences, Returns & Fees
MeasureVNQVTWO
Return
Total return, 1 year+4.8%+14.3%
Drawdown
Below its high8.3%, high on Jul 28, 20267.5%, high on Aug 14, 2026
Benchmark
What it tracksMSCI US Investable Market Real Estate 25/50 IndexRussell 2000 Index
Cost and size
Expense ratio0.13%0.06%
Net assets, as of Sep 30, 2026$35.9bn$16.6bn
Holdings
Holdings in common5%
Top ten holdings, share of the fund55.8%5.4%

Holdings in common uses holdings dated Sep 30, 2026. Method

What they share

5%

By the books each fund has filed, VNQ and VTWO hold 5% of their money in the same securities at the same weight. Holdings dated Sep 30, 2026.

0 half 100%

half

5% in common

Positions both hold · largest shared weight first VNQ VTWO
CareTrust REIT Inc 0.49% 0.29%
Ryman Hospitality Properties Inc 0.41% 0.27%
Terreno Realty Corp 0.39% 0.23%
Compass Inc 0.35% 0.21%
Macerich Co 0.36% 0.21%
Essential Properties Realty Trust Inc 0.32% 0.19%
Sabra Health Care REIT Inc 0.28% 0.17%
Kite Realty Group Trust 0.28% 0.16%
Phillips Edison & Co Inc 0.27% 0.16%
Outfront Media Inc 0.26% 0.15%
Tanger Inc 0.22% 0.13%
COPT Defense Properties 0.21% 0.13%
Only in one fund ↓
Only in VNQ
Vanguard Real Estate II Index Fund 14.51%
Welltower Inc 9.12%
Prologis Inc 6.86%
Equinix Inc 5.65%
American Tower Corp 4.32%
Simon Property Group Inc 3.69%
Digital Realty Trust Inc 3.68%
Realty Income Corp 2.85%
Only in VTWO
SLBBH1142 2.36%
Twist Bioscience Corp 0.42%
Moog Inc 0.36%
10X Genomics Inc 0.35%
JFrog Ltd 0.35%
UMB Financial Corp 0.32%
BrightSpring Health Services Inc 0.31%
Glaukos Corp 0.31%
Check overlap with more funds →

Side by side

VNQ Vanguard Real Estate ETF VTWO Vanguard Russell 2000 ETF
Where it sits Stock ETF Stock ETF
What it is Tracks an index of US real estate Tracks the Russell 2000
Total return, 1 year +4.8% +14.3%
Its benchmark over the same days not measured +14.1% (IWM)
Gap to its benchmark not measured +0.2 pts vs IWM
Expense ratio 0.13% 0.06%
Already in the S&P 500 62.8% 0.5%
Holdings 141 2002
Net assets, as of Sep 30, 2026 $35.9bn $16.6bn

VNQ and VTWO on the fields both publish, as of Oct 28, 2026. Source: ETFIQ.

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About each fund
VNQ

VNQ tracks an index of US real estate. Over the year to Oct 28, 2026 it returned +4.8% with distributions reinvested. The prospectus expense ratio is 0.13% a year. By its holdings published by its issuer as of Sep 30, 2026, 63% of the fund by weight is stocks the S&P 500 also holds, across 141 positions, with the top ten at 55.8%. It sat 8.3% below its high of Jul 28, 2026 on Oct 28, 2026.

VTWO

VTWO tracks the Russell 2000. Over the year to Oct 28, 2026 it returned +14.3% with distributions reinvested, against +14.1% for its benchmark, the Russell 2000 Index. The prospectus expense ratio is 0.06% a year. By its holdings published by its issuer as of Sep 30, 2026, 0% of the fund by weight is stocks the S&P 500 also holds, across 2,002 positions, with the top ten at 5.4%. It sat 7.5% below its high of Aug 14, 2026 on Oct 28, 2026.

Questions people ask

Which returned more over the last year, VNQ or VTWO?
In the year to Oct 28, 2026, with distributions reinvested, VNQ returned +4.8% and VTWO +14.3%.
Which is cheaper, VNQ or VTWO?
VTWO is cheaper, by 0.07 percentage points a year. That is about $7 on $10,000 held for a year. Fees come from each fund's prospectus.
How much do VNQ and VTWO overlap with the S&P 500?
By their latest filed holdings, 63% of VNQ and 0% of VTWO by weight is stocks the S&P 500 already holds.
Other comparisons
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ETFIQ, VNQ against VTWO, data as of Oct 28, 2026. https://etfiq.com/compare/any/vnq-vs-vtwo

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