VAW — Vanguard Materials Index Fund ETF Shares

Overview

The Vanguard Materials Index Fund ETF Shares (VAW) operates within the Materials category, which currently contains two ETFs tracked by ETFValuer. Issued by Vanguard, this fund holds an asset base of $4.49 billion and trades at a price of $223.56 per share. It carries an overall rank of #114 out of 120 tracked ETFs across all categories, receiving an ETFValuer grade of D with a score of 47.5 out of 100. The fund offers a dividend yield of 1.39% while maintaining a low expense ratio of 0.09%. Despite the substantial assets under management, the fund's low overall ranking suggests it has not achieved top-tier performance relative to the broader universe of tracked funds. The combination of a high price point and significant AUM indicates substantial investor capital is deployed, even as the fund trails many peers in the overall ranking system.

Recent performance data shows a decline over the shortest horizons, with the fund down 2.37% over one day and 2.29% over one week. This negative momentum extended to the monthly and quarterly periods, recording losses of 1.54% and 1.07% respectively. However, the trend reversed over longer timeframes, with the fund posting a 5.24% gain over six months and a 6.75% year-to-date return. The one-year return stands at 13.37%, while the three-year return is significantly higher at 27.02%. This pattern illustrates a divergence where short-term volatility resulted in losses, but the fund has delivered positive returns over the medium and long term. The data indicates a recovery from recent dips to achieve solid annualized growth over the three-year period.

The fund is classified with a Moderate volatility label and exhibits a beta of 0.91, suggesting its price movements are slightly less sensitive to market fluctuations than the broader benchmark. A Sharpe ratio of 0.45 indicates the fund has generated a moderate amount of excess return per unit of risk taken. The maximum drawdown recorded for the fund is -23.21%, reflecting the peak-to-trough decline experienced during a specific period. This combination of a beta below 1.0 and a moderate drawdown suggests the fund may offer some cushion during market downturns compared to more aggressive equities. However, the Sharpe ratio implies that the risk-adjusted returns have been modest relative to the volatility encountered. Investors should consider that while the fund does not amplify market moves significantly, it still experienced a substantial decline of over 23% at its worst point.

AI-generated summary based on the data on this page.

VAW Top Holdings

Holdings as of 2026-02-28 per the fund's most recent SEC N-PORT-P filing.

Market Backdrop

10-Year Treasury Yield: 4.55% (as of 2026-07-07) — The yield on 10-year US Treasury bonds — the standard "risk-free rate" benchmark used to contextualize this fund’s Sharpe ratio and returns.

CBOE Volatility Index (VIX): 16.13 (as of 2026-07-07) — A real-time gauge of expected S&P 500 volatility over the next 30 days — useful context for this fund’s own volatility label.

Federal Funds Rate: 3.63% (as of 2026-06-01) — The Federal Reserve’s target policy rate, which anchors short-term borrowing costs across the economy.

VAW Performance History

How VAW Compares to Other Materials ETFs