Core Insights - The Vanguard Consumer Staples ETF (VDC) offers lower costs and greater diversification compared to the iShares US Consumer Staples ETF (IYK), which has shown slightly better recent performance and a marginally higher yield [1][2]. Cost and Size Comparison - IYK has an expense ratio of 0.38%, while VDC has a significantly lower expense ratio of 0.09%, making VDC more cost-effective for investors [3][8]. - As of December 1, 2025, IYK's one-year return is -2.7% and VDC's is -3.5% [3]. - IYK has a dividend yield of 2.43% compared to VDC's 2.22%, indicating a slight advantage for IYK in terms of income generation [3]. - VDC has assets under management (AUM) of $8.3 billion, significantly higher than IYK's $1.3 billion [3]. Performance and Risk Comparison - Over a five-year period, IYK experienced a maximum drawdown of -15.04%, while VDC had a drawdown of -16.56% [4]. - An investment of $1,000 in IYK would have grown to $1,268 over five years, compared to $1,254 for VDC [4]. Holdings and Sector Focus - VDC consists of 105 holdings, with 98% in consumer defensive stocks, including major positions in Walmart, Costco Wholesale, and Procter & Gamble [5]. - IYK has a smaller portfolio of 55 holdings, with a notable 11% allocation to healthcare stocks, and its largest holdings include Procter & Gamble, Coca-Cola, and Philip Morris International [6]. Investment Strategy - Both ETFs provide exposure to the consumer defensive sector, which tends to perform well during market volatility [7]. - VDC focuses almost entirely on consumer defensive stocks, while IYK includes a significant allocation to healthcare, offering a different approach to sector exposure [9].