Vanguard Industrials ETF

Vanguard Industrials ETF (VIS) tracks the MSCI US IMI/Industrials 25/50 index. As of August 31, 2026, it held 397 large, mid-size and small US industrial companies, from Caterpillar and General Electric to Uber. Its 0.09% expense ratio is far below the 0.37% average of similar funds, though FIDU and XLI cost slightly less. Because it holds a single sector, it tends to rise and fall with the economy.

• Over the year to Oct 27, 2026, VIS returned +7.5%, 4th of 9 among similar funds.
• Its 5-year annualized return was +11.6%.
• Its worst full calendar year was 2022 (-8.6%); its best was 2023 (+22.5%).
• The deepest fall in its price history was 23% (Nov 16, 2021 to Sep 30, 2022), recovered by Jun 29, 2023.

As of Aug 31, 2026, the fund held 397 securities; the ten largest made up 30.53% of assets.

By sector

• Over the three months to Aug 31, 2026, investors added a net $347.0M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +6.10%, -4.48%, -2.57%.

Vanguard Industrials ETF is the exchange-traded share class of Vanguard Industrials Index Fund. It is an index fund: rather than picking stocks, it aims to track the MSCI US Investable Market Index (IMI)/Industrials 25/50. That index covers large, mid-size and small US companies in the industrials sector of the Global Industry Classification Standard (GICS), a common system for sorting companies by business. The sector includes aerospace and defense, machinery, electrical equipment, building products, and construction and engineering. It also includes business services such as staffing, consulting and security, plus transportation.

The fund tries to replicate the index. That means holding all, or nearly all, of its stocks in about the same proportions, with at least 80% of net assets in index stocks. As of August 31, 2026, the fund held 397 stocks, and the ten largest made up 30.5% of assets. Caterpillar (5.3%), General Electric (5.0%) and RTX (4.0%) led the list. The "25/50" in the index name refers to caps that limit how much weight one company, or the group of largest companies, can carry. Portfolio turnover, the share of holdings replaced in a year, was 5%, so trading is light.

Shares trade on NYSE Arca at market prices, which can differ slightly from the value of the stocks the fund holds. Only large financial firms called authorized participants can create or redeem shares directly with the fund.

• VIS charges 0.09% a year, versus an average of 0.37% for the similar funds below (3rd of 9, cheapest first).
• Of that, 0.08% is the management fee; the rest covers other fund expenses.
• Using the prospectus's standard example, $10,000 invested would cost about $9 in the first year and $115 over 10 years (assuming a 5% annual return).

VIS holds just one economically sensitive sector, so it may suit a smaller slice next to a broad core fund rather than serving as the foundation.

VIS can add targeted exposure to US industrial companies. But it has moved roughly in line with the market, and at times it has fallen harder. When COVID hit in the first quarter of 2020, it lost 27.89%. In the 2022 bear market, it fell 22.4% between January 4 and September 30, 2022. It took about 8.5 months, until June 15, 2023, to regain that peak. Across the calendar years 2018 to 2024, its worst year was 2018, at -13.92%. No figures are available here for the 2008 crisis. Anyone forced to sell shares during a slump like these would lock in losses.

Income is small. The trailing 12-month yield was 0.95% as of October 27, 2026, paid quarterly. Costs are low: in the SEC's standard example, a $10,000 investment would incur about $115 in costs over 10 years. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.