VDE: Vanguard Energy ETF returns, drawdowns and risk
Funds on a single sector of the US market: financials, energy, health care, industrials and more.
Data updated October 2026
VDE · US exchange · USDCategory: US sector ETFsData from June 2020
From June 2020 to October 2026 VDE returned 26.4% a year on average with dividends reinvested, in US dollars: $10,000 invested at the start grew to $44,569.
Its deepest fall was 38.9%, from June 2020 to October 2020, and it took about 7 months to get back to the previous high. Annual volatility was 29.3%; at the last close it was 0.5% below its high.
Against SPY (SPDR S&P 500 ETF Trust), over the 76 months both have data, the correlation of monthly returns was 0.32: they moved together only in part. Beta was 0.59. In months when SPY rose, VDE moved 105% as much on average; in months when SPY fell, 29% as much.
Key figures
- Annual return (CAGR)
- +26.4%
- 1-year return
- +58.4%
- 5 years, a year
- +22.0%
- 10 years, a year
- —
- Annual volatility
- 29.3%
- Maximum drawdown
- −38.9%
- Sharpe ratio
- 0.85
- Worst year
- 2023: +0.0%
Trailing returns
| Period | VDE | SPY |
|---|---|---|
| 1 year | +58.4% | +16.6% |
| 3 years, a year | +17.9% | +23.1% |
| 5 years, a year | +22.0% | +12.7% |
To the last close of October 2026. Periods longer than a year are annualised.
Growth of $10,000: VDE vs SPY
Month-end values from July 2020, the first month both funds have data.
VDE drawdowns
Percentage below the previous high, weekly.
Returns by calendar year
| Year | VDE | SPY |
|---|---|---|
| 2026(partial) | +53.0% | +13.3% |
| 2025 | +7.1% | +17.7% |
| 2024 | +6.8% | +24.9% |
| 2023 | +0.0% | +26.2% |
| 2022 | +62.9% | −18.2% |
| 2021 | +56.3% | +28.7% |
| 2020(partial) | −0.0% | — |
How the figures are calculated
Total return in the fund’s trading currency, from end-of-day prices with dividends reinvested on the ex-date. The fund’s own ongoing charges are already reflected in its price; trading costs, taxes and currency conversion are not included. Past returns do not predict future returns.
Sharpe ratio uses the return of short-term government bills in the same currency as the risk-free rate. The growth chart uses month-end values; drawdowns and volatility use daily closes.
Questions
What is the average annual return of VDE?
From June 2020 to October 2026 VDE returned 26.4% a year on average (CAGR) with dividends reinvested, in USD. Over the last 5 years: +22.0% a year. Over the last 12 months: +58.4%.
What was the worst drawdown of VDE?
38.9%, from June 2020 to October 2020; it took about 7 months from the previous high to get back to it.
How volatile is VDE?
Annual volatility was 29.3% over the period. Its worst month was −17.1% and 59% of months were positive. Worst calendar year: 2023 (+0.0%).
How closely does VDE follow SPY?
Over 76 months the correlation of monthly returns was 0.32, so they moved together only in part, with a beta of 0.59.
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Other US sector ETFs
- All US sector ETFsReturns and risk side by side
- XLF — Financial Select Sector SPDR FundCAGR +16.3%
- XLV — Health Care Select Sector SPDR FundCAGR +11.0%
- XLI — Industrial Select Sector SPDR FundCAGR +10.3%
- XLP — Consumer Staples Select Sector SPDR FundCAGR +9.2%
- XLC — Communication Services Select Sector SPDR FundCAGR +12.7%
- VHT — Vanguard Health Care ETFCAGR +10.3%
- VFH — Vanguard Financials ETFCAGR +16.5%
- IBB — iShares Biotechnology ETFCAGR +11.2%
- XBI — SPDR S&P Biotech ETFCAGR +6.2%
- KRE — SPDR S&P Regional Banking ETFCAGR +4.4%
- KBE — SPDR S&P Bank ETFCAGR +3.0%
Source: MarketStack end-of-day prices, total return with dividends reinvested. Figures are historical and descriptive; they are not forecasts and not investment advice. MEDGE Capital does not recommend buying or selling any instrument. Risk disclaimer.