Market volatility has been a key theme in 2026 so far, driven by changing interest-rate expectations, geopolitical tensions, and mixed earnings across sectors. While the S&P 500 (SPX) is up about 4% year-to-date, some ETFs have quietly outperformed. Using TipRanks’ Best Vanguard ETFs tool, we identified Vanguard Energy ETF (VDE), Vanguard High Dividend Yield Index ETF (VYM), and Vanguard Consumer Staples ETF (VDC).
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Let’s take a look at these ETFs in detail.
Vanguard Energy ETF (VDE)
The Vanguard Energy ETF (VDE) offers investors low-cost, broad exposure to the U.S. energy sector. It tracks the MSCI US Investable Market Energy 25/50 Index and has an expense ratio of 0.09%. The ETF has historically performed well when oil prices rise and can also help protect against inflation. Over the past five years, its price has more than doubled, reflecting strong gains in the energy sector during that period.
In terms of holdings, VDE holds stocks involved in oil and gas exploration, production, refining, equipment services, and midstream infrastructure. Its top 5 holdings are Exxon Mobil Corp. (XOM), Chevron (CVX), ConocoPhillips (COP), Williams Companies (WMB), and EOG Resources (EOG). Overall, VDE holds 108 stocks with total assets worth $10.21 billion.
Vanguard High Dividend Yield Index ETF (VYM)
The Vanguard High Dividend Yield ETF takes a simple approach by investing in a broad mix of companies that pay above-average dividends, making it a well-diversified choice. The fund has a low expense ratio of 0.04%.
Notably, VYM has quietly outperformed the S&P 500 in 2026 so far, benefiting from steady demand for defensive, income-focused stocks. The ETF’s focus on large, dividend-paying companies has helped it hold up better during market volatility, while still delivering competitive returns compared to the broader index.
The ETF owns 615 stocks and manages about $75.36 billion in assets. Among its largest positions are Broadcom (AVGO), JPMorgan Chase (JPM), and Exxon Mobil.
Vanguard Consumer Staples ETF (VDC)
The Vanguard Consumer Staples ETF invests in companies that sell everyday essentials like food, beverages, and household products. Because demand for these goods stays steady even during economic slowdowns, the ETF is considered a defensive option with lower volatility compared to growth-heavy sectors like tech.
It has a beta of 0.30, which reflects its relatively stable price movements. However, this stability comes with trade-offs, as consumer staples stocks typically grow at a slower, more consistent pace over time.
VDC owns 106 stocks with total assets of $7.87 billion. Its top holdings include major consumer brands such as Walmart (WMT), Costco Wholesale (COST), and Procter & Gamble (PG).