Value vs growth
Compare a large-cap value fund against a large-cap growth fund, including distribution tax character.
VTV holds large-cap value stocks, which tend to pay higher dividends. VUG holds large-cap growth stocks, which usually pay lower dividends and keep more of their return as unrealized appreciation.
In a taxable account, the higher-dividend value fund distributes more taxable income each year, while the growth fund defers more into unrealized gains until a sale. Run the backtest to compare both after taxes.
Historical results
Historical results for a $10,000 lump sum with dividends reinvested and monthly rebalancing, as of 2025-12-31. Past performance does not guarantee future results. Not investment advice.
After-tax assumptions: Single filer, $150,000 income, taxable account, HIFO lots, 2026 federal brackets, no state tax.
Run it live with your own dates and tax profileIs growth more tax-efficient than value?
In a taxable account, growth funds often distribute less because their dividend yield is lower, so more return stays as unrealized gains until a sale. That defers tax, but total return still depends on how each style performs.
Do value and growth funds have high turnover?
Broad index value and growth funds are generally low turnover. Style membership changes gradually, so most of the tax difference comes from dividend yield rather than realized trading gains.
Run this comparison with your own dates, account type, and tax profile.
Open the prefilled backtest