Investors looking for energy exposure must choose between broad sector coverage and targeted thematic plays. Take, for example, the Vanguard Energy ETF (NYSEMKT:VDE)which offers a low-cost entry to traditional fossil fuel giants, and the VanEck Uranium and Nuclear ETF (NYSEMKT:NLR) focused on the specialized infrastructure and utilities of the nuclear power industry.
Comparing these two funds helps better understand how different energy subsectors behave, especially regarding price volatility and sector concentration, and make better investment decisions.
Snapshot (cost & size)
| Metric | NLR | VDE |
|---|---|---|
| Issuer | VanEck | Vanguard |
| Expense ratio | 0.52% | 0.09% |
| 1-yr total return (as of June 10, 2026) | 19.16% | 41.67% |
| Dividend yield | 2.40% | 2.40% |
| Beta | 0.81 | 0.42 |
| AUM | $4.3 billion | $12.7 billion |
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
The Vanguard fund is significantly more affordable, sporting an expense ratio of 0.09% compared to 0.52% for the VanEck fund. While the costs differ, both ETFs currently offer an identical distribution yield of 2.40%. For many investors, the expense difference of 0.43 percentage points represents a significant factor in long-term performance compounding.
Performance & risk comparison
| Metric | NLR | VDE |
|---|---|---|
| Max drawdown (5 yr) | (30.50%) | (26.60%) |
| Growth of $1,000 over 5 years (total return) | $2,697 | $2,533 |
What’s inside
The Vanguard Energy ETF (NYSEMKT:VDE) provides a broad sweep of the traditional energy industry with 106 holdings. It is 100% focused on the energy sector, specifically targeting firms involved in the exploration and production of oil, natural gas, and coal. Its largest positions include Exxon Mobil (NYSE:XOM) at 21.06%, Chevron (NYSE:CVX) at 14.28%, and ConocoPhillips (NYSE:COP) at 5.93%. Launched in 2004, the fund has a trailing-12-month dividend of $3.93 per share.
The VanEck Uranium and Nuclear ETF (NYSEMKT:NLR) tracks the MVIS Global Uranium & Nuclear Energy Index, targeting companies involved in uranium mining and nuclear power. The fund holds 29 positions with a sector breakdown of energy (45%), utilities (38%), and industrials (16%). Its largest positions include Cameco (NYSE:CCJ) at around 8%, Constellation Energy (NASDAQ:CEG) at 7.8%, and Bwx Technologies (NYSE:BWXT) at 6.8%. Launched in 2007, the fund has a trailing-12-month dividend of $3.17 per share.
For more guidance on ETF investing, check out the full guide at this link.
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