PTH vs VHT

PTHCInvesco Dorsey Wright Healthcare Momentum ETF

VHTAVanguard Health Care ETF

In short

PTH Health care ranked by price strength instead of market cap. PTH's index has been running since 2006, holds about 50 relative-strength names, and reshuffles them every quarter, so the lineup can look nothing like the sector's megacap giants.

VHT The whole US health care sector in one ticket: roughly 400 stocks, an index that reaches well past the megacaps, and a nine-basis-point fee. Trading since 2004, it is one of the category's originals.

Stated mandate

PTH The Fund seeks to track the performance of its underlying index before fees and expenses. The index selects healthcare companies exhibiting relative strength or momentum.

VHT The fund seeks to track a benchmark index measuring the investment return of health care stocks.

Why people hold it

• PTH The momentum screen draws from a broad US healthcare universe, so the names that qualify can be anything from megacaps to small caps. A genuinely different portfolio than cap-weighted sector funds like XLV and VHT.invesco.comnasdaq.com
• Live since October 2006, through multiple biotech booms and busts, well before momentum became a standard ETF label.
• Discipline is built into the calendar: the index is reconstituted and rebalanced quarterly, and the fund normally keeps at least 90% of total assets in index securities.nasdaq.comnasdaq.com 2

• VHT Costs 0.09% a year while the typical fund in its health care peer group charges 0.50%. Same sector, a fraction of the toll.
• Roughly 400 holdings drawn from an investable-market index, so mid and small health care companies count too, not just the sector's giants.vanguard.com
• Two decades old, now a multi-billion-dollar fund, moderately traded, and it has hugged its benchmark closely. Pays out quarterly.
• On cost, tracking and tradability together, it stands among the strongest builds in a 24-fund health care cohort.

Worth knowing

• PTH 0.60% net of a waiver through August 31, 2028 (0.74% gross), above the category median and far above cap-weighted peers like XLV at 0.08% and VHT at 0.09%.
• With about 50 holdings and momentum setting the lineup, single-name moves land harder here than in a several-hundred-stock cap-weighted health care fund.
• Momentum, by design, buys what has already run and trims what has lagged, so sharp reversals can catch the index between quarterly rebalances.nasdaq.comnasdaq.com 2

• VHT FHLC and XLV each shave a basis point off the fee. If the fee line is your only tiebreaker, VHT is not the final word.
• One sector, one news cycle. Drug pricing rules, patent expirations and regulatory decisions can move the entire basket at once.vanguard.com
• Cap-weighted with a 25/50 diversification rule, so no single name can dominate outright, but the largest pharma and insurer positions still steer most of the ride.vanguard.com

Full PTH profile⁠

Full VHT profile⁠