VOO vs SPY
Which offers the best exposure to the S&P 500 index and will bring home better returns
SPY
- SPY is one of the most heavily traded securities on the planet
- Expense 0.09%
- Yield (ttm)²: 2.06
- SPY is structured as a unit investment trust, and as such it cannot reinvest income in the form of dividends, and it cannot lend out its portfolio securities
VOO
- Vanguard benefits from more modern legal structure
- Expense 0.05% (***lower than SPY!!!)
- Yield (ttm)²: 2.05 (***pretty much equal to SPY!!!)
- Does allow for reinvestment of dividend payments and securities lending will result in better tracking performance
One year VOO vs SPY comparison chart:
As you can see VOO highs (in red) are generally higher and lows are generally lower when compared to SPY. VOO is down -1.87% while SPY is down -2.15%.
Due to lower fees and securities lending which results in superior tracking performance the pick here is VOO (Vanguard 500 ETF).
FAQ
Which is better VOO or spy?
The most important difference is the expense ratio, since VOO and IVV are slightly cheaper than SPY and should have a 0.05% higher compound annual growth rate. This can make a small difference in returns if you buy and hold for several decades.
Which S&P 500 ETF is best?
Best Overall: Vanguard S&P 500 ETF (VOO) The best overall ETF comes from the largest mutual fund company: Vanguard. This ETF tracks the S&P 500 and charges an expense ratio of just 0.04%. Warren Buffet himself has even recommended the Vanguard's S&P 500 index fund by name.
Is Spy the best ETF?
Best for Liquidity and Volume: SPDR S&P 500 ETF Trust (SPY) The SPDR S&P 500 ETF Trust (SPY) was designed to track an index like the S&P 500. The fund is slightly more expensive than its peers IVV and VOO at 0.0945%, but the daily trading volume makes a more liquid investment.
Is Vanguard voo a good investment?
Vanguard S&P 500 ETF (VOO) Offers high potential for investment growth; share value rises and falls more sharply than that of funds holding bonds. More appropriate for long-term goals where your money's growth is essential.
Which is better Voo vs Spy?
SPY, VOO, and IVV are all excellent, low-cost options for getting S&P 500 index exposure. ... SPY has a slightly higher expense ratio than VOO and IVV, but has the largest trading volume, so it may be preferred by short-term traders.
Which S&P 500 ETF is best?
Best Overall: Vanguard S&P 500 ETF (VOO) The best overall ETF comes from the largest mutual fund company: Vanguard. This ETF tracks the S&P 500 and charges an expense ratio of just 0.04%. Warren Buffet himself has even recommended the Vanguard's S&P 500 index fund by name.
Is Spy a good ETF?
SPDR S&P 500 ETF (SPY) The fund is also extremely liquid, with an average daily trading volume of nearly 16 billion per day, which makes it attractive as a tactical trading instrument as well as a buy-and-hold investment for fleshing out a 401(k).
Is Vanguard voo a good investment?
Vanguard S&P 500 ETF (VOO) Offers high potential for investment growth; share value rises and falls more sharply than that of funds holding bonds. More appropriate for long-term goals where your money's growth is essential.
What is the best S&P 500 ETF?
Quick Look: The Best S&P 500 ETFsiShares Core S&P 500 ETF (IVV)Vanguard S&P 500 ETF (VOO)SPDR S&P 500 ETF Trust (SPY)Portfolio Plus S&P 500 ETF (PPLC)Schwab U.S. Large Cap ETF (SCHX)iShares S&P 500 Growth ETF (IVW)
Is Vanguard S&P 500 ETF a good investment?
The Vanguard S&P 500 ETF is a popular option for investors looking to track the performance of large-cap domestic stocks. ... Vanguard's trademark is low-cost index products, but it also offers many actively managed funds. Its low-cost approach has led to significant inflows of assets into its funds in recent years.
