VOO – Vanguard S&P 500 Index Fund. Get answers to common ETF questions All of these are US-based companies that are categorized as “large-cap,” meaning they have market capitalizations higher than $10 billion. Somewhat. Mid-cap stocks also represent a much higher 17.5% of the fund’s portfolio which leaves large-cap stocks at around three-quarters of assets. However, with large-cap companies making up over 85%, it can be safely said that VOO is not the fund for you if you’re looking for some small-cap exposure.eval(ez_write_tag([[336,280],'mrmarvinallen_com-banner-1','ezslot_5',110,'0','0'])); VTI’s market capitalization looks a bit more balanced. If you want to invest in a very broad mix of American stocks (VTI), American IT stocks (VGT), or just the 500 largest American companies (VOO), then yes, they’re just about the best ETFs to do so. Well, to be fair, if you add up the percentages there should be a remainder of 0.02% which can be attributed to small-cap companies. For example, countries such as China and India make up just 2.6% and 1.2% of VT’s portfolio respectively. VOO’s composition does not include any small-cap companies and is heavily skewed toward large-cap stocks. This makes sense since mid-cap and small-cap stocks tend to be more volatile than large-cap stocks. VT holds a whopping 7,954 stocks with a median market value of $42.1 billion. Even in the biggest drawdown it might be wise to keep your funds just where they are: invested. For this reason, it is impossible to say with any certainty which one will be the better investment moving forward. What’s The Best S&P500 ETF? Tech giants won’t be around forever and at some point, even those companies seemed untouchable in the past have become shadows of their former glory (Standard Oil, GM, etc.). Although this may be a significant variance, it does not represent a threat to your portfolio composition. Vanguard Mid-Cap Growth. Although VTI has over 3000 more stocks than VOO, these are only a small percentage of the fund’s holdings because their market caps are so small. eval(ez_write_tag([[300,250],'mrmarvinallen_com-large-mobile-banner-2','ezslot_15',114,'0','0']));As mentioned before, the biggest caveat here is the limited data available for VOO. As is par for the course with many Vanguard ETFs, VT is attractively priced. VOO vs. VTI: … An expense ratio of 0.03% means that for every $10,000 you would invest in either VOO or VTI you would an annual fee of $3. The past decade has seen an unprecedented bull market like nothing we have seen before which has obviously been very advantageous for large-cap growth. On an annual basis, this adds up to a difference of 0.57%. What is the Minimum Investment for Cardone Capital? The top ten holdings of VT account for a much smaller percentage (11.0%) of total fund assets compared to VTI (19.4%) In a nutshell: Both funds have low fees, but VT (total world stock ETF) holds far more stocks and has a lower concentration of its fund held in the top 10 stocks. Comparing the annual returns of VOO and VTI might highlight and underlines some of the variances in volatility and drawdowns we have seen above: As VOO was only issued in 2011 we, unfortunately, have much fewer data to compare VTI to. VTI moves a step beyond the basic index strategy, however. The number of stocks is irrelevant when it is market weighted. 美國股市上的etf到底差在哪?這大概是我最常被問到的幾個問題之一。今天我就來幫大家分析vti、voo與spy這三者之間有何不同。 標籤: vti, voo, spy, 投資, 理財, etf, 指數化投資 drawdowns and volatility. What Are the Average Stock Market Returns by Month? The max drawdown during this period was -16.18% for VOO but -17.58% for VTI. VOO has the least industry exposure to the Basic Materials, Real Estate, and Energy sector. That is more than 7 times more than VOO. Passive investing in index funds is more popular than ever. Both of them provide exposure to the US stock market: This article examines the differences between VOO and VTI and which one is likely to be a better investment. 0.05%. But it’s not just country weightings that look unbalanced. According to Vanguard: VTI seeks to track the performance of the CRSP US Total Market Index while VOO invests only in stocks in the S&P 500 Index, representing 500 of the largest U.S. companies. A combination of VTI and VXUS appears to be superior to VT. VOO and VTI have the same expense ratio (0.03%). VOO vs. VTI: Head-To-Head ETF Comparison The table below compares many ETF metrics between VOO and VTI. For example, the top 10 holdings of the popular Vanguard S&P 500 ETF (NYSEMKT:VOO) make up roughly 23% of the fund's assets. Sometimes they may go down 50% or even more, although long-term returns have historically always been good. Close. As mentioned, the major difference between an index fund and ETF (exchange traded fund) is: An index fund is traded once at the end of the day; An ETF is traded throughout the day, like a stock; To be frank, this difference should not matter to long term investors. First, we’ll look at the industry sectors that make up VOO:eval(ez_write_tag([[580,400],'mrmarvinallen_com-large-leaderboard-2','ezslot_3',111,'0','0'])); The industry dominating VOO is Technology at close to 24%. It also includes mid-and small-cap stocks in addition to large-cap names. VT and VOO vs VTI and VGT. VOO: This ETF tracks the S&P500 index and holds 508 stocks. Really better looking at the companies behind the funds the U.S. and non-U.S. parts of portfolio. Bear market yet and finance articles in your inbox companies amount here to around 6.5 % of the.... 20.7 % of net assets of VT ’ s the best ETFs the. Etf world: VOO vs. VTI comparisons: including fees, performance, yield... 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