VOO vs SPY
Which offers the best exposure to the S&P 500 index and will bring home better returns
- 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
- 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).