EDD vs VOO

Quick Verdict

VOO has a lower expense ratio. EDD delivered stronger 1-year returns. VOO offers more diversification with 505 holdings.

Lower Fees: VOOHigher Returns: EDDMore Diversified: VOO

Side-by-Side Comparison

MetricEDDVOOWinner
Expense Ratio1.90%0.03%
AUM-$979.0B
Dividend Yield10.70%1.09%
Holdings684509
YTD Return+14.27%+13.53%
1Y Return+28.62%+23.65%
3Y Return (annualized)+19.64%+21.27%
5Y Return (annualized)+8.44%+13.52%
Volatility (annualized)20.9%14.1%
Max Drawdown-81.5%-34.3%
Fund FamilyMorgan Stanley Investment ManagementVanguard (US)
CategoryFixed IncomeEquity
InceptionApr 24, 2007Sep 7, 2010

EDD vs VOO Performance

Morgan Stanley Emerging Markets Domestic Debt Fund Inc. (EDD) is a ETF from Morgan Stanley Investment Management and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year EDD returned +28.62% while VOO returned +23.65%. Year to date, EDD is up 14.27% versus a gain of 13.53% for VOO.

Over three years, EDD compounded at +19.64% per year against +21.27% for VOO; over five years the annualized figures are +8.44% and +13.52% respectively. Across the full 16-year window we track, VOO has the edge at +13.57% annualized vs -3.75%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

EDD has been the more volatile fund, with annualized monthly volatility of 20.9% compared with 14.1% for VOO. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -81.5% for EDD and -34.3% for VOO. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.60. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

EDD charges 1.90% per year while VOO charges 0.03%. On a $10,000 position that is $190 vs $3 annually, a gap of $187 per year that compounds over a long holding period. On income, EDD currently yields 10.70% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

EDD and VOO share 0 holdings out of 514 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, EDD or VOO?

EDD has an expense ratio of 1.90% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $187 per year of difference.

Which performed better, EDD or VOO?

Over the past year EDD returned +28.62% vs +23.65% for VOO, so EDD leads on 1-year performance. Over the longest common window we track (16 years), EDD annualized -3.75% vs +13.57% for VOO. Past performance does not guarantee future results.

Which is riskier, EDD or VOO?

EDD has been the more volatile fund at 20.9% annualized versus 14.1% for VOO. Worst drawdown: EDD -81.5% vs VOO -34.3%.

Should I hold both EDD and VOO?

EDD and VOO have a monthly-return correlation of 0.60, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between EDD and VOO?

EDD and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 514 unique securities.

Which pays a higher dividend, EDD or VOO?

EDD yields 10.70% while VOO yields 1.09%, so EDD currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.

See inside every ETF you own
$29/moCancel anytime.
Try FundXLS →