MGOV vs VOO

Quick Verdict

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

Lower Fees: VOOHigher Returns: VOOMore Diversified: VOO

Side-by-Side Comparison

MetricMGOVVOOWinner
Expense Ratio0.50%0.03%
AUM$101M$979.0B
Dividend Yield4.95%1.09%
Holdings186509
YTD Return-0.60%+9.95%
1Y Return+3.14%+19.58%
3Y Return (annualized)+4.45%+19.43%
5Y Return (annualized)-+12.89%
Volatility (annualized)6.5%14.2%
Max Drawdown-6.1%-34.3%
Fund FamilyFirst Trust Portfolios (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionAug 2, 2023Sep 7, 2010

MGOV vs VOO Performance

First Trust Intermediate Government Opportunities ETF (MGOV) is a ETF from First Trust Portfolios (US) and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year MGOV returned +3.14% while VOO returned +19.58%. Year to date, MGOV is down 0.60% versus a gain of 9.95% for VOO.

Over three years, MGOV compounded at +4.45% per year against +19.43% for VOO. Across the full 3-year window we track, VOO has the edge at +13.35% annualized vs +4.45%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 14.2% compared with 6.5% for MGOV. 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 -6.1% for MGOV 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 0.52. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

MGOV charges 0.50% per year while VOO charges 0.03%. On a $10,000 position that is $50 vs $3 annually, a gap of $47 per year that compounds over a long holding period. On income, MGOV currently yields 4.95% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

MGOV and VOO share 0 holdings out of 574 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, MGOV or VOO?

MGOV has an expense ratio of 0.50% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $47 per year of difference.

Which performed better, MGOV or VOO?

Over the past year MGOV returned +3.14% vs +19.58% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (3 years), MGOV annualized +4.45% vs +13.35% for VOO. Past performance does not guarantee future results.

Which is riskier, MGOV or VOO?

VOO has been the more volatile fund at 14.2% annualized versus 6.5% for MGOV. Worst drawdown: MGOV -6.1% vs VOO -34.3%.

Should I hold both MGOV and VOO?

MGOV and VOO have a monthly-return correlation of 0.52, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between MGOV and VOO?

MGOV and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 574 unique securities.

Which pays a higher dividend, MGOV or VOO?

MGOV yields 4.95% while VOO yields 1.09%, so MGOV currently pays the higher dividend yield.

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