TILT vs VOO

Quick Verdict

VOO has a lower expense ratio. TILT delivered stronger 1-year returns. TILT offers more diversification with 1926 holdings.

Lower Fees: VOOHigher Returns: TILTMore Diversified: TILT

Side-by-Side Comparison

MetricTILTVOOWinner
Expense Ratio0.25%0.03%
AUM$2.2B$979.0B
Dividend Yield1.08%1.09%
Holdings1,946509
YTD Return+14.42%+13.80%
1Y Return+25.63%+23.71%
3Y Return (annualized)+19.50%+21.50%
5Y Return (annualized)+11.91%+13.44%
Volatility (annualized)15.6%14.1%
Max Drawdown-38.5%-34.3%
Fund FamilyFlexshares TrustVanguard (US)
CategoryEquityEquity
InceptionSep 16, 2011Sep 7, 2010

TILT vs VOO Performance

FlexShares Morningstar US Market Factor Tilt Index Fund (TILT) is a ETF from Flexshares Trust and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year TILT returned +25.63% while VOO returned +23.71%. Year to date, TILT is up 14.42% versus a gain of 13.80% for VOO.

Over three years, TILT compounded at +19.50% per year against +21.50% for VOO; over five years the annualized figures are +11.91% and +13.44% respectively. Across the full 15-year window we track, TILT has the edge at +14.64% annualized vs +13.58%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TILT has been the more volatile fund, with annualized monthly volatility of 15.6% 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 -38.5% for TILT 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 0.97. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

TILT charges 0.25% per year while VOO charges 0.03%. On a $10,000 position that is $25 vs $3 annually, a gap of $22 per year that compounds over a long holding period. On income, TILT currently yields 1.08% against 1.09% for VOO.

Holdings Overlap

70.1%overlap

TILT and VOO share 495 holdings out of 1936 unique holdings combined, representing a 70.1% weight overlap.

High overlap means holding both may not provide much additional diversification.

Top Shared Holdings

StockWeight in TILTWeight in VOODifference
NVDA5.09%7.51%2.42%
AAPL4.27%6.59%2.32%
MSFT3.38%4.30%0.92%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
GOOGProProPro
METAProProPro
TSLAProProPro
MUProProPro
See all 10 holdings TILT shares with VOO
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, TILT or VOO?

TILT has an expense ratio of 0.25% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $22 per year of difference.

Which performed better, TILT or VOO?

Over the past year TILT returned +25.63% vs +23.71% for VOO, so TILT leads on 1-year performance. Over the longest common window we track (15 years), TILT annualized +14.64% vs +13.58% for VOO. Past performance does not guarantee future results.

Which is riskier, TILT or VOO?

TILT has been the more volatile fund at 15.6% annualized versus 14.1% for VOO. Worst drawdown: TILT -38.5% vs VOO -34.3%.

Should I hold both TILT and VOO?

TILT and VOO have a monthly-return correlation of 0.97, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between TILT and VOO?

TILT and VOO share 495 common holdings with a 70.1% weight overlap. Combined, they hold 1936 unique securities.

Which pays a higher dividend, TILT or VOO?

TILT yields 1.08% while VOO yields 1.09%, so VOO currently pays the higher dividend yield.

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