VGIT vs VOO

Quick Verdict

VOO delivered stronger 1-year returns. VOO offers more diversification with 505 holdings.

Lower Fees: TiedHigher Returns: VOOMore Diversified: VOO

Side-by-Side Comparison

MetricVGITVOOWinner
Expense Ratio0.03%0.03%
AUM$42.1B$979.0B
Dividend Yield3.84%1.09%
Holdings106509
YTD Return-0.91%+11.51%
1Y Return+0.89%+21.46%
3Y Return (annualized)+3.56%+20.86%
5Y Return (annualized)-0.34%+13.01%
Volatility (annualized)4.3%14.1%
Max Drawdown-17.2%-34.3%
Fund FamilyVanguard (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionNov 19, 2009Sep 7, 2010

VGIT vs VOO Performance

Vanguard Intermediate Term Treasury ETF (VGIT) is a ETF from Vanguard (US) and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year VGIT returned +0.89% while VOO returned +21.46%. Year to date, VGIT is down 0.91% versus a gain of 11.51% for VOO.

Over three years, VGIT compounded at +3.56% per year against +20.86% for VOO; over five years the annualized figures are -0.34% and +13.01% respectively. Across the full 16-year window we track, VOO has the edge at +13.44% annualized vs +0.74%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 4.3% for VGIT. 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 -17.2% for VGIT 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 0.02. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

VGIT charges 0.03% per year while VOO charges 0.03%. On a $10,000 position that is $3 vs $3 annually. On income, VGIT currently yields 3.84% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

VGIT and VOO share 0 holdings out of 589 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, VGIT or VOO?

VGIT has an expense ratio of 0.03% while VOO charges 0.03%. They cost the same. On a $10,000 investment, that is $0 per year of difference.

Which performed better, VGIT or VOO?

Over the past year VGIT returned +0.89% vs +21.46% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), VGIT annualized +0.74% vs +13.44% for VOO. Past performance does not guarantee future results.

Which is riskier, VGIT or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 4.3% for VGIT. Worst drawdown: VGIT -17.2% vs VOO -34.3%.

Should I hold both VGIT and VOO?

VGIT and VOO have a monthly-return correlation of 0.02, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between VGIT and VOO?

VGIT and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 589 unique securities.

Which pays a higher dividend, VGIT or VOO?

VGIT yields 3.84% while VOO yields 1.09%, so VGIT currently pays the higher dividend yield.

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