Vanguard S&P 500 ETF (VOO) vs Vanguard Total Stock Market ETF (VTI)

Vanguard S&P 500 ETF (VOO)
Vanguard Total Stock Market ETF (VTI)
Verified Confidence: 80%

Verdict: VTI wins for most investors due to superior diversification across 3700+ holdings versus VOO's 503 per Vanguard factsheets. VOO delivers marginally lower volatility and has outperformed in certain large-cap dominated periods according to Morningstar comparisons. Both share the same 0.03% expense ratio and strong liquidity making either suitable for core holdings.

Winner: Vanguard Total Stock Market ETF (VTI)

Vanguard S&P 500 ETF (VOO): 8.5/10

Vanguard Total Stock Market ETF (VTI): 9/10

Spec-by-spec comparison

Vanguard S&P 500 ETF (VOO)Vanguard Total Stock Market ETF (VTI)
Expense Ratio0.03%0.03%
Assets Under Management$1.3 trillion$1.5 trillion
Number of Holdings5033700+
Dividend Yield1.3%1.4%

Vanguard S&P 500 ETF (VOO)

What works

  • Lower volatility due to large-cap focus
  • Slightly higher historical returns in bull markets for large caps
  • Extremely liquid with tight bid-ask spreads

What doesn't

  • Less diversification than total market
  • Misses mid- and small-cap growth opportunities

Vanguard Total Stock Market ETF (VTI)

What works

  • Broader diversification across market caps
  • Captures small- and mid-cap return premium over time
  • Single-fund solution for entire U.S. equity market

What doesn't

  • Higher volatility from small-cap inclusion
  • Slightly lower large-cap concentration in strong mega-cap rallies

Bottom line

Our pick: Vanguard Total Stock Market ETF (VTI).

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