BLW vs VOO
BlackRock Limited Duration Income Trust vs Vanguard S&P 500 ETF
Quick Verdict
VOO has a lower expense ratio. VOO delivered stronger 1-year returns. BLW offers more diversification with 2,073 holdings.
Side-by-Side Comparison
| Metric | BLW | VOO | Winner |
|---|---|---|---|
| Expense Ratio | 4.48% | 0.03% | |
| AUM | $520M | $997.4B | |
| Dividend Yield | 10.33% | 1.08% | |
| Holdings | 2,073 | 509 | |
| YTD Return | -0.36% | +12.95% | |
| 1Y Return | +0.52% | +20.69% | |
| 3Y Return (annualized) | +9.40% | +22.09% | |
| 5Y Return (annualized) | +3.57% | +13.40% | |
| Volatility (annualized) | 12.1% | 14.1% | |
| Max Drawdown | -53.5% | -34.3% | |
| Fund Family | BlackRock, Inc. (US) | Vanguard (US) | |
| Category | Fixed Income | Equity | |
| Inception | Jul 31, 2003 | Sep 7, 2010 |
BLW vs VOO Performance
BlackRock Limited Duration Income Trust (BLW) is a ETF from BlackRock, Inc. (US) and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year BLW returned +0.52% while VOO returned +20.69%. Year to date, BLW is down 0.36% versus a gain of 12.95% for VOO.
Over three years, BLW compounded at +9.40% per year against +22.09% for VOO; over five years the annualized figures are +3.57% and +13.40% respectively. Across the full 16-year window we track, VOO has the edge at +13.50% annualized vs +0.23%. 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 12.1% for BLW. 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 -53.5% for BLW 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 0.70. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
BLW charges 4.48% per year while VOO charges 0.03%. On a $10,000 position that is $448 vs $3 annually, a gap of $445 per year that compounds over a long holding period. On income, BLW currently yields 10.33% against 1.08% for VOO.
Holdings Overlap
BLW and VOO share 0 holdings out of 1502 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, BLW or VOO?
BLW has an expense ratio of 4.48% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $445 per year of difference.
Which performed better, BLW or VOO?
Over the past year BLW returned +0.52% vs +20.69% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), BLW annualized +0.23% vs +13.50% for VOO. Past performance does not guarantee future results.
Which is riskier, BLW or VOO?
VOO has been the more volatile fund at 14.1% annualized versus 12.1% for BLW. Worst drawdown: BLW -53.5% vs VOO -34.3%.
Should I hold both BLW and VOO?
BLW and VOO have a monthly-return correlation of 0.70, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between BLW and VOO?
BLW and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 1502 unique securities.
Which pays a higher dividend, BLW or VOO?
BLW yields 10.33% while VOO yields 1.08%, so BLW currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.