BSMP 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

MetricBSMPVOOWinner
Expense Ratio0.18%0.03%
AUM$181M$979.0B
Dividend Yield2.32%1.09%
Holdings490509
YTD Return-0.22%+13.79%
1Y Return-0.39%+23.01%
3Y Return (annualized)+0.09%+21.78%
5Y Return (annualized)-1.19%+13.39%
Volatility (annualized)3.5%14.1%
Max Drawdown-10.9%-34.3%
Fund FamilyInvesco (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionSep 25, 2019Sep 7, 2010

BSMP vs VOO Performance

Invesco BulletShares 2025 Municipal Bond ETF (BSMP) is a ETF from Invesco (US) and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year BSMP returned -0.39% while VOO returned +23.01%. Year to date, BSMP is down 0.22% versus a gain of 13.79% for VOO.

Over three years, BSMP compounded at +0.09% per year against +21.78% for VOO; over five years the annualized figures are -1.19% and +13.39% respectively. Across the full 6-year window we track, VOO has the edge at +13.57% annualized vs -0.36%. 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 3.5% for BSMP. 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 -10.9% for BSMP 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 0.48. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

BSMP charges 0.18% per year while VOO charges 0.03%. On a $10,000 position that is $18 vs $3 annually, a gap of $15 per year that compounds over a long holding period. On income, BSMP currently yields 2.32% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

BSMP and VOO share 0 holdings out of 663 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, BSMP or VOO?

BSMP has an expense ratio of 0.18% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $15 per year of difference.

Which performed better, BSMP or VOO?

Over the past year BSMP returned -0.39% vs +23.01% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (6 years), BSMP annualized -0.36% vs +13.57% for VOO. Past performance does not guarantee future results.

Which is riskier, BSMP or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 3.5% for BSMP. Worst drawdown: BSMP -10.9% vs VOO -34.3%.

Should I hold both BSMP and VOO?

BSMP and VOO have a monthly-return correlation of 0.48, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between BSMP and VOO?

BSMP and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 663 unique securities.

Which pays a higher dividend, BSMP or VOO?

BSMP yields 2.32% while VOO yields 1.09%, so BSMP currently pays the higher dividend yield.

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