BWZ vs VOO

BWZ vs VOO

Which is better, BWZ or VOO?

Short Term Mid Quality against Large Cap Blend.

VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window.

Lower Fees: VOOHigher Returns: VOO

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricBWZVOO
Expense Ratio0.35%0.03%Best
AUM$290M$997.4B
Dividend Yield2.08%1.04%
Holdings291509
YTD Return+1.78%+12.50%Best
1Y Return+0.30%+17.58%Best
3Y Return (annualized)+3.62%+21.27%Best
5Y Return (annualized)-1.12%+12.95%Best
Volatility (annualized)7.0%Best14.1%
Max Drawdown-37.9%-34.3%Best
$10,000 over 5 years$9,452$18,384Best
Fund FamilySPDR State Street Global AdvisorsVanguard (US)
CategoryFixed IncomeEquity
StyleShort Term Mid QualityLarge Cap Blend
InceptionJan 15, 2009Sep 7, 2010

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Sep 9, 2010 to Sep 11, 2026 (16 years).

BWZ vs VOO growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

BWZ vs VOO Performance

State Street SPDR Bloomberg Short Term International Treasury Bond ETF (BWZ) is an ETF from SPDR State Street Global Advisors and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year BWZ returned +0.30% while VOO returned +17.58%. Year to date, BWZ is up 1.78% versus a gain of 12.50% for VOO.

Over three years, BWZ compounded at +3.62% per year against +21.27% for VOO; over five years the annualized figures are -1.12% and +12.95% respectively. Across the full 16-year window we track, VOO has the edge at +13.41% annualized vs -1.05%.

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 7.0% for BWZ. 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 -37.9% for BWZ and -34.3% for VOO. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.43. They move together some of the time, and apart the rest.

Fees and Cost Over Time

BWZ charges 0.35% per year while VOO charges 0.03%. On a $10,000 position that is $35 vs $3 annually, a gap of $32 per year that compounds over a long holding period. On income, BWZ currently yields 2.08% against 1.04% for VOO.

Holdings Overlap

We hold position weights for 7 holdings in BWZ and 505 in VOO, totalling 2.4% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 7 positions we hold weights for in BWZ and 505 in VOO, against full books of 291 and 509.

You are not choosing between two funds in isolation.

Whichever of BWZ and VOO you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

BWZVOO

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, BWZ or VOO?

BWZ has an expense ratio of 0.35% while VOO charges 0.03%. VOO is the cheaper option, by $32 a year on a $10,000 investment.

Which performed better, BWZ or VOO?

Over the past year BWZ returned +0.30% vs +17.58% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), BWZ annualized -1.05% vs +13.41% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, BWZ or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 7.0% for BWZ. Worst drawdown: BWZ -37.9% vs VOO -34.3%.

Should I hold both BWZ and VOO?

BWZ and VOO have a monthly-return correlation of 0.43, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, BWZ or VOO?

BWZ yields 2.08% while VOO yields 1.04%, so BWZ currently pays the higher dividend yield.

Is VOO better than BWZ?

VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.