DFAC vs VOO

DFAC vs VOO

Which is better, DFAC or VOO?

Nearly the same fund. VOO costs less.

VOO has a lower expense ratio. DFAC led over 1Y, VOO over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. DFAC is less concentrated, with 26.5% of the fund in its ten largest positions against 37.6%.

Lower Fees: VOOHigher Returns: splitLess Concentrated: DFAC

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

MetricDFACVOO
Expense Ratio0.17%0.03%Best
AUM$48.8B$997.4B
Dividend Yield0.89%1.04%
Holdings2,554509
YTD Return+14.44%Best+14.14%
1Y Return+18.01%Best+17.31%
3Y Return (annualized)+21.09%+23.16%Best
5Y Return (annualized)+12.57%+13.85%Best
Volatility (annualized)15.6%15.5%Best
Max Drawdown-23.1%Best-24.5%
$10,000 over 5 years$18,076$19,128Best
Top 10 Weight26.5%Best37.6%
Fund FamilyDimensionalVanguard (US)
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Blend
InceptionOct 4, 2007Sep 7, 2010

Volatility and max drawdown are measured over the window both funds cover: Jun 14, 2021 to Sep 21, 2026 (5.3 years).

DFAC 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 covers the 5.3 years both funds cover.

DFAC vs VOO Performance

Dimensional US Core Equity 2 ETF (DFAC) is an ETF from Dimensional and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year DFAC returned +18.01% while VOO returned +17.31%. Year to date, DFAC is up 14.44% versus a gain of 14.14% for VOO.

Over three years, DFAC compounded at +21.09% per year against +23.16% for VOO; over five years the annualized figures are +12.57% and +13.85% respectively.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

DFAC has been the more volatile fund, with annualized monthly volatility of 15.6% compared with 15.5% for VOO. 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 -23.1% for DFAC and -24.5% 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 0.97. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

DFAC charges 0.17% per year while VOO charges 0.03%. On a $10,000 position that is $17 vs $3 annually, a gap of $14 per year that compounds over a long holding period. On income, DFAC currently yields 0.89% against 1.04% for VOO.

Holdings Overlap

DFAC already in VOO75.5%
VOO already in DFAC97.2%

75.5% of DFAC's money is in holdings VOO also owns. 97.2% of VOO's money is in holdings DFAC also owns.

Most of VOO is already inside DFAC. Owning both mostly buys the same companies twice.

457 positions in common, counted across the 2,504 positions we hold weights for in DFAC and 494 in VOO, against full books of 2,554 and 509.

What only one of them owns

Our book lists 36 positions for VOO that do not appear in our book for DFAC (2.2% of the fund), and 1,020 for DFAC that do not appear in VOO (22.3%).

Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.

Top Shared Holdings

StockWeight in DFACWeight in VOODifference
NVDANvidia Corp5.68%7.55%1.87%
AAPLApple, Inc5.15%7.05%1.90%
MSFTMicrosoft Corp4.73%5.36%0.63%
AMZNAmazon.Com Inc2.96%4.13%1.17%
GOOGLAlphabet Inc,class A1.57%3.24%1.67%
AVGOBroadcom Inc1.33%2.86%1.53%
METAMeta Platforms Inc1.74%1.90%0.16%
GOOGAlphabet Inc0.99%2.62%1.63%
MUMicron Technology, Inc.1.25%1.44%0.19%
JPMJpmorgan Chase1.08%1.46%0.38%

97.2% of VOO is already inside DFAC.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

DFACVOO

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, DFAC or VOO?

DFAC has an expense ratio of 0.17% while VOO charges 0.03%. VOO is the cheaper option, by $14 a year on a $10,000 investment.

Which performed better, DFAC or VOO?

Over the past year DFAC returned +18.01% vs +17.31% for VOO, so DFAC leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, DFAC or VOO?

DFAC has been the more volatile fund at 15.6% annualized versus 15.5% for VOO. Worst drawdown: DFAC -23.1% vs VOO -24.5%.

Should I hold both DFAC and VOO?

DFAC and VOO have a monthly-return correlation of 0.97, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between DFAC and VOO?

97.2% of VOO's money is in holdings DFAC also owns. 97.2% of VOO's is in holdings DFAC also owns. They hold 457 positions in common, counted across the 2,504 positions we hold weights for in DFAC and 494 in VOO.

Which pays a higher dividend, DFAC or VOO?

DFAC yields 0.89% while VOO yields 1.04%, so VOO currently pays the higher dividend yield.

Is VOO better than DFAC?

VOO has a lower expense ratio. DFAC led over 1Y, VOO over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. DFAC is less concentrated, with 26.5% of the fund in its ten largest positions against 37.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.