DRIP vs VOO

DRIP vs VOO

Which is better, DRIP or VOO?

Opposite sides of the same exposure.

VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. The two move opposite each other, correlation -0.50, so holding both offsets the exposure while paying both fees.

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

MetricDRIPVOO
Expense Ratio1.01%0.03%Best
AUM$105M$997.4B
Dividend Yield4.57%1.04%
Holdings8509
YTD Return-57.76%+13.31%Best
1Y Return-56.51%+17.07%Best
3Y Return (annualized)-27.34%+22.72%Best
5Y Return (annualized)-43.02%+13.19%Best
Volatility (annualized)91.2%15.2%Best
Max Drawdown--34.3%
$10,000 over 5 years$601$18,580Best
Fund FamilyDirexion Shares ETF TrustVanguard (US)
CategoryAlternativeEquity
StyleTrading-Inverse EquityLarge Cap Blend
InceptionMay 28, 2015Sep 7, 2010

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: May 29, 2015 to Sep 23, 2026 (11.3 years).

DRIP 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 11.3 years both funds cover.

DRIP vs VOO Performance

Direxion Daily S&P Oil & Gas Exp. & Prod. Bear 2X ETF (DRIP) is an ETF from Direxion Shares ETF Trust and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year DRIP returned -56.51% while VOO returned +17.07%. Year to date, DRIP is down 57.76% versus a gain of 13.31% for VOO.

Over three years, DRIP compounded at -27.34% per year against +22.72% for VOO; over five years the annualized figures are -43.02% and +13.19% respectively. Across the full 11-year window we track, VOO has the edge at +12.91% annualized vs -41.45%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

DRIP has been the more volatile fund, with annualized monthly volatility of 91.2% compared with 15.2% for VOO. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The two funds' monthly returns correlate at -0.50. They move opposite each other. Holding both offsets the exposure rather than spreading it, while paying both funds' fees.

Fees and Cost Over Time

DRIP charges 1.01% per year while VOO charges 0.03%. On a $10,000 position that is $101 vs $3 annually, a gap of $98 per year that compounds over a long holding period. On income, DRIP currently yields 4.57% against 1.04% for VOO.

Holdings Overlap

We hold position weights for 3 holdings in DRIP and 494 in VOO, totalling 116.4% and 99.5% 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 3 positions we hold weights for in DRIP and 494 in VOO, against full books of 8 and 509.

You are not choosing between two funds in isolation.

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

DRIPVOO

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, DRIP or VOO?

DRIP has an expense ratio of 1.01% while VOO charges 0.03%. VOO is the cheaper option, by $98 a year on a $10,000 investment.

Which performed better, DRIP or VOO?

Over the past year DRIP returned -56.51% vs +17.07% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (11 years), DRIP annualized -41.45% vs +12.91% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, DRIP or VOO?

DRIP has been the more volatile fund at 91.2% annualized versus 15.2% for VOO.

Should I hold both DRIP and VOO?

DRIP and VOO have a monthly-return correlation of -0.50, so they move opposite each other. Holding both offsets the exposure rather than spreading it, and pays both funds' fees on the way. This is information, not a recommendation.

Which pays a higher dividend, DRIP or VOO?

DRIP yields 4.57% while VOO yields 1.04%, so DRIP currently pays the higher dividend yield.

Is VOO better than DRIP?

VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. The two move opposite each other, correlation -0.50, so holding both offsets the exposure while paying both fees. Which one suits a particular account depends on what it is for. This is information, not a recommendation.