DTF 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

MetricDTFVOOWinner
Expense Ratio2.27%0.03%
AUM$84M$979.0B
Dividend Yield3.24%1.09%
Holdings82509
YTD Return+3.30%+13.80%
1Y Return+5.53%+23.71%
3Y Return (annualized)+5.69%+21.50%
5Y Return (annualized)-1.52%+13.44%
Volatility (annualized)10.2%14.1%
Max Drawdown-48.4%-34.3%
Fund FamilyDuff & Phelps Investment Management Co.Vanguard (US)
CategoryTax PreferredEquity
InceptionNov 29, 1991Sep 7, 2010

DTF vs VOO Performance

DTF Tax-Free Income 2028 Term Fund Inc (DTF) is a ETF from Duff & Phelps Investment Management Co. and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year DTF returned +5.53% while VOO returned +23.71%. Year to date, DTF is up 3.30% versus a gain of 13.80% for VOO.

Over three years, DTF compounded at +5.69% per year against +21.50% for VOO; over five years the annualized figures are -1.52% and +13.44% respectively. Across the full 16-year window we track, VOO has the edge at +13.58% annualized vs -0.34%. 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 10.2% for DTF. 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 -48.4% for DTF 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 0.31. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

DTF charges 2.27% per year while VOO charges 0.03%. On a $10,000 position that is $227 vs $3 annually, a gap of $224 per year that compounds over a long holding period. On income, DTF currently yields 3.24% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

DTF and VOO share 0 holdings out of 529 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, DTF or VOO?

DTF has an expense ratio of 2.27% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $224 per year of difference.

Which performed better, DTF or VOO?

Over the past year DTF returned +5.53% vs +23.71% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), DTF annualized -0.34% vs +13.58% for VOO. Past performance does not guarantee future results.

Which is riskier, DTF or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 10.2% for DTF. Worst drawdown: DTF -48.4% vs VOO -34.3%.

Should I hold both DTF and VOO?

DTF and VOO have a monthly-return correlation of 0.31, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between DTF and VOO?

DTF and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 529 unique securities.

Which pays a higher dividend, DTF or VOO?

DTF yields 3.24% while VOO yields 1.09%, so DTF currently pays the higher dividend yield.

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