FDEM vs VOO

FDEM vs VOO

Which is better, FDEM or VOO?

Each has led over a different period.

VOO has a lower expense ratio. FDEM led over 1Y, VOO over 3Y, 5Y and the full window. VOO is less concentrated, with 36.4% of the fund in its ten largest positions against 38.9%.

Lower Fees: VOOHigher Returns: splitLess Concentrated: 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

MetricFDEMVOO
Expense Ratio0.25%0.03%Best
AUM$581M$997.4B
Dividend Yield3.00%1.08%
Holdings239509
YTD Return+16.97%Best+13.37%
1Y Return+28.82%Best+20.08%
3Y Return (annualized)+20.84%+21.29%Best
5Y Return (annualized)+9.68%+12.89%Best
Volatility (annualized)15.6%Best16.4%
Max Drawdown-33.6%Best-34.3%
$10,000 over 5 years$15,872$18,335Best
Top 10 Weight38.9%36.4%Best
Fund FamilyFidelity Investments (US)Vanguard (US)
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Blend
InceptionFeb 26, 2019Sep 7, 2010

Volatility and max drawdown are measured over the window both funds cover: Feb 28, 2019 to Sep 4, 2026 (7.5 years).

FDEM 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 7.5 years both funds cover.

FDEM vs VOO Performance

Fidelity Emerging Markets Multifactor ETF (FDEM) is an ETF from Fidelity Investments (US) and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year FDEM returned +28.82% while VOO returned +20.08%. Year to date, FDEM is up 16.97% versus a gain of 13.37% for VOO.

Over three years, FDEM compounded at +20.84% per year against +21.29% for VOO; over five years the annualized figures are +9.68% and +12.89% respectively. Across the full 8-year window we track, VOO has the edge at +15.68% annualized vs +8.59%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 16.4% compared with 15.6% for FDEM. 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 -33.6% for FDEM 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 0.72. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FDEM charges 0.25% per year while VOO charges 0.03%. On a $10,000 position that is $25 vs $3 annually, a gap of $22 per year that compounds over a long holding period. On income, FDEM currently yields 3.00% against 1.08% for VOO.

Holdings Overlap

We hold position weights for 199 holdings in FDEM and 505 in VOO, totalling 99.4% 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 199 positions we hold weights for in FDEM and 505 in VOO, against full books of 239 and 509.

What only one of them owns

Our book lists 497 positions for VOO that do not appear in our book for FDEM (99.5% of the fund), and 7 for FDEM that do not appear in VOO (2.8%).

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.

You are not choosing between two funds in isolation.

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

FDEMVOO

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, FDEM or VOO?

FDEM has an expense ratio of 0.25% while VOO charges 0.03%. VOO is the cheaper option, by $22 a year on a $10,000 investment.

Which performed better, FDEM or VOO?

Over the past year FDEM returned +28.82% vs +20.08% for VOO, so FDEM leads on 1-year performance. Over the longest common window we track (8 years), FDEM annualized +8.59% vs +15.68% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FDEM or VOO?

VOO has been the more volatile fund at 16.4% annualized versus 15.6% for FDEM. Worst drawdown: FDEM -33.6% vs VOO -34.3%.

Should I hold both FDEM and VOO?

FDEM and VOO have a monthly-return correlation of 0.72, 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, FDEM or VOO?

FDEM yields 3.00% while VOO yields 1.08%, so FDEM currently pays the higher dividend yield.

Is VOO better than FDEM?

VOO has a lower expense ratio. FDEM led over 1Y, VOO over 3Y, 5Y and the full window. VOO is less concentrated, with 36.4% of the fund in its ten largest positions against 38.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.