ITA vs VOO
iShares US Aerospace & Defense ETF vs Vanguard S&P 500 ETF
Which is better, ITA or VOO?
Each has led over a different period.
VOO has a lower expense ratio. ITA led over 3Y, 5Y and the full window, VOO over 1Y. VOO is less concentrated, with 39.1% of the fund in its ten largest positions against 75.5%.
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
| Metric | ITA | VOO |
|---|---|---|
| Expense Ratio | 0.37% | 0.03%Best |
| AUM | $11.6B | $1.0T |
| Dividend Yield | 0.26% | 1.05% |
| Holdings | 108 | 519 |
| YTD Return | -0.78% | +12.11%Best |
| 1Y Return | +4.64% | +12.50%Best |
| 3Y Return (annualized) | +24.90%Best | +21.54% |
| 5Y Return (annualized) | +16.46%Best | +11.93% |
| Volatility (annualized) | 18.8% | 14.0%Best |
| Max Drawdown | -51.0% | -34.3%Best |
| $10,000 over 5 years | $21,423Best | $17,568 |
| Top 10 Weight | 75.5% | 39.1%Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | May 1, 2006 | Sep 7, 2010 |
Volatility and max drawdown are measured over the window both funds cover: Sep 9, 2010 to Nov 11, 2026 (16.2 years).
ITA 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 16.2 years both funds cover.
ITA vs VOO Performance
iShares US Aerospace & Defense ETF (ITA) is an ETF from iShares by BlackRock (US) and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year ITA returned +4.64% while VOO returned +12.50%. Year to date, ITA is down 0.78% versus a gain of 12.11% for VOO.
Over three years, ITA compounded at +24.90% per year against +21.54% for VOO; over five years the annualized figures are +16.46% and +11.93% respectively. Across the full 16-year window we track, ITA has the edge at +15.43% annualized vs +13.24%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ITA has been the more volatile fund, with annualized monthly volatility of 18.8% compared with 14.0% 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 -51.0% for ITA 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 0.73. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
ITA charges 0.37% per year while VOO charges 0.03%. On a $10,000 position that is $37 vs $3 annually, a gap of $34 per year that compounds over a long holding period. On income, ITA currently yields 0.26% against 1.05% for VOO.
Holdings Overlap
79.9% of ITA's money is in holdings VOO also owns. 1.9% of VOO's money is in holdings ITA also owns.
Most of ITA is already inside VOO. Owning both mostly buys the same companies twice.
13 positions in common, counted across the 51 positions we hold weights for in ITA and 506 in VOO, against full books of 108 and 519.
What only one of them owns
Our book lists 488 positions for VOO that do not appear in our book for ITA (98.0% of the fund), and 38 for ITA that do not appear in VOO (20.0%).
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
| Stock | Weight in ITA | Weight in VOO | Difference |
|---|---|---|---|
| GEGeneral Electric Co. | 20.90% | 0.49% | 20.41% |
| RTXRtx Corp | 16.49% | 0.38% | 16.11% |
| BABoeing Co | 7.53% | 0.22% | 7.31% |
| LMTLockheed Martin | 4.78% | 0.16% | 4.62% |
| TDGTransdigm Group Inc. | 4.74% | 0.09% | 4.65% |
| NOCNorthrop Grumman Corp. | 4.62% | 0.10% | 4.52% |
| GDGeneral Dynamics Corp. | 4.56% | 0.13% | 4.43% |
| HWMHowmet Aerospace | 4.49% | 0.14% | 4.35% |
| HONAHoneywell Aerospace Inc | 3.91% | 0.07% | 3.84% |
| LHXL3Harris Technologies Inc. | 3.48% | 0.07% | 3.41% |
79.9% of ITA is already inside VOO.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, ITA or VOO?
ITA has an expense ratio of 0.37% while VOO charges 0.03%. VOO is the cheaper option, by $34 a year on a $10,000 investment.
Which performed better, ITA or VOO?
Over the past year ITA returned +4.64% vs +12.50% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), ITA annualized +15.43% vs +13.24% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ITA or VOO?
ITA has been the more volatile fund at 18.8% annualized versus 14.0% for VOO. Worst drawdown: ITA -51.0% vs VOO -34.3%.
Should I hold both ITA and VOO?
ITA and VOO have a monthly-return correlation of 0.73, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between ITA and VOO?
79.9% of ITA's money is in holdings VOO also owns. 1.9% of VOO's is in holdings ITA also owns. They hold 13 positions in common, counted across the 51 positions we hold weights for in ITA and 506 in VOO.
Which pays a higher dividend, ITA or VOO?
ITA yields 0.26% while VOO yields 1.05%, so VOO currently pays the higher dividend yield.
Is VOO better than ITA?
VOO has a lower expense ratio. ITA led over 3Y, 5Y and the full window, VOO over 1Y. VOO is less concentrated, with 39.1% of the fund in its ten largest positions against 75.5%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.