KBWR vs VOO

KBWR vs VOO
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Quick Verdict

VOO has a lower expense ratio. VOO delivered stronger 1-year returns. VOO offers more diversification with 509 holdings.

Lower Fees: VOOHigher Returns: VOOMore Diversified: VOO

Side-by-Side Comparison

MetricKBWRVOOWinner
Expense Ratio0.35%0.03%
AUM$52M$997.4B
Dividend Yield2.65%1.08%
Holdings52509
YTD Return+11.45%+12.25%
1Y Return+13.84%+20.92%
3Y Return (annualized)+8.55%+21.79%
5Y Return (annualized)+6.18%+13.05%
Volatility (annualized)27.1%14.1%
Max Drawdown-52.9%-34.3%
Fund FamilyInvesco (US)Vanguard (US)
CategoryEquityEquity
InceptionNov 1, 2011Sep 7, 2010

KBWR vs VOO Performance

Invesco KBW Regional Banking ETF (KBWR) is a ETF from Invesco (US) and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year KBWR returned +13.84% while VOO returned +20.92%. Year to date, KBWR is up 11.45% versus a gain of 12.25% for VOO.

Over three years, KBWR compounded at +8.55% per year against +21.79% for VOO; over five years the annualized figures are +6.18% and +13.05% respectively. Across the full 14-year window we track, VOO has the edge at +13.45% annualized vs +10.69%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

KBWR has been the more volatile fund, with annualized monthly volatility of 27.1% compared with 14.1% 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 -52.9% for KBWR 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 0.54. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

KBWR charges 0.35% per year while VOO charges 0.03%. On a $10,000 position that is $35 vs $3 annually, a gap of $32 per year that compounds over a long holding period. On income, KBWR currently yields 2.65% against 1.08% for VOO.

Holdings Overlap

0.0%overlap

KBWR and VOO share 0 holdings out of 556 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, KBWR or VOO?

KBWR has an expense ratio of 0.35% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $32 per year of difference.

Which performed better, KBWR or VOO?

Over the past year KBWR returned +13.84% vs +20.92% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (14 years), KBWR annualized +10.69% vs +13.45% for VOO. Past performance does not guarantee future results.

Which is riskier, KBWR or VOO?

KBWR has been the more volatile fund at 27.1% annualized versus 14.1% for VOO. Worst drawdown: KBWR -52.9% vs VOO -34.3%.

Should I hold both KBWR and VOO?

KBWR and VOO have a monthly-return correlation of 0.54, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between KBWR and VOO?

KBWR and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 556 unique securities.

Which pays a higher dividend, KBWR or VOO?

KBWR yields 2.65% while VOO yields 1.08%, so KBWR currently pays the higher dividend yield.

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