LFAW 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

MetricLFAWVOOWinner
Expense Ratio0.25%0.03%
AUM$4M$979.0B
Dividend Yield6.25%1.09%
Holdings23509
YTD Return-5.98%+13.44%
1Y Return-4.39%+22.62%
3Y Return (annualized)-+21.47%
5Y Return (annualized)-+13.27%
Volatility (annualized)8.3%14.1%
Max Drawdown-11.4%-34.3%
Fund FamilyStone Ridge Asset ManagementVanguard (US)
CategoryFixed IncomeEquity
InceptionJan 8, 2024Sep 7, 2010

LFAW vs VOO Performance

LifeX 2060 Longevity Income ETF (LFAW) is a ETF from Stone Ridge Asset Management and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year LFAW returned -4.39% while VOO returned +22.62%. Year to date, LFAW is down 5.98% versus a gain of 13.44% for VOO.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 8.3% for LFAW. 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 -11.4% for LFAW 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 0.19. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

LFAW 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, LFAW currently yields 6.25% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

LFAW and VOO share 0 holdings out of 522 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, LFAW or VOO?

LFAW has an expense ratio of 0.25% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $22 per year of difference.

Which performed better, LFAW or VOO?

Over the past year LFAW returned -4.39% vs +22.62% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (2 years), LFAW annualized -5.58% vs +13.55% for VOO. Past performance does not guarantee future results.

Which is riskier, LFAW or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 8.3% for LFAW. Worst drawdown: LFAW -11.4% vs VOO -34.3%.

Should I hold both LFAW and VOO?

LFAW and VOO have a monthly-return correlation of 0.19, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between LFAW and VOO?

LFAW and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 522 unique securities.

Which pays a higher dividend, LFAW or VOO?

LFAW yields 6.25% while VOO yields 1.09%, so LFAW currently pays the higher dividend yield.

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