LQDB vs VOO
iShares BBB Rated Corporate Bond ETF vs Vanguard S&P 500 ETF
Which is better, LQDB or VOO?
VOO has been ahead.
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window.
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 | LQDB | VOO |
|---|---|---|
| Expense Ratio | 0.15% | 0.03%Best |
| AUM | $59M | $997.4B |
| Dividend Yield | 4.80% | 1.04% |
| Holdings | 1,713 | 509 |
| YTD Return | -0.89% | +11.01%Best |
| 1Y Return | -0.83% | +15.60%Best |
| 3Y Return (annualized) | +5.24% | +20.82%Best |
| 5Y Return (annualized) | -0.07% | +12.60%Best |
| Volatility (annualized) | 7.7%Best | 15.4% |
| Max Drawdown | -21.6%Best | -24.5% |
| $10,000 over 5 years | $9,965 | $18,101Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Blend |
| Inception | May 18, 2021 | Sep 7, 2010 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 20, 2021 to Sep 16, 2026 (5.3 years).
LQDB 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 5.3 years both funds cover.
LQDB vs VOO Performance
iShares BBB Rated Corporate Bond ETF (LQDB) 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 LQDB returned -0.83% while VOO returned +15.60%. Year to date, LQDB is down 0.89% versus a gain of 11.01% for VOO.
Over three years, LQDB compounded at +5.24% per year against +20.82% for VOO; over five years the annualized figures are -0.07% and +12.60% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VOO has been the more volatile fund, with annualized monthly volatility of 15.4% compared with 7.7% for LQDB. 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 -21.6% for LQDB and -24.5% 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
LQDB charges 0.15% per year while VOO charges 0.03%. On a $10,000 position that is $15 vs $3 annually, a gap of $12 per year that compounds over a long holding period. On income, LQDB currently yields 4.80% against 1.04% for VOO.
Holdings Overlap
At least 0.1% of VOO's money is in holdings LQDB also owns.
Stated as a floor: for LQDB, our book for it covers 77.8% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
1 positions in common, counted across the 1,173 positions we hold weights for in LQDB and 494 in VOO, against full books of 1,713 and 509.
Top Shared Holdings
| Stock | Weight in LQDB | Weight in VOO | Difference |
|---|---|---|---|
| TMUST-Mobile Usa Inc Esrw Usd Npv Ref Sm#585558 | 0.24% | 0.12% | 0.12% |
You are not choosing between two funds in isolation.
Whichever of LQDB and VOO you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, LQDB or VOO?
LQDB has an expense ratio of 0.15% while VOO charges 0.03%. VOO is the cheaper option, by $12 a year on a $10,000 investment.
Which performed better, LQDB or VOO?
Over the past year LQDB returned -0.83% vs +15.60% for VOO, so VOO leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LQDB or VOO?
VOO has been the more volatile fund at 15.4% annualized versus 7.7% for LQDB. Worst drawdown: LQDB -21.6% vs VOO -24.5%.
Should I hold both LQDB and VOO?
LQDB 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, LQDB or VOO?
LQDB yields 4.80% while VOO yields 1.04%, so LQDB currently pays the higher dividend yield.
Is VOO better than LQDB?
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.