MUST 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

MetricMUSTVOOWinner
Expense Ratio0.23%0.03%
AUM$599M$979.0B
Dividend Yield3.31%1.09%
Holdings514509
YTD Return+0.74%+14.48%
1Y Return+5.05%+22.02%
3Y Return (annualized)+3.35%+21.80%
5Y Return (annualized)+0.49%+13.36%
Volatility (annualized)6.0%14.2%
Max Drawdown-13.8%-34.3%
Fund FamilyColumbia Threadneedle InvestmentsVanguard (US)
CategoryTax PreferredEquity
InceptionOct 10, 2018Sep 7, 2010

MUST vs VOO Performance

Columbia Multi-Sector Municipal Income ETF (MUST) is a ETF from Columbia Threadneedle Investments and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year MUST returned +5.05% while VOO returned +22.02%. Year to date, MUST is up 0.74% versus a gain of 14.48% for VOO.

Over three years, MUST compounded at +3.35% per year against +21.80% for VOO; over five years the annualized figures are +0.49% and +13.36% respectively. Across the full 8-year window we track, VOO has the edge at +13.61% annualized vs +2.06%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 14.2% compared with 6.0% for MUST. 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 -13.8% for MUST 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 0.50. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

MUST charges 0.23% per year while VOO charges 0.03%. On a $10,000 position that is $23 vs $3 annually, a gap of $20 per year that compounds over a long holding period. On income, MUST currently yields 3.31% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

MUST and VOO share 0 holdings out of 608 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, MUST or VOO?

MUST has an expense ratio of 0.23% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $20 per year of difference.

Which performed better, MUST or VOO?

Over the past year MUST returned +5.05% vs +22.02% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (8 years), MUST annualized +2.06% vs +13.61% for VOO. Past performance does not guarantee future results.

Which is riskier, MUST or VOO?

VOO has been the more volatile fund at 14.2% annualized versus 6.0% for MUST. Worst drawdown: MUST -13.8% vs VOO -34.3%.

Should I hold both MUST and VOO?

MUST and VOO have a monthly-return correlation of 0.50, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between MUST and VOO?

MUST and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 608 unique securities.

Which pays a higher dividend, MUST or VOO?

MUST yields 3.31% while VOO yields 1.09%, so MUST currently pays the higher dividend yield.

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