NAD 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

MetricNADVOOWinner
Expense Ratio3.74%0.03%
AUM-$979.0B
Dividend Yield7.09%1.09%
Holdings1,159509
YTD Return+1.87%+13.44%
1Y Return+11.69%+22.62%
3Y Return (annualized)+9.38%+21.47%
5Y Return (annualized)-0.56%+13.27%
Volatility (annualized)12.2%14.1%
Max Drawdown-51.9%-34.3%
Fund FamilyNuveenVanguard (US)
CategoryTax PreferredEquity
InceptionMay 26, 1999Sep 7, 2010

NAD vs VOO Performance

Nuveen Quality Municipal Income Fund (NAD) is a ETF from Nuveen and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year NAD returned +11.69% while VOO returned +22.62%. Year to date, NAD is up 1.87% versus a gain of 13.44% for VOO.

Over three years, NAD compounded at +9.38% per year against +21.47% for VOO; over five years the annualized figures are -0.56% and +13.27% respectively. Across the full 16-year window we track, VOO has the edge at +13.55% annualized vs +0.28%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 12.2% for NAD. 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 -51.9% for NAD 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 0.33. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

NAD charges 3.74% per year while VOO charges 0.03%. On a $10,000 position that is $374 vs $3 annually, a gap of $371 per year that compounds over a long holding period. On income, NAD currently yields 7.09% against 1.09% for VOO.

Holdings Overlap

0.0%overlap

NAD and VOO share 0 holdings out of 936 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, NAD or VOO?

NAD has an expense ratio of 3.74% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $371 per year of difference.

Which performed better, NAD or VOO?

Over the past year NAD returned +11.69% vs +22.62% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), NAD annualized +0.28% vs +13.55% for VOO. Past performance does not guarantee future results.

Which is riskier, NAD or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 12.2% for NAD. Worst drawdown: NAD -51.9% vs VOO -34.3%.

Should I hold both NAD and VOO?

NAD and VOO have a monthly-return correlation of 0.33, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between NAD and VOO?

NAD and VOO share 0 common holdings with a 0.0% weight overlap. Combined, they hold 936 unique securities.

Which pays a higher dividend, NAD or VOO?

NAD yields 7.09% while VOO yields 1.09%, so NAD currently pays the higher dividend yield.

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