OBND 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

MetricOBNDVOOWinner
Expense Ratio0.55%0.03%
AUM$57M$979.0B
Dividend Yield6.27%1.09%
Holdings438509
YTD Return-2.52%+13.44%
1Y Return+0.09%+22.62%
3Y Return (annualized)+5.35%+21.47%
5Y Return (annualized)-+13.27%
Volatility (annualized)6.3%14.1%
Max Drawdown-15.9%-34.3%
Fund FamilyState Street Investment ManagementVanguard (US)
CategoryAllocation/BalancedEquity
InceptionSep 27, 2021Sep 7, 2010

OBND vs VOO Performance

State Street Loomis Sayles Opportunistic Bond ETF (OBND) is a ETF from State Street Investment Management and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year OBND returned +0.09% while VOO returned +22.62%. Year to date, OBND is down 2.52% versus a gain of 13.44% for VOO.

Over three years, OBND compounded at +5.35% per year against +21.47% for VOO. Across the full 5-year window we track, VOO has the edge at +13.55% annualized vs +1.43%. 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 6.3% for OBND. 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 -15.9% for OBND 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 0.77. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

OBND charges 0.55% per year while VOO charges 0.03%. On a $10,000 position that is $55 vs $3 annually, a gap of $52 per year that compounds over a long holding period. On income, OBND currently yields 6.27% against 1.09% for VOO.

Holdings Overlap

0.1%overlap

OBND and VOO share 1 holdings out of 513 unique holdings combined, representing a 0.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in OBNDWeight in VOODifference
BX0.05%0.14%0.09%

Frequently Asked Questions

Which is cheaper, OBND or VOO?

OBND has an expense ratio of 0.55% while VOO charges 0.03%. VOO is the cheaper option. On a $10,000 investment, that is $52 per year of difference.

Which performed better, OBND or VOO?

Over the past year OBND returned +0.09% vs +22.62% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (5 years), OBND annualized +1.43% vs +13.55% for VOO. Past performance does not guarantee future results.

Which is riskier, OBND or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 6.3% for OBND. Worst drawdown: OBND -15.9% vs VOO -34.3%.

Should I hold both OBND and VOO?

OBND and VOO have a monthly-return correlation of 0.77, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between OBND and VOO?

OBND and VOO share 1 common holdings with a 0.1% weight overlap. Combined, they hold 513 unique securities.

Which pays a higher dividend, OBND or VOO?

OBND yields 6.27% while VOO yields 1.09%, so OBND currently pays the higher dividend yield.

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