PEY vs VOO

PEY vs VOO

Which is better, PEY or VOO?

Small Cap Value against Large Cap Blend.

VOO has a lower expense ratio. PEY led over 1Y, VOO over 3Y, 5Y and the full window. PEY is less concentrated, with 29.6% of the fund in its ten largest positions against 36.4%.

Lower Fees: VOOHigher Returns: splitLess Concentrated: PEY

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

MetricPEYVOO
Expense Ratio0.54%0.03%Best
AUM$1.2B$997.4B
Dividend Yield4.22%1.08%
Holdings52509
YTD Return+22.22%Best+12.74%
1Y Return+20.10%Best+19.43%
3Y Return (annualized)+12.11%+21.18%Best
5Y Return (annualized)+8.56%+12.76%Best
Volatility (annualized)14.6%14.1%Best
Max Drawdown-42.3%-34.3%Best
$10,000 over 5 years$15,078$18,230Best
Top 10 Weight29.6%Best36.4%
Fund FamilyInvesco (US)Vanguard (US)
CategoryEquityEquity
StyleSmall Cap ValueLarge Cap Blend
InceptionDec 9, 2004Sep 7, 2010

Volatility and max drawdown are measured over the window both funds cover: Sep 9, 2010 to Sep 8, 2026 (16 years).

PEY 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 16 years both funds cover.

PEY vs VOO Performance

Invesco High Yield Equity Dividend Achievers ETF (PEY) is an ETF from Invesco (US) and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year PEY returned +20.10% while VOO returned +19.43%. Year to date, PEY is up 22.22% versus a gain of 12.74% for VOO.

Over three years, PEY compounded at +12.11% per year against +21.18% for VOO; over five years the annualized figures are +8.56% and +12.76% respectively. Across the full 16-year window we track, VOO has the edge at +13.43% annualized vs +8.86%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PEY has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 14.1% for VOO. 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 -42.3% for PEY and -34.3% 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 0.76. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PEY charges 0.54% per year while VOO charges 0.03%. On a $10,000 position that is $54 vs $3 annually, a gap of $51 per year that compounds over a long holding period. On income, PEY currently yields 4.22% against 1.08% for VOO.

Holdings Overlap

PEY already in VOO50.2%
VOO already in PEY2.3%

50.2% of PEY's money is in holdings VOO also owns. 2.3% of VOO's money is in holdings PEY also owns.

The two portfolios partly overlap.

26 positions in common, counted across the 51 positions we hold weights for in PEY and 504 in VOO, against full books of 52 and 509.

What only one of them owns

Measured across the 51 and 504 positions we hold weights for.

VOO holds 468 positions PEY does not, 97.0% of the fund.

Largest: NVDA 7.51%, AAPL 6.59%, MSFT 4.30%, AMZN 3.62%, GOOGL 3.25%

Top Shared Holdings

StockWeight in PEYWeight in VOODifference
PFEPfizer, Inc.2.39%0.21%2.18%
PRUPrudential Financial Inc.2.48%0.06%2.42%
LYBLyondellbasell Industries N V Shs A2.44%0.02%2.42%
UPSUnited Parcel Service, Inc2.32%0.12%2.20%
CLXClorox Co.2.36%0.02%2.34%
MOAltria Group Inc.2.18%0.19%1.99%
VZVerizon Communications Inc Com Usd12.09%0.27%1.82%
KMBKimberly-Clark Corp.2.19%0.06%2.13%
PAYXPaychex, Inc.2.08%0.05%2.03%
HRLHormel Foods Corp.2.04%0.01%2.03%

50.2% of PEY is already inside VOO.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

PEYVOO

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Frequently Asked Questions

Which is cheaper, PEY or VOO?

PEY has an expense ratio of 0.54% while VOO charges 0.03%. VOO is the cheaper option, by $51 a year on a $10,000 investment.

Which performed better, PEY or VOO?

Over the past year PEY returned +20.10% vs +19.43% for VOO, so PEY leads on 1-year performance. Over the longest common window we track (16 years), PEY annualized +8.86% vs +13.43% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PEY or VOO?

PEY has been the more volatile fund at 14.6% annualized versus 14.1% for VOO. Worst drawdown: PEY -42.3% vs VOO -34.3%.

Should I hold both PEY and VOO?

PEY and VOO have a monthly-return correlation of 0.76, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between PEY and VOO?

50.2% of PEY's money is in holdings VOO also owns. 2.3% of VOO's is in holdings PEY also owns. They hold 26 positions in common, counted across the 51 positions we hold weights for in PEY and 504 in VOO.

Which pays a higher dividend, PEY or VOO?

PEY yields 4.22% while VOO yields 1.08%, so PEY currently pays the higher dividend yield.

Is VOO better than PEY?

VOO has a lower expense ratio. PEY led over 1Y, VOO over 3Y, 5Y and the full window. PEY is less concentrated, with 29.6% of the fund in its ten largest positions against 36.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.