PFFD vs VOO

PFFD vs VOO
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Quick Verdict

VOO has a lower expense ratio. VOO delivered stronger 1-year returns. VOO offers more diversification with 509 holdings.

Lower Fees: VOOHigher Returns: VOOMore Diversified: VOO

Side-by-Side Comparison

MetricPFFDVOOWinner
Expense Ratio0.23%0.03%
AUM$2.2B$997.4B
Dividend Yield6.48%1.08%
Holdings228509
YTD Return-0.18%+13.25%
1Y Return+0.78%+19.96%
3Y Return (annualized)+5.21%+21.27%
5Y Return (annualized)-0.88%+12.81%
Volatility (annualized)10.6%14.1%
Max Drawdown-31.3%-34.3%
Fund FamilyGlobal X by mirae AssetVanguard (US)
CategoryAllocation/BalancedEquity
InceptionSep 11, 2017Sep 7, 2010

PFFD vs VOO Performance

Global X US Preferred ETF (PFFD) is a ETF from Global X by mirae Asset and Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US). Over the past year PFFD returned +0.78% while VOO returned +19.96%. Year to date, PFFD is down 0.18% versus a gain of 13.25% for VOO.

Over three years, PFFD compounded at +5.21% per year against +21.27% for VOO; over five years the annualized figures are -0.88% and +12.81% respectively. Across the full 9-year window we track, VOO has the edge at +13.49% annualized vs +0.18%. 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 10.6% for PFFD. 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 -31.3% for PFFD 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 0.72. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PFFD 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, PFFD currently yields 6.48% against 1.08% for VOO.

Holdings Overlap

1.5%overlap

PFFD and VOO share 15 holdings out of 543 unique holdings combined, representing a 1.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in PFFDWeight in VOODifference
DUK4.42%0.15%4.27%
NEE1.69%0.28%1.41%
XEL1.28%0.08%1.20%
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Frequently Asked Questions

Which is cheaper, PFFD or VOO?

PFFD 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, PFFD or VOO?

Over the past year PFFD returned +0.78% vs +19.96% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (9 years), PFFD annualized +0.18% vs +13.49% for VOO. Past performance does not guarantee future results.

Which is riskier, PFFD or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 10.6% for PFFD. Worst drawdown: PFFD -31.3% vs VOO -34.3%.

Should I hold both PFFD and VOO?

PFFD and VOO have a monthly-return correlation of 0.72, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between PFFD and VOO?

PFFD and VOO share 15 common holdings with a 1.5% weight overlap. Combined, they hold 543 unique securities.

Which pays a higher dividend, PFFD or VOO?

PFFD yields 6.48% while VOO yields 1.08%, so PFFD currently pays the higher dividend yield.

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