PFM vs VOO
Invesco Dividend Achievers ETF vs Vanguard S&P 500 ETF
Which is better, PFM or VOO?
VOO has been ahead.
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.94. PFM is less concentrated, with 30.6% of the fund in its ten largest positions against 37.6%.
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
| Metric | PFM | VOO |
|---|---|---|
| Expense Ratio | 0.52% | 0.03%Best |
| AUM | $797M | $997.4B |
| Dividend Yield | 1.32% | 1.04% |
| Holdings | 434 | 509 |
| YTD Return | +9.87% | +11.98%Best |
| 1Y Return | +12.94% | +16.45%Best |
| 3Y Return (annualized) | +15.99% | +21.19%Best |
| 5Y Return (annualized) | +10.70% | +12.95%Best |
| Volatility (annualized) | 12.1%Best | 14.1% |
| Max Drawdown | -32.7%Best | -34.3% |
| $10,000 over 5 years | $16,624 | $18,384Best |
| Top 10 Weight | 30.6%Best | 37.6% |
| Fund Family | Invesco (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Sep 15, 2005 | Sep 7, 2010 |
Volatility and max drawdown are measured over the window both funds cover: Sep 9, 2010 to Sep 14, 2026 (16 years).
PFM 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.
PFM vs VOO Performance
Invesco Dividend Achievers ETF (PFM) is an ETF from Invesco (US) and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year PFM returned +12.94% while VOO returned +16.45%. Year to date, PFM is up 9.87% versus a gain of 11.98% for VOO.
Over three years, PFM compounded at +15.99% per year against +21.19% for VOO; over five years the annualized figures are +10.70% and +12.95% respectively. Across the full 16-year window we track, VOO has the edge at +13.37% annualized vs +10.36%.
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 12.1% for PFM. 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 -32.7% for PFM 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 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
PFM charges 0.52% per year while VOO charges 0.03%. On a $10,000 position that is $52 vs $3 annually, a gap of $49 per year that compounds over a long holding period. On income, PFM currently yields 1.32% against 1.04% for VOO.
Holdings Overlap
94.5% of PFM's money is in holdings VOO also owns. 49.1% of VOO's money is in holdings PFM also owns.
Most of PFM is already inside VOO. Owning both mostly buys the same companies twice.
203 positions in common, counted across the 424 positions we hold weights for in PFM and 494 in VOO, against full books of 434 and 509.
What only one of them owns
Our book lists 285 positions for VOO that do not appear in our book for PFM (50.1% of the fund), and 181 for PFM that do not appear in VOO (5.2%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in PFM | Weight in VOO | Difference |
|---|---|---|---|
| AAPLApple, Inc | 3.94% | 7.05% | 3.11% |
| MSFTMicrosoft Corp | 4.38% | 5.36% | 0.98% |
| AVGOBroadcom Inc | 3.22% | 2.86% | 0.36% |
| LLYEli Lilly & Co. | 3.90% | 1.41% | 2.49% |
| JPMJpmorgan Chase | 3.41% | 1.46% | 1.95% |
| WMTWalmart, Inc. | 2.99% | 0.76% | 2.23% |
| XOMExxon Mobil Corp. | 2.40% | 1.00% | 1.40% |
| JNJJohnson & Johnson - Common | 2.30% | 0.96% | 1.34% |
| VVisa Inc Class A | 2.25% | 0.93% | 1.32% |
| MAMastercard Inc | 1.85% | 0.72% | 1.13% |
94.5% of PFM 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.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, PFM or VOO?
PFM has an expense ratio of 0.52% while VOO charges 0.03%. VOO is the cheaper option, by $49 a year on a $10,000 investment.
Which performed better, PFM or VOO?
Over the past year PFM returned +12.94% vs +16.45% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), PFM annualized +10.36% vs +13.37% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PFM or VOO?
VOO has been the more volatile fund at 14.1% annualized versus 12.1% for PFM. Worst drawdown: PFM -32.7% vs VOO -34.3%.
Should I hold both PFM and VOO?
PFM and VOO have a monthly-return correlation of 0.94, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between PFM and VOO?
94.5% of PFM's money is in holdings VOO also owns. 49.1% of VOO's is in holdings PFM also owns. They hold 203 positions in common, counted across the 424 positions we hold weights for in PFM and 494 in VOO.
Which pays a higher dividend, PFM or VOO?
PFM yields 1.32% while VOO yields 1.04%, so PFM currently pays the higher dividend yield.
Is VOO better than PFM?
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.94. PFM is less concentrated, with 30.6% of the fund in its ten largest positions against 37.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.