PSET vs VOO

PSET vs VOO

Which is better, PSET 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. PSET is less concentrated, with 32.5% of the fund in its ten largest positions against 37.6%.

Lower Fees: VOOHigher Returns: VOOLess Concentrated: PSET

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

MetricPSETVOO
Expense Ratio0.15%0.03%Best
AUM$29M$997.4B
Dividend Yield0.67%1.04%
Holdings75509
YTD Return+1.82%+11.01%Best
1Y Return+2.56%+15.60%Best
3Y Return (annualized)+12.09%+20.82%Best
5Y Return (annualized)+7.52%+12.60%Best
Volatility (annualized)15.1%Tie15.1%Tie
Max Drawdown-34.8%-34.3%Best
$10,000 over 5 years$14,370$18,101Best
Top 10 Weight32.5%Best37.6%
Fund FamilyPrincipal FundsVanguard (US)
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Blend
InceptionMar 21, 2016Sep 7, 2010

Volatility and max drawdown are measured over the window both funds cover: Mar 22, 2016 to Sep 16, 2026 (10.5 years).

PSET 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 10.5 years both funds cover.

PSET vs VOO Performance

Principal Quality ETF (PSET) is an ETF from Principal Funds and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year PSET returned +2.56% while VOO returned +15.60%. Year to date, PSET is up 1.82% versus a gain of 11.01% for VOO.

Over three years, PSET compounded at +12.09% per year against +20.82% for VOO; over five years the annualized figures are +7.52% and +12.60% respectively. Across the full 11-year window we track, VOO has the edge at +14.12% annualized vs +11.89%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PSET and VOO have been equally volatile, both at 15.1% annualized.

The deepest peak-to-trough decline in our data was -34.8% for PSET 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

PSET charges 0.15% per year while VOO charges 0.03%. On a $10,000 position that is $15 vs $3 annually, a gap of $12 per year that compounds over a long holding period. On income, PSET currently yields 0.67% against 1.04% for VOO.

Holdings Overlap

PSET already in VOO93.3%
VOO already in PSET45.5%

93.3% of PSET's money is in holdings VOO also owns. 45.5% of VOO's money is in holdings PSET also owns.

Most of PSET is already inside VOO. Owning both mostly buys the same companies twice.

66 positions in common, counted across the 73 positions we hold weights for in PSET and 494 in VOO, against full books of 75 and 509.

What only one of them owns

Our book lists 422 positions for VOO that do not appear in our book for PSET (53.7% of the fund), and 5 for PSET that do not appear in VOO (4.5%).

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

StockWeight in PSETWeight in VOODifference
NVDANvidia Corp6.73%7.55%0.82%
AAPLApple, Inc5.68%7.05%1.37%
MSFTMicrosoft Corp4.23%5.36%1.13%
AMZNAmazon.Com Inc2.31%4.13%1.82%
GOOGAlphabet Inc2.77%2.62%0.15%
GOOGLAlphabet Inc,class A1.23%3.24%2.01%
AVGOBroadcom Inc1.22%2.86%1.64%
PANWPalo Alto Networks, Inc2.80%0.42%2.38%
VVisa Inc Class A2.21%0.93%1.28%
METAMeta Platforms Inc0.75%1.90%1.15%

93.3% of PSET 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.

PSETVOO

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, PSET or VOO?

PSET has an expense ratio of 0.15% while VOO charges 0.03%. VOO is the cheaper option, by $12 a year on a $10,000 investment.

Which performed better, PSET or VOO?

Over the past year PSET returned +2.56% vs +15.60% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (11 years), PSET annualized +11.89% vs +14.12% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PSET or VOO?

PSET and VOO have been equally volatile, both at 15.1% annualized. Worst drawdown: PSET -34.8% vs VOO -34.3%.

Should I hold both PSET and VOO?

PSET 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 PSET and VOO?

93.3% of PSET's money is in holdings VOO also owns. 45.5% of VOO's is in holdings PSET also owns. They hold 66 positions in common, counted across the 73 positions we hold weights for in PSET and 494 in VOO.

Which pays a higher dividend, PSET or VOO?

PSET yields 0.67% while VOO yields 1.04%, so VOO currently pays the higher dividend yield.

Is VOO better than PSET?

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. PSET is less concentrated, with 32.5% 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.