VOO vs XBI
Vanguard S&P 500 ETF vs State Street SPDR S&P Biotech ETF
Which is better, VOO or XBI?
Large Cap Blend against Small Cap Blend.
VOO has a lower expense ratio. VOO led over 5Y, XBI over 1Y, 3Y and the full window. XBI is less concentrated, with 13.9% of the fund in its ten largest positions against 36.4%.
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 | VOO | XBI |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.35% |
| AUM | $997.4B | $11.5B |
| Dividend Yield | 1.04% | 0.35% |
| Holdings | 509 | 160 |
| YTD Return | +11.55% | +29.18%Best |
| 1Y Return | +17.54% | +67.77%Best |
| 3Y Return (annualized) | +20.71% | +26.05%Best |
| 5Y Return (annualized) | +12.80%Best | +3.68% |
| Volatility (annualized) | 14.1%Best | 27.8% |
| Max Drawdown | -34.3%Best | -63.9% |
| $10,000 over 5 years | $18,262Best | $11,980 |
| Top 10 Weight | 36.4% | 13.9%Best |
| Fund Family | Vanguard (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Small Cap Blend |
| Inception | Sep 7, 2010 | Jan 31, 2006 |
Volatility and max drawdown are measured over the window both funds cover: Sep 9, 2010 to Sep 10, 2026 (16 years).
VOO vs XBI 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.
VOO vs XBI Performance
Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US) and State Street SPDR S&P Biotech ETF (XBI) is an ETF from State Street Investment Management. Over the past year VOO returned +17.54% while XBI returned +67.77%. Year to date, VOO is up 11.55% versus a gain of 29.18% for XBI.
Over three years, VOO compounded at +20.71% per year against +26.05% for XBI; over five years the annualized figures are +12.80% and +3.68% respectively. Across the full 16-year window we track, XBI has the edge at +14.30% annualized vs +13.35%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XBI has been the more volatile fund, with annualized monthly volatility of 27.8% 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 -34.3% for VOO and -63.9% for XBI. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.55. They move together some of the time, and apart the rest.
Fees and Cost Over Time
VOO charges 0.03% per year while XBI charges 0.35%. On a $10,000 position that is $3 vs $35 annually, a gap of $32 per year that compounds over a long holding period. On income, VOO currently yields 1.04% against 0.35% for XBI.
Holdings Overlap
1.6% of VOO's money is in holdings XBI also owns. 9.0% of XBI's money is in holdings VOO also owns.
XBI and VOO share little of their money.
8 positions in common, counted across the 505 positions we hold weights for in VOO and 151 in XBI, against full books of 509 and 160.
What only one of them owns
Our book lists 136 positions for XBI that do not appear in our book for VOO (86.1% of the fund), and 488 for VOO that do not appear in XBI (97.8%).
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 VOO | Weight in XBI | Difference |
|---|---|---|---|
| ABBVAbbvie Inc. | 0.69% | 1.07% | 0.38% |
| AMGNAmgen Inc. | 0.30% | 1.14% | 0.84% |
| REGNRegeneron Pharmaceuticals, Inc. | 0.10% | 1.24% | 1.14% |
| GILDGilead Sciences Inc | 0.24% | 1.09% | 0.85% |
| VRTXVertex Pharmaceuticals Inc | 0.20% | 1.08% | 0.88% |
| MRNAModerna Inc | 0.04% | 1.22% | 1.18% |
| INCYIncyte Corp. | 0.03% | 1.13% | 1.10% |
| BIIBBiogen Inc. | 0.05% | 1.06% | 1.01% |
You are not choosing between two funds in isolation.
Whichever of VOO and XBI you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, VOO or XBI?
VOO has an expense ratio of 0.03% while XBI charges 0.35%. VOO is the cheaper option, by $32 a year on a $10,000 investment.
Which performed better, VOO or XBI?
Over the past year VOO returned +17.54% vs +67.77% for XBI, so XBI leads on 1-year performance. Over the longest common window we track (16 years), VOO annualized +13.35% vs +14.30% for XBI. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VOO or XBI?
XBI has been the more volatile fund at 27.8% annualized versus 14.1% for VOO. Worst drawdown: VOO -34.3% vs XBI -63.9%.
Should I hold both VOO and XBI?
VOO and XBI have a monthly-return correlation of 0.55, 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 VOO and XBI?
9.0% of XBI's money is in holdings VOO also owns. 9.0% of XBI's is in holdings VOO also owns. They hold 8 positions in common, counted across the 505 positions we hold weights for in VOO and 151 in XBI.
Which pays a higher dividend, VOO or XBI?
VOO yields 1.04% while XBI yields 0.35%, so VOO currently pays the higher dividend yield.
Is XBI better than VOO?
VOO has a lower expense ratio. VOO led over 5Y, XBI over 1Y, 3Y and the full window. XBI is less concentrated, with 13.9% 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.