VOO vs XHB
Vanguard S&P 500 ETF vs State Street SPDR S&P Homebuilders ETF
Which is better, VOO or XHB?
Large Cap Blend against Mid Cap Blend.
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. VOO is less concentrated, with 36.4% of the fund in its ten largest positions against 39.6%.
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 | VOO | XHB |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.35% |
| AUM | $997.4B | $1.3B |
| Dividend Yield | 1.04% | 0.55% |
| Holdings | 509 | 35 |
| YTD Return | +11.55%Best | -6.96% |
| 1Y Return | +17.54%Best | -15.71% |
| 3Y Return (annualized) | +20.71%Best | +6.37% |
| 5Y Return (annualized) | +12.80%Best | +5.63% |
| Volatility (annualized) | 14.1%Best | 24.8% |
| Max Drawdown | -34.3%Best | -49.8% |
| $10,000 over 5 years | $18,262Best | $13,150 |
| Top 10 Weight | 36.4%Best | 39.6% |
| Fund Family | Vanguard (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Mid 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 XHB 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 XHB Performance
Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US) and State Street SPDR S&P Homebuilders ETF (XHB) is an ETF from State Street Investment Management. Over the past year VOO returned +17.54% while XHB returned -15.71%. Year to date, VOO is up 11.55% versus a loss of 6.96% for XHB.
Over three years, VOO compounded at +20.71% per year against +6.37% for XHB; over five years the annualized figures are +12.80% and +5.63% respectively. Across the full 16-year window we track, VOO has the edge at +13.35% annualized vs +12.63%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XHB has been the more volatile fund, with annualized monthly volatility of 24.8% 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 -49.8% for XHB. 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
VOO charges 0.03% per year while XHB 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 0.55% for XHB.
Holdings Overlap
1.4% of VOO's money is in holdings XHB also owns. 49.0% of XHB's money is in holdings VOO also owns.
The two portfolios partly overlap.
The two holdings books were reported 62 days apart, VOO as of Jun 30, 2026 and XHB as of Aug 31, 2026, so some of the difference between them is the time between the two reports rather than the funds.
14 positions in common, counted across the 505 positions we hold weights for in VOO and 34 in XHB, against full books of 509 and 35.
What only one of them owns
Our book lists 20 positions for XHB that do not appear in our book for VOO (51.0% of the fund), and 482 for VOO that do not appear in XHB (98.0%).
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 XHB | Difference |
|---|---|---|---|
| ALLEAllegion Plc | 0.02% | 4.27% | 4.25% |
| HDHome Depot Inc/The | 0.54% | 3.66% | 3.12% |
| WSMWilliams-sonoma Inc | 0.04% | 3.93% | 3.89% |
| PHMPultegroup Inc. | 0.04% | 3.79% | 3.75% |
| TTTrane Technologies Plc Common Stock | 0.17% | 3.52% | 3.35% |
| JCIJohnson Controls Internation S | 0.14% | 3.53% | 3.39% |
| MASMasco Corp. | 0.03% | 3.62% | 3.59% |
| NVRNvr Inc. | 0.03% | 3.56% | 3.53% |
| DHIDr Horton Inc. | 0.07% | 3.51% | 3.44% |
| LOWLowes Cos., Inc. | 0.19% | 3.37% | 3.18% |
49.0% of XHB 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, VOO or XHB?
VOO has an expense ratio of 0.03% while XHB charges 0.35%. VOO is the cheaper option, by $32 a year on a $10,000 investment.
Which performed better, VOO or XHB?
Over the past year VOO returned +17.54% vs -15.71% for XHB, so VOO leads on 1-year performance. Over the longest common window we track (16 years), VOO annualized +13.35% vs +12.63% for XHB. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VOO or XHB?
XHB has been the more volatile fund at 24.8% annualized versus 14.1% for VOO. Worst drawdown: VOO -34.3% vs XHB -49.8%.
Should I hold both VOO and XHB?
VOO and XHB 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 VOO and XHB?
49.0% of XHB's money is in holdings VOO also owns. 49.0% of XHB's is in holdings VOO also owns. They hold 14 positions in common, counted across the 505 positions we hold weights for in VOO and 34 in XHB.
Which pays a higher dividend, VOO or XHB?
VOO yields 1.04% while XHB yields 0.55%, so VOO currently pays the higher dividend yield.
Is XHB better than VOO?
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. VOO is less concentrated, with 36.4% of the fund in its ten largest positions against 39.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.