Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US) and State Street Financial Select Sector SPDR ETF (XLF) is a ETF from SPDR State Street Global Advisors. Over the past year VOO returned +23.71% while XLF returned +13.87%. Year to date, VOO is up 13.80% versus a gain of 5.77% for XLF.

Over three years, VOO compounded at +21.50% per year against +19.87% for XLF; over five years the annualized figures are +13.44% and +10.61% respectively. Across the full 16-year window we track, VOO has the edge at +13.58% annualized vs +3.69%. Past performance does not guarantee future results.

XLF has been the more volatile fund, with annualized monthly volatility of 21.4% 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 -83.8% for XLF. 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 0.80. They usually move together, but the gap leaves some room for diversification.

VOO charges 0.03% per year while XLF charges 0.08%. On a $10,000 position that is $3 vs $8 annually, a gap of $5 per year that compounds over a long holding period. On income, VOO currently yields 1.09% against 1.51% for XLF.