VOO vs XSW
Vanguard S&P 500 ETF vs State Street SPDR S&P Software & Services ETF
Which is better, VOO or XSW?
Large Cap Blend against Mid Cap Growth.
VOO has a lower expense ratio. VOO led over 1Y, 3Y and 5Y, XSW over the full window. XSW is less concentrated, with 11.2% 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 | VOO | XSW |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.35% |
| AUM | $1.0T | $473M |
| Dividend Yield | 1.04% | 0.00% |
| Holdings | 506 | 133 |
| YTD Return | +13.59%Best | +7.71% |
| 1Y Return | +16.33%Best | -0.66% |
| 3Y Return (annualized) | +23.81%Best | +17.25% |
| 5Y Return (annualized) | +14.02%Best | +3.28% |
| Volatility (annualized) | 14.1%Best | 20.9% |
| Max Drawdown | -34.3%Best | -45.4% |
| $10,000 over 5 years | $19,271Best | $11,751 |
| Top 10 Weight | 37.6% | 11.2%Best |
| Fund Family | Vanguard (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Mid Cap Growth |
| Inception | Sep 7, 2010 | Sep 28, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Sep 29, 2011 to Oct 2, 2026 (15 years).
VOO vs XSW 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 15 years both funds cover.
VOO vs XSW Performance
Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US) and State Street SPDR S&P Software & Services ETF (XSW) is an ETF from State Street Investment Management. Over the past year VOO returned +16.33% while XSW returned -0.66%. Year to date, VOO is up 13.59% versus a gain of 7.71% for XSW.
Over three years, VOO compounded at +23.81% per year against +17.25% for XSW; over five years the annualized figures are +14.02% and +3.28% respectively. Across the full 15-year window we track, XSW has the edge at +15.57% annualized vs +14.09%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XSW has been the more volatile fund, with annualized monthly volatility of 20.9% 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 -45.4% for XSW. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.80. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VOO charges 0.03% per year while XSW 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 0.00% for XSW.
Holdings Overlap
9.0% of VOO's money is in holdings XSW also owns. 17.5% of XSW's money is in holdings VOO also owns.
XSW and VOO share little of their money.
25 positions in common, counted across the 494 positions we hold weights for in VOO and 132 in XSW, against full books of 506 and 133.
What only one of them owns
Our book lists 106 positions for XSW that do not appear in our book for VOO (81.8% of the fund), and 462 for VOO that do not appear in XSW (90.1%).
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 XSW | Difference |
|---|---|---|---|
| MSFTMicrosoft Corp | 5.36% | 0.81% | 4.55% |
| PLTRPalantir Technologies Inc | 0.44% | 0.83% | 0.39% |
| PANWPalo Alto Networks, Inc | 0.42% | 0.81% | 0.39% |
| CRMSalesforce Inc Crm Us Equity | 0.23% | 0.94% | 0.71% |
| CRWDCrowdstrike Holdings Inc | 0.30% | 0.83% | 0.53% |
| NOWServicenow, Inc | 0.18% | 0.81% | 0.63% |
| WDAYWorkday, Inc., Class A | 0.05% | 0.87% | 0.82% |
| IBMInternational Business Machines Corp. | 0.33% | 0.58% | 0.25% |
| FTNTFortinet Inc | 0.16% | 0.73% | 0.57% |
| INTUIntuit, Inc. | 0.14% | 0.73% | 0.59% |
You are not choosing between two funds in isolation.
Whichever of VOO and XSW 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 XSW?
VOO has an expense ratio of 0.03% while XSW charges 0.35%. VOO is the cheaper option, by $32 a year on a $10,000 investment.
Which performed better, VOO or XSW?
Over the past year VOO returned +16.33% vs -0.66% for XSW, so VOO leads on 1-year performance. Over the longest common window we track (15 years), VOO annualized +14.09% vs +15.57% for XSW. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VOO or XSW?
XSW has been the more volatile fund at 20.9% annualized versus 14.1% for VOO. Worst drawdown: VOO -34.3% vs XSW -45.4%.
Should I hold both VOO and XSW?
VOO and XSW have a monthly-return correlation of 0.80, 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 XSW?
17.5% of XSW's money is in holdings VOO also owns. 17.5% of XSW's is in holdings VOO also owns. They hold 25 positions in common, counted across the 494 positions we hold weights for in VOO and 132 in XSW.
Which pays a higher dividend, VOO or XSW?
VOO yields 1.04% while XSW yields 0.00%, so VOO currently pays the higher dividend yield.
Is XSW better than VOO?
VOO has a lower expense ratio. VOO led over 1Y, 3Y and 5Y, XSW over the full window. XSW is less concentrated, with 11.2% 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.