VOO vs ZAUG

VOO vs ZAUG
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Quick Verdict

VOO has a lower expense ratio. VOO delivered stronger 1-year returns. VOO offers more diversification with 509 holdings.

Lower Fees: VOOHigher Returns: VOOMore Diversified: VOO

Side-by-Side Comparison

MetricVOOZAUGWinner
Expense Ratio0.03%0.79%
AUM$997.4B$130M
Dividend Yield1.08%0.00%
Holdings5095
YTD Return+12.25%+4.32%
1Y Return+20.92%+6.56%
3Y Return (annualized)+21.79%-
5Y Return (annualized)+13.05%-
Volatility (annualized)14.1%3.1%
Max Drawdown-34.3%-4.8%
Fund FamilyVanguard (US)Innovator ETFs Trust
CategoryEquityAlternative
InceptionSep 7, 2010Jul 31, 2024

VOO vs ZAUG Performance

Vanguard S&P 500 ETF (VOO) is a ETF from Vanguard (US) and Innovator Equity Defined Protection ETF - 1 Yr August (ZAUG) is a ETF from Innovator ETFs Trust. Over the past year VOO returned +20.92% while ZAUG returned +6.56%. Year to date, VOO is up 12.25% versus a gain of 4.32% for ZAUG.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 3.1% for ZAUG. 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 -4.8% for ZAUG. 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 0.93. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

VOO charges 0.03% per year while ZAUG charges 0.79%. On a $10,000 position that is $3 vs $79 annually, a gap of $76 per year that compounds over a long holding period. On income, VOO currently yields 1.08% against 0.00% for ZAUG.

Frequently Asked Questions

Which is cheaper, VOO or ZAUG?

VOO has an expense ratio of 0.03% while ZAUG charges 0.79%. VOO is the cheaper option. On a $10,000 investment, that is $76 per year of difference.

Which performed better, VOO or ZAUG?

Over the past year VOO returned +20.92% vs +6.56% for ZAUG, so VOO leads on 1-year performance. Over the longest common window we track (2 years), VOO annualized +13.45% vs +7.52% for ZAUG. Past performance does not guarantee future results.

Which is riskier, VOO or ZAUG?

VOO has been the more volatile fund at 14.1% annualized versus 3.1% for ZAUG. Worst drawdown: VOO -34.3% vs ZAUG -4.8%.

Should I hold both VOO and ZAUG?

VOO and ZAUG have a monthly-return correlation of 0.93, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

Which pays a higher dividend, VOO or ZAUG?

VOO yields 1.08% while ZAUG yields 0.00%, so VOO currently pays the higher dividend yield.

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