ARB vs VOO
AltShares Merger Arbitrage ETF vs Vanguard S&P 500 ETF
Which is better, ARB or VOO?
Market Neutral Strategy against Large Cap Blend.
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window.
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 | ARB | VOO |
|---|---|---|
| Expense Ratio | 0.82% | 0.03%Best |
| AUM | $111M | $1.0T |
| Dividend Yield | 0.42% | 1.06% |
| Holdings | 100 | 506 |
| YTD Return | +3.65% | +13.57%Best |
| 1Y Return | +3.96% | +17.55%Best |
| 3Y Return (annualized) | +5.16% | +22.46%Best |
| 5Y Return (annualized) | +4.14% | +13.28%Best |
| Volatility (annualized) | 3.0%Best | 15.3% |
| Max Drawdown | -5.6%Best | -24.5% |
| $10,000 over 5 years | $12,249 | $18,654Best |
| Fund Family | AltShares | Vanguard (US) |
| Category | Alternative | Equity |
| Style | Market Neutral Strategy | Large Cap Blend |
| Inception | May 7, 2020 | Sep 7, 2010 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 7, 2020 to Oct 14, 2026 (6.4 years).
ARB vs VOO 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 6.4 years both funds cover.
ARB vs VOO Performance
AltShares Merger Arbitrage ETF (ARB) is an ETF from AltShares and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year ARB returned +3.96% while VOO returned +17.55%. Year to date, ARB is up 3.65% versus a gain of 13.57% for VOO.
Over three years, ARB compounded at +5.16% per year against +22.46% for VOO; over five years the annualized figures are +4.14% and +13.28% respectively. Across the full 6-year window we track, VOO has the edge at +17.99% annualized vs +4.18%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VOO has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 3.0% for ARB. 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 -5.6% for ARB and -24.5% for VOO. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.29. They move largely independently of each other.
Fees and Cost Over Time
ARB charges 0.82% per year while VOO charges 0.03%. On a $10,000 position that is $82 vs $3 annually, a gap of $79 per year that compounds over a long holding period. On income, ARB currently yields 0.42% against 1.06% for VOO.
Holdings Overlap
At least 4.7% of VOO's money is in holdings ARB also owns.
Only one direction is shown: for ARB, our book for it lists positions totalling 150.2% of the fund, which is what a leveraged book looks like and is not a denominator we can divide by.
VOO and ARB share little of their money.
13 positions in common, counted across the 88 positions we hold weights for in ARB and 504 in VOO, against full books of 100 and 506.
Top Shared Holdings
| Stock | Weight in ARB | Weight in VOO | Difference |
|---|---|---|---|
| WBDWarner Bros. Discovery, Inc | 4.93% | 0.11% | 4.82% |
| AESA E S Corporation, The | 3.33% | 0.02% | 3.31% |
| TECHBio Techne | 3.33% | 0.02% | 3.31% |
| AMZNAmazon.Com Inc | -1.89% | 3.85% | 5.74% |
| DDominion Energy Inc. | 1.86% | 0.09% | 1.77% |
| KVUEKenvue Inc | 1.16% | 0.05% | 1.11% |
| BSXBoston Scientific Corp. | -0.46% | 0.11% | 0.57% |
| KMBKimberly-Clark Corp. | -0.93% | 0.05% | 0.98% |
| FOXAFox Corp. Class A | -1.15% | 0.02% | 1.17% |
| CTASCintas Corp. | -1.45% | 0.10% | 1.55% |
You are not choosing between two funds in isolation.
Whichever of ARB and VOO 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, ARB or VOO?
ARB has an expense ratio of 0.82% while VOO charges 0.03%. VOO is the cheaper option, by $79 a year on a $10,000 investment.
Which performed better, ARB or VOO?
Over the past year ARB returned +3.96% vs +17.55% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (6 years), ARB annualized +4.18% vs +17.99% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ARB or VOO?
VOO has been the more volatile fund at 15.3% annualized versus 3.0% for ARB. Worst drawdown: ARB -5.6% vs VOO -24.5%.
Should I hold both ARB and VOO?
ARB and VOO have a monthly-return correlation of 0.29, 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 ARB and VOO?
At least 4.7% of VOO's money is in holdings ARB also owns. Our book for ARB is partial, so the real figure is this or higher. They hold 13 positions in common, counted across the 88 positions we hold weights for in ARB and 504 in VOO.
Which pays a higher dividend, ARB or VOO?
ARB yields 0.42% while VOO yields 1.06%, so VOO currently pays the higher dividend yield.
Is VOO better than ARB?
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.