IYG vs VOO
iShares US Financial Services ETF vs Vanguard S&P 500 ETF
Which is better, IYG or VOO?
Large Cap Value against Large Cap Blend.
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. VOO is less concentrated, with 37.9% of the fund in its ten largest positions against 63.6%.
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 | IYG | VOO |
|---|---|---|
| Expense Ratio | 0.37% | 0.03%Best |
| AUM | $2.2B | $1.0T |
| Dividend Yield | 1.14% | 1.06% |
| Holdings | 102 | 506 |
| YTD Return | -0.85% | +13.57%Best |
| 1Y Return | +4.56% | +17.55%Best |
| 3Y Return (annualized) | +22.36% | +22.46%Best |
| 5Y Return (annualized) | +8.77% | +13.28%Best |
| Volatility (annualized) | 19.9% | 14.1%Best |
| Max Drawdown | -44.3% | -34.3%Best |
| $10,000 over 5 years | $15,225 | $18,654Best |
| Top 10 Weight | 63.6% | 37.9%Best |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Blend |
| Inception | Jun 12, 2000 | Sep 7, 2010 |
Volatility and max drawdown are measured over the window both funds cover: Sep 9, 2010 to Oct 14, 2026 (16.1 years).
IYG 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 16.1 years both funds cover.
IYG vs VOO Performance
iShares US Financial Services ETF (IYG) is an ETF from iShares by BlackRock (US) and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year IYG returned +4.56% while VOO returned +17.55%. Year to date, IYG is down 0.85% versus a gain of 13.57% for VOO.
Over three years, IYG compounded at +22.36% per year against +22.46% for VOO; over five years the annualized figures are +8.77% and +13.28% respectively. Across the full 16-year window we track, VOO has the edge at +13.40% annualized vs +11.56%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IYG has been the more volatile fund, with annualized monthly volatility of 19.9% 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 -44.3% for IYG and -34.3% 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 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
IYG charges 0.37% per year while VOO charges 0.03%. On a $10,000 position that is $37 vs $3 annually, a gap of $34 per year that compounds over a long holding period. On income, IYG currently yields 1.14% against 1.06% for VOO.
Holdings Overlap
79.8% of IYG's money is in holdings VOO also owns. 8.9% of VOO's money is in holdings IYG also owns.
Most of IYG is already inside VOO. Owning both mostly buys the same companies twice.
45 positions in common, counted across the 98 positions we hold weights for in IYG and 504 in VOO, against full books of 102 and 506.
What only one of them owns
Measured across the 98 and 504 positions we hold weights for.
VOO holds 454 positions IYG does not, 90.8% of the fund.
Largest: NVDA 8.09%, AAPL 7.04%, MSFT 5.70%, AMZN 3.85%, GOOGL 3.01%
Top Shared Holdings
| Stock | Weight in IYG | Weight in VOO | Difference |
|---|---|---|---|
| JPMJpmorgan Chase & Co | 13.02% | 1.44% | 11.58% |
| VVisa Inc | 9.01% | 0.93% | 8.08% |
| MAMastercard Inc | 6.54% | 0.72% | 5.82% |
| BACBank Amer Secs Inc | 5.14% | 0.61% | 4.53% |
| GSGoldman Sachs & Co Llc | 3.84% | 0.43% | 3.41% |
| WFCWells Fargo And Co Preferred Stock Var | 3.57% | 0.40% | 3.17% |
| MSMorgan Stanley | 3.30% | 0.39% | 2.91% |
| CCitigroup Inc. | 3.13% | 0.34% | 2.79% |
| SCHWSchwab Strategic T | 2.35% | 0.27% | 2.08% |
| AXPAmerican Express Co. | 2.34% | 0.27% | 2.07% |
79.8% of IYG 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, IYG or VOO?
IYG has an expense ratio of 0.37% while VOO charges 0.03%. VOO is the cheaper option, by $34 a year on a $10,000 investment.
Which performed better, IYG or VOO?
Over the past year IYG returned +4.56% vs +17.55% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), IYG annualized +11.56% vs +13.40% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IYG or VOO?
IYG has been the more volatile fund at 19.9% annualized versus 14.1% for VOO. Worst drawdown: IYG -44.3% vs VOO -34.3%.
Should I hold both IYG and VOO?
IYG and VOO have a monthly-return correlation of 0.83, 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 IYG and VOO?
79.8% of IYG's money is in holdings VOO also owns. 8.9% of VOO's is in holdings IYG also owns. They hold 45 positions in common, counted across the 98 positions we hold weights for in IYG and 504 in VOO.
Which pays a higher dividend, IYG or VOO?
IYG yields 1.14% while VOO yields 1.06%, so IYG currently pays the higher dividend yield.
Is VOO better than IYG?
VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. VOO is less concentrated, with 37.9% of the fund in its ten largest positions against 63.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.