The first difference you will notice is that VOO is an ETF, while VFIAX and VFINX are both index mutual funds. ETFs (short for exchange traded funds) and mutual funds differ in how they are traded and evaluated. ... Mutual fund share prices are determined by the net asset value (NAV) of all of the holdings.
What are Vanguard index funds? Index funds are a type of mutual fund where thousands of investors pool their cash to purchase shares in a fund that mimics a benchmark index, such as the S&P 500 (hence the name “index fund”).
VFIAX and VOO are both share classes of the Vanguard S&P 500 Index Fund, so their holdings are identical.
Vanguard S&P 500 ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, VOO is a great option for investors seeking exposure to the Style Box - Large Cap Blend segment of the market.
Vanguard offers the S&P 500 Index Fund in two flavors – a mutual fund and an exchange-traded fund (ETF).
The first difference you will notice is that VOO is an ETF, while VFIAX and VFINX are both index mutual funds. ... ETF shares are traded (and evaluated) on the stock market throughout the trading day, while mutual fund share purchases/sales are executed after trading has closed for the day.
Vanguard's VOO is an exchange-traded fund (ETF) that tracks the S&P 500 index by owning all of the equities within the S&P 500. ... The Vanguard S&P 500 ETF is a popular and reputable index fund. The S&P 500's investment return is considered a gauge of the overall U.S. stock market.
There are two major takeaways here. First, if you start saving before your 30th birthday, you only need to invest about $400 monthly in VOO or a similar fund -- or less if you get employer matching contributions -- to reach your target balance.
Vanguard S&P 500 ETF (NYSEARCA:VOO) pays Quarterly dividends to shareholders.
The largest Vanguard ETF is the Vanguard Total Stock Market ETF VTI with $282.40B in assets. In the last trailing year, the best-performing Vanguard ETF was VDE at 68.92%. The most recent ETF launched in the Vanguard space was the Vanguard Ultra-Short Bond ETF VUSB on 04/05/21.
VOO has roughly 500 holdings and VTI has roughly 3,500 holdings, so VTI can be considered more diversified. Both VOO and VTI have the same expense ratio of 0.03%. VTI is much more popular than VOO.
IVV has a 0.04% expense ratio, which is higher than VOO's 0.03% expense ratio. Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which one is better suits your portfolio: IVV or VOO.
FXAIX and VOO Cost
Over 30 years, the difference between a 2% cost and a 0.04% fee might result in your portfolio losing half of its value. FXAIX has a 0.015% expense ratio, whereas VOO has a 0.03% expense ratio.
What are qualified dividends? Dividends can be "qualified" for special tax treatment. (Those that aren't are called "nonqualified.") Most payments from the common stock of U.S. corporations are qualified as long as you hold the investment for more than 60 days.
Dividend Summary
There are typically 4 dividends per year (excluding specials), and the dividend cover is approximately 1.0.
The Vanguard 500 Index Fund seeks to replicate its benchmark index by investing its total net assets in the stocks comprising the index and holding each component with approximately the same weight as the index. In this way, the fund barely deviates from the S&P 500, which it is designed to mimic.
Even with these risks, however, investors have long done well by investing in the index – and at 0.03% in annual expenses, there's no cheaper way to go about it. That's why VOO belongs among our 22 best ETFs to buy for 2022.
Both mutual funds and ETFs offer investors pooled investment product options. ... ETFs actively trade throughout the trading day while mutual fund trades close at the end of the trading day. Mutual funds are actively managed, and ETFs are passively managed investment options.
What is the Fidelity equivalent of VOO? We track 3 Fidelity ETFs which are extremely similar to Vanguard's VOO: FNILX (ZERO Large Cap Index Fund), FZROX (ZERO Total Market Index Fund), and FLCEX (Large-Cap Core Enhanced Index Fund).