Average Daily Volume
8.23M
Fund Overview
The Vanguard S&P 500 ETF (VOO) is one of the most popular and cost-effective ways to gain exposure to the U.S. large-cap equity market. It seeks to track the performance of the S&P 500 Index, which includes 500 of the largest publicly traded companies in the United States, representing approximately 80% of the total U.S. stock market capitalization. VOO is known for its low expense ratio, high liquidity, and strong long-term performance, making it a core holding for many investors. The fund is structured as an ETF, providing flexibility for trading throughout the day while maintaining the diversification benefits of an index fund.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
No
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 1.21 %
- Currency Hedged
-
No
- Portfolio Turnover
-
2 %
- Dividend Date
-
Why Invest in the VOO ETF?
Potential Benefits
- Low expense ratio (0.03% as of 2025), making it one of the most cost-efficient S&P 500 ETFs.
- Provides broad exposure to large-cap U.S. equities, reducing single-stock risk.
- High liquidity with tight bid-ask spreads, facilitating easy trading.
- Strong historical performance, closely tracking the S&P 500 Index over time.
- Tax-efficient structure, with lower capital gains distributions compared to mutual funds.
Potential Risks
- Concentrated in U.S. large-cap stocks, lacking international diversification.
- Market-cap weighting means performance is heavily influenced by the largest companies.
- Vulnerable to broad market downturns, as it holds a wide range of sectors.
- Limited exposure to small- and mid-cap stocks, which may outperform in certain market conditions.
- Tracking error, though minimal, can occur due to fees and operational factors.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+1.4%
|
-0.8%
|
-5.0%
|
+10.5%
|
+5.3%
|
-1.0%
|
0.0%
|
+2.7%
|
-0.3%
|
+2.2%
|
-
|
-
|
| 2025 |
+2.7%
|
-1.3%
|
-5.6%
|
-0.8%
|
+6.3%
|
+5.2%
|
+2.3%
|
+2.1%
|
+3.5%
|
+2.4%
|
+0.2%
|
+0.1%
|
| 2024 |
+1.6%
|
+5.2%
|
+3.3%
|
-4.0%
|
+5.0%
|
+3.6%
|
+1.2%
|
+2.4%
|
+2.2%
|
-0.9%
|
+5.9%
|
-2.3%
|
| 2023 |
+6.3%
|
-2.5%
|
+3.7%
|
+1.6%
|
+0.5%
|
+6.5%
|
+3.3%
|
-1.6%
|
-4.7%
|
-2.2%
|
+9.2%
|
+4.6%
|
| 2022 |
-5.2%
|
-3.0%
|
+3.8%
|
-8.8%
|
+0.3%
|
-8.3%
|
+9.2%
|
-4.1%
|
-9.2%
|
+8.1%
|
+5.5%
|
-5.7%
|
| 2021 |
-1.0%
|
+2.8%
|
+4.6%
|
+5.3%
|
+0.7%
|
+2.3%
|
+2.4%
|
+3.0%
|
-4.7%
|
+7.0%
|
-0.7%
|
+4.6%
|
| 2020 |
0.0%
|
-8.1%
|
-12.5%
|
+12.8%
|
+4.7%
|
+1.8%
|
+5.9%
|
+7.0%
|
-3.8%
|
-2.5%
|
+10.9%
|
+3.7%
|
| 2019 |
+7.9%
|
+3.2%
|
+1.9%
|
+4.0%
|
-6.3%
|
+7.0%
|
+1.5%
|
-1.6%
|
+2.0%
|
+2.2%
|
+3.6%
|
+3.0%
|
| 2018 |
+5.6%
|
-3.7%
|
-2.5%
|
+0.3%
|
+2.4%
|
+0.8%
|
+3.6%
|
+3.2%
|
+0.6%
|
-6.8%
|
+1.9%
|
-8.8%
|
| 2017 |
+1.8%
|
+3.9%
|
+0.1%
|
+1.0%
|
+1.4%
|
+0.6%
|
+2.1%
|
+0.3%
|
+2.0%
|
+2.3%
|
+3.1%
|
+1.3%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
AAPL
|
APPLE INC |
7.3 % |
|
NVDA
|
NVIDIA CORP |
6.1 % |
|
MSFT
|
MICROSOFT CORP |
5.9 % |
|
AMZN
|
AMAZON.COM INC |
3.9 % |
|
META
|
META PLATFORMS INC CLASS A |
2.9 % |
|
GOOGL
|
ALPHABET INC CLASS A |
2.0 % |
|
BRK-B
|
BERKSHIRE HATHAWAY INC CLASS B |
1.9 % |
|
AVGO
|
BROADCOM INC |
1.9 % |
|
TSLA
|
TESLA INC |
1.6 % |
|
GOOG
|
ALPHABET INC CLASS C |
1.6 % |
Top 10 holdings shown, out of 506 total holdings.
Related ETFs: VOO vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
VOO is designed to track the S&P 500 Index, a market-cap-weighted index of 500 leading U.S. companies. The fund employs a full replication strategy, holding all (or nearly all) of the index constituents in proportion to their weights in the index. The S&P 500 is reconstituted quarterly, and VOO adjusts its holdings accordingly to maintain alignment. The fund primarily holds common stocks and avoids derivatives or leverage, aiming for precise tracking with minimal deviation. Its low turnover and buy-and-hold approach contribute to its tax efficiency and cost-effectiveness.
Frequently Asked Questions
Does VOO pay dividends?
Yes, VOO pays quarterly dividends, as it holds the dividend-paying stocks within the S&P 500 Index.
How does VOO compare to VTI?
VOO tracks the S&P 500 (large-cap stocks), while VTI (Vanguard Total Stock Market ETF) includes small- and mid-cap stocks for broader U.S. equity exposure.
Is VOO a good investment for retirement accounts?
Yes, VOO's low costs and broad market exposure make it a strong candidate for tax-advantaged retirement accounts like IRAs and 401(k)s.
What is the minimum investment for VOO?
There is no minimum investment for VOO when buying shares through a brokerage account (other than the price of one share).
Industry Overview
The Vanguard S&P 500 ETF (VOO) is part of the large-cap U.S. equity ETF category, which is one of the most widely invested segments in the market. The S&P 500 Index is a benchmark for U.S. stock performance and includes leading companies across various sectors, such as technology, healthcare, and financials. Investing in VOO provides exposure to the growth and stability of America's largest corporations, making it a cornerstone of many long-term investment portfolios. The ETF is particularly favored for its simplicity, low costs, and alignment with the overall U.S. economy.
Alternative Comparison
Compared to SPY and IVV, VOO stands out for its lower expense ratio (0.03% vs. 0.09% for SPY and 0.03% for IVV). While all three ETFs track the S&P 500, VOO and IVV are slightly more tax-efficient due to their ETF structure, whereas SPY (as the oldest S&P 500 ETF) has a unique options market liquidity advantage. RSP (Invesco S&P 500 Equal Weight ETF) offers a different approach by equally weighting all S&P 500 components, which can reduce concentration risk but may underperform in strong large-cap growth markets.
Issuer Overview
Vanguard is one of the world's largest investment management companies, known for its client-owned structure and focus on low-cost index investing. Founded by John C. Bogle in 1975, Vanguard pioneered the index fund and remains a leader in passive investment strategies. The firm is renowned for its investor-first philosophy, offering a wide range of ETFs and mutual funds with competitive fees and strong track records.
Conclusion
VOO is an excellent choice for investors seeking low-cost, diversified exposure to the U.S. large-cap equity market. Its tight tracking of the S&P 500, combined with Vanguard's reputation for reliability, makes it a staple in both individual and institutional portfolios. While it lacks international or small-cap diversification, its simplicity and efficiency make it a core holding for long-term growth.
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