VOO vs. SPY: Which Popular S&P 500 ETF Is the Better Buy?

The choice between the Vanguard S&P 500 ETF (NYSEMKT:VOO) and the State Street SPDR S&P 500 ETF Trust (NYSEMKT:SPY) often comes down to cost for long-term investors.

Both funds serve as foundational building blocks, providing exposure to the 500 largest U.S. companies. While they track the same underlying index, structural differences and expense ratios can influence total returns for those holding these ETFs over several decades.

Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-year return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.

VOO is the cheaper option, carrying an expense ratio of 0.03% vs. SPY's 0.09%. Both funds offer a dividend yield of roughly 1%.

Growth of $1,000 over 5 years (total return)

Under the hood, both funds look very similar.

Launched in 2010, VOO holds 505 stocks. Its largest positions include Nvidia (NASDAQ:NVDA) at 7.9%, Apple (NASDAQ:AAPL) at 7.0%, and Microsoft (NASDAQ:MSFT) at 5.1%. The ETF's sector weights are concentrated in technology at 39.1%, financial services at 10.9%, and communication services at 10.7%.

SPY

Fuente original: Yahoo Finance (https://finance.yahoo.com/markets/stocks/articles/voo-vs-spy-popular-p-172301014.html)