VOO vs. FXAIX — ETF comparison tool (2024)

FAQs

VOO vs. FXAIX — ETF comparison tool? ›

FXAIX - Performance Comparison. The year-to-date returns for both investments are quite close, with VOO having a 11.79% return and FXAIX slightly higher at 11.84%. Both investments have delivered pretty close results over the past 10 years, with VOO having a 12.80% annualized return and FXAIX not far ahead at 12.89%.

FXAIX and VOO boast some of the lowest expense ratios in the category, at 0.02% and 0.03% respectively. While both ratios are exceptionally low, FXAIX's slightly lower expense ratio gives it a marginal edge in cost efficiency.

VOO = VFIAX, SPY, FXAIX

The VOO Fidelity mutual fund equivalent is FXAIX, the Fidelity ® 500 Index Fund.

Overall Rating. Morningstar has awarded this fund 5 stars based on its risk-adjusted performance compared to the 1294 funds within its Morningstar Category.

Both Fidelity and Vanguard have a wide variety of low-cost mutual funds and ETFs. If you're simply looking at the options offered by each firm, Fidelity has more options available.

Performance and Cost. As the innovator of index funds, Vanguard offers an impressive range of index funds today with low expense ratios. Fidelity has a comparable selection of funds, but its fees generally aren't as competitive as Vanguard's. That said, Fidelity does offer some zero-cost funds for its customers.

FXAIX has a 5-year annualized total return of 9.41% and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 7.65%, which places it in the top third during this time-frame.

The year-to-date returns for both investments are quite close, with SPY having a 11.73% return and FXAIX slightly higher at 11.84%. Both investments have delivered pretty close results over the past 10 years, with SPY having a 12.72% annualized return and FXAIX not far ahead at 12.89%.

VOO has an expense ratio of 0.03%, which means that for every $10,000, they charge a $3 management fee. If you were to invest $10,000 and VOO provided a 5% return each year, your total costs would be $39 over 5 years.

What is better than VOO? ›

The primary difference between SPY, VOO, IVV, and SPLG is their cost. SPLG has the lowest cost at 0.02%, followed by VOO and IVV at 0.03%, and SPY at 0.09%. If you are a cost-conscious investor, the VOO, IVV, and SPLG might make a more attractive option compared to SPY with their lower expense ratios.

Performance for VOO and VFIAX is nearly identical when comparing returns by net asset value (NAV). Thus, neither VOO nor VFIAX have an advantage over the other when comparing average returns over time.

The index covers about 80% of the investable market capitalization of the U.S. equity market. The S&P 500 has been widely touted by many experts as a good addition to retirement portfolios because it is broadly diversified across all sectors. It can also withstand volatility because it is not focused on one industry.

FXAIX - Fidelity ® 500 Index Fund | Fidelity Investments.

Vanguard is best for:

Long-term or retirement investors. Those who prefer low-cost investments. Index fund and ETF investors.

VOO - Volatility Comparison. Fidelity 500 Index Fund (FXAIX) has a higher volatility of 3.15% compared to Vanguard S&P 500 ETF (VOO) at 2.99%. This indicates that FXAIX's price experiences larger fluctuations and is considered to be riskier than VOO based on this measure.

Is FXAIX a Buy, Sell or Hold? Fidelity 500 Index Fund has a consensus rating of Moderate Buy which is based on 397 buy ratings, 105 hold ratings and 4 sell ratings.

If you are looking for broader market exposure and are comfortable with a mix of growth and value stocks, VOO may be your go-to option. On the other hand, if you are a value investor seeking long-term gains from undervalued large-cap stocks, VTV could be a better fit for your portfolio.