Vtsax vs voo reddit. You buy VoO at 11 am and or buy FXAIX at 11;00 am.
Vtsax vs voo reddit Sounds easy enough, until I compared returns: 5-year returns: VOO 62. VTSAX 21% and SCHD 10%. Look up EFT vs Mutual Funds. That being said, my understanding is that the net effect of the ETF version of VTSAX is that A fellow Boglehead introduced me to this article describing a "keep investing simple, stupid" approach with 3-4 funds designed to beat VTSAX by having exposure to the S&P500, mid cap, and small cap stocks. If you want to avoid a wash sale on either total market or S&P 500, move between the two. (This is a negligible difference for you, but to your employer it adds up. Want to tilt towards the S&P 500? Add in VOO. And VOO on the other hand tracks the S&P 500 aka only large capitalization stocks. VTI is a bigger fund ($276B AUM vs $40B for ITOT) but Blackrock is a bigger company ($9. This is more diversified than VOO. I like VoO better than FXAIX since you can buy anytime during the day when the market is open Monday thru Friday from 9:30 am to 4:00 pm. I’ve been getting advice abt VTSAX but VTI has a . SPY & its options have much more volume than VOO & its options, so they’re more liquid - I Some people here get a bit too hawkish about it. They're split 4 ways: US Stock (VTSAX), US Bonds, International Stock (VTIAX) and International bonds. You can find the correct percentages by checking the overlap between an S&P fund and a total market fund. 2% and a lower maximum drawdown of 3% vs. It's not harmful at all, but it's not doing anything useful for you either. Finally, you can combine different funds to make up other stuff. ETFs like VOO focus specifically on large CAP stocks. Largely because of a self published author that lives in the middle of nowhere that doesn’t disclose his career wrote a book saying you should do that. “50% cheaper” sounds like a big difference, but it’s really 1. Heck the difference between the Total Market and the SP500 since 1972 is like . That said, because it is cap weighted, it is dominated by large caps and historically has had returns nearly Would it make much of a difference going with 100% VTSAX instead of VTI? This is a Roth IRA and there is about $10K in it so enough to cover the initial 3K investment in VTSAX. Do some comparison searches of these 2 funds to see what I mean. VTSAX and VFIAX are both large cap blend funds that are highly correlated to each other. The correlation between VTSAX and VOO is 0. Typically an ETF (like VTI) would be more tax efficient. For what it's worth, OP, VTSAX and VTI are the exact same fund. So, if you have more than that and buy monthly, FWRA is a bit cheaper in As an official Fidelity customer care channel, our community is the best way to get help on Reddit with your questions about investing with Fidelity I have a Fidelity brokerage account and wanted to know if there's any cons of buying VOO in the VTI is the ETF version of VTSAX. vtsax and vti are nearly the same, it’s just vtsax is a mutual fund and vti is an etf. VTSAX tracks the US total stock market - large, mid, and small cap stocks. 08% whereas VOO is 0. 45 times 60. The way I look at it is that since the top holdings of VTSAX are mostly tech companies anyways. Read those) just note VFV expense ratio is 0. Or a combined mid cap/small cap fund. The ratio between US and International is 60/40 (last I checked) VTI would be the equivalent of VTSAX, not VOO. Why would it change after ten years? In your case, the main difference is VTSAX is the total US stock market, over 3,800 stocks and FXAIX is the S&P500, 508 stocks. I know the general advice is "don't do mutual funds, do ETF's". If you look up VFV’s holdings, it has basically 100% in VOO. 07% There is a $75 transaction fee to buy Vanguard target date funds with a Fidelity account. I am also maxing my 401K this year. A 70% large cap fund like VOO plus 20% in a mid cap fund like VO plus 10% in a small cap fund like VB is about equal to VTI. VTSAX is ~80% VFIAX and the remaining ~20% is the rest of the stocks in the US stock market. fzrox A while ago, Fidelity released a line of ETF's marketed with 0% expense ratios (e. The 2 differences between VTSAX and VOO is that A] they each track a different index or benchmark (total stock market for the first and the S&P500 for the latter) B] VTSAX is a mutual fund while VOO is an ETF. That being said, the hold 80% the same VOO tracks the S&P 500 - large cap stocks. Other examples would be VTWAX/VT and VTIAX/VXUS. Or check it out in the app stores Autoinvest in VTSAX vs Regularly investing in VTI How many shares of VOO would It take to own 1 share of every company in it? In the past VTSMX required $3000 to buy in and VTSAX required $10,000 to buy in. If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. Why then, you may ask, have funds like Vanguard Total Stock Market Fund (VTSAX & VTI) beaten Vanguard's TDFs by such a large margin recently? The answer is not bonds; it's international stocks. absolutely nothing they’re index fund that track a segment of the market. 52% Get the Reddit app Scan this QR code to download the app now. Most of us feel the historical outperformance of the US compared to the rest of the world is mostly an anomoly and see no reason to expect it to continue. While it may sound dogmatic, I can't fault anyone who choses to go all VTSAX because the Godfather himself was a proponent of that strategy. If you understand what these funds hold, you can see why this kind of allocation isn't too impactful. Are either of these good replacements for VTSAX? My goal is long term investing, if that matters. VTSAX, also known as the Vanguard Total Stock Market Index Fund, tracks the performance of the entire U. 01 less expense ratio? VTIVX vs VTSAX/VTIAX/VBTLX If you wanted a 90/10 split of US equities vs international, you could do that with VTI and VXUS. . There is a bit of VTI left around from before I discovered NTSX. 38%. The reason the returns are so similar is because the S&P500 alone makes up about 80% of the entire US market. Thoughts on adding BRK. I will echo what others have said here - VTSAX covers all size segments so it really is all you need for full market exposure. 25%, while VTSAX has a five year annualized return of 26. FSKAX (0. VITSX has an expense ratio of 0. Is it foolish to put more into BRK. 01%. Has anyone else chosen that fund? If not, why? (My retirement is in a target date fund, and I am encouraged to read so much praise for target date funds in this group. 04%. take it out to five years and the investment would have recovered a bit, only to $8,900. Total US stock market: ITOT, SCHB, VTSAX, FSKAX, VTI, SWTSX, etc. The VOO portfolio is more heavily skewed to the communication services sector which has had a rough ride of late (Weight in VOO- 11. So VTSAX is the logical choice. Thanks VTSAX is a mutual fund and VTI is an ETF tracking the same index. 02% vs . Then if you look at VOO’s holdings, you can see your beautiful TSLA. Vtsax has a minimum $3K but then you just invest any dollar amount more into the fund Vti you have to purchase whole shares of the ETF VOO vs VTI. That said, my choice: VTI, so I can sell shares and withdraw the money right away, at whatever price I get at the time. Is going all in with VOO a good idea? Better than your other ideas. VOO+AVUV might out-perform both VOO/VTI in the long run, but we won't know for sure for a long time, and you will have to suffer under-performance now to find out if history repeats. You can research, compare, and browse all the financial instruments we offer by clicking the "News & Research" tab on Fidelity. VTSAX is total market, VOO is S&P 500 so pretty big difference. About 81% of its holdings is exactly the same as VOO, with the other 19% spread out between another 3,401. The only difference is that you buy the underlying as a mutual fund with VTSAX, or as an ETF with VTI. I was thinking about investing in a taxable brokerage account with Vanguard. The downside being it cannot be transferred out of fidelity. 37M in VOOG My current ROTH allocation is 75% VTSAX and 25% VTIAX. With VTI, there Selling all of your VOO shares to buy into VTSAX will not negatively hurt your compound interest unless you choose to sell the VOO shares and take a long time to invest it into VTSAX. If you have strong beliefs the US will continue to outperform the rest of the world then 100% VTSAX is a very reasonable idea for your stock allocation. The ETF equivalent to VTSAX is VTI while VOO has a mutual fund equivalent VFIAX. In the past VTSMX required $3000 to buy in and VTSAX required $10,000 to buy in. B over VOO for that timeframe? Get the Reddit app Scan this QR code to download the app now. Selling off 100% VOO porfolio for VT upvotes VTSAX and VOO Holding both of these is often a mistake, as VTSAX already fully contains VOO. VOO is S&P500 (mutual fund equivalent is VFIAX), VTSAX is total market (ETF equivalent is VTI). VTSAX/VTI. 03% as opposed to VTSAX which has an expense ratio of 0. For example; 70/30, 80/20, 60/40 or something along those lines. If you look carefully, VOO looks like 500. The only difference between vti and voo is the number of holdings. For example, VTI <-> VOO. They track very closely most of the time because the biggest 50 stocks push both around, but they are considered to be substantially the same because of the literally thousands of holdings in VTI that is not in VOO. Another thing to consider is mutual funds. VTSAX has 0. But being it's Vanguard, that doesn't really materand being it's a Roth account, it also doesn't matter. So, pick an all-US-stock portfolio (total Because of Vanguard’s proprietary fund structure, VTI’s tax-efficient structure is shared with VTSAX. Q&A. Controversial. VTSAX purchases settle at the end of the trading day and you cannot sell options since you're not buying individual shares. VoO could drop $40 or so during the day per share which follows the same s&p 500 as FXAIX (say at 11:00 am). VOO's best feature is its diversification, and VTI/VTSAX is even better diversified. Current portfolio VOO 50% individual stocks REITS 40% T bills 10%. use ETFC’s fund overlap tool to compare VTI and VOO, looking at “overlap by weight”. With a portfolio of 75k euros, this is exactly 15 euros per year as well. Old. But Reddit loves its recency bias with its focus on S&P 500. You want something that won’t sell on you automatically or by their choice vs when you want to sell, and VTSAX does this. VOO is laterally a cheaper expense ratio copy of SPY (SPY's expense ratio is 3x of VOO's), while VOO & VTI have the same expense ratios (0. Ultimately i want build a lazy portfolio. 97%. The exposure to companies outside the S&P 500 will drive the small difference. The ratio between stocks and bonds is age based. 5% is $770. If a broker does not offer fractional shares for ETFs then the minimum investment is the price of 1 share. com and input VFINX (oldest share class of VOO) and compare with VTSMX (oldest share class of VTI). I remember at least one kid calling me Spock even then, so yeah, I have no problem with being 100/0 for life. VOO & SCHG are both index funds The Underlying Indexes are different VOO = S&P 500 SCHG = Dow Jones US Total Stock Market Large-Cap Growth SCHG has around 250 stocks in it and is focused on large cap growth VOO is the S&P 500 Comparing the fund performance from when it was created is not an accurate comparison. Other variations on above include ETF vs non-ETF and zero fee vs non-zero fee. Don't tell most of reddit, though, plenty of the uninformed get For example . That makes VTSMX pointless for any new investor since it shares the same minimum buy in as VTSAX. The Latin symbol V matches the Arabic symbol 5. People prefer vtsax for 2 reasons. Apologies in advance. It tracks a slightly different index than FSKAX but the two funds are identical for all practical purposes. It takes a more focused approach compared to VTSAX by tracking the performance of the S You need a minimum of $3000 to buy VTSAX in any account. FZROX). Or go with VOO (50%) and QQQ (50%)? No. org wrote "VTWAX will fluctuate between U. and in VOO the top 10 stocks are 30% of the index's value (impact). I use NTSX in taxable as it's a little less volatile with similar performance to VOO, which is also similar in performance to VTI. 3%, Weight in VTSAX- 2. com's Reddit Forex Trading Community! Here you can converse about trading ideas, strategies, trading psychology, and nearly everything in between! ---- We also have one of the largest forex chatrooms online! ---- /r/Forex is the official subreddit of FXGears. I read into this a bit more and it seems that Fidelity is definitely losing money on this so that they can attract a lot of investors. Sortino ratio is 0. Both are passively managed index funds popular in retirement accounts. " So you may ask yourself "Will I have the attention and timing to quickly react to ever changing market conditions to Smaller stocks are expected to grow more than large stocks over the long term. Simply choose 1 from S&P 500 group or 1 from the US total stock market group and aggressively auto-invest. If you want to add international you can pick VTIAX (VXUS). weights depending on market conditions. VOO follows the s&p500 while VTI/VTSAX follows the overall market (total stock market index fund). My next post will be a Part 2 on the guide to Hedgefundie's The far more important difference is in availability, as you probably can't invest in VTI in your 401k, vs. Thanks!! Get the Reddit app Scan this QR code to download the app now. That indicates a strong positive relationship between their price movements. Yet here too many folks are making it seem like it’s the end of the world. Or check it out in Like VTSAX vs VTI. Use VTSAX for VTI, and VFIAX for VOO on your chart comparison and you’ll see that VTI/VTSAX was the better buy since 2001. 43%, while the dividend yield of VTSAX is 1. portability, as VTSAX may not be available at all brokerages should you ever decide to move. I have also heard good things about VOO (Vanguard S&P 500 ETF). Dividends between these 2 funds will not cause significant differences long term. Many people like to automate their investments and many places don’t let you do that with ETFs. Portability between brokerages: I prefer Fidelity's interface, fee structure and convenience. 04%) would be a bit more diversified. Fundamentally, buying QQQ is also an inherent bet that Financials will underperform every other sector (the Nasdaq 100 Index excludes them) and a belief that the exchange on which a stock trades is related to its performance (the index only includes stocks that trade on the NASDAQ exchange). FI/RE (Financial Independence / Retiring Early) is a money strategy that's sweeping the nation. It has performance similar to VTSAX/VOO but with slightly less risk. In my tax-advantaged accounts I have VTI/VTSAX. Over 20 years, 100K could grow to 964K in VOO or VONE but grows to 1. VTSAX Dividend Yield. 03%. I am looking into setting up a dividend portfolio using fidelity, and I have seen that VOO and VTI seem to be good options, I was just wondering what people think of them when compared to one another. This is super nice because you can set X amount of dollars to invest each month and just set it and forget it. I finished one of Bogle’s books a year ago and started investing in FXAIX, as it had the lowest expense ratio and tracks the S&P 500. vti/voo vs. For proof, use portfoliovisualizer. 015% ER) or VTSAX (0. 2). As of 1/15/2024, VOO has a one year annualized return of 26. vtwax I'm curious to what everyone's opinions on what you think would be the best allocation for VTSAX/VTIAX would be for a portfolio with a 30-40 year time frame in a Roth IRA. Get the Reddit app Scan this QR code to download the app now. Index mutual funds and exchange-traded funds (ETFs) track market indexes, such as the S&P 500. Preface: I’m new to Reddit, investing, and I’m writing this on my phone. In practical terms though, there is very little difference between VTI and VOO bc the largest 500 stocks (i. I have found VTI (Vanguard Total Market ETF). VTI can be traded all day, VTSAX only EOD. After we had $3000, we switched over to VTSAX to utilize automatic contributions for the future. 100K in VOO and VONE could get you 310K, with VOOG it could be 370K. The sum up, when comparing S&P 500 index funds, SWPPX has both lower expense and lower minimum investment compared to VOO. VTI can be traded for free anywhere at any brokerage. which is ending this year. Recently, these have overperformed so theoretically one my expect some regression to the mean. VOO is not the same as VTI and SCHB. VOO yields better returns, but at a higher level of risk. I use Fidelity and there is a 75$ transaction fee plus ER's ranging from 0. com, a trading forum run by professional traders. 04% expense ratio and VTI only has 0. Voo and vtsax are basically the same. Both have total market exposure, same expense ratio, but everyone is all about VTI on reddit. Index mutual funds and VTSAX vs. The merit's of VTSAX vs. Most people prefer VTI What is the difference between VTSAX and VOO? I have read that ETFs are an improvement over mutual funds because ETFs have lower expense ratios, but VTSAX is a VOO is a passively managed ETF that tracks the S&P 500; VTSAX is the largest US-based mutual fund that covers the extended market. If you are inclined towards ETFs I would humbly suggest you wait for the opportunity to tax loss harvest some of your VTSAX holdings into VOO or another similar low cost domestic total stock market ETF at Vanguard, hold for whatever period of time (has to be at least 30 days but I would just hold until there is another significant decline in the stock market), then tax loss harvest (VTI, VOO, and spy too). Vanguard was founded in 1975 by one of my favorite people in the investing community, the late John Bogle. 2% difference in returns over 10 years get compounded. Total International have been and will continue to be debated extensively. 81 for VFINX vs 0. 12, in comparison to competitors both are much cheaper than the industry average. e. The expense ratio difference between SPY and VOO is +. Again, this expense ratio is already accounted for in the ticker price. 04-0. I don't believe Vanguard allows fractional shares of ETFs to be bought. VTSAX is heavily loaded already with what's in VOO. i may not buy anymore Tbills thanks i just read VTI, realised that VTSAX is a fund. 08 to Fidelity's . E. Dividends do create a tax “drag” if in a taxable/non-retirement account. Choosing between VOO and VTI largely depends on your risk tolerance and investment goals. I would like to understand the underpinnings of how ETFs work vs a proper mutual find, so any explanation someone could provide would be appreciated. Simple path to wealth. They'll track closely though as the S&P500 make up around 80% of the VOO tracks the S&P. I'm interested in VOO but not sure if should just keep it the same with VTI Can I get your guys unrealized capital gains are not taxed. The capital gains accumulated in the underlying shares of VTSAX can be exchanged away via heartbeat trades between the fund and “authorized participants” in the formation/destruction of shares of VTI. Also true if you look at max drawdown, 50. VOO is the S&P 500 index you wanted. So VTSAX also gets to avoid distributing capital gains while also being an ordinary mutual fund. 99, which is considered to be high. Innovation is what drives wealth creation. As of now my rough plan is to use VOO/VTI, FSDIX, and maybe eventually adding SCHD, and DGRO. Hope this helps. In a MCW or CAPM model, the amount invested past that 500th company is so little, that the returns of VOO and VTI are almost identical. The only difference being that VTSAX would likely recover faster since it would just self cleanse the tech stocks and that VITAX may never recover if tech never recovers. This helps me not emotionally buy/sell and just auto-invest. 30% as of Mar 2024. Or check it out in the app stores Why not just do a split between VOO and VXF to gain a little more control and flexibility/TLH? into Google and multiply it by the figure in the pie chart on the page. VTI is the ETF version of VTSAX, which would be more tax efficient if in a taxable brokerage due to the share creation destruction mechanism of ETFs. Long term growth and value alternate between who does best - this is why most talk about VTI/VOO why bother trying to pick Secondly, QQQ is already 40% of VOO and is basically a tech fund at this point. Similarly, you can purchased by $ amount, instead of shares. If you're looking for broad market exposure, VTI + AVUV could be a better choice. While not a big difference it still adds up over a lifetime. 01% lower expense ratio. If tech, and in return VITAX, suddenly went down, so would VTSAX. I currently sellputsthencalls versus SPY. The idea of keep buying VOO like set it and forget it sounds good. Build a baseline of financial security with the difference first, then use it to invest for your future. :) Edit: If you’re only up 3%, I’d bite the bullet and move it all to VTSAX if the returns are as different as Since you mentioned debating between the Fidelity 500 Index Fund (FXAIX) and the Vanguard 500 Index Fund ETF (VOO), I want to ensure you're familiar with our research tools. Our goal is to help Redditors get answers to questions about Fidelity products and VTSAX: Total US stock market index VTIAX: Total non-US stock market index VTWAX: Total World stock market index (basically just VTSAX + VTIAX in proportion to their market caps) Also a bond fund would be good to counteract instability in the market, and being able to rebalance when stocks drop but bonds stay steady (or vice versa) For a buy and hold investor, minimal diff. The Freedom fund uses a similar principle to above, but adjusts to lower variance/risk as you near retirement. I would love to hear your thoughts on VIGAX (Vanguard Growth Index Admiral Fund) vs. The underlying investments are identical. Thanks Edit: I ended up going with 100% VTSAX so i could auto invest my deposits. VOO is skewed towards the communication services sector and Compare VTSAX and VOO based on historical performance, risk, expense ratio, dividends, Sharpe ratio, and other vital indicators to decide which may better fit your portfolio. i have VOO and some individual stocks in REITS (im not investing in dividends yield companies anymore) and some T bills. Or If I am trying to maximize long term growth/earnings, should I do VT/VTI/VOO instead of VTWAX/VTSAX/VFIAX since the etf's have 0. 5T vs $8T). VTSAX only executes trades once a day after market close. Or check it out in the app stores How many shares of VOO would It take to own 1 share of every company in it? VTI vs VTSAX when fractional shares feature is available Welcome to FXGears. In my taxable accounts I mostly have NTSX. enki941 • The number one answer is probably just the added ability to invest in dollars vs shares. 03%) and have alot of overlap (hence why you should only buy one of the two). For the ETFs, just choose either VTI or VOO, not both or SPY. Unless I wanted to sellputsthencalls versus the S&P 500 - then I’d have to choose VOO (since FXAIX isn’t optionable). Before diving right into their funds, we’ll start with a quick history lesson. - say in one's 401K. When you do your taxes for 2022, your records are going to show that you purchased VOO for $10k and sold it for $9k. You forfeit that ability by simply investing only in VT. Reddit and fire people are the only ones that think 100% in the total US stock market is okay. With VTSAX, you purchase whatever dollar amt you want without regard to share price. VTSAX. g. that is a whole another topic) would be ETF are traded during market hours and need to be bought in full shares (assuming you dont have fractional share options). Want to add or increase international exposure, add in VXUS. Want to add or increase US exposure? Add in VTI. The management fee is nearly the same. VTI and VTSAX both track the total stock market. And VTI is in the middle of those two. vtsax/vtiax vs. You are still left with the same $9000, just in a different ETF that will perform almost identical to VOO. VOO is an ETF, meaning it trades similarly to any other stock. All VOO holdings are fully captured within VTI but arguably VOO outperforms it because of the concentrated nature of the stocks it holds and how they perform versus the wider range of smaller and midsize companies that don’t do as well as your big boys. I was going to start investing in Vanguard Total Stick Market Index Fund (VTSAX), but I can’t find that in M1. Specifically, these three common options: VTSAX vs VTI vs VOO. 001 CAGR. But, VTSAX is a total US index which is more rigorous diversification in pursuit of the equity risk premium. Have you considered VTSAX? I had all my money in VOO (ETF version of VFIAX) until last week and switched to VTSAX this week. VTSAX VOO or VFIAX S&P 500 Index vs. Bottom line? Vanguard’s funds are still better than Fidelity’s, but it’s an extremely small difference. 56 for VFINX vs 0. VOO vs. 44 for VTI or VTSAX. VTSAX is entirely US. I play it like a game. Once you’re at single-digit basis points, looking for cheaper funds is negligible compared to other concerns. So if you want diversification along the size dimension (large vs. Overall, vanguard is great - just stay away from any managed fund if it’s not in a tax sheltered account. Yeah, I can buy VOO/VTI in whole shares, but Schwab has mutual funds that compare SWPPX and SWTSX. You sell it all and buy SCHX worth $9000. they either track the total market index fund, the SP500, or something. (note that these are mutual funds which would be least expensive at their corresponding brokerage - FXAIX/FSKAX at Fidelity and VFIAX/VTSAX at Vanguard) Yet, the risk potential is the same as VOO and VONE but returns are greater. Even Vanguard pairs VTSAX with VTIAX -- look at their target date funds. The way VOO trades can introduce variables that may more than negate that. VOO and SPY are basically the same fund they both track the S&P500 index they will perform almost identical except VOO should very slighly outperform due to a lower expense ratio QQQ does follow a different index and its weighted more to tech and it also has a wierd weighting structure so I would say if you want to tilt more to tech there is he top 10 stocks in VTSAX are 25% of the index's value (impact). TLDR; VTI is more diverse than VOO and is expected to out-perform in the long run because of its exposure to small companies. Wij willen hier een beschrijving geven, maar de site die u nu bekijkt staat dit niet toe. It's not easy, but it is simple: earn more, spend less, and use the difference wisely. 89 vs 50. If S&P500 does well, 80% of the portfolio will also do well, but if the small caps overperform the 500, you will also capture that. Vtsax you need to meet the minimum to buy and then you can automatically invest however you like. And if you wanted to change that ratio at any time, you have the ability to do so. US and international stocks tend to take turns outperforming each other by roughly a decade at a time , so a backtest that starts in the 1970’s or 1990’s and ends today will be fraught with recency bias. Hey everyone. I invested $3k in VIGAX last year as my first foray into brokerage accounts. S. Vanguard History. There is a difference in how they work though. the S&P 500 (VFINX) lost 9% in 2000, 12% in 2001, and 21% in 2002. So VTI has a wider range of companies vs VOO. If you make the sell and purchase in the same day it will have such a small impact on your return you won't even notice. I'd just prefer buying an actual total market Does the expense ratio for SPY vs VOO matter in the long run if S&P is the bulk of VOO tracks the S&P 500, or the 506 largest investable companies in America. Both VOO and VTSAX pay dividends to their shareholders from the earnings of their underlying stocks. The TER difference between this new Invesco ETF (FWRA) and the SPDR MSCI ACWI ETF is 0. Since all three funds are highly correlated, there is no risk management from holding all three funds. I believe VTSAX is basically just the mutual fund version of VTI. Comparing VFIFX which is the Vanguard 2050 fund and FIPFX which is the Fidelity 2050 fund, Vanguard has a slightly cheaper expense ratio at . VTSAX is a mutual fund, where VTI is an ETF. 04% expense ratio. With VTSAX, you can also setup automatic contributions so it can be 100% hands-off. As of 1/15/2024 the dividend yield of VOO is 1. VTSAX VTI and VOO contain both growth and value stocks and are more diversified compared to just growth funds. For me that extra % of growth is great and definitely worth it. We would like to show you a description here but the site won’t allow us. a mutual fund and ETF are essentially the same thing. r/personalfinance I realize that it’s a 3-5 year play 3-5 years might be too short a period to earn a profit. You can trade VTI intra-day and sell options as it's a ticker. 70-30 20-80, whatever), it would likely be a solid and dependable portfolio This article compares VTSAX vs VOO — Vanguard’s Total Market Index Fund Admiral Shares to Vanguard’s S&P 500 ETF. If you aren’t automating your investments there is tldr; YES you are foolish, but not because you are trying to decide between BRK and VOO, but because you are trying to invest in stocks with a 3-5yr time frame. VOO tracks the S&P 500 and is heavily weighted towards large-cap stocks, while VTI offers exposure to the entire US stock market, including mid and small-cap stocks. For new investors VTSAX is better as its easier to set up automatic monthly deposits that go directly into the funds. Given the choice I would also go with the lower ER fund. but since Vanguard has a patent for their mutual funds to increase tax efficiency, does this mean the mutual funds are still a viable option? Reddit iOS Reddit Android Reddit Premium About Reddit Advertise Blog Careers Press. $30 VOO). However, VOO is still a great option if one doesn't have access to total U. But for example, I use Schwab for my brokerage. Honestly, VTIAX is heavily weighing me down atm. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns. VT yields lower returns but at a lower level of risk. VTTSX is far more diversified than VOO: it uses US total market instead of only the S&P 500 (while the S&P 500 has had a better run recently, it wasn't always the case, see below) and it also uses international (which also hasn't done as well as the US the past 10 years, but international has beaten US only 3 of the past 5 decades). It’s generally not great to hold mutual funds in accounts that aren’t tax This article compares VTSAX vs VOO — Vanguard’s Total Market Index Fund Admiral Shares to Vanguard’s S&P 500 ETF. VTI is the ETF equivalent of VTSAX and they’re basically identical and you can flip a coin to decide which one to pick. 02%. and non-U. If you trade less often VOO is better. Total World vs. When diversifying to manage risk, you want to identify assets that are not correlated (correlation=0) or are negatively correlated. You buy VoO at 11 am and or buy FXAIX at 11;00 am. VOO and VTSAX will move every similarly to each other. In starts out with primarily index funds that balance US total market with international total market, then adds on an increasingly large portion of bonds and short-term lower risk assets as you Anyone can purchase VOO, so it’s discussed more often than a fund you need a Fidelity account to purchase. 1) You can auto invest. It's VOO is large cap only. 5 basis points, which is not noticeable. VTI, so I can send the shares to any brokerage I want. So it shouldn’t make a huge difference. I think VTI Vs VOO is only compared from 2009-2010 to present. 54 for VTSMX, so VTSMX (the equivalent of VTSAX) is indeed slightly less risky. I took this to heart and began exploring the three funds in the title for my Roth IRA. And yet I see people on Reddit argue There is simply no reason to choose VOO over VTI, but there is reason to choose VTI over VOO. VTSAX has become the Kleenex of low cost index funds. Assuming you're at Schwab and want to buy funds that are the same as where you're at. B? I hold a single share for the GEICO discount, but otherwise wouldn't add any more. ) The funds are otherwise identical. VOO They are both good and cheap. There’s practically no difference between holding VTI and VTSAX if you’re looking at cost efficiency, you’d just be analyzing pennies. With VOO you have to determine how many shares you want to buy, you cant just say "i want $500 of VOO". 2. So it (VTSMX) is closed to all new investors. 01 less expense ratio? VTIVX vs VTSAX/VTIAX/VBTLX VTSAX is total market and has much greater diversification. Stocks 501-4000 in VTSAX just aren't that important to its performance. If you are in CDN, buy VFV (just google search VFV vs VOO and a bunch of Reddit posts come up. VTSAX and VFIAX are about 80% identical and 99% correlated so that choice makes little difference, whereas VTIAX is completely different holdings. Bogle brought index and mutual funds to the common man but what’s the differences between VTSAX,VOO, ect from when he was alive vs after death?? Uhh. Vanguard S&P 500 ETF is exceptionally popular. So with a 30% portion of VTSAX, you're just adding back a slightly diluted version of what's already in the 70%. VOO - Total Stock Market vs. When we started my wife’s Roth IRA, we took a lump sum of about $1000 and bought shares of VTI. VXUS (or VTIAX) is a far better compliment to VTSAX. 18. VTWAX Total World Index (US and international) . VTI/VTSAX (same fund: VTI is ETF class, VTSAX is traditional mutual fund) is an excellent choice for one's equity allocation. So in essence, today your VOO investment is worth $9000. VTSAX is 80% VOO by market cap. S&P 500 Funds USA Basics: As an official Fidelity customer care channel, our community is the best way to get help on Reddit with your questions about investing with Fidelity – directly from Fidelity Associates. For example 60% VTI and 40% VXUS is about equal to 100% VT. $10,000 invested in VTSAX (Total US Stock Market) in 2011 was worth $42,957 on January 31, 2022 (all dividends reinvested) $10,000 invested in VTIAX (Total International Stock Market) in 2011 was worth $17,402 on January 31, 2022 (all dividends reinvested) This is a huge difference. Mutual funds trade after market close VTI would be the equivalent of VTSAX, not VOO. For VOO that is currently $362. The dividend yield is a measure of how much a company pays in dividends relative to its share Even though there are a lot of VT fans here, I would always prefer VOO (I’m not american by the way). So you actually only need VFIAX/VOO and one additional fund (either smallcap or extended market) to make a good approximation. Welcome to r/dividends!. So really it comes down to VTI having a lower expense ratio (fairly negligible though). With VTSAX, you buy/sell at the end of day price regardless of when the transaction goes through. You need to add a mid cap and small cap fund. mid vs. Posted by u/Jcmarine18 - 17 votes and 43 comments VFIAX (VOO) and VTSAX (VTI) will perform pretty much the same so pick one. And innovators will always be drawn towards the most attractive soft power, which the western world is particularly strong in. Does any of this matter long-term? For example, longevity of the product or expected changes to expense ratio? Basics: VTSAX and VOO are two of the most popular ETFs in the investment world. , VOO) make up such a huge proportion of VTI that the returns are usually the same. $1273. so if you invested $10k on the first possible day of 2000, the price of those stocks would have dropped to about $6,300 by the end of 2002. Here’s a random article from MSCI that I found googling just now too Telling someone that vti is better than voo isn’t telling the full story or just berating someone because “vti had 3500 and voo only has 500” Why do you regret buying VFIAX vs VTSAX? There is a >80% VOO offers a higher CAGR of 11. VTI/VXUS vs VTSAX/VGTSX in taxable Vanguard account? understanding that ETFs are more tax-efficient than mutual funds, the former combination is best for taxable accounts. For long-term buy and hold, which is the better (more likely) bet? VOO has lower costs and the U. VTSAX means staying with Vanguard. The dividend yield is a measure of how much a company pays in dividends relative to its share price. Most people prefer VTI to VTSAX as you can own it with different brokerages and you can sell it at any time of the day rather than only at the close. VOO vs FXIAX vs VTSAX etc I've been in the investing world for a little bit of time, maybe about 5 years in total, and only within the last year and a half or so have I gotten really into it and doing more, in-depth research on companies and ETF's and the like. stock market, while VOO, also known as the Vanguard S&P 500 ETF, tracks the performance of the S&P 500 index. 78 for VTSMX, Sharpe ratio is 0. With vti, there’s no minimum. Perhaps it could be interesting to note that VOO has a dividend yield of 1. 36% and SPY 1. VTI is the ETF share class of VTSAX and has an expense ratio of 0. VTSAX has a slightly higher expense ratio of 0. I’m looking to set-up a short term portfolio to add to monthly, 3-5 years max. 03% expense ratio and Admiral Shares have a 0. Using VTSAX would mean incurring trading fees. VOO has a 0. Good for you. 04% but the difference is negligible, even over very long periods of time. com and choosing the desired category. Thanks to market cap weighting there is no discernible difference in their behavior (standard deviation, draw downs; best/worst years, sharpe, sortino, beta) or their returns Voo(vfiax) vs vti (vtsax) Having trouble deciding if I want to make Vtsax my core holding or vfiax my core holding what are your thoughts? I’m going to be 100% in either for a while and will contribute each paycheck. I have some VXUS spread around for diversification. VTSAX is much broader than the S&P 500. If it’s available and you want both US and international in the same fund, then pick VTWAX (VT). VFIAX is almost entirely large cap. small cap), do Although VT contains VOO, yes you can overweight VOO by investing in both Although I personally believe that VT + small cap value funds provide the best risk adjusted returns without idiosyncratic risk, if you wanted to hold VT + VOO in pretty much any ratio (e. From reading this sub, I've discovered what feels like the general concept of how to choose between these 3 ETFs. Intraday Trading: It's cool to be able to trade ETFs like stocks during the day. There is no further difference in what they are. biggest difference (taking out tax concerns. Please direct all simple questions and "Rate my Portfolio" requests towards the Weekly Discussion Threads (sort by hot, they're at the top). Since that time VTSAX has had it's required minimum to buy in reduced to $3000. What convinced me to finally decide to go with VTWAX , which I only decided this morning, was to the effect that someone either in this Subreddit or on Bogleheads. But I'm looking ahead. I was in elementary school when Star Trek (TOS) began. The minimum investment for SWPPX is $1. It’s nice to set it and “forget it” and let it do its thing. The funny thing I think is that it seems like to me everyone on Reddit talks about VTI instead of VTSAX. VTI, Vanguard Stock Market ETF, includes all those companies and adds a couple thousand more. As some others mentioned, the way ETFs trade introduces variables that can be more significant than 1 basis point of ER difference. Same can be said about VTI vs VOO (large cap), VO (mid cap), and VB (small cap). And of course they are the same top 10 stocks - they have the same top 500 stocks sorted by impact. I think it's important to try and be flexible and adapt as the world changes. If you really want to be 100% equities, then I'd recommend VT (100% global equities). VTSAX is an example of a mutual fund where there a “paired” ETF in the form of VTI. Only difference is VOO has a slightly smaller expense ratio In making a selection of which ETFs to invest in, look at your entire portfolio across all accounts as one. 06%, meaning that for every $100K invested, SPY will be charging an extra $60 per year ($90 SPY vs. VT is an entirely different fund, an ETF share If you wanted a 90/10 split of US equities vs international, you could do that with VTI and VXUS. But the difference between them is so small because VTI is cap-weighted; as a result the vast majority of weight goes to large-cap anyway. I max out my contributions for my 457B every year. performance has outpaced the world in general since WWII. If this is taxable it's not important enough to switch. With VTI there are a couple of extra steps that can get annoying if your doing them every month. You can buy these from many different companies. 9%) driven mainly by weak earnings from So if you trade more often, SPY is better. NTSX holds it's 90% stock position fully paid along with 10% of intermediate term US treasuries. fzprvqydecgyrmhdsytemxqdabhjsddkctkwodconan