Vanguard S&P 500 ETF (VOO) overview
VOO is Vanguard’s ultra-low-cost S&P 500 tracker, launched in 2010. It tracks the same index as SPY but with a 0.03% expense ratio — roughly one-third the cost of SPY’s 0.0945%. Total assets exceed $450 billion.
For long-term buy-and-hold investors, VOO is the most efficient way to own the S&P 500. For active traders who need maximum liquidity and the deepest options chain, SPY is still preferred despite the higher fee.
Key facts
- Tracks: S&P 500 index
- Expense ratio: 0.03%
- Dividend yield: ~1.3% (paid quarterly)
- AUM: ~$450bn (largest Vanguard ETF, top 3 ETFs globally)
- Minimum investment: 1 share (~$685)
VOO vs. SPY
Same index, different tradeoffs:
| VOO | SPY | |
|---|---|---|
| Expense ratio | 0.03% | 0.0945% |
| Liquidity (volume) | Lower | Highest in the world |
| Options chain | Limited | Deepest in the market |
| Tax efficiency | Slightly better | Slightly worse |
Buy VOO if you’re holding for years. Trade SPY if you’re actively in/out or using options.
Where to trade VOO
CFDs via Pepperstone, Capital.com. Real shares via eToro or XTB (commission-free up to €100K/month on XTB).
