What are the expense ratios of DGRO and VOO and how does this fee difference affect an investor over time?

DGRO has an expense ratio of 0.08% per year while VOO is lower at 0.03%. A fee difference of 0.05 percentage points may not seem substantial, but it compounds over time. Higher expenses reduce the net return an investor receives relative to the index performance, creating an ongoing drag on growth. For long-term holdings, these small recurring costs accumulate significantly. Therefore, lower expense ratios generally provide greater net returns over extended periods, which can have a measurable impact on the total value of an investment as fees deduct a portion from the assets continuously.

What is a dividend yield and what do the figures for DGRO and VOO indicate about their income?

A dividend yield represents the annual income generated by a fund relative to its current price. DGRO has a yield of 1.94% while VOO has a yield of 1.03%, meaning the former offers nearly double the current income relative to its price. This metric provides a snapshot of income production but does not guarantee future payout levels, as distributions vary with company profits and decisions. Investors should interpret these numbers in the context of their income requirements and recognise that the underlying companies' financial performance drives these payments, rather than the yield remaining fixed.

How do the inception dates and net assets of these funds compare in terms of their market presence?

VOO has an inception date of September 2010, while DGRO was launched in June 2014. Both offer substantial track records, with VOO operating for a longer period. In terms of scale, VOO has net assets of $1.08 trillion, compared to DGRO's $42.9 billion. Both are very large funds, which typically correlates with better liquidity and tighter trading spreads for investors entering or exiting positions. These figures suggest both funds are well established within the ETF market with significant investor adoption and the operational history to support their respective investment strategies and market capitalisations.

What investment goal is each fund typically associated with, considering their specific characteristics?

DGRO falls under the 'Large Value' category and is associated with dividend growth strategies that focus on companies with a history of increasing their payouts. In contrast, VOO is classified as 'Large Blend', typically linked with broad capital growth exposure to the large-cap U.S. market. Neither fund is explicitly designed for the other's primary goal: VOO is not intended for high current income, while DGRO is not structured for broad market growth exposure. These distinct objectives mean the funds serve different primary strategies, whether the investor seeks specific dividend growth or general large-cap blend appreciation within their portfolio.

How similar are the top ten holdings between DGRO and VOO and what does this overlap mean?

There is limited overlap among the top ten positions. Three companies—AAPL, MSFT, and AVGO—appear on both lists. However, their weights and the surrounding composition differ considerably. In VOO, AAPL is at 7.03% and MSFT at 5.70%, whereas in DGRO, AAPL holds 3.12% and MSFT 3.03%. Furthermore, VOO's top holdings include NVDA, AMZN, and GOOGL, while DGRO includes XOM, JPM, and JNJ. This minimal top-10 overlap means the funds have distinctly different performance drivers, with VOO exhibiting a strong tech tilt and DGRO featuring more diversified exposure across other industrial and financial sectors.

What types of companies does DGRO hold compared to VOO's top holdings?

DGRO's top holdings include companies like XOM, JPM, JNJ, PG, PM, and HD, alongside AAPL and MSFT. This list reflects a strategy focused on businesses with a strong history of paying and increasing dividends across various sectors, such as energy, financials, healthcare, and consumer goods. In contrast, VOO's top positions are heavily concentrated in mega-cap technology and communication stocks, including NVDA at 8.08%, AMZN at 3.84%, GOOGL at 3.01%, and META at 1.90%. This indicates DGRO is more diversified among established dividend-paying companies, while VOO leans heavily on the largest growth-oriented tech stocks.

What is the difference in net assets between DGRO and VOO and why might this matter for an investor?

DGRO holds $42.9 billion in net assets whereas VOO holds $1.08 trillion. Both figures represent very large asset bases which generally support liquidity and ensure tight trading spreads in the secondary market. VOO's significantly larger size indicates higher institutional and retail adoption, which often results in better market making and potentially lower transaction costs. While DGRO's $42.9 billion is more than sufficient for most retail trading without encountering issues with fund scale, investors may view VOO's massive size as an additional indicator of stability and liquidity, though both funds are well established.

What are the limitations of comparing DGRO's and VOO's sector weights given the data provided?

A key limitation in comparing these two funds is that sector weights are listed as 'not available'. Consequently, it is impossible to quantify the exact industry exposure of each portfolio based on this data. Without sector weights, it is difficult to precisely assess how concentrated each fund is in specific sectors, such as technology, financials, or industrials. While the top holdings offer some indication of this—showing a concentration in tech within VOO—the absence of comprehensive sector weight data limits the ability to understand the full breadth of potential sector risks or to measure exactly how diversified DGRO is across different industries.

What are the implications of the 'index tracked' data being not available for these two funds?

For both DGRO and VOO, the 'index tracked' field is 'not available'. Without knowing the exact index methodology, it is challenging to understand precisely how constituents are selected and weighted. While DGRO is known for focusing on dividend growth strategies and VOO is an S&P 500 ETF, the lack of specific index details prevents an in-depth analysis of the rules governing their rebalancing and inclusion. This means investors cannot fully evaluate how strictly each fund adheres to specific criteria or how it adapts to market shifts, limiting a complete comparative assessment.

How does the yield of 1.94% for DGRO and 1.03% for VOO compare to other investment types?

The yields of 1.94% for DGRO and 1.03% for VOO are generally modest compared to fixed income instruments like government bonds or high-yield equity funds focused strictly on income. While DGRO is categorized as a dividend growth fund, its yield is lower than what is found in many pure income-focused Exchange Traded Funds. VOO's yield is very low, reflecting its exposure to large capital growth companies that tend to prioritise reinvesting earnings into business expansion rather than paying out substantial dividends. These yields primarily represent a current income component alongside any potential capital appreciation.

How should an investor approach the difference in dividend yields between DGRO and VOO?

Investors evaluating these yields should look at the current yield figures: 1.94% for DGRO versus 1.03% for VOO. This indicates DGRO produces more cash per dollar invested today. However, yields are a snapshot and not a guarantee. An investor's focus should also depend on whether their primary goal is receiving a higher current income stream or seeking broad capital growth that VOO might offer. The practical application depends on understanding that yields are derived from the underlying companies' payout practices, meaning changes in corporate profits or dividend policies could cause these figures to fluctuate over time.

What is the purpose of this FAQ and what should investors keep in mind before acting?

This educational FAQ provides a neutral comparison of DGRO and VOO, using data on fees, assets, holdings, and yields. The objective is to help beginners interpret these figures and understand how the funds differ regarding structure, market exposure, and potential income generation. Investors should keep in mind that the provided information is strictly for educational purposes and does not constitute financial advice or a recommendation to purchase either fund. Individuals must conduct their own research or consult a qualified professional to determine which fund aligns with their personal financial goals, risk tolerance, and investment time horizon.

DGRO vs VOO

Two funds, one decision: we compare cost, performance and what each ETF actually holds in September 2026.

Compare DGRO (iShares Core Dividend Growth ETF) and VOO (S&P 500 Vanguard ETF) on fees, holdings, dividends and how each fund tracks its market. DGRO focuses on dividend growth with a 1.94% yield, while VOO offers broad S&P 500 exposure at 0.03% fee. Educational content, not financial advice.

Fund Snapshot

Key Fund Metrics

DGRO

Metric

VOO

0.08%

Expense Ratio

0.03%

1.94%

Dividend Yield

1.03%

$42.93B

Net Assets

$1.08T

396

Holdings

516

Jun 10, 2014

Inception Date

Sep 7, 2010

–

Index Tracked

–

Large Value

Fund Category

Large Blend

VOO costs about $5.00 less per year for every $10,000 invested.

Shared Top Holdings

Holding	DGRO	VOO
AAPLApple Inc.	3.12%	7.03%
MSFTMicrosoft Corporation	3.03%	5.70%
AVGOBroadcom Inc.	2.77%	2.65%

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Investment Analysis

DGRO

Pros

Costs are low at 0.08% per year, supporting long-term compounding and competitive expense ratios.
Assets exceed $42.9 billion, suggesting liquidity, scale and likely tight trading spreads.
Inception in June 2014 provides over a decade of operating history for dividend growth exposure.

Considerations

Index methodology is not available, limiting clarity on how dividend growth companies are selected.
Sector weights are not available, obscuring portfolio concentration and potential sector risks.
The yield at 1.94% is lower than many income ETFs, despite dividend growth focus.

VOO

Pros

Expense ratio is exceptionally low at 0.03%, enhancing net returns over time.
Net assets reach $1.08 trillion, indicating very high liquidity and institutional adoption.
Inception in September 2010 offers more than 15 years of history and market presence.

Considerations

Top holdings are heavily weighted to mega-cap technology stocks, increasing concentration risk.
Sector weights are not available, so large industry exposures cannot be assessed directly.
Index tracked is not available in the data, despite the fund being an S&P 500 ETF.

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About DGRO and VOO

DGRO (DGRO)

The iShares Core Dividend Growth ETF (DGRO) is designed to provide investors with exposure to US companies that have a history of increasing their dividend payouts. This fund targets large-cap equities with sustainable dividend growth strategies rather than just high current yields. With an attractive low expense ratio of 0.08% and substantial net assets of USD 42.93 billion, it offers broad diversification across 396 holdings. The fund’s focus on large value stocks aims to balance income potential with capital appreciation opportunities. Investors should note that while the current dividend yield is approximately 1.94%, payouts are not guaranteed and can fluctuate based on company performance and market conditions. As with any equity investment, the value of shares can rise and fall, meaning returns are not assured. It serves as a general educational example for those interested in dividend-growth strategies within the broader market.

VOO (VOO)

VOO is Vanguard’s exchange-traded fund designed to track the S&P 500 Index, offering broad exposure to about 500 of the largest publicly traded US companies. It aims to replicate the index’s performance minus fees by holding the same stocks in similar proportions, making it a straightforward, passive way to access large‑cap US equities. Investors commonly use VOO as a core holding for long‑term growth or as a simple building block in a diversified portfolio. It typically offers high liquidity and regular dividend distributions from underlying companies. As with any equity investment, VOO’s value can rise or fall with the market, and past performance is not a guide to future returns. Fees, trading costs and potential tracking error reduce returns slightly. This information is general and educational only and not personalised financial advice — consider your own circumstances or speak to a qualified adviser before investing.

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DGRO vs VOO

Fund Snapshot