What is the primary difference in investment style between VOO and VYM?

VOO is a Large Blend fund, meaning it seeks to mirror the entire S&P 500 index, holding a mix of growth and value stocks. VYM is a Large Value fund, specifically designed to track companies with higher dividend yields. While VOO aims for broad market exposure, VYM targets stocks that are traditionally considered undervalued and income-generating.

How do expense ratios affect ETF returns over time?

Expense ratios are annual fees deducted from an ETF's assets. VOO has an expense ratio of 0.03%, while VYM has 0.04%. This 0.01 percentage point difference might seem negligible, but over decades, compounding effects mean the lower fee can result in slightly higher net returns for investors. Lower fees are generally preferred for long-term holding, assuming other factors remain constant.

What does it mean when sector weight data is not available?

Sector weights show how much of an ETF is invested in specific industries like technology or healthcare. For both VOO and VYM, this data is currently not available. Without it, investors cannot precisely analyse the industry distribution. This lack of transparency might require looking at top holdings to infer potential sector biases, though this method is not exact.

How do the dividend yields compare between VOO and VYM?

VOO has a dividend yield of 1.03%, which is modest. VYM has a higher yield of 2.31%. This difference reflects their strategies: VYM specifically targets high-dividend-paying companies to generate income, whereas VOO holds all S&P 500 constituents, many of which prioritise growth over payouts. Investors seeking regular income often look at funds like VYM, while those focused on growth may prefer VOO.

Are there overlaps in the top holdings of VOO and VYM?

Yes, there is some overlap. Both funds list Broadcom (AVGO) as a top-10 holding. However, the portfolios differ significantly elsewhere. VOO is heavily weighted toward tech giants like Nvidia (NVDA) and Apple (AAPL). VYM includes more financials like JPMorgan Chase (JPM) and energy stocks like ExxonMobil (XOM). This indicates that while they share one large holding, their overall composition serves different market segments.

What does the asset size tell us about these ETFs?

VOO has net assets of $1.08 trillion, indicating it is one of the largest ETFs globally, offering massive liquidity. VYM has net assets of $80.9 billion, which is still substantial and provides adequate liquidity for most retail investors. Larger funds like VOO can sometimes benefit from economies of scale, potentially helping to keep operating costs low, although both funds already have very low expense ratios.

How does inception date impact the historical context?

VOO was launched in September 2010, providing over 15 years of trading history. VYM started earlier, in November 2006, offering nearly two decades of history. While VOO tracks the well-known S&P 500, its shorter history is still extensive enough to demonstrate how it behaves through various market cycles. VYM’s longer history may provide more data points for analysing high-dividend strategies over time.

What are the main risks associated with holding VOO?

VOO’s main risk is concentration in the top holdings, particularly technology. Nvidia is 8.08% and Apple is 7.03% of the fund. If the tech sector underperforms, it could disproportionately drag down the fund’s returns despite its broad diversification across the S&P 500. Additionally, its lower yield means it is less suitable for investors needing immediate cash flow.

What specific risks should be considered for VYM?

VYM faces idiosyncratic risk due to concentration in specific names like Broadcom at 6.93% and JPMorgan at 3.83%. Since it focuses on value and income, it may underperform during periods where growth stocks dominate. Furthermore, high-dividend strategies can be sensitive to interest rate changes and economic downturns, which might affect the ability of companies to sustain payouts.

Which fund might suit an investor focused on total return?

Total return combines capital appreciation and dividends. VOO, being a broad market index fund, has historically shown strong capital appreciation due to its inclusion of major growth companies. VYM aims for income and capital growth from value stocks. Investors focused purely on total return often prefer the broad market exposure of VOO, as it captures the performance of the entire S&P 500.

How do the categories Large Blend and Large Value differ?

Large Blend funds like VOO invest in companies that exhibit both growth and value characteristics, essentially mirroring the market average. Large Value funds like VYM target companies that are considered undervalued relative to their earnings and pay higher dividends. This difference in categorisation drives the distinct performance patterns and risk profiles of each ETF, making them suitable for different parts of a diversified portfolio.

Is the index tracked data available for these funds?

No, the specific index tracked is not available in the provided data for either VOO or VYM. Typically, VOO tracks the S&P 500 and VYM tracks the FTSE High Dividend Yield Index, but without explicit confirmation in the dataset, we must state that this information is not available. Investors should verify these details from official fund documents for precise tracking methodologies.

VOO vs VYM

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

Compare VOO (S&P 500) and VYM (High Dividend Yield) by reviewing their fees, holdings, and dividends. Understand how each fund tracks its market: VOO provides broad large-cap growth exposure, while VYM focuses on large-cap value and income. Evaluate their expense ratios, asset sizes, and yield differences. Educational content, not financial advice.

Fund Snapshot

Key Fund Metrics

VOO

Metric

VYM

0.03%

Expense Ratio

0.04%

1.03%

Dividend Yield

2.31%

$1.08T

Net Assets

$80.88B

516

Holdings

613

Sep 7, 2010

Inception Date

Nov 10, 2006

–

Index Tracked

–

Large Blend

Fund Category

Large Value

VOO costs about $1.00 less per year for every $10,000 invested.

Shared Top Holdings

Holding	VOO	VYM
AVGOBroadcom Inc.	2.65%	6.93%

Discover More Comparisons

VOO vs VXF

Compare VOO vs VXF on fees, holdings and dividends. VOO is 0.03%, VXF 0.05%. Both yield 1.03%. Shared top-10 holdings are none. Index tracking unavailable.

VOO vs VUG

Compare VOO and VUG. Examine 0.03% expense ratios, dividend yields, top holdings and market segment tracking to understand their structural differences.

VOO vs VPU

Compare VOO and VPU. Review fees, holdings, dividends, and tracking data. Neutral analysis of US large blend and utilities ETFs for investor research.

Investment Analysis

VOO

Pros

VOO offers an exceptionally low expense ratio of 0.03 percent for broad market exposure.
The fund manages net assets of 1.08 trillion dollars, indicating substantial institutional scale.
Inception in September 2010 provides a decade and a half of trading history.

Considerations

The dividend yield of 1.03 percent is modest compared to income-focused alternatives.
Top holdings include NVDA at 8.08 percent and AAPL at 7.03 percent, showing tech concentration.
Sector weight data is not available, limiting transparent analysis of industry distribution.

VYM

Pros

VYM provides a higher dividend yield of 2.31 percent, suited for income generation.
The large value category offers diversification relative to the broader blend of competitors.
Net assets of 80.9 billion dollars suggest adequate liquidity for most retail investors.

Considerations

The expense ratio of 0.04 percent, while low, is slightly higher than broad market rivals.
Top holdings concentrate on AVGO at 6.93 percent and JPM at 3.83 percent, creating idiosyncratic risk.
Sector weight data is not available, obscuring the precise financial and energy exposure levels.

Related Market Insights

The Tokenisation Revolution: Why Global Asset Access Is About to Change Everything

Explore the Tokenisation Revolution Neme. Invest in companies building infrastructure for global asset access, fractional ownership, and borderless finance.

Aimee Silverwood | Financial Analyst

25 July 2025

Read Insight

Related Market Insights

The Tokenisation Revolution: Why Global Asset Access Is About to Change Everything

Explore the Tokenisation Revolution Neme. Invest in companies building infrastructure for global asset access, fractional ownership, and borderless finance.

Aimee Silverwood | Financial Analyst

25 July 2025

Read Insight

About VOO and VYM

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.

VYM (VYM)

The Vanguard High Dividend Yield ETF is designed to provide investors with exposure to a broad range of high-dividend-paying stocks listed in the US. With a low expense ratio of 0.04% and over 600 holdings, the fund aims to deliver income while maintaining diversification. Its dividend yield sits at 2.31%, reflecting its focus on companies with strong payout traditions. This ETF suits those seeking a steady income stream as part of a long-term strategy, though values can rise and fall. Returns are not guaranteed. Always consider your personal circumstances before investing.

Which Baskets Do They Appear In?

Tokenized World: Global Asset Access

Invest in companies revolutionizing how we access global assets through blockchain technology. These carefully selected stocks represent leaders enabling the tokenization of real-world assets, from trading platforms to the infrastructure that makes it all possible.

Published: 1 July 2025

Explore Basket

Which Baskets Do They Appear In?

Tokenized World: Global Asset Access

Published: 1 July 2025

Explore Basket

Buy VOO or VYM in Nemo

🆓

Zero Commission

Trade stocks, ETFs, and more with zero commission. Keep more of your returns.

🔒

Trusted & Regulated

Part of Exinity Group 2015, serving over a million customers globally.

💰

6% Interest on Cash

Earn 6% AER on uninvested cash with daily interest payments.

VOO vs VYM

Fund Snapshot