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ETF Review 2026

Vanguard S&P 500 ETF (VOO)

An in-depth review of VOO for long-term investors. We analyze its rock-bottom expense ratio, holdings, performance history, and compare it head-to-head with SPY and IVV.

The Bottom Line

The Vanguard S&P 500 ETF (VOO) is arguably the best core holding for the vast majority of retail investors. Tracking the S&P 500 index, it provides immediate exposure to the 500 largest publicly traded U.S. companies.

Its primary advantage is its incredibly low cost structure. With an expense ratio of just 0.03%, you keep almost all of your returns. It is incredibly tax-efficient, highly liquid, and perfectly suited for a "set it and forget it" buy-and-hold strategy.

VOO vs. SPY vs. IVV: The S&P 500 Showdown

All three of these ETFs track the exact same index (the S&P 500). Before fees, their returns are identical. The differences lie entirely in expense ratios and liquidity.

Click headers to sort
ETF ↕ Name ↕ Expense Ratio ↕ AUM ↕ 10Y Return ↕

The Verdict: If you are a long-term investor, VOO or IVV are the superior choices due to their 0.03% expense ratios. SPY charges 3x more (0.09%) and is only preferable for active day traders or options traders who need massive daily liquidity.

Performance History

Trailing total returns (including dividends).

Top 10 Holdings

Because VOO is market-cap weighted, the largest companies have the biggest impact on its performance. Here are the current top holdings driving the ETF:

Frequently Asked Questions

What is the VOO expense ratio?
The Vanguard S&P 500 ETF (VOO) has an incredibly low expense ratio of 0.03%. This means for every $10,000 invested, you pay only $3 per year in management fees.
VOO vs SPY: Which is better?
For long-term, buy-and-hold investors, VOO is generally considered better than SPY because its expense ratio is lower (0.03% vs 0.09%). SPY is more popular for active traders due to higher liquidity and options volume.
Does VOO pay dividends?
Yes, VOO pays a quarterly dividend. The dividend yield fluctuates with the market, typically tracking the S&P 500 average.
What companies are in VOO?
VOO holds approximately 500 of the largest U.S. companies. The top holdings are heavily weighted toward massive tech companies like Apple, Microsoft, NVIDIA, Amazon, and Alphabet.
Is VOO a good investment for beginners?
Yes, VOO is widely considered an excellent core holding for beginners because it provides instant diversification across 500 leading U.S. companies at an extremely low cost.

Methodology

Data presented on this page is sourced directly from live market feeds via Yahoo Finance API. Expense ratios, Assets Under Management (AUM), and performance metrics are updated automatically to reflect real-time trailing data as of 2026. Top holdings are based on the fund's most recent disclosures.

Cite This Page

Westmount Fundamentals. "VOO ETF Review (2026): Vanguard S&P 500 Fees & Performance." westmountfundamentals.com/voo-etf-review-2026, 2026.

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