I made 2 videos the other days comparing the historical returns of these 4 ETFs: IVV, VOO, SPY and VTI. In the first video, I found that a VOO had the best historical returns in a randomly chose investment time span.
In the second video, I found that VOO was still the best accounting for their return standard deviation, or risk, or fluctuation, when I divided their returns by the return standard deviation.
Out of curiosity, I went digging for information. Some of the known facts that
would not make VOO the best:
- VTI contains mid-, and small-cap equity, while the others don't.
- SPY has the highest expense ratio of 0.09%, while the others are 0.03%.
Then I found the possible reason, their turnover rate:
- SPY: 2%
- VOO: 2%
- IVV: 3%
- VTI: 3.4%
With this and the fact that SPY has the highest expense ratio, VOO might
just be the best ETF among : IVV, VOO, SPY and VTI.
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