The Vanguard S&P 500 ETF (VOO) Beat the Vanguard Morningstar Total Stock Market ETF (VTI) for 4 Straight Years. Here's Why That's About to Change.
The Vanguard Morningstar Total Stock Market ETF is more value-oriented and diversified than the Vanguard S&P 500 ETF.
Overview
The Vanguard S&P 500 ETF (NYSEMKT: VOO) and Vanguard Morningstar Total Stock Market ETF (NYSEMKT: VTI) are two of the simplest and most cost-effective ways to get exposure to the broader U.S. stock market.
The Vanguard S&P 500 ETF mirrors the performance of the S&P 500 (SNPINDEX: ^GSPC), while the Vanguard Total Stock Market ETF reflects the entire U.S. stock market with 3,531 holdings. Given that the S&P 500 makes up roughly 80% of the total U.S. stock market, investors may view the two ETFs as virtually interchangeable. But it's impossible to ignore that the Vanguard S&P 500 ETF outperformed the Total Stock Market ETF from 2022 through 2025, and why that pattern is breaking.
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Originally published at www.fool.com.