FNILX vs. VOO — ETF comparison tool (2024)

FAQs

What ETF is comparable to VOO? ›

FXAIX - Fidelity ® 500 Index Fund.

FNILX - Fidelity ZERO ® Large Cap Index Fund.

While they can be actively or passively managed by fund managers, most ETFs are passive investments pegged to the performance of a particular index. Mutual funds come in both active and indexed varieties, but most are actively managed. Active mutual funds are managed by fund managers.

While the two ETFs follow the same strategy, they earn different ratings. VOO earns a top rating of Gold, while SPY earns the next best rating of Silver. Almahasneh says the reason is fees and inefficiencies of the unit investment trust structure.

Overall, you might save money at Fidelity if you trade options, but Vanguard will be cheaper if mutual funds are your focus. The key difference is that Fidelity is low-cost for a wide range of investor types, while Vanguard is a great low-cost solution aimed primarily at buy-and-hold investors.

Average Return

In the past year, SPLG returned a total of 24.65%, which is slightly lower than VOO's 24.69% return. Over the past 10 years, SPLG has had annualized average returns of 12.63% , compared to 12.73% for VOO. These numbers are adjusted for stock splits and include dividends.

The short version

FNILX tracks the Fidelity U.S. Large Cap Index while FXAIX tracks the S&P 500. FXAIX has posted slightly higher returns over time, but FNILX is completely fee-free. Low-cost index funds are a great way to grow your portfolio over time.

Fidelity Zero Large Cap Index (FNILX)

In the race for the lowest of the low-cost index funds, this Fidelity fund made news by being among the first to charge no annual expenses. That means investors can keep all their cash invested for the long run.

Why should FNILX be a part of any portfolio? ›

Large cap funds should be a part of any investor's portfolio and FNILX offers the best version of this classic financial tool. Fidelity's FNILX fund owns the 500 most valuable stocks on US exchanges, offering broad exposure to top companies.

ETFs are generally better for frequent trading because you can buy and sell shares throughout the trading day. Index mutual funds only let you buy and sell at the very end of each trading day. ETFs also give you up-to-date information on the fund investment value throughout the trading day.

ETFs and index mutual funds tend to be generally more tax efficient than actively managed funds. And, in general, ETFs tend to be more tax efficient than index mutual funds. You want niche exposure. Specific ETFs focused on particular industries or commodities can give you exposure to market niches.

VOO has an advantage in expense ratio, with an expense ratio of 0.03%, whereas SCHD has an expense ratio of 0.06%, which is double the cost of VOO. The industry average expense ratio is 0.25%, and VOO and SCHD are relatively inexpensive compared to other ETFs.

QQQ is more expensive with a Total Expense Ratio (TER) of 0.2%, versus 0.03% for VOO. QQQ is up 12.27% year-to-date (YTD) with +$18.55B in YTD flows. VOO performs better with 13.58% YTD performance, and +$57.69B in YTD flows.

Diversification: VTI offers broader diversification by including companies of all sizes, while VOO's focus on large-cap companies may provide a slightly less diversified exposure. Performance: The performance of VTI and VOO can vary depending on the performance of the underlying indexes.

VGT has more assets under management than VOO by $275,692,984,564. Higher AUM can be associated with better liquidity and lower slippage in trading. VGT and VOO use the same leverage ratio. Inverse and leveraged ETFs can be used to either take an opposite position or amplify returns of a given index.