AAA vs. VOO

Last updated Jun 4, 2026

AAA (AAF First Priority CLO Bond ETF) and VOO (Vanguard S&P 500 ETF) are both exchange-traded funds - AAA is a CLO fund actively managed by Alternative Access Funds LLC, while VOO is a S&P 500 fund tracking the S&P 500 Index. AAA is actively managed, while VOO is passively managed. Over the past 5 years, AAA returned 4.64%/yr vs 13.90%/yr for VOO. At a 0.03 correlation, their price movements are largely independent. AAA charges 0.25%/yr vs 0.03%/yr for VOO.

Performance

AAA vs. VOO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in AAF First Priority CLO Bond ETF (AAA) and Vanguard S&P 500 ETF (VOO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, AAA achieves a 1.86% return, which is significantly lower than VOO's 10.91% return.

AAA

• 1D: -0.22%
• 1M: 0.67%
• YTD: 1.86%
• 6M: 2.19%
• 1Y: 5.39%
• 3Y*: 6.50%
• 5Y*: 4.64%
• 10Y*: —

VOO

• 1D: -0.70%
• 1M: 5.04%
• YTD: 10.91%
• 6M: 10.93%
• 1Y: 28.04%
• 3Y*: 22.44%
• 5Y*: 13.90%
• 10Y*: 15.56%

*Multi-year figures are annualized to reflect compound growth (CAGR)

AAA vs. VOO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
AAA AAF First Priority CLO Bond ETF	1.86%	4.92%	6.85%	8.94%	0.15%	0.86%	0.32%
VOO Vanguard S&P 500 ETF	10.91%	17.82%	24.98%	26.32%	-18.17%	28.79%	11.00%

Correlation

The correlation between AAA and VOO is 0.10, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.10
Correlation (3Y) Calculated over the trailing 3-year period	0.07
Correlation (5Y) Calculated over the trailing 5-year period	0.04
Correlation (All Time) Calculated using the full available price history since Sep 10, 2020	0.03

Return for Risk

AAA vs. VOO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

AAA

AAA Risk / Return Rank: 85
AAA Sharpe Ratio Rank: 71
AAA Sortino Ratio Rank: 87
AAA Omega Ratio Rank: 77
AAA Calmar Ratio Rank: 96
AAA Martin Ratio Rank: 94

VOO

VOO Risk / Return Rank: 70
VOO Sharpe Ratio Rank: 71
VOO Sortino Ratio Rank: 70
VOO Omega Ratio Rank: 70
VOO Calmar Ratio Rank: 62
VOO Martin Ratio Rank: 75

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

AAA vs. VOO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for AAF First Priority CLO Bond ETF (AAA) and Vanguard S&P 500 ETF (VOO). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	AAA	VOO	Difference
Sharpe ratio: Return per unit of total volatility	2.36	2.39	-0.03
Sortino ratio: Return per unit of downside risk	4.06	3.25	+0.80
Omega ratio: Gain probability vs. loss probability	1.47	1.43	+0.03
Calmar ratio: Return relative to maximum drawdown	8.98	3.16	+5.82
Martin ratio: Return relative to average drawdown	27.78	14.73	+13.05
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

AAA vs. VOO - Sharpe Ratio Comparison

The current AAA Sharpe Ratio is 2.36, which is comparable to the VOO Sharpe Ratio of 2.39. The chart below compares the historical Sharpe Ratios of AAA and VOO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	AAA	VOO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.36	2.39	-0.03
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	2.05	0.83	+1.22
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.87	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.93	0.89	+1.04

Drawdowns

AAA vs. VOO - Drawdown Comparison

The maximum AAA drawdown since its inception was -2.63%, smaller than the maximum VOO drawdown of -33.99%. Use the drawdown chart below to compare losses from any high point for AAA and VOO.

Drawdown Indicators

	AAA	VOO	Difference
Max Drawdown Largest peak-to-trough decline	-2.63%	-33.99%	+31.36%
Max Drawdown (1Y) Largest decline over 1 year	-0.60%	-8.90%	+8.30%
Max Drawdown (3Y) Largest decline over 3 years	-2.40%	-18.69%	+16.29%
Max Drawdown (5Y) Largest decline over 5 years	-2.63%	-24.52%	+21.89%
Max Drawdown (10Y) Largest decline over 10 years	—	-33.99%	—
Current Drawdown Current decline from peak	-0.22%	-0.70%	+0.48%
Average Drawdown Average peak-to-trough decline	-0.30%	-3.69%	+3.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.19%	1.91%	-1.72%

Volatility

AAA vs. VOO - Volatility Comparison

The current volatility for AAF First Priority CLO Bond ETF (AAA) is 0.74%, while Vanguard S&P 500 ETF (VOO) has a volatility of 2.84%. This indicates that AAA experiences smaller price fluctuations and is considered to be less risky than VOO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AAA	VOO	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.74%	2.84%	-2.10%
Volatility (6M) Calculated over the trailing 6-month period	1.76%	8.90%	-7.14%
Volatility (1Y) Calculated over the trailing 1-year period	2.30%	11.80%	-9.50%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.28%	16.81%	-14.53%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.15%	18.01%	-15.86%

AAA vs. VOO - Expense Ratio Comparison

AAA has a 0.25% expense ratio, which is higher than VOO's 0.03% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

AAA vs. VOO - Dividend Comparison

AAA's dividend yield for the trailing twelve months is around 4.90%, more than VOO's 1.03% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AAA AAF First Priority CLO Bond ETF	4.90%	5.11%	6.17%	6.11%	2.78%	1.06%	0.32%	0.00%	0.00%	0.00%	0.00%	0.00%
VOO Vanguard S&P 500 ETF	1.03%	1.13%	1.24%	1.46%	1.69%	1.25%	1.54%	1.88%	2.06%	1.78%	2.02%	2.10%

Frequently Asked Questions

Can I hold both AAA and VOO in my portfolio?

AAA and VOO have a correlation of 0.10, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, AAA or VOO?

VOO has higher volatility (2.84%) compared to AAA (0.74%). In terms of maximum drawdown, AAA dropped -2.63% vs VOO's -33.99%.

Which ETF is better, AAA or VOO?

On 5-year performance, VOO leads with 13.90% vs 4.64% for AAA. On fees, VOO is cheaper at 0.03% per year. On volatility, AAA has been the lower-risk option at 0.74%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, AAA or VOO?

Over the 5-year period, VOO has performed better with a 13.90% return vs 4.64%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, AAA or VOO?

VOO is cheaper with a 0.03% expense ratio, compared with 0.25% for AAA.

Which ETF pays a higher dividend yield, AAA or VOO?

AAA has the higher dividend yield at 4.90%, compared with 1.03% for VOO.

What is the main difference between AAA and VOO?

AAA is categorized as CLO, while VOO is S&P 500. They also come from different issuers: Alternative Access Funds LLC and Vanguard. Their fees differ too: 0.25% for AAA and 0.03% for VOO.

Which has better risk-adjusted returns?

VOO currently has the higher Sharpe Ratio (2.39 vs 2.36), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.