AAHTX vs. VOO
Compare and contrast key facts about American Funds 2045 Target Date Retirement Fund (AAHTX) and Vanguard S&P 500 ETF (VOO).
AAHTX is managed by American Funds. It was launched on Jan 31, 2007. VOO is a passively managed fund by Vanguard that tracks the performance of the S&P 500 Index. It was launched on Sep 7, 2010.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: AAHTX or VOO.
Key characteristics
| AAHTX | VOO | |
|---|---|---|
| YTD Return | 7.55% | 9.96% |
| 1Y Return | 20.59% | 28.53% |
| 3Y Return (Ann) | 4.49% | 9.44% |
| 5Y Return (Ann) | 10.11% | 14.75% |
| 10Y Return (Ann) | 9.10% | 12.84% |
| Sharpe Ratio | 2.08 | 2.45 |
| Daily Std Dev | 10.22% | 11.59% |
| Max Drawdown | -48.86% | -33.99% |
| Current Drawdown | 0.00% | -0.54% |
Correlation
The correlation between AAHTX and VOO is 0.96, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
Performance
AAHTX vs. VOO - Performance Comparison
In the year-to-date period, AAHTX achieves a 7.55% return, which is significantly lower than VOO's 9.96% return. Over the past 10 years, AAHTX has underperformed VOO with an annualized return of 9.10%, while VOO has yielded a comparatively higher 12.84% annualized return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
AAHTX vs. VOO - Expense Ratio Comparison
AAHTX has a 0.33% expense ratio, which is higher than VOO's 0.03% expense ratio.
Risk-Adjusted Performance
AAHTX vs. VOO - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for American Funds 2045 Target Date Retirement Fund (AAHTX) 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.
Dividends
AAHTX vs. VOO - Dividend Comparison
AAHTX's dividend yield for the trailing twelve months is around 2.29%, more than VOO's 1.34% yield.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
AAHTX American Funds 2045 Target Date Retirement Fund | 2.29% | 2.46% | 6.75% | 4.62% | 3.19% | 4.24% | 4.85% | 2.33% | 3.50% | 4.74% | 4.47% | 3.12% |
VOO Vanguard S&P 500 ETF | 1.34% | 1.46% | 1.69% | 1.25% | 1.54% | 1.88% | 2.06% | 1.78% | 2.02% | 2.10% | 1.85% | 1.84% |
Drawdowns
AAHTX vs. VOO - Drawdown Comparison
The maximum AAHTX drawdown since its inception was -48.86%, which is greater than VOO's maximum drawdown of -33.99%. Use the drawdown chart below to compare losses from any high point for AAHTX and VOO. For additional features, visit the drawdowns tool.
Volatility
AAHTX vs. VOO - Volatility Comparison
The current volatility for American Funds 2045 Target Date Retirement Fund (AAHTX) is 2.90%, while Vanguard S&P 500 ETF (VOO) has a volatility of 3.35%. This indicates that AAHTX 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.