ESGG vs. VOO

Last updated Jul 14, 2026

ESGG (FlexShares STOXX Global ESG Select Index Fund) and VOO (Vanguard S&P 500 ETF) are both exchange-traded funds - ESGG is a Large Cap Growth Equities fund tracking the STOXX Global ESG Select KPIs Index, while VOO is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, ESGG returned 13.86%/yr vs 15.16%/yr for VOO. Their correlation of 0.88 suggests significant overlap in exposure. ESGG charges 0.42%/yr vs 0.03%/yr for VOO.

Performance

ESGG vs. VOO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares STOXX Global ESG Select Index Fund (ESGG) 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, ESGG achieves a 13.53% return, which is significantly higher than VOO's 10.45% return. Over the past 10 years, ESGG has underperformed VOO with an annualized return of 13.86%, while VOO has yielded a comparatively higher 15.16% annualized return.

ESGG

• 1D: -0.89%
• 1M: 0.70%
• 6M: 11.57%
• YTD: 13.53%
• 1Y: 24.72%
• 3Y*: 19.55%
• 5Y*: 11.93%
• 10Y*: 13.86%

VOO

• 1D: -0.77%
• 1M: 1.25%
• 6M: 8.34%
• YTD: 10.45%
• 1Y: 21.53%
• 3Y*: 20.16%
• 5Y*: 13.01%
• 10Y*: 15.16%

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

ESGG vs. VOO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ESGG FlexShares STOXX Global ESG Select Index Fund	13.53%	24.01%	14.48%	25.57%	-18.66%	23.76%	17.32%	29.10%	-8.44%	23.60%
VOO Vanguard S&P 500 ETF	10.45%	17.82%	24.98%	26.32%	-18.17%	28.79%	18.32%	31.37%	-4.50%	21.77%

Correlation

The correlation between ESGG and VOO is 0.93, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.93
Correlation (3Y) Calculated over the trailing 3-year period	0.93
Correlation (5Y) Calculated over the trailing 5-year period	0.94
Correlation (10Y) Calculated over the trailing 10-year period	0.88
Correlation (All Time) Calculated using the full available price history since Jul 14, 2016	0.88

The correlation between ESGG and VOO has been stable across timeframes, ranging from 0.88 to 0.94 - a consistent structural relationship.

ESGG vs. VOO - Sectors Allocation Comparison

Sectors	ESGG	VOO
Technology	40.5%	39.2%
Financial Services	19.5%	10.9%
Healthcare	13.1%	8.3%
Industrials	6.6%	7.4%
Consumer Defensive	5.4%	4.5%
Consumer Cyclical	4.7%	9.8%
Energy	3.8%	3.2%
Basic Materials	2.2%	1.8%
Utilities	1.4%	2.5%
Real Estate	1.4%	1.8%
Communication Services	1.4%	10.3%

Return for Risk

ESGG vs. VOO — Risk / Return Rank

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

ESGG

ESGG Risk / Return Rank: 74
ESGG Sharpe Ratio Rank: 76
ESGG Sortino Ratio Rank: 76
ESGG Omega Ratio Rank: 74
ESGG Calmar Ratio Rank: 68
ESGG Martin Ratio Rank: 77

VOO

VOO Risk / Return Rank: 66
VOO Sharpe Ratio Rank: 66
VOO Sortino Ratio Rank: 65
VOO Omega Ratio Rank: 66
VOO Calmar Ratio Rank: 61
VOO Martin Ratio Rank: 72

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.

ESGG vs. VOO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares STOXX Global ESG Select Index Fund (ESGG) 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	ESGG	VOO	Difference
Sharpe ratio: Return per unit of total volatility	1.93	1.73	+0.20
Sortino ratio: Return per unit of downside risk	2.72	2.39	+0.33
Omega ratio: Gain probability vs. loss probability	1.34	1.31	+0.03
Calmar ratio: Return relative to maximum drawdown	2.71	2.43	+0.28
Martin ratio: Return relative to average drawdown	11.53	10.60	+0.93

ESGG vs. VOO - Sharpe Ratio Comparison

The current ESGG Sharpe Ratio is 1.93, which is comparable to the VOO Sharpe Ratio of 1.73. The chart below compares the historical Sharpe Ratios of ESGG 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.

Drawdowns

ESGG vs. VOO - Drawdown Comparison

The maximum ESGG drawdown since its inception was -32.31%, roughly equal to the maximum VOO drawdown of -33.99%. Use the drawdown chart below to compare losses from any high point for ESGG and VOO.

Drawdown Indicators

	ESGG	VOO	Difference
Max Drawdown Largest peak-to-trough decline	-32.31%	-33.99%	+1.68%
Max Drawdown (1Y) Largest decline over 1 year	-9.16%	-8.90%	-0.26%
Max Drawdown (3Y) Largest decline over 3 years	-16.71%	-18.69%	+1.98%
Max Drawdown (5Y) Largest decline over 5 years	-27.57%	-24.52%	-3.05%
Max Drawdown (10Y) Largest decline over 10 years	-32.31%	-33.99%	+1.68%
Current Drawdown Current decline from peak	-1.52%	-1.11%	-0.41%
Average Drawdown Average peak-to-trough decline	-4.63%	-3.68%	-0.95%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.15%	2.04%	+0.11%

Volatility

ESGG vs. VOO - Volatility Comparison

FlexShares STOXX Global ESG Select Index Fund (ESGG) and Vanguard S&P 500 ETF (VOO) have volatilities of 4.24% and 4.16%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ESGG	VOO	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.24%	4.16%	+0.08%
Volatility (6M) Calculated over the trailing 6-month period	10.85%	9.97%	+0.88%
Volatility (1Y) Calculated over the trailing 1-year period	12.88%	12.53%	+0.35%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.16%	16.93%	-0.77%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.51%	18.00%	-1.49%

ESGG vs. VOO - Expense Ratio Comparison

ESGG has a 0.42% expense ratio, which is higher than VOO's 0.03% expense ratio.

Dividends

ESGG vs. VOO - Dividend Comparison

ESGG's dividend yield for the trailing twelve months is around 1.30%, more than VOO's 1.07% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ESGG FlexShares STOXX Global ESG Select Index Fund	1.30%	1.39%	1.84%	1.73%	1.83%	1.34%	1.36%	1.94%	2.12%	1.71%	0.87%	0.00%
VOO Vanguard S&P 500 ETF	1.07%	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 ESGG and VOO in my portfolio?

With a correlation of 0.93, ESGG and VOO move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, ESGG or VOO?

ESGG has higher volatility (4.24%) compared to VOO (4.16%). In terms of maximum drawdown, ESGG dropped -32.31% vs VOO's -33.99%.

Which ETF is better, ESGG or VOO?

On 10-year performance, VOO leads with 15.16% vs 13.86% for ESGG. On fees, VOO is cheaper at 0.03% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ESGG or VOO?

Over the 10-year period, VOO has performed better with a 15.16% return vs 13.86%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ESGG or VOO?

VOO is cheaper with a 0.03% expense ratio, compared with 0.42% for ESGG.

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

ESGG has the higher dividend yield at 1.30%, compared with 1.07% for VOO.

What is the main difference between ESGG and VOO?

ESGG is categorized as Large Cap Growth Equities, while VOO is S&P 500. ESGG tracks STOXX Global ESG Select KPIs Index, while VOO tracks S&P 500 Index. They also come from different issuers: Northern Trust and Vanguard. Their fees differ too: 0.42% for ESGG and 0.03% for VOO.

Which has better risk-adjusted returns?

ESGG currently has the higher Sharpe Ratio (1.93 vs 1.73), 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.