NXTG vs. VOO

Last updated Jun 3, 2026

NXTG (First Trust IndXX NextG ETF) and VOO (Vanguard S&P 500 ETF) are both exchange-traded funds - NXTG is a Technology Equities fund tracking the Indxx 5G & NextG Thematic Index, while VOO is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, NXTG returned 18.04%/yr vs 15.65%/yr for VOO. A 0.73 correlation means they provide meaningful diversification when combined. NXTG charges 0.70%/yr vs 0.03%/yr for VOO.

Performance

NXTG vs. VOO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust IndXX NextG ETF (NXTG) 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, NXTG achieves a 55.82% return, which is significantly higher than VOO's 11.69% return. Over the past 10 years, NXTG has outperformed VOO with an annualized return of 18.04%, while VOO has yielded a comparatively lower 15.65% annualized return.

NXTG

• 1D: 2.85%
• 1M: 23.47%
• YTD: 55.82%
• 6M: 57.49%
• 1Y: 85.72%
• 3Y*: 35.94%
• 5Y*: 19.71%
• 10Y*: 18.04%

VOO

• 1D: 0.14%
• 1M: 5.39%
• YTD: 11.69%
• 6M: 12.11%
• 1Y: 29.68%
• 3Y*: 22.73%
• 5Y*: 14.26%
• 10Y*: 15.65%

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

NXTG vs. VOO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
NXTG First Trust IndXX NextG ETF	55.82%	28.46%	12.85%	28.74%	-24.70%	21.81%	27.58%	29.58%	-17.25%	28.02%
VOO Vanguard S&P 500 ETF	11.69%	17.82%	24.98%	26.32%	-18.17%	28.79%	18.32%	31.37%	-4.50%	21.77%

Correlation

The correlation between NXTG and VOO is 0.80, 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	0.80
Correlation (3Y) Calculated over the trailing 3-year period	0.79
Correlation (5Y) Calculated over the trailing 5-year period	0.83
Correlation (10Y) Calculated over the trailing 10-year period	0.78
Correlation (All Time) Calculated using the full available price history since Feb 22, 2011	0.73

The correlation between NXTG and VOO has been stable across timeframes, ranging from 0.73 to 0.83 - a consistent structural relationship.

NXTG vs. VOO - Sectors Allocation Comparison

Sectors	NXTG	VOO
Technology	66.1%	35.7%
Communication Services	21.7%	11.3%
Real Estate	7.5%	1.9%
Industrials	4.3%	8.3%
Consumer Cyclical	0.4%	10.2%
Basic Materials	-	1.8%
Consumer Defensive	-	4.9%
Energy	-	3.5%
Financial Services	-	11.6%
Healthcare	-	8.5%
Utilities	-	2.4%

Return for Risk

NXTG vs. VOO — Risk / Return Rank

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

NXTG

NXTG Risk / Return Rank: 96
NXTG Sharpe Ratio Rank: 97
NXTG Sortino Ratio Rank: 96
NXTG Omega Ratio Rank: 96
NXTG Calmar Ratio Rank: 95
NXTG Martin Ratio Rank: 96

VOO

VOO Risk / Return Rank: 75
VOO Sharpe Ratio Rank: 77
VOO Sortino Ratio Rank: 75
VOO Omega Ratio Rank: 76
VOO Calmar Ratio Rank: 68
VOO Martin Ratio Rank: 80

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.

NXTG vs. VOO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust IndXX NextG ETF (NXTG) 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.

	NXTG	VOO	Difference
Sharpe ratio Return per unit of total volatility	4.68	2.53	+2.15
Sortino ratio Return per unit of downside risk	5.85	3.43	+2.42
Omega ratio Gain probability vs. loss probability	1.80	1.46	+0.34
Calmar ratio Return relative to maximum drawdown	8.51	3.42	+5.09
Martin ratio Return relative to average drawdown	33.39	15.95	+17.44
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

NXTG vs. VOO - Sharpe Ratio Comparison

The current NXTG Sharpe Ratio is 4.68, which is higher than the VOO Sharpe Ratio of 2.53. The chart below compares the historical Sharpe Ratios of NXTG 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

	NXTG	VOO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	4.68	2.53	+2.15
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.10	0.85	+0.25
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.96	0.87	+0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.69	0.89	-0.20

Drawdowns

NXTG vs. VOO - Drawdown Comparison

The maximum NXTG drawdown since its inception was -33.61%, roughly equal to the maximum VOO drawdown of -33.99%. Use the drawdown chart below to compare losses from any high point for NXTG and VOO.

Drawdown Indicators

	NXTG	VOO	Difference
Max Drawdown Largest peak-to-trough decline	-33.61%	-33.99%	+0.38%
Max Drawdown (1Y) Largest decline over 1 year	-10.28%	-8.90%	-1.38%
Max Drawdown (3Y) Largest decline over 3 years	-17.75%	-18.69%	+0.94%
Max Drawdown (5Y) Largest decline over 5 years	-33.61%	-24.52%	-9.09%
Max Drawdown (10Y) Largest decline over 10 years	-33.61%	-33.99%	+0.38%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-7.88%	-3.69%	-4.19%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.62%	1.91%	+0.71%

Volatility

NXTG vs. VOO - Volatility Comparison

First Trust IndXX NextG ETF (NXTG) has a higher volatility of 8.17% compared to Vanguard S&P 500 ETF (VOO) at 2.74%. This indicates that NXTG's price experiences larger fluctuations and is considered to be riskier than VOO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NXTG	VOO	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.17%	2.74%	+5.43%
Volatility (6M) Calculated over the trailing 6-month period	15.22%	8.88%	+6.34%
Volatility (1Y) Calculated over the trailing 1-year period	18.42%	11.78%	+6.64%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.93%	16.81%	+1.12%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.88%	18.01%	+0.87%

NXTG vs. VOO - Expense Ratio Comparison

NXTG has a 0.70% expense ratio, which is higher than VOO's 0.03% expense ratio.

Dividends

NXTG vs. VOO - Dividend Comparison

NXTG's dividend yield for the trailing twelve months is around 1.10%, more than VOO's 1.02% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NXTG First Trust IndXX NextG ETF	1.10%	1.56%	1.51%	2.15%	2.04%	1.97%	1.04%	0.77%	1.27%	1.65%	1.23%	1.11%
VOO Vanguard S&P 500 ETF	1.02%	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 NXTG and VOO in my portfolio?

NXTG and VOO have a correlation of 0.80, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, NXTG or VOO?

NXTG has higher volatility (8.17%) compared to VOO (2.74%). In terms of maximum drawdown, NXTG dropped -33.61% vs VOO's -33.99%.

Which ETF is better, NXTG or VOO?

On 10-year performance, NXTG leads with 18.04% vs 15.65% for VOO. On fees, VOO is cheaper at 0.03% per year. On volatility, VOO has been the lower-risk option at 2.74%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, NXTG or VOO?

Over the 10-year period, NXTG has performed better with a 18.04% return vs 15.65%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, NXTG or VOO?

VOO is cheaper with a 0.03% expense ratio, compared with 0.70% for NXTG.

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

NXTG has the higher dividend yield at 1.10%, compared with 1.02% for VOO.

What is the main difference between NXTG and VOO?

NXTG is categorized as Technology Equities, while VOO is S&P 500. NXTG tracks Indxx 5G & NextG Thematic Index, while VOO tracks S&P 500 Index. They also come from different issuers: First Trust and Vanguard. Their fees differ too: 0.70% for NXTG and 0.03% for VOO.

Which has better risk-adjusted returns?

NXTG currently has the higher Sharpe Ratio (4.68 vs 2.53), 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.