TLTD vs. VOO

Last updated Jun 6, 2026

TLTD (FlexShares Morningstar Developed Markets ex-US Factor Tilt) and VOO (Vanguard S&P 500 ETF) are both exchange-traded funds - TLTD is a Global Equities fund tracking the Morningstar Developed Markets ex-US Factor Tilt Index, while VOO is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, TLTD returned 9.15%/yr vs 15.23%/yr for VOO. A 0.76 correlation means they provide meaningful diversification when combined. TLTD charges 0.39%/yr vs 0.03%/yr for VOO.

Performance

TLTD vs. VOO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares Morningstar Developed Markets ex-US Factor Tilt (TLTD) 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, TLTD achieves a 6.70% return, which is significantly lower than VOO's 8.45% return. Over the past 10 years, TLTD has underperformed VOO with an annualized return of 9.15%, while VOO has yielded a comparatively higher 15.23% annualized return.

TLTD

• 1D: -2.26%
• 1M: -2.59%
• YTD: 6.70%
• 6M: 9.88%
• 1Y: 24.35%
• 3Y*: 19.06%
• 5Y*: 9.15%
• 10Y*: 9.15%

VOO

• 1D: -2.59%
• 1M: 0.50%
• YTD: 8.45%
• 6M: 8.18%
• 1Y: 25.87%
• 3Y*: 21.52%
• 5Y*: 13.39%
• 10Y*: 15.23%

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

TLTD vs. VOO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TLTD FlexShares Morningstar Developed Markets ex-US Factor Tilt	6.70%	39.69%	4.78%	17.19%	-13.74%	12.84%	4.21%	21.26%	-17.57%	26.27%
VOO Vanguard S&P 500 ETF	8.45%	17.82%	24.98%	26.32%	-18.17%	28.79%	18.32%	31.37%	-4.50%	21.77%

Correlation

The correlation between TLTD and VOO is 0.72, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.72
Correlation (3Y) Calculated over the trailing 3-year period	0.70
Correlation (5Y) Calculated over the trailing 5-year period	0.75
Correlation (10Y) Calculated over the trailing 10-year period	0.76
Correlation (All Time) Calculated using the full available price history since Oct 3, 2012	0.76

The correlation between TLTD and VOO has been stable across timeframes, ranging from 0.70 to 0.76 - a consistent structural relationship.

TLTD vs. VOO - Sectors Allocation Comparison

Sectors	TLTD	VOO
Financial Services	32.7%	11.6%
Industrials	13.5%	8.3%
Technology	10.3%	35.7%
Energy	7.7%	3.5%
Basic Materials	7.4%	1.8%
Consumer Cyclical	5.6%	10.2%
Healthcare	4.2%	8.5%
Consumer Defensive	3.5%	4.9%
Utilities	3.3%	2.4%
Communication Services	2.0%	11.3%
Real Estate	0.9%	1.9%

Return for Risk

TLTD vs. VOO — Risk / Return Rank

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

TLTD

TLTD Risk / Return Rank: 49
TLTD Sharpe Ratio Rank: 51
TLTD Sortino Ratio Rank: 51
TLTD Omega Ratio Rank: 50
TLTD Calmar Ratio Rank: 43
TLTD Martin Ratio Rank: 49

VOO

VOO Risk / Return Rank: 66
VOO Sharpe Ratio Rank: 67
VOO Sortino Ratio Rank: 63
VOO Omega Ratio Rank: 66
VOO Calmar Ratio Rank: 60
VOO Martin Ratio Rank: 73

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.

TLTD vs. VOO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares Morningstar Developed Markets ex-US Factor Tilt (TLTD) 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.

	TLTD	VOO	Difference
Sharpe ratio: Return per unit of total volatility	1.67	2.15	-0.48
Sortino ratio: Return per unit of downside risk	2.34	2.89	-0.55
Omega ratio: Gain probability vs. loss probability	1.30	1.39	-0.09
Calmar ratio: Return relative to maximum drawdown	2.02	2.92	-0.90
Martin ratio: Return relative to average drawdown	7.71	13.53	-5.81
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TLTD vs. VOO - Sharpe Ratio Comparison

The current TLTD Sharpe Ratio is 1.67, which is comparable to the VOO Sharpe Ratio of 2.15. The chart below compares the historical Sharpe Ratios of TLTD 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

	TLTD	VOO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.67	2.15	-0.48
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.57	0.80	-0.22
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.55	0.85	-0.30
Sharpe Ratio (All Time) Calculated using the full available price history	0.51	0.88	-0.37

Drawdowns

TLTD vs. VOO - Drawdown Comparison

The maximum TLTD drawdown since its inception was -40.62%, which is greater than VOO's maximum drawdown of -33.99%. Use the drawdown chart below to compare losses from any high point for TLTD and VOO.

Drawdown Indicators

	TLTD	VOO	Difference
Max Drawdown Largest peak-to-trough decline	-40.62%	-33.99%	-6.63%
Max Drawdown (1Y) Largest decline over 1 year	-12.11%	-8.90%	-3.21%
Max Drawdown (3Y) Largest decline over 3 years	-13.10%	-18.69%	+5.59%
Max Drawdown (5Y) Largest decline over 5 years	-28.96%	-24.52%	-4.44%
Max Drawdown (10Y) Largest decline over 10 years	-40.62%	-33.99%	-6.63%
Current Drawdown Current decline from peak	-3.93%	-2.90%	-1.03%
Average Drawdown Average peak-to-trough decline	-7.68%	-3.69%	-3.99%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.16%	1.92%	+1.24%

Volatility

TLTD vs. VOO - Volatility Comparison

FlexShares Morningstar Developed Markets ex-US Factor Tilt (TLTD) has a higher volatility of 4.15% compared to Vanguard S&P 500 ETF (VOO) at 3.74%. This indicates that TLTD'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

	TLTD	VOO	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.15%	3.74%	+0.41%
Volatility (6M) Calculated over the trailing 6-month period	12.23%	9.30%	+2.93%
Volatility (1Y) Calculated over the trailing 1-year period	14.64%	12.10%	+2.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.00%	16.84%	-0.84%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.82%	18.02%	-1.20%

TLTD vs. VOO - Expense Ratio Comparison

TLTD has a 0.39% expense ratio, which is higher than VOO's 0.03% expense ratio.

Dividends

TLTD vs. VOO - Dividend Comparison

TLTD's dividend yield for the trailing twelve months is around 3.13%, more than VOO's 1.05% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
TLTD FlexShares Morningstar Developed Markets ex-US Factor Tilt	3.13%	3.44%	3.88%	3.39%	2.76%	3.44%	2.04%	3.46%	3.16%	2.71%	2.93%	2.56%
VOO Vanguard S&P 500 ETF	1.05%	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 TLTD and VOO in my portfolio?

TLTD and VOO have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TLTD or VOO?

TLTD has higher volatility (4.15%) compared to VOO (3.74%). In terms of maximum drawdown, TLTD dropped -40.62% vs VOO's -33.99%.

Which ETF is better, TLTD or VOO?

On 10-year performance, VOO leads with 15.23% vs 9.15% for TLTD. On fees, VOO is cheaper at 0.03% per year. On volatility, VOO has been the lower-risk option at 3.74%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TLTD or VOO?

Over the 10-year period, VOO has performed better with a 15.23% return vs 9.15%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TLTD or VOO?

VOO is cheaper with a 0.03% expense ratio, compared with 0.39% for TLTD.

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

TLTD has the higher dividend yield at 3.13%, compared with 1.05% for VOO.

What is the main difference between TLTD and VOO?

TLTD is categorized as Global Equities, while VOO is S&P 500. TLTD tracks Morningstar Developed Markets ex-US Factor Tilt Index, while VOO tracks S&P 500 Index. They also come from different issuers: Northern Trust and Vanguard. Their fees differ too: 0.39% for TLTD and 0.03% for VOO.

Which has better risk-adjusted returns?

VOO currently has the higher Sharpe Ratio (2.15 vs 1.67), 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.