VGM vs. VOO

Last updated Jun 13, 2026

VGM (Invesco Trust for Investment Grade Municipals) is a stock, while VOO (Vanguard S&P 500 ETF) is S&P 500 fund tracking the S&P 500 Index. Over the past 10 years, VGM returned 2.15%/yr vs 15.50%/yr for VOO. At a 0.12 correlation, their price movements are largely independent.

Performance

VGM vs. VOO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Trust for Investment Grade Municipals (VGM) 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, VGM achieves a 1.56% return, which is significantly lower than VOO's 9.08% return. Over the past 10 years, VGM has underperformed VOO with an annualized return of 2.15%, while VOO has yielded a comparatively higher 15.50% annualized return.

VGM

• 1D: 0.59%
• 1M: -0.64%
• YTD: 1.56%
• 6M: 2.69%
• 1Y: 15.92%
• 3Y*: 8.78%
• 5Y*: -0.23%
• 10Y*: 2.15%

VOO

• 1D: 0.55%
• 1M: -0.07%
• YTD: 9.08%
• 6M: 9.44%
• 1Y: 24.36%
• 3Y*: 20.95%
• 5Y*: 13.43%
• 10Y*: 15.50%

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

VGM vs. VOO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VGM Invesco Trust for Investment Grade Municipals	1.56%	11.03%	8.77%	2.99%	-24.15%	10.88%	7.97%	17.59%	-7.86%	9.51%
VOO Vanguard S&P 500 ETF	9.08%	17.82%	24.98%	26.32%	-18.17%	28.79%	18.32%	31.37%	-4.50%	21.77%

Correlation

The correlation between VGM and VOO is 0.25, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.25
Correlation (3Y) Calculated over the trailing 3-year period	0.29
Correlation (5Y) Calculated over the trailing 5-year period	0.26
Correlation (10Y) Calculated over the trailing 10-year period	0.18
Correlation (All Time) Calculated using the full available price history since Sep 9, 2010	0.12

The correlation between VGM and VOO shifts across timeframes, from 0.12 (all time) to 0.29 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

VGM vs. VOO — Risk / Return Rank

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

VGM

VGM Risk / Return Rank: 82
VGM Sharpe Ratio Rank: 84
VGM Sortino Ratio Rank: 81
VGM Omega Ratio Rank: 83
VGM Calmar Ratio Rank: 76
VGM Martin Ratio Rank: 86

VOO

VOO Risk / Return Rank: 70
VOO Sharpe Ratio Rank: 71
VOO Sortino Ratio Rank: 69
VOO Omega Ratio Rank: 71
VOO Calmar Ratio Rank: 63
VOO Martin Ratio Rank: 76

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.

VGM vs. VOO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Trust for Investment Grade Municipals (VGM) 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.

	VGM	VOO	Difference
Sharpe ratio: Return per unit of total volatility	1.55	1.99	-0.45
Sortino ratio: Return per unit of downside risk	2.26	2.70	-0.44
Omega ratio: Gain probability vs. loss probability	1.31	1.36	-0.05
Calmar ratio: Return relative to maximum drawdown	1.90	2.75	-0.85
Martin ratio: Return relative to average drawdown	8.45	12.42	-3.98

VGM vs. VOO - Sharpe Ratio Comparison

The current VGM Sharpe Ratio is 1.55, which is comparable to the VOO Sharpe Ratio of 1.99. The chart below compares the historical Sharpe Ratios of VGM 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

VGM vs. VOO - Drawdown Comparison

The maximum VGM drawdown since its inception was -49.40%, which is greater than VOO's maximum drawdown of -33.99%. Use the drawdown chart below to compare losses from any high point for VGM and VOO.

Drawdown Indicators

	VGM	VOO	Difference
Max Drawdown Largest peak-to-trough decline	-49.40%	-33.99%	-15.41%
Max Drawdown (1Y) Largest decline over 1 year	-8.42%	-8.90%	+0.48%
Max Drawdown (3Y) Largest decline over 3 years	-15.65%	-18.69%	+3.04%
Max Drawdown (5Y) Largest decline over 5 years	-36.61%	-24.52%	-12.09%
Max Drawdown (10Y) Largest decline over 10 years	-36.61%	-33.99%	-2.62%
Current Drawdown Current decline from peak	-5.29%	-2.34%	-2.95%
Average Drawdown Average peak-to-trough decline	-8.99%	-3.68%	-5.31%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.89%	1.97%	-0.08%

Volatility

VGM vs. VOO - Volatility Comparison

The current volatility for Invesco Trust for Investment Grade Municipals (VGM) is 3.85%, while Vanguard S&P 500 ETF (VOO) has a volatility of 4.34%. This indicates that VGM 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

	VGM	VOO	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.85%	4.34%	-0.49%
Volatility (6M) Calculated over the trailing 6-month period	8.96%	9.58%	-0.62%
Volatility (1Y) Calculated over the trailing 1-year period	10.33%	12.27%	-1.94%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	11.56%	16.88%	-5.32%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	12.41%	18.03%	-5.62%

Dividends

VGM vs. VOO - Dividend Comparison

VGM's dividend yield for the trailing twelve months is around 7.59%, more than VOO's 1.05% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VGM Invesco Trust for Investment Grade Municipals	7.59%	7.48%	6.35%	4.42%	5.67%	4.65%	4.65%	4.82%	5.97%	5.79%	6.50%	6.62%
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 VGM and VOO in my portfolio?

VGM and VOO have a correlation of 0.25, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VGM or VOO?

VOO has higher volatility (4.34%) compared to VGM (3.85%). In terms of maximum drawdown, VGM dropped -49.40% vs VOO's -33.99%.

Which has better risk-adjusted returns?

VOO currently has the higher Sharpe Ratio (1.99 vs 1.55), 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.