VO vs. MDY

Last updated Jun 4, 2026

VO (Vanguard Mid-Cap ETF) and MDY (SPDR S&P MidCap 400 ETF) are both exchange-traded funds - VO is a Mid Cap Blend Equities fund tracking the CRSP US Mid Cap Index, while MDY is a Small Cap Growth Equities fund tracking the S&P MidCap 400 Index. Both are passively managed. Over the past 10 years, VO returned 11.55%/yr vs 11.04%/yr for MDY. With a 0.95 correlation, they move nearly in lockstep. VO charges 0.03%/yr vs 0.23%/yr for MDY.

Performance

VO vs. MDY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Mid-Cap ETF (VO) and SPDR S&P MidCap 400 ETF (MDY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VO achieves a 10.05% return, which is significantly lower than MDY's 13.91% return. Both investments have delivered pretty close results over the past 10 years, with VO having a 11.55% annualized return and MDY not far behind at 11.04%.

VO

• 1D: -0.45%
• 1M: 3.20%
• YTD: 10.05%
• 6M: 9.73%
• 1Y: 18.13%
• 3Y*: 16.69%
• 5Y*: 7.87%
• 10Y*: 11.55%

MDY

• 1D: -0.09%
• 1M: 3.81%
• YTD: 13.91%
• 6M: 14.15%
• 1Y: 25.00%
• 3Y*: 15.77%
• 5Y*: 7.92%
• 10Y*: 11.04%

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

VO vs. MDY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VO Vanguard Mid-Cap ETF	10.05%	11.62%	15.31%	16.03%	-18.73%	24.70%	18.10%	30.98%	-9.24%	19.28%
MDY SPDR S&P MidCap 400 ETF	13.91%	7.19%	13.64%	16.07%	-13.28%	24.53%	13.50%	25.78%	-11.29%	15.93%

Correlation

The correlation between VO and MDY is 0.92, 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	0.92
Correlation (3Y) Calculated over the trailing 3-year period	0.94
Correlation (5Y) Calculated over the trailing 5-year period	0.95
Correlation (10Y) Calculated over the trailing 10-year period	0.95
Correlation (All Time) Calculated using the full available price history since Feb 2, 2004	0.95

The correlation between VO and MDY has been stable across timeframes, ranging from 0.92 to 0.95 - a consistent structural relationship.

VO vs. MDY - Sectors Allocation Comparison

Sectors	VO	MDY
Technology	18.6%	15.4%
Industrials	17.9%	25.1%
Financial Services	12.8%	13.9%
Consumer Cyclical	8.6%	10.8%
Energy	8.5%	5.6%
Utilities	8.3%	3.1%
Healthcare	7.6%	8.7%
Real Estate	5.4%	7.7%
Consumer Defensive	4.8%	3.8%
Basic Materials	4.2%	4.8%
Communication Services	3.1%	1.0%

Return for Risk

VO vs. MDY — Risk / Return Rank

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

VO

VO Risk / Return Rank: 43
VO Sharpe Ratio Rank: 41
VO Sortino Ratio Rank: 41
VO Omega Ratio Rank: 38
VO Calmar Ratio Rank: 44
VO Martin Ratio Rank: 50

MDY

MDY Risk / Return Rank: 50
MDY Sharpe Ratio Rank: 46
MDY Sortino Ratio Rank: 46
MDY Omega Ratio Rank: 44
MDY Calmar Ratio Rank: 56
MDY Martin Ratio Rank: 58

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.

VO vs. MDY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Mid-Cap ETF (VO) and SPDR S&P MidCap 400 ETF (MDY). 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.

	VO	MDY	Difference
Sharpe ratio: Return per unit of total volatility	1.48	1.63	-0.15
Sortino ratio: Return per unit of downside risk	2.14	2.39	-0.25
Omega ratio: Gain probability vs. loss probability	1.26	1.29	-0.03
Calmar ratio: Return relative to maximum drawdown	2.23	2.85	-0.62
Martin ratio: Return relative to average drawdown	8.50	10.38	-1.88
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VO vs. MDY - Sharpe Ratio Comparison

The current VO Sharpe Ratio is 1.48, which is comparable to the MDY Sharpe Ratio of 1.63. The chart below compares the historical Sharpe Ratios of VO and MDY, 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

	VO	MDY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.48	1.63	-0.15
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.45	0.40	+0.05
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.61	0.52	+0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.50	0.53	-0.02

Drawdowns

VO vs. MDY - Drawdown Comparison

The maximum VO drawdown since its inception was -58.87%, which is greater than MDY's maximum drawdown of -55.33%. Use the drawdown chart below to compare losses from any high point for VO and MDY.

Drawdown Indicators

	VO	MDY	Difference
Max Drawdown Largest peak-to-trough decline	-58.87%	-55.33%	-3.54%
Max Drawdown (1Y) Largest decline over 1 year	-8.17%	-8.82%	+0.65%
Max Drawdown (3Y) Largest decline over 3 years	-19.02%	-24.03%	+5.01%
Max Drawdown (5Y) Largest decline over 5 years	-27.57%	-24.03%	-3.54%
Max Drawdown (10Y) Largest decline over 10 years	-39.37%	-42.22%	+2.85%
Current Drawdown Current decline from peak	-0.45%	-0.09%	-0.36%
Average Drawdown Average peak-to-trough decline	-7.86%	-7.03%	-0.83%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.14%	2.42%	-0.28%

Volatility

VO vs. MDY - Volatility Comparison

The current volatility for Vanguard Mid-Cap ETF (VO) is 2.99%, while SPDR S&P MidCap 400 ETF (MDY) has a volatility of 4.33%. This indicates that VO experiences smaller price fluctuations and is considered to be less risky than MDY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VO	MDY	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.99%	4.33%	-1.34%
Volatility (6M) Calculated over the trailing 6-month period	9.21%	11.28%	-2.07%
Volatility (1Y) Calculated over the trailing 1-year period	12.34%	15.48%	-3.14%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.59%	19.77%	-2.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.95%	21.19%	-2.24%

VO vs. MDY - Expense Ratio Comparison

VO has a 0.03% expense ratio, which is lower than MDY's 0.23% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VO vs. MDY - Dividend Comparison

VO's dividend yield for the trailing twelve months is around 1.36%, more than MDY's 1.04% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MDY SPDR S&P MidCap 400 ETF	1.04%	1.15%	1.18%	1.21%	1.37%	0.96%	1.12%	1.34%	1.39%	1.18%	1.31%	1.35%
VO Vanguard Mid-Cap ETF	1.36%	1.52%	1.49%	1.52%	1.60%	1.12%	1.45%	1.48%	1.82%	1.35%	1.45%	1.47%

Frequently Asked Questions

Can I hold both VO and MDY in my portfolio?

With a correlation of 0.92, VO and MDY 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, VO or MDY?

MDY has higher volatility (4.33%) compared to VO (2.99%). In terms of maximum drawdown, VO dropped -58.87% vs MDY's -55.33%.

Which ETF is better, VO or MDY?

On 10-year performance, VO leads with 11.55% vs 11.04% for MDY. On fees, VO is cheaper at 0.03% per year. On volatility, VO has been the lower-risk option at 2.99%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VO or MDY?

Over the 10-year period, VO has performed better with a 11.55% return vs 11.04%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VO or MDY?

VO is cheaper with a 0.03% expense ratio, compared with 0.23% for MDY.

Which ETF pays a higher dividend yield, VO or MDY?

VO has the higher dividend yield at 1.36%, compared with 1.04% for MDY.

What is the main difference between VO and MDY?

VO is categorized as Mid Cap Blend Equities, while MDY is Small Cap Growth Equities. VO tracks CRSP US Mid Cap Index, while MDY tracks S&P MidCap 400 Index. They also come from different issuers: Vanguard and State Street. Their fees differ too: 0.03% for VO and 0.23% for MDY.

Which has better risk-adjusted returns?

MDY currently has the higher Sharpe Ratio (1.63 vs 1.48), 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.