VOOV vs. VAW

Last updated Jun 23, 2026

VOOV (Vanguard S&P 500 Value ETF) and VAW (Vanguard Materials ETF) are both exchange-traded funds - VOOV is a Large Cap Value Equities fund tracking the S&P 500 Value Index, while VAW is a Materials fund tracking the MSCI US Investable Market Materials 25/50 Index. Both are passively managed. Over the past 10 years, VOOV returned 12.14%/yr vs 10.67%/yr for VAW. Their correlation of 0.84 suggests significant overlap in exposure. VOOV charges 0.07%/yr vs 0.09%/yr for VAW.

Performance

VOOV vs. VAW - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard S&P 500 Value ETF (VOOV) and Vanguard Materials ETF (VAW). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VOOV achieves a 7.89% return, which is significantly lower than VAW's 13.13% return. Over the past 10 years, VOOV has outperformed VAW with an annualized return of 12.14%, while VAW has yielded a comparatively lower 10.67% annualized return.

VOOV

• 1D: 0.25%
• 1M: -0.07%
• YTD: 7.89%
• 6M: 7.27%
• 1Y: 21.39%
• 3Y*: 15.29%
• 5Y*: 11.39%
• 10Y*: 12.14%

VAW

• 1D: -0.13%
• 1M: 2.70%
• YTD: 13.13%
• 6M: 11.82%
• 1Y: 24.61%
• 3Y*: 11.91%
• 5Y*: 7.19%
• 10Y*: 10.67%

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

VOOV vs. VAW - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VOOV Vanguard S&P 500 Value ETF	7.89%	13.10%	12.21%	22.15%	-5.37%	24.87%	1.23%	31.75%	-9.09%	15.26%
VAW Vanguard Materials ETF	13.13%	12.30%	0.48%	13.67%	-11.80%	27.43%	19.44%	23.53%	-17.49%	23.76%

Correlation

The correlation between VOOV and VAW is 0.73, 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	0.73
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	0.84
Correlation (All Time) Calculated using the full available price history since Sep 9, 2010	0.84

The correlation between VOOV and VAW shifts across timeframes, from 0.73 (1 year) to 0.84 (10 years), reflecting how their relationship changes across market environments.

VOOV vs. VAW - Sectors Allocation Comparison

Sectors	VOOV	VAW
Technology	19.0%	0.1%
Financial Services	15.0%	-
Healthcare	11.6%	0.5%
Consumer Cyclical	11.1%	8.3%
Industrials	11.0%	1.1%
Consumer Defensive	9.5%	0.0%
Energy	7.6%	0.0%
Utilities	4.6%	-
Basic Materials	3.5%	90.1%
Real Estate	3.4%	-
Communication Services	3.3%	-

Return for Risk

VOOV vs. VAW — Risk / Return Rank

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

VOOV

VOOV Risk / Return Rank: 69
VOOV Sharpe Ratio Rank: 69
VOOV Sortino Ratio Rank: 68
VOOV Omega Ratio Rank: 67
VOOV Calmar Ratio Rank: 70
VOOV Martin Ratio Rank: 72

VAW

VAW Risk / Return Rank: 38
VAW Sharpe Ratio Rank: 39
VAW Sortino Ratio Rank: 38
VAW Omega Ratio Rank: 35
VAW Calmar Ratio Rank: 38
VAW Martin Ratio Rank: 38

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.

VOOV vs. VAW - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard S&P 500 Value ETF (VOOV) and Vanguard Materials ETF (VAW). 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.

	VOOV	VAW	Difference
Sharpe ratio: Return per unit of total volatility	2.16	1.34	+0.81
Sortino ratio: Return per unit of downside risk	2.98	1.93	+1.05
Omega ratio: Gain probability vs. loss probability	1.38	1.23	+0.15
Calmar ratio: Return relative to maximum drawdown	3.43	1.84	+1.58
Martin ratio: Return relative to average drawdown	13.00	5.85	+7.15

VOOV vs. VAW - Sharpe Ratio Comparison

The current VOOV Sharpe Ratio is 2.16, which is higher than the VAW Sharpe Ratio of 1.34. The chart below compares the historical Sharpe Ratios of VOOV and VAW, 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

VOOV vs. VAW - Drawdown Comparison

The maximum VOOV drawdown since its inception was -37.31%, smaller than the maximum VAW drawdown of -62.17%. Use the drawdown chart below to compare losses from any high point for VOOV and VAW.

Drawdown Indicators

	VOOV	VAW	Difference
Max Drawdown Largest peak-to-trough decline	-37.31%	-62.17%	+24.86%
Max Drawdown (1Y) Largest decline over 1 year	-6.27%	-13.42%	+7.15%
Max Drawdown (3Y) Largest decline over 3 years	-17.55%	-23.21%	+5.66%
Max Drawdown (5Y) Largest decline over 5 years	-18.10%	-25.50%	+7.40%
Max Drawdown (10Y) Largest decline over 10 years	-37.31%	-41.13%	+3.82%
Current Drawdown Current decline from peak	-0.92%	-3.82%	+2.90%
Average Drawdown Average peak-to-trough decline	-3.83%	-9.62%	+5.79%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.65%	4.22%	-2.57%

Volatility

VOOV vs. VAW - Volatility Comparison

The current volatility for Vanguard S&P 500 Value ETF (VOOV) is 2.94%, while Vanguard Materials ETF (VAW) has a volatility of 6.50%. This indicates that VOOV experiences smaller price fluctuations and is considered to be less risky than VAW based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VOOV	VAW	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.94%	6.50%	-3.56%
Volatility (6M) Calculated over the trailing 6-month period	7.36%	14.73%	-7.37%
Volatility (1Y) Calculated over the trailing 1-year period	9.98%	18.44%	-8.46%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.44%	19.70%	-5.26%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.96%	21.27%	-4.31%

VOOV vs. VAW - Expense Ratio Comparison

VOOV has a 0.07% expense ratio, which is lower than VAW's 0.09% 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

VOOV vs. VAW - Dividend Comparison

VOOV's dividend yield for the trailing twelve months is around 1.67%, more than VAW's 1.36% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VAW Vanguard Materials ETF	1.36%	1.55%	1.70%	1.72%	1.98%	1.44%	1.67%	1.94%	2.03%	1.63%	1.67%	2.30%
VOOV Vanguard S&P 500 Value ETF	1.67%	1.76%	2.10%	1.69%	2.19%	1.87%	2.45%	2.10%	2.65%	2.13%	2.24%	2.36%

Frequently Asked Questions

Can I hold both VOOV and VAW in my portfolio?

VOOV and VAW have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VOOV or VAW?

VAW has higher volatility (6.50%) compared to VOOV (2.94%). In terms of maximum drawdown, VOOV dropped -37.31% vs VAW's -62.17%.

Which ETF is better, VOOV or VAW?

On 10-year performance, VOOV leads with 12.14% vs 10.67% for VAW. On fees, VOOV is cheaper at 0.07% per year. On volatility, VOOV has been the lower-risk option at 2.94%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VOOV or VAW?

Over the 10-year period, VOOV has performed better with a 12.14% return vs 10.67%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VOOV or VAW?

VOOV is cheaper with a 0.07% expense ratio, compared with 0.09% for VAW.

Which ETF pays a higher dividend yield, VOOV or VAW?

VOOV has the higher dividend yield at 1.67%, compared with 1.36% for VAW.

What is the main difference between VOOV and VAW?

VOOV is categorized as Large Cap Value Equities, while VAW is Materials. VOOV tracks S&P 500 Value Index, while VAW tracks MSCI US Investable Market Materials 25/50 Index. Their fees differ too: 0.07% for VOOV and 0.09% for VAW.

Which has better risk-adjusted returns?

VOOV currently has the higher Sharpe Ratio (2.16 vs 1.34), 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.