VT vs VOO: The Entire World or Just America?
VT and VOO are both Vanguard mega-ETFs, but they offer very different levels of diversification. VT holds ~9,800 stocks across 49 countries — the broadest possible equity exposure in a single fund. VOO holds the 500 largest US companies in the S&P 500. VT is already ~60% US stocks, so choosing between them is really a question of how much faith you place in continued US market dominance.
Key Differences
- VT: ~9,800 stocks in 49 countries; VOO: 500 US large-cap stocks — radically different scope
- TER: VT 0.07% vs VOO 0.03% — the 0.04% premium buys global diversification
- VOO has outperformed VT by ~2-3% annually over the past 15 years due to US outperformance
- VT automatically rebalances between US and international as market caps shift
- VT protects against 'home bias' risk — the danger of betting everything on one country
Live Comparison
Interactive comparison with real data. Toggle dividends and tax settings to see the full picture.
Bottom Line
For US conviction and maximum performance in the current cycle: VOO. For maximum diversification and protection against single-country risk: VT. If you're unsure: VT is the safer default because it already includes the S&P 500 and adds global coverage. US exceptionalism has worked for 15 years, but no trend lasts forever.