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VOO First ETF to Reach $1 Trillion Assets
4 Jun
Summary
- Vanguard S&P 500 ETF (VOO) achieved $1 trillion in assets.
- VOO is now the world's largest ETF, surpassing SPY.
- VOO has attracted $69 billion this year, leading all funds.
The Vanguard S&P 500 ETF (VOO) has achieved an unprecedented milestone, becoming the first Exchange Traded Fund (ETF) in history to surpass $1 trillion in assets under management. This landmark was crossed earlier this week, bolstered by a significant single-day inflow of approximately $1.7 billion.
VOO ascended to become the world's largest ETF in February 2025, overtaking the SPDR S&P 500 ETF Trust (SPY). Since then, it has maintained its lead, attracting around $69 billion in assets this year alone, more than any other fund. This inflow, combined with an 11% rise in the S&P 500 index, contributed to reaching the trillion-dollar mark.
While VOO charges a low annual fee of 0.03%, similar to the iShares Core S&P 500 ETF (IVV), its success is also attributed to the trusted Vanguard brand, which appeals to long-term investors. Competitors like SPY and IVV hold substantial assets ($787 billion and $860 billion, respectively) and are nearing the milestone.
Looking ahead, VOO's dominance is expected to continue, though reaching $2 trillion will likely take several years. The SPDR Portfolio S&P 500 ETF (SPYM) is noted as a fund to watch due to its strong inflows and low fees, but it remains significantly smaller than VOO.
