MTUM vs VOO: Head-to-Head Comparison
Last updated: March 2026 • Factor
Quick Verdict
VOO edges out MTUM with a stronger Beginner Suitability Score (9.5 vs 8.5). It offers lower fees for new investors.
Side-by-Side Comparison
Key Differences Between MTUM and VOO
MTUM (iShares MSCI USA Momentum Factor ETF) is a momentum factor fund managed by BlackRock. MTUM invests in U.S. large and mid-cap stocks that have shown strong recent price performance, following the idea that winning stocks tend to keep winning. It reconstitutes semi-annually to capture the latest momentum trends across the market. Beginners should understand that MTUM can deliver strong returns during trending markets but may rotate sharply when market leadership changes.
VOO (Vanguard S&P 500 ETF) is a u.s. large-cap blend fund managed by Vanguard. VOO tracks the S&P 500 index, giving you ownership in 500 of the largest U.S. companies in a single investment. It is one of the most popular ETFs in the world thanks to its ultra-low expense ratio and broad market exposure. For beginners, VOO is often recommended as a core portfolio holding because it provides instant diversification across America's leading businesses.
The most notable differences are in fees (0.15% vs 0.03%), number of holdings (125 vs 503), and 5-year returns (14.80% vs 15.80%).
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Holdings Overlap Analysis
18%
Holdings Overlap
MTUM and VOO share only 18% of their top holdings. These funds are quite different, making them complementary choices if you want broader market coverage.
Cost Comparison Over Time
If you invest $10,000 and hold for 20 years (assuming 8% annual returns):
MTUM
Fee cost: $1,278
VOO
Fee cost: $258
Over 20 years, the fee difference amounts to $1,020 on a $10,000 investment. VOO saves you more in fees over time.
Which One Should a Beginner Choose?
Choose MTUM if: You want investors who believe recent stock price trends tend to persist, factor-based portfolio builders combining momentum with value or quality, tactical investors who want systematic exposure to current market leaders. It's managed by BlackRock with an expense ratio of 0.15%.
Choose VOO if: You want beginning investors looking for a simple core portfolio holding, long-term buy-and-hold investors seeking broad u.s. market exposure, cost-conscious investors who want minimal fees. It's managed by Vanguard with an expense ratio of 0.03%.
Can You Own Both MTUM and VOO?
Absolutely! With only 18% overlap, MTUM and VOO complement each other well. A simple portfolio might allocate 60% to one and 40% to the other, or you could pair them with a bond ETF like BND for a complete three-fund portfolio.
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Frequently Asked Questions
Should I buy MTUM or VOO?▾
VOO edges out MTUM with a stronger Beginner Suitability Score (9.5 vs 8.5). It offers lower fees for new investors. However, both are solid options. MTUM is best for investors who want investors who believe recent stock price trends tend to persist, while VOO is better suited for beginning investors looking for a simple core portfolio holding.
What is the difference between MTUM and VOO?▾
MTUM (iShares MSCI USA Momentum Factor ETF) tracks momentum factor investments with 125 holdings and a 0.15% expense ratio. VOO (Vanguard S&P 500 ETF) focuses on u.s. large-cap blend with 503 holdings at 0.03%. Their top holdings overlap by 18%.
Can I own both MTUM and VOO?▾
Yes! With only 18% holdings overlap, MTUM and VOO complement each other well. Owning both gives you broader diversification.