Difference between Viiix and SWPPX?
Difference between Viiix and SWPPX?
I am looking to rebalance my equities holdings to 80% S&P / 20% international. I have different S&P accounts that are available to me, but adjusting my VIIIX with take a lot more movement of accounts to increase my allocations to their desired holdings. Bottom line - buying SWPPX would be a simple transaction, buying VIIIX would be much for work involved due to multiple different work accounts.
The principal of Occam’s razor states that when two things are equal, the simplest solution is typically correct. When I compare SWPPX and VIIIX their stats look exactly the same (to an untrained novice like me), BUT their Morningstar review has VIIIX as a 5 start rating with returns at “high”, while SWPPX has a Morningstar rating of 4stars and returns of “above average”. They both look like they track the same index almost flawlessly, it seems to me. But, I know that I know nuthin’.
https://research.tdameritrade.com/grid/ ... VuZHMifQ==
Is there any difference between these funds that would make you pick one over the other?
Thank you in advance,
Whitecap
The principal of Occam’s razor states that when two things are equal, the simplest solution is typically correct. When I compare SWPPX and VIIIX their stats look exactly the same (to an untrained novice like me), BUT their Morningstar review has VIIIX as a 5 start rating with returns at “high”, while SWPPX has a Morningstar rating of 4stars and returns of “above average”. They both look like they track the same index almost flawlessly, it seems to me. But, I know that I know nuthin’.
https://research.tdameritrade.com/grid/ ... VuZHMifQ==
Is there any difference between these funds that would make you pick one over the other?
Thank you in advance,
Whitecap
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Re: Difference between Viiix and SWPPX?
If held in a Taxable account the Vanguard Fund is more tax efficient due to VGs patented process. Apart from that there is no meaningful difference.
Cheers
Cheers
- typical.investor
- Posts: 5247
- Joined: Mon Jun 11, 2018 3:17 am
Re: Difference between Viiix and SWPPX?
Actually, they are equally tax efficient in taxable.Silk McCue wrote: ↑Sun Sep 19, 2021 9:25 am If held in a Taxable account the Vanguard Fund is more tax efficient due to VGs patented process. Apart from that there is no meaningful difference.
Cheers
It’s only ETFs, or mutual funds with an ETF class share, that are more tax efficient.
You can see VIIIX distributions including capital gains distributions here.
https://investor.vanguard.com/mutual-fu ... ions/viiix
Re: Difference between Viiix and SWPPX?
What I think happened here is that the Vanguard fund deserved 4.51 stars (that is, it had one of the worst performances among 5-star funds) and the Schwab fund deserved 4.49 stars for 10-year performance. Morningstar awards a whole number of stars, which makes them 4 and 5.Whitecap wrote: ↑Sun Sep 19, 2021 9:01 am I am looking to rebalance my equities holdings to 80% S&P / 20% international. I have different S&P accounts that are available to me, but adjusting my VIIIX with take a lot more movement of accounts to increase my allocations to their desired holdings. Bottom line - buying SWPPX would be a simple transaction, buying VIIIX would be much for work involved due to multiple different work accounts.
The principal of Occam’s razor states that when two things are equal, the simplest solution is typically correct. When I compare SWPPX and VIIIX their stats look exactly the same (to an untrained novice like me), BUT their Morningstar review has VIIIX as a 5 start rating with returns at “high”, while SWPPX has a Morningstar rating of 4stars and returns of “above average”. They both look like they track the same index almost flawlessly, it seems to me. But, I know that I know nuthin’.
The expense ratios are equal now, but I believe Schwab's used to be higher, and this accounts for much of the 0.06% difference in 10-year returns. (There are also random tracking errors of a few basis points.)
Re: Difference between Viiix and SWPPX?
Thank you all much. I really appreciate your interest here, and your replies. I’ll be selling, then buying SWPPX in just a quick couple of clicks.
Thanks much,
Whitecap
Thanks much,
Whitecap
- jeffyscott
- Posts: 13438
- Joined: Tue Feb 27, 2007 8:12 am
Re: Difference between Viiix and SWPPX?
So VIIIX, with minimum investment of $100,000,000, is a separate mutual fund and not a share class of Vanguard 500 Index Fund (VFIAX and VOO). Thus those individuals with $100,000,000 to invest in an S&P 500 mutual fund in a taxable account would still be better off using VFIAX.typical.investor wrote: ↑Sun Sep 19, 2021 12:09 pmActually, they are equally tax efficient in taxable.Silk McCue wrote: ↑Sun Sep 19, 2021 9:25 am If held in a Taxable account the Vanguard Fund is more tax efficient due to VGs patented process. Apart from that there is no meaningful difference.
Cheers
It’s only ETFs, or mutual funds with an ETF class share, that are more tax efficient.
You can see VIIIX distributions including capital gains distributions here.
https://investor.vanguard.com/mutual-fu ... ions/viiix
And, of course, those with less than that amount would likely be better off with VFIAX over SWPPX in a taxable account.
- jeffyscott
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Re: Difference between Viiix and SWPPX?
Schwab's ER was 0.09% 10 years ago and then 0.03% as of 2017 and 0.02% as of 2019:grabiner wrote: ↑Sun Sep 19, 2021 6:17 pmWhat I think happened here is that the Vanguard fund deserved 4.51 stars (that is, it had one of the worst performances among 5-star funds) and the Schwab fund deserved 4.49 stars for 10-year performance. Morningstar awards a whole number of stars, which makes them 4 and 5.Whitecap wrote: ↑Sun Sep 19, 2021 9:01 am I am looking to rebalance my equities holdings to 80% S&P / 20% international. I have different S&P accounts that are available to me, but adjusting my VIIIX with take a lot more movement of accounts to increase my allocations to their desired holdings. Bottom line - buying SWPPX would be a simple transaction, buying VIIIX would be much for work involved due to multiple different work accounts.
The principal of Occam’s razor states that when two things are equal, the simplest solution is typically correct. When I compare SWPPX and VIIIX their stats look exactly the same (to an untrained novice like me), BUT their Morningstar review has VIIIX as a 5 start rating with returns at “high”, while SWPPX has a Morningstar rating of 4stars and returns of “above average”. They both look like they track the same index almost flawlessly, it seems to me. But, I know that I know nuthin’.
The expense ratios are equal now, but I believe Schwab's used to be higher, and this accounts for much of the 0.06% difference in 10-year returns. (There are also random tracking errors of a few basis points.)
https://www.mymoneyblog.com/schwab-sp-5 ... start.html
https://www.investmentnews.com/another- ... unds-70510
https://citywireusa.com/professional-bu ... s/a1185318
Maybe the the much smaller asset base of SWPPX is a factor, too?
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Re: Difference between Viiix and SWPPX?
$66 billion is a small asset base? It's one of the larger mutual funds out there.jeffyscott wrote: ↑Mon Sep 20, 2021 8:42 amSchwab's ER was 0.09% 10 years ago and then 0.03% as of 2017 and 0.02% as of 2019:grabiner wrote: ↑Sun Sep 19, 2021 6:17 pmWhat I think happened here is that the Vanguard fund deserved 4.51 stars (that is, it had one of the worst performances among 5-star funds) and the Schwab fund deserved 4.49 stars for 10-year performance. Morningstar awards a whole number of stars, which makes them 4 and 5.Whitecap wrote: ↑Sun Sep 19, 2021 9:01 am I am looking to rebalance my equities holdings to 80% S&P / 20% international. I have different S&P accounts that are available to me, but adjusting my VIIIX with take a lot more movement of accounts to increase my allocations to their desired holdings. Bottom line - buying SWPPX would be a simple transaction, buying VIIIX would be much for work involved due to multiple different work accounts.
The principal of Occam’s razor states that when two things are equal, the simplest solution is typically correct. When I compare SWPPX and VIIIX their stats look exactly the same (to an untrained novice like me), BUT their Morningstar review has VIIIX as a 5 start rating with returns at “high”, while SWPPX has a Morningstar rating of 4stars and returns of “above average”. They both look like they track the same index almost flawlessly, it seems to me. But, I know that I know nuthin’.
The expense ratios are equal now, but I believe Schwab's used to be higher, and this accounts for much of the 0.06% difference in 10-year returns. (There are also random tracking errors of a few basis points.)
https://www.mymoneyblog.com/schwab-sp-5 ... start.html
https://www.investmentnews.com/another- ... unds-70510
https://citywireusa.com/professional-bu ... s/a1185318
Maybe the the much smaller asset base of SWPPX is a factor, too?
- jeffyscott
- Posts: 13438
- Joined: Tue Feb 27, 2007 8:12 am
Re: Difference between Viiix and SWPPX?
I only meant much smaller than the Vanguard or Fidelity funds, which are in the $250/350 bil range. The differences in expense adjusted performance appear to be only about a BP or two.UpperNwGuy wrote: ↑Mon Sep 20, 2021 9:49 am$66 billion is a small asset base? It's one of the larger mutual funds out there.jeffyscott wrote: ↑Mon Sep 20, 2021 8:42 amSchwab's ER was 0.09% 10 years ago and then 0.03% as of 2017 and 0.02% as of 2019:grabiner wrote: ↑Sun Sep 19, 2021 6:17 pmWhat I think happened here is that the Vanguard fund deserved 4.51 stars (that is, it had one of the worst performances among 5-star funds) and the Schwab fund deserved 4.49 stars for 10-year performance. Morningstar awards a whole number of stars, which makes them 4 and 5.Whitecap wrote: ↑Sun Sep 19, 2021 9:01 am I am looking to rebalance my equities holdings to 80% S&P / 20% international. I have different S&P accounts that are available to me, but adjusting my VIIIX with take a lot more movement of accounts to increase my allocations to their desired holdings. Bottom line - buying SWPPX would be a simple transaction, buying VIIIX would be much for work involved due to multiple different work accounts.
The principal of Occam’s razor states that when two things are equal, the simplest solution is typically correct. When I compare SWPPX and VIIIX their stats look exactly the same (to an untrained novice like me), BUT their Morningstar review has VIIIX as a 5 start rating with returns at “high”, while SWPPX has a Morningstar rating of 4stars and returns of “above average”. They both look like they track the same index almost flawlessly, it seems to me. But, I know that I know nuthin’.
The expense ratios are equal now, but I believe Schwab's used to be higher, and this accounts for much of the 0.06% difference in 10-year returns. (There are also random tracking errors of a few basis points.)
https://www.mymoneyblog.com/schwab-sp-5 ... start.html
https://www.investmentnews.com/another- ... unds-70510
https://citywireusa.com/professional-bu ... s/a1185318
Maybe the the much smaller asset base of SWPPX is a factor, too?