VOO’s Record-Shattering Run Shows No Signs of Slowing

The Vanguard S&P 500 ETF (VOO) is having a year for the history books. Inflows into the fund hit $124.4 billion late last week, surpassing the full-year haul of $117 billion in 2024. That means the Vanguard fund has pulled in more cash in less than nine months than any ETF has ever collected in a full calendar year.

The record comes in a year when VOO overtook the SPDR S&P 500 ETF Trust (SPY) as the world’s largest ETF. Assets under management now sit at $797 billion for VOO, compared with $663 billion for SPY and $667 billion for the iShares Core S&P 500 ETF (IVV).


Source: Bloomberg

The contrast between VOO and its competitors couldn’t be starker. SPY has shed more than $46 billion this year, while IVV has managed a modest $1.6 billion in inflows. 

VOO and IVV both carry rock-bottom expense ratios of 0.03%, compared with 0.0945% for SPY. But while VOO and IVV are widely used by buy-and-hold investors, VOO has clearly become the preferred choice, particularly among retail investors drawn to Vanguard’s investor-friendly reputation. 

SPY, by contrast, serves a more diverse investor base, with many short-term traders using it for quick trades and its massive options market.

Flows in Context

VOO alone has attracted more than 13% of all U.S. ETF inflows this year. Total U.S.-listed ETF inflows stand near $880 billion through mid-September. 

For perspective, the next closest ETF by inflows this year is the iShares 0-3 Month Treasury Bond ETF (SGOV), with $27.9 billion. That’s an impressive total, but still a fraction of VOO’s haul. 

VOO is the first and only ETF to pull in $100 billion of inflows in a single year. The only other fund to ever come close was IVV, which took in just under $87 billion in 2024.

What’s Next

Some of the recent surge in VOO inflows likely reflects “heartbeat trades,” or tax-driven maneuvers that can temporarily inflate fund flow data. Even so, the ETF is almost certainly on track for another record-breaking year.

Looking ahead, the trillion-dollar milestone for VOO’s assets seems well within reach, potentially as soon as next year if markets don’t buckle.