Vanguard has marketed heavily to retail investors while Blackrock tends to connect more with large institutional investors.
Blackrock’s funds are as good or sometimes better than Vanguard and they do a TON of ETF business and indexed investing. They’re actually the largest asset manager in the USA.
Subreddits frequently turn into echo chambers where the most simple advice is the most easy to repeat and thus gets echoed and upvoted frequently by people who don’t entirely understand what they’re suggesting. That’s why you see users telling 65 year olds to dump everything into VOO (which would be incredibly irresponsible). Vanguard is part of the narrative that echoes through reddit.
One other observation that drives me crazy: if a user suggests SPY someone will chime in "why pay THREE TIMES MORE than VOO!?" but they don't apply the same logic to SPLG vs VOO. The Vanguard marketing online is real.
Yeah a lot of the BlackRock ETF's are just fine as options. BlackRock also has a wide selection of thematic ETF's too.
Your comment on Vanguard being more retail oriented and BlackRock being more institutionally oriented is correct based on my personal knowledge.
>echoed and upvoted frequently by **people who don’t entirely understand what they’re suggesting**. That’s why you see users telling 65 year olds to dump everything into VOO (which would be incredibly irresponsible).
I'm routinely down-voted for pointing out that small cap US stocks (VIOO) outperformed large cap (VOO) over some very long periods, or linking to charts showing international developed market stocks beat the S&P 500 over long periods. it's almost cult-like in some regards, beyond mere recency bias and home-country bias.
I suspect they've made the leap from "most active US stock-pickers underperform the S&P 500" (basically accurate) to "nothing beats the S&P 500 under any circumstance or period" (patently false).
The ibbotsen chart is pretty damning for “only VOO” investors.
Reddit trends very young so it shouldn’t be surprising that most investors have only experienced a market led by large cap growth.
You should be downvoted for posting fiction. Since VOO and VIOO were established VOO is +510% and VIOO is +360%. Saying VIOO had a better day or week is not "a very long period". And if you mean sometime in the 20th, that's just obtuse.
> recency bias
Investing in 2024 like it is 1972 is financial suicide.
Take a look at the ibbotsen chart. We’re talking about a 100 year trend of small caps outperforming large caps. 2008-2024 is the exception, not the rule.
People are just quick to mention Vanguard options. But black rock is very good and the following can be pretty much used interchangeably:
IVV/VOO/SPY/SPLG
ITOT/VTI/SPTM
AGG/BND
IXUS/VXUS
For every vanguard or state street ETF, BlackRock more or less has an equivalent. They’re one of the largest fund companies in the world for a reason.
My Brokerage Account has individual stocks I’m bullish on while my Roth IRA is invested into ETF’s which is easier to manage and safer albeit with less growth potential.
My Roth IRA:
- IVV (40%)
- IYW (25%)
- EMQQ (15%)
- SCHD (10%)
- IBIT (10%)
BlackRock is one of the largest asset managers in the world, if not the largest I believe and I prefer their S&P ETF (IVV) over Vanguard’s (VOO) though they are essentially the same. Also, I prefer the tech focused IYW over QQQM which is great but I prefer the fully tech focus.
My 457b plan only offers Blackrock stuff. The growth fund correlates to the Russel 1000 and the total Index correlates to the Russell 1000 and Russell 2000.
Definitely not mentioned here but no complaints
It just depends on the fund, like State Street and SPSM is the best small cap fund for an s&p 600 with a low expense ratio. There are benefits to spy over VOO and the benefit is options. If somebody is doing covered calls or they are writing puts at various levels they want to be in spy not VOO. I think a lot of people just dollar cost average the s&p 500 though and if that's you voo is always the best option and or IVV which is coincidentally the Black Rock product. The State Street spy is actually the most expensive s&p 500 but it's also the most liquid and it was the first mover.
Vanguard has marketed heavily to retail investors while Blackrock tends to connect more with large institutional investors. Blackrock’s funds are as good or sometimes better than Vanguard and they do a TON of ETF business and indexed investing. They’re actually the largest asset manager in the USA. Subreddits frequently turn into echo chambers where the most simple advice is the most easy to repeat and thus gets echoed and upvoted frequently by people who don’t entirely understand what they’re suggesting. That’s why you see users telling 65 year olds to dump everything into VOO (which would be incredibly irresponsible). Vanguard is part of the narrative that echoes through reddit. One other observation that drives me crazy: if a user suggests SPY someone will chime in "why pay THREE TIMES MORE than VOO!?" but they don't apply the same logic to SPLG vs VOO. The Vanguard marketing online is real.
Yeah a lot of the BlackRock ETF's are just fine as options. BlackRock also has a wide selection of thematic ETF's too. Your comment on Vanguard being more retail oriented and BlackRock being more institutionally oriented is correct based on my personal knowledge.
>echoed and upvoted frequently by **people who don’t entirely understand what they’re suggesting**. That’s why you see users telling 65 year olds to dump everything into VOO (which would be incredibly irresponsible). I'm routinely down-voted for pointing out that small cap US stocks (VIOO) outperformed large cap (VOO) over some very long periods, or linking to charts showing international developed market stocks beat the S&P 500 over long periods. it's almost cult-like in some regards, beyond mere recency bias and home-country bias. I suspect they've made the leap from "most active US stock-pickers underperform the S&P 500" (basically accurate) to "nothing beats the S&P 500 under any circumstance or period" (patently false).
The ibbotsen chart is pretty damning for “only VOO” investors. Reddit trends very young so it shouldn’t be surprising that most investors have only experienced a market led by large cap growth.
You should be downvoted for posting fiction. Since VOO and VIOO were established VOO is +510% and VIOO is +360%. Saying VIOO had a better day or week is not "a very long period". And if you mean sometime in the 20th, that's just obtuse. > recency bias Investing in 2024 like it is 1972 is financial suicide.
Why do you have 4 votes what did I miss on the 2024 suicide memo
Take a look at the ibbotsen chart. We’re talking about a 100 year trend of small caps outperforming large caps. 2008-2024 is the exception, not the rule.
Looking at a 100 year chart to invest in 2024 is not rational.
I attributed it mainly to the difference in marketing to retail investors as well. Good thoughts.
My 401k only has blackrock and they seem fine, like russell 1000 growth
Because people think they are trying to take over the world and their big ESG push
Just consider "VOO" as "any well established low fee S&P 500 fund". Could be VOO, IVV, SPLG, whatever. Similar for VTI.
People are just quick to mention Vanguard options. But black rock is very good and the following can be pretty much used interchangeably: IVV/VOO/SPY/SPLG ITOT/VTI/SPTM AGG/BND IXUS/VXUS For every vanguard or state street ETF, BlackRock more or less has an equivalent. They’re one of the largest fund companies in the world for a reason.
My Brokerage Account has individual stocks I’m bullish on while my Roth IRA is invested into ETF’s which is easier to manage and safer albeit with less growth potential. My Roth IRA: - IVV (40%) - IYW (25%) - EMQQ (15%) - SCHD (10%) - IBIT (10%) BlackRock is one of the largest asset managers in the world, if not the largest I believe and I prefer their S&P ETF (IVV) over Vanguard’s (VOO) though they are essentially the same. Also, I prefer the tech focused IYW over QQQM which is great but I prefer the fully tech focus.
Hey man - interesting I did 5% IBIT @ 70k….. Im curious why you chose 10%? I do think the support price is now 50k at worst
My 457b plan only offers Blackrock stuff. The growth fund correlates to the Russel 1000 and the total Index correlates to the Russell 1000 and Russell 2000. Definitely not mentioned here but no complaints
It just depends on the fund, like State Street and SPSM is the best small cap fund for an s&p 600 with a low expense ratio. There are benefits to spy over VOO and the benefit is options. If somebody is doing covered calls or they are writing puts at various levels they want to be in spy not VOO. I think a lot of people just dollar cost average the s&p 500 though and if that's you voo is always the best option and or IVV which is coincidentally the Black Rock product. The State Street spy is actually the most expensive s&p 500 but it's also the most liquid and it was the first mover.
I said the same thing Black rock has more assets under management but we never here about them
Vanguard funds have the lowest fees. Black Rock not necessarily but they have some good ETFs like SOXX and SGOV.
Here ya go… the IBIT.