# VTI vs VOO vs ITOT: which ETF for UAE residents?

Source page: https://www.rudowealth.com/etf/compare/vti-vs-voo-vs-itot

VTI and ITOT hold almost every listed US company, large, mid and small, while VOO holds the 500 largest through the S&P 500, which is about 80% of the US market by value. All three are domiciled in the United States, which matters for an investor living in the UAE; the Irish UCITS funds on the S&P 500 are compared on our SPY vs VOO vs CSPX page.

## In short

- Different indices: VTI tracks the Morningstar US Total Market; VOO tracks the S&P 500; ITOT tracks the S&P Total Market.
- Cost: all charge 0.03% a year.
- Domicile: all 3 are in the United States, so for a UAE resident US dividends usually have 30% withheld, and the shares count as US assets for US estate tax above US$60,000, at rates up to 40%.

Facts, not a recommendation. Tax depends on your nationality, residence and facts.

| ETF | Name | Domicile | Index | Dividends | Expense ratio | Listing |
|---|---|---|---|---|---|---|
| VTI | Vanguard Morningstar Total Stock Market ETF | United States | Morningstar US Total Market | Paid out quarterly | 0.03% | NYSE Arca, US dollars |
| VOO | Vanguard S&P 500 ETF | United States | S&P 500 | Paid out quarterly | 0.03% | NYSE Arca, US dollars |
| ITOT | iShares Core S&P Total U.S. Stock Market ETF | United States | S&P Total Market | Paid out quarterly | 0.03% | NYSE Arca, US dollars |

Returns in US dollars (3 years and longer annualised):

| ETF | 1 year | 3 years | 5 years | 10 years |
|---|---|---|---|---|
| VTI | +14.47% | +21.97% | +12.12% | +14.78% |
| VOO | +14.88% | +22.38% | +13.31% | +15.38% |
| ITOT | +14.50% | +21.98% | +12.16% | +14.75% |

What differs for an investor living in the UAE:
- US estate tax: a US-domiciled ETF counts as a US asset. For a person who is not a US citizen or resident, US estate tax can apply above US$60,000 of US assets, at rates that rise to 40%. Ireland-domiciled UCITS ETFs are generally not treated as US assets for this tax.
- Tax on US dividends: the UAE has no income tax treaty with the United States, so US dividends paid to a UAE resident usually have 30% withheld. An Irish UCITS fund pays 15% on the US dividends it receives, under the US and Ireland treaty.
- The outcome depends on your nationality, residence and facts, so confirm your own position with a tax adviser. Sources: IRS (https://www.irs.gov/individuals/international-taxpayers/some-nonresidents-with-us-assets-must-file-estate-tax-returns; https://www.irs.gov/businesses/international-businesses/united-states-income-tax-treaties-a-to-z).

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RuDo Wealth is a fee-only cross-border advisory operating through two separate companies. India: RuDo Wealth Investment Advisory, SEBI Registered Investment Adviser, registration INA000019503. UAE: RuDo Digital Wealth, FSRA Financial Services Permission 220155, Category 3C (Retail), ADGM. The entity permitted to serve you depends on your country of residence.

General information, not a recommendation to buy or sell any fund. Past performance does not indicate future returns.