Vanguard is a strong choice for cost-conscious investors seeking a wide variety of investment options and financial planning tools, while BlackRock is better suited for high-net-worth individuals and institutional clients who value advanced technology and personalized financial advisory services.
| Attribute | Vanguard | BlackRock |
|---|---|---|
| Assets Under Management (AUM) | Approximately $10.4 trillion as of January 31, 2025 | $12.52 trillion as of June 30, 2025 |
| Expense Ratios | ETFs: 0.06%; Admiral Shares: 0.14%; Investor Shares: 0.27%; Actively managed fixed income funds and ETFs: 0.10%; Bond index funds: 0.05%; Average ETF and mutual fund expense ratio: 0.07% | Vary depending on the investment vehicle; iShares ETFs can have expense ratios as low as 0.03% to 0.10% for broad market index ETFs, but more specialized ETFs may have higher expense ratios. Actively managed funds generally have higher fees, such as the BlackRock UK Fund with an annual management fee of 1.5% and an ongoing charge of 1.66%, while the iShares Physical Gold ETC has an ongoing charge of 0.12%. |
| Investment Options | ETFs, Mutual Funds (index and actively managed), Stocks and Bonds, Money Market Funds, All-in-one funds, Target Retirement Funds | ETFs (through its iShares brand), Mutual funds, Actively managed portfolios, Fixed income, Multi-asset, Alternative investments |
| Historical Performance | 84% of Vanguard funds have outperformed their peer group averages over the past decade | AUM witnessed a five-year (2019-2024) compound annual growth rate (CAGR) of 9.2%. |
| Customer Service Quality | Investing in technology to improve customer service; J.D. Power ranked Vanguard number one for client experience for DIY investors in March; Kiplinger readers gave Vanguard "above average" ratings for customer service and advice programs; Some customers have complained about slow service and clunky technology | BlackRock financial advisors are known for spending one-on-one time with clients to create effective financial strategies. Also known for its risk evaluation services. |
| Technological Platform and User Experience | Making improvements to front-end design and user experience; 90% of the personal investor platform is cloud-native; App has a clean and straightforward design | Utilizes Aladdin, a technology system for managing money. BlackRock's app is known for its sleek design and user-friendly interface. |
| Advisory Services Offered | Vanguard Personal Advisor: Combines automated investment management with access to financial advisors; Vanguard Digital Advisor: An automated digital platform providing financial planning and investment management; Personal Advisor Select: For accounts from $500,000 to $5 million | Financial advisory services, including financial planning and portfolio management, primarily for institutional clients or high-net-worth individuals. |
| Account Minimums | ETFs: No fixed initial minimum investment; Investor Shares: $1,000 (can be $3,000 for actively managed funds); Admiral Shares: $3,000 (can be $50,000 for actively managed funds and $100,000 for some sector-specific funds); Target Retirement Funds and STAR Fund: $1,000; Most index mutual funds: $3,000 for Admiral Shares; Most actively managed mutual funds: $3,000 for Investor Shares; $50,000 for Admiral Shares; Digital Advisor: $100; Personal Advisor: $50,000 | Vary significantly across different BlackRock funds. Some accounts can be opened with a minimum initial investment of $100,000, with some funds requiring a $10,000,000 minimum. A Private Investors account with a personal Portfolio Manager generally requires a minimum investment of $1 million. |
| Range of Account Types | Individual and joint brokerage accounts, Roth, traditional, rollover, SEP, and SIMPLE IRAs, Trusts, Vanguard record-kept 401(k)s plans | Offers various account types, including retirement and taxable accounts. |
| Financial Planning Tools and Resources | Provides financial planning tools and educational resources; Offers tools for goal setting and financial advice | Provides financial planning resources for advisors to create comprehensive financial plans. Offers tools and resources for managing taxes, planning for retirement and education, and setting financial goals. |
| ESG Investing Options | Offers ESG funds that invest in companies with strong ESG practices; Has exclusionary index funds and active funds | Integrates environmental, social, and governance (ESG) factors into its investment processes. Offers a range of ESG-focused investment solutions. |
| Reputation and Stability | Founded in 1975; Largest provider of mutual funds and the second-largest provider of ETFs globally; Considered one of the "Big Three" index fund managers; Generally considered a secure choice, implementing security measures to protect data; Owned by the funds it manages and, therefore, by its customers | Well-known company with a global reach. Has received awards and recognition for its financial services. |