ARCM vs IVV

Quick Verdict

IVV has a lower expense ratio. IVV delivered stronger 1-year returns. IVV offers more diversification with 505 holdings.

Lower Fees: IVVHigher Returns: IVVMore Diversified: IVV

Side-by-Side Comparison

MetricARCMIVVWinner
Expense Ratio0.50%0.03%
AUM$51M$865.2B
Dividend Yield3.67%1.09%
Holdings102508
YTD Return+0.77%+13.72%
1Y Return+2.34%+21.64%
3Y Return (annualized)+4.21%+21.55%
5Y Return (annualized)+3.07%+13.27%
Volatility (annualized)1.0%15.1%
Max Drawdown-4.8%-56.5%
Fund FamilyArrow Investment TrustiShares by BlackRock (US)
CategoryFixed IncomeEquity
InceptionMar 31, 2017May 15, 2000

ARCM vs IVV Performance

Arrow Reserve Capital Management ETF (ARCM) is a ETF from Arrow Investment Trust and iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US). Over the past year ARCM returned +2.34% while IVV returned +21.64%. Year to date, ARCM is up 0.77% versus a gain of 13.72% for IVV.

Over three years, ARCM compounded at +4.21% per year against +21.55% for IVV; over five years the annualized figures are +3.07% and +13.27% respectively. Across the full 9-year window we track, IVV has the edge at +7.04% annualized vs +1.64%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IVV has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 1.0% for ARCM. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -4.8% for ARCM and -56.5% for IVV. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.30. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

ARCM charges 0.50% per year while IVV charges 0.03%. On a $10,000 position that is $50 vs $3 annually, a gap of $47 per year that compounds over a long holding period. On income, ARCM currently yields 3.67% against 1.09% for IVV.

Holdings Overlap

0.0%overlap

ARCM and IVV share 0 holdings out of 594 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, ARCM or IVV?

ARCM has an expense ratio of 0.50% while IVV charges 0.03%. IVV is the cheaper option. On a $10,000 investment, that is $47 per year of difference.

Which performed better, ARCM or IVV?

Over the past year ARCM returned +2.34% vs +21.64% for IVV, so IVV leads on 1-year performance. Over the longest common window we track (9 years), ARCM annualized +1.64% vs +7.04% for IVV. Past performance does not guarantee future results.

Which is riskier, ARCM or IVV?

IVV has been the more volatile fund at 15.1% annualized versus 1.0% for ARCM. Worst drawdown: ARCM -4.8% vs IVV -56.5%.

Should I hold both ARCM and IVV?

ARCM and IVV have a monthly-return correlation of 0.30, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between ARCM and IVV?

ARCM and IVV share 0 common holdings with a 0.0% weight overlap. Combined, they hold 594 unique securities.

Which pays a higher dividend, ARCM or IVV?

ARCM yields 3.67% while IVV yields 1.09%, so ARCM currently pays the higher dividend yield.

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