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

MetricBUFPIVVWinner
Expense Ratio0.50%0.03%
AUM$223M$865.2B
Dividend Yield0.01%1.09%
Holdings15508
YTD Return+8.63%+13.80%
1Y Return+14.52%+23.70%
3Y Return (annualized)-+21.49%
5Y Return (annualized)-+13.43%
Volatility (annualized)6.2%15.1%
Max Drawdown-12.0%-56.5%
Fund FamilyPGIM InvestmentsiShares by BlackRock (US)
CategoryAlternativeEquity
InceptionJun 11, 2024May 15, 2000

BUFP vs IVV Performance

PGIM Laddered S&P 500 Buffer 12 ETF (BUFP) is a ETF from PGIM Investments and iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US). Over the past year BUFP returned +14.52% while IVV returned +23.70%. Year to date, BUFP is up 8.63% versus a gain of 13.80% for IVV.

Risk: Volatility and Drawdowns

IVV has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 6.2% for BUFP. 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 -12.0% for BUFP 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 0.98. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

BUFP 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, BUFP currently yields 0.01% against 1.09% for IVV.

Holdings Overlap

0.0%overlap

BUFP and IVV share 0 holdings out of 517 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, BUFP or IVV?

BUFP 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, BUFP or IVV?

Over the past year BUFP returned +14.52% vs +23.70% for IVV, so IVV leads on 1-year performance. Over the longest common window we track (2 years), BUFP annualized +13.14% vs +7.05% for IVV. Past performance does not guarantee future results.

Which is riskier, BUFP or IVV?

IVV has been the more volatile fund at 15.1% annualized versus 6.2% for BUFP. Worst drawdown: BUFP -12.0% vs IVV -56.5%.

Should I hold both BUFP and IVV?

BUFP and IVV have a monthly-return correlation of 0.98, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between BUFP and IVV?

BUFP and IVV share 0 common holdings with a 0.0% weight overlap. Combined, they hold 517 unique securities.

Which pays a higher dividend, BUFP or IVV?

BUFP yields 0.01% while IVV yields 1.09%, so IVV currently pays the higher dividend yield.

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