FMB vs IVV
First Trust Managed Municipal ETF vs iShares Core S&P 500 ETF
Which is better, FMB or IVV?
Municipal Bond against Large Cap Blend.
IVV has a lower expense ratio. IVV led over 1Y, 3Y, 5Y and the full window.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | FMB | IVV |
|---|---|---|
| Expense Ratio | 0.39% | 0.03%Best |
| AUM | $2.1B | $886.7B |
| Dividend Yield | 3.62% | 1.10% |
| Holdings | 1,276 | 508 |
| YTD Return | -0.71% | +12.70%Best |
| 1Y Return | +1.60% | +19.36%Best |
| 3Y Return (annualized) | +3.01% | +21.16%Best |
| 5Y Return (annualized) | +0.08% | +12.75%Best |
| Volatility (annualized) | 4.9%Best | 14.8% |
| Max Drawdown | -14.2%Best | -33.9% |
| $10,000 over 5 years | $10,040 | $18,221Best |
| Fund Family | First Trust Portfolios (US) | iShares by BlackRock (US) |
| Category | Tax Preferred | Equity |
| Style | Municipal Bond | Large Cap Blend |
| Inception | May 13, 2014 | May 15, 2000 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: May 15, 2014 to Sep 8, 2026 (12.3 years).
FMB vs IVV growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
FMB vs IVV Performance
First Trust Managed Municipal ETF (FMB) is an ETF from First Trust Portfolios (US) and iShares Core S&P 500 ETF (IVV) is an ETF from iShares by BlackRock (US). Over the past year FMB returned +1.60% while IVV returned +19.36%. Year to date, FMB is down 0.71% versus a gain of 12.70% for IVV.
Over three years, FMB compounded at +3.01% per year against +21.16% for IVV; over five years the annualized figures are +0.08% and +12.75% respectively. Across the full 12-year window we track, IVV has the edge at +12.79% annualized vs +1.22%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IVV has been the more volatile fund, with annualized monthly volatility of 14.8% compared with 4.9% for FMB. 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 -14.2% for FMB and -33.9% for IVV. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.41. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FMB charges 0.39% per year while IVV charges 0.03%. On a $10,000 position that is $39 vs $3 annually, a gap of $36 per year that compounds over a long holding period. On income, FMB currently yields 3.62% against 1.10% for IVV.
Holdings Overlap
We hold position weights for 642 holdings in FMB and 504 in IVV, totalling 54.8% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 642 positions we hold weights for in FMB and 504 in IVV, against full books of 1,276 and 508.
You are not choosing between two funds in isolation.
Whichever of FMB and IVV you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FMB or IVV?
FMB has an expense ratio of 0.39% while IVV charges 0.03%. IVV is the cheaper option, by $36 a year on a $10,000 investment.
Which performed better, FMB or IVV?
Over the past year FMB returned +1.60% vs +19.36% for IVV, so IVV leads on 1-year performance. Over the longest common window we track (12 years), FMB annualized +1.22% vs +12.79% for IVV. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FMB or IVV?
IVV has been the more volatile fund at 14.8% annualized versus 4.9% for FMB. Worst drawdown: FMB -14.2% vs IVV -33.9%.
Should I hold both FMB and IVV?
FMB and IVV have a monthly-return correlation of 0.41, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, FMB or IVV?
FMB yields 3.62% while IVV yields 1.10%, so FMB currently pays the higher dividend yield.
Is IVV better than FMB?
IVV has a lower expense ratio. IVV led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.