IBB vs IVV
iShares Biotechnology ETF vs iShares Core S&P 500 ETF
Quick Verdict
IVV has a lower expense ratio. IBB delivered stronger 1-year returns. IVV offers more diversification with 508 holdings.
Side-by-Side Comparison
| Metric | IBB | IVV | Winner |
|---|---|---|---|
| Expense Ratio | 0.44% | 0.03% | |
| AUM | $10.0B | $907.0B | |
| Dividend Yield | 0.22% | 1.10% | |
| Holdings | 253 | 508 | |
| YTD Return | +20.55% | +12.96% | |
| 1Y Return | +47.39% | +20.70% | |
| 3Y Return (annualized) | +17.31% | +22.10% | |
| 5Y Return (annualized) | +4.14% | +13.40% | |
| Volatility (annualized) | 22.0% | 15.1% | |
| Max Drawdown | -62.9% | -56.5% | |
| Fund Family | iShares by BlackRock (US) | iShares by BlackRock (US) | |
| Category | Equity | Equity | |
| Inception | Feb 5, 2001 | May 15, 2000 |
IBB vs IVV Performance
iShares Biotechnology ETF (IBB) is a ETF from iShares by BlackRock (US) and iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US). Over the past year IBB returned +47.39% while IVV returned +20.70%. Year to date, IBB is up 20.55% versus a gain of 12.96% for IVV.
Over three years, IBB compounded at +17.31% per year against +22.10% for IVV; over five years the annualized figures are +4.14% and +13.40% respectively. Across the full 26-year window we track, IBB has the edge at +7.36% annualized vs +7.01%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IBB has been the more volatile fund, with annualized monthly volatility of 22.0% compared with 15.1% for IVV. 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 -62.9% for IBB 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 0.64. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
IBB charges 0.44% per year while IVV charges 0.03%. On a $10,000 position that is $44 vs $3 annually, a gap of $41 per year that compounds over a long holding period. On income, IBB currently yields 0.22% against 1.10% for IVV.
Holdings Overlap
IBB and IVV share 10 holdings out of 737 unique holdings combined, representing a 1.1% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, IBB or IVV?
IBB has an expense ratio of 0.44% while IVV charges 0.03%. IVV is the cheaper option. On a $10,000 investment, that is $41 per year of difference.
Which performed better, IBB or IVV?
Over the past year IBB returned +47.39% vs +20.70% for IVV, so IBB leads on 1-year performance. Over the longest common window we track (26 years), IBB annualized +7.36% vs +7.01% for IVV. Past performance does not guarantee future results.
Which is riskier, IBB or IVV?
IBB has been the more volatile fund at 22.0% annualized versus 15.1% for IVV. Worst drawdown: IBB -62.9% vs IVV -56.5%.
Should I hold both IBB and IVV?
IBB and IVV have a monthly-return correlation of 0.64, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between IBB and IVV?
IBB and IVV share 10 common holdings with a 1.1% weight overlap. Combined, they hold 737 unique securities.
Which pays a higher dividend, IBB or IVV?
IBB yields 0.22% while IVV yields 1.10%, so IVV currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.