IBCA vs VXUS

Quick Verdict

VXUS has a lower expense ratio. VXUS delivered stronger 1-year returns. VXUS offers more diversification with 7861 holdings.

Lower Fees: VXUSHigher Returns: VXUSMore Diversified: VXUS

Side-by-Side Comparison

MetricIBCAVXUSWinner
Expense Ratio0.10%0.05%
AUM$373M$156.5B
Dividend Yield4.65%2.60%
Holdings4178,747
YTD Return-0.58%+14.57%
1Y Return+2.29%+27.82%
3Y Return (annualized)-+19.27%
5Y Return (annualized)-+9.28%
Volatility (annualized)3.7%15.1%
Max Drawdown-3.5%-39.9%
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionMar 25, 2025Jan 26, 2011

IBCA vs VXUS Performance

iShares iBonds Dec 2035 Term Corporate ETF (IBCA) is a ETF from iShares by BlackRock (US) and Vanguard Total International Stock ETF (VXUS) is a ETF from Vanguard (US). Over the past year IBCA returned +2.29% while VXUS returned +27.82%. Year to date, IBCA is down 0.58% versus a gain of 14.57% for VXUS.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 3.7% for IBCA. 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 -3.5% for IBCA and -39.9% for VXUS. 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 0.65. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

IBCA charges 0.10% per year while VXUS charges 0.05%. On a $10,000 position that is $10 vs $5 annually, a gap of $5 per year that compounds over a long holding period. On income, IBCA currently yields 4.65% against 2.60% for VXUS.

Holdings Overlap

0.0%overlap

IBCA and VXUS share 0 holdings out of 8197 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, IBCA or VXUS?

IBCA has an expense ratio of 0.10% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $5 per year of difference.

Which performed better, IBCA or VXUS?

Over the past year IBCA returned +2.29% vs +27.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (1 years), IBCA annualized +4.65% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, IBCA or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 3.7% for IBCA. Worst drawdown: IBCA -3.5% vs VXUS -39.9%.

Should I hold both IBCA and VXUS?

IBCA and VXUS have a monthly-return correlation of 0.65, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between IBCA and VXUS?

IBCA and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 8197 unique securities.

Which pays a higher dividend, IBCA or VXUS?

IBCA yields 4.65% while VXUS yields 2.60%, so IBCA currently pays the higher dividend yield.

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