IBIT 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

MetricIBITIVVWinner
Expense Ratio0.25%0.03%
AUM$47.7B$865.2B
Dividend Yield0.00%1.09%
Holdings2508
YTD Return-29.56%+14.50%
1Y Return-48.63%+22.02%
3Y Return (annualized)-+21.80%
5Y Return (annualized)-+13.37%
Volatility (annualized)52.8%15.1%
Max Drawdown-53.3%-56.5%
Fund FamilyiShares by BlackRock (US)iShares by BlackRock (US)
CategoryAlternativeEquity
InceptionJan 5, 2024May 15, 2000

IBIT vs IVV Performance

iShares Bitcoin Trust ETF (IBIT) 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 IBIT returned -48.63% while IVV returned +22.02%. Year to date, IBIT is down 29.56% versus a gain of 14.50% for IVV.

Risk: Volatility and Drawdowns

IBIT has been the more volatile fund, with annualized monthly volatility of 52.8% 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 -53.3% for IBIT 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 0.48. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

IBIT charges 0.25% per year while IVV charges 0.03%. On a $10,000 position that is $25 vs $3 annually, a gap of $22 per year that compounds over a long holding period. On income, IBIT currently yields 0.00% against 1.09% for IVV.

Frequently Asked Questions

Which is cheaper, IBIT or IVV?

IBIT has an expense ratio of 0.25% while IVV charges 0.03%. IVV is the cheaper option. On a $10,000 investment, that is $22 per year of difference.

Which performed better, IBIT or IVV?

Over the past year IBIT returned -48.63% vs +22.02% for IVV, so IVV leads on 1-year performance. Over the longest common window we track (3 years), IBIT annualized +12.21% vs +7.07% for IVV. Past performance does not guarantee future results.

Which is riskier, IBIT or IVV?

IBIT has been the more volatile fund at 52.8% annualized versus 15.1% for IVV. Worst drawdown: IBIT -53.3% vs IVV -56.5%.

Should I hold both IBIT and IVV?

IBIT and IVV have a monthly-return correlation of 0.48, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, IBIT or IVV?

IBIT yields 0.00% while IVV yields 1.09%, so IVV currently pays the higher dividend yield.

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