IBMR 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

MetricIBMRVXUSWinner
Expense Ratio0.18%0.05%
AUM$466M$156.5B
Dividend Yield2.55%2.60%
Holdings1,7208,747
YTD Return-0.79%+14.57%
1Y Return+0.20%+27.82%
3Y Return (annualized)+2.85%+19.27%
5Y Return (annualized)-+9.28%
Volatility (annualized)4.3%15.1%
Max Drawdown-10.6%-39.9%
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryFixed IncomeEquity
InceptionMay 9, 2023Jan 26, 2011

IBMR vs VXUS Performance

iShares iBonds Dec 2029 Term Muni Bond ETF (IBMR) 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 IBMR returned +0.20% while VXUS returned +27.82%. Year to date, IBMR is down 0.79% versus a gain of 14.57% for VXUS.

Over three years, IBMR compounded at +2.85% per year against +19.27% for VXUS. Across the full 3-year window we track, VXUS has the edge at +4.86% annualized vs +0.23%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VXUS has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 4.3% for IBMR. 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 -10.6% for IBMR 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

IBMR charges 0.18% per year while VXUS charges 0.05%. On a $10,000 position that is $18 vs $5 annually, a gap of $13 per year that compounds over a long holding period. On income, IBMR currently yields 2.55% against 2.60% for VXUS.

Holdings Overlap

0.0%overlap

IBMR and VXUS share 0 holdings out of 8203 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, IBMR or VXUS?

IBMR has an expense ratio of 0.18% while VXUS charges 0.05%. VXUS is the cheaper option. On a $10,000 investment, that is $13 per year of difference.

Which performed better, IBMR or VXUS?

Over the past year IBMR returned +0.20% vs +27.82% for VXUS, so VXUS leads on 1-year performance. Over the longest common window we track (3 years), IBMR annualized +0.23% vs +4.86% for VXUS. Past performance does not guarantee future results.

Which is riskier, IBMR or VXUS?

VXUS has been the more volatile fund at 15.1% annualized versus 4.3% for IBMR. Worst drawdown: IBMR -10.6% vs VXUS -39.9%.

Should I hold both IBMR and VXUS?

IBMR 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 IBMR and VXUS?

IBMR and VXUS share 0 common holdings with a 0.0% weight overlap. Combined, they hold 8203 unique securities.

Which pays a higher dividend, IBMR or VXUS?

IBMR yields 2.55% while VXUS yields 2.60%, so VXUS currently pays the higher dividend yield.

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