IGSB vs VOO

IGSB vs VOO

Which is better, IGSB or VOO?

Short Term Bond against Large Cap Blend.

VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window.

Lower Fees: VOOHigher Returns: VOO

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

MetricIGSBVOO
Expense Ratio0.04%0.03%Best
AUM$23.3B$997.4B
Dividend Yield4.61%1.04%
Holdings4,645509
YTD Return+0.50%+14.14%Best
1Y Return+1.78%+17.31%Best
3Y Return (annualized)+5.67%+23.04%Best
5Y Return (annualized)+2.42%+13.63%Best
Volatility (annualized)2.4%Best14.1%
Max Drawdown-13.4%Best-34.3%
$10,000 over 5 years$11,270$18,944Best
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryFixed IncomeEquity
StyleShort Term BondLarge Cap Blend
InceptionJan 5, 2007Sep 7, 2010

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Sep 9, 2010 to Sep 22, 2026 (16 years).

IGSB vs VOO 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.

IGSB vs VOO Performance

iShares 1-5 Year Investment Grade Corporate Bond ETF (IGSB) is an ETF from iShares by BlackRock (US) and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year IGSB returned +1.78% while VOO returned +17.31%. Year to date, IGSB is up 0.50% versus a gain of 14.14% for VOO.

Over three years, IGSB compounded at +5.67% per year against +23.04% for VOO; over five years the annualized figures are +2.42% and +13.63% respectively. Across the full 16-year window we track, VOO has the edge at +13.49% annualized vs +1.09%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 2.4% for IGSB. 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 -13.4% for IGSB and -34.3% for VOO. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.52. They move together some of the time, and apart the rest.

Fees and Cost Over Time

IGSB charges 0.04% per year while VOO charges 0.03%. On a $10,000 position that is $4 vs $3 annually, a gap of $1 per year that compounds over a long holding period. On income, IGSB currently yields 4.61% against 1.04% for VOO.

Holdings Overlap

VOO already in IGSB0.1%

At least 0.1% of VOO's money is in holdings IGSB also owns.

Stated as a floor: for IGSB, our book for it covers 32.3% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

We cannot see either book well enough to say how much of this pair is duplicated.

1 positions in common, counted across the 1,108 positions we hold weights for in IGSB and 494 in VOO, against full books of 4,645 and 509.

Top Shared Holdings

StockWeight in IGSBWeight in VOODifference
TMUST-Mobile Usa Inc Esrw Usd Npv Ref Sm#5855580.17%0.12%0.05%

You are not choosing between two funds in isolation.

Whichever of IGSB and VOO you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

IGSBVOO

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IGSB or VOO?

IGSB has an expense ratio of 0.04% while VOO charges 0.03%. VOO is the cheaper option, by $1 a year on a $10,000 investment.

Which performed better, IGSB or VOO?

Over the past year IGSB returned +1.78% vs +17.31% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (16 years), IGSB annualized +1.09% vs +13.49% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IGSB or VOO?

VOO has been the more volatile fund at 14.1% annualized versus 2.4% for IGSB. Worst drawdown: IGSB -13.4% vs VOO -34.3%.

Should I hold both IGSB and VOO?

IGSB and VOO have a monthly-return correlation of 0.52, 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, IGSB or VOO?

IGSB yields 4.61% while VOO yields 1.04%, so IGSB currently pays the higher dividend yield.

Is VOO better than IGSB?

VOO has a lower expense ratio. VOO 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.