IVE vs VYM

IVE vs VYM

Which is better, IVE or VYM?

Nearly the same fund. VYM costs less.

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. IVE is less concentrated, with 23.4% of the fund in its ten largest positions against 26.1%.

Lower Fees: VYMHigher Returns: VYMLess Concentrated: IVE

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

MetricIVEVYM
Expense Ratio0.18%0.04%Best
AUM$49.8B$81.6B
Dividend Yield1.50%2.22%
Holdings444613
YTD Return+9.95%+11.71%Best
1Y Return+15.83%+16.24%Best
3Y Return (annualized)+15.08%+17.24%Best
5Y Return (annualized)+11.35%+11.86%Best
Volatility (annualized)16.0%14.6%Best
Max Drawdown-63.0%-58.8%Best
$10,000 over 5 years$17,118$17,514Best
Top 10 Weight23.4%Best26.1%
Fund FamilyiShares by BlackRock (US)Vanguard (US)
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Value
InceptionMay 22, 2000Nov 10, 2006

Volatility and max drawdown are measured over the window both funds cover: Nov 16, 2006 to Sep 16, 2026 (19.8 years).

IVE vs VYM 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 covers the 19.8 years both funds cover.

IVE vs VYM Performance

iShares S&P 500 Value ETF (IVE) is an ETF from iShares by BlackRock (US) and Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US). Over the past year IVE returned +15.83% while VYM returned +16.24%. Year to date, IVE is up 9.95% versus a gain of 11.71% for VYM.

Over three years, IVE compounded at +15.08% per year against +17.24% for VYM; over five years the annualized figures are +11.35% and +11.86% respectively. Across the full 20-year window we track, VYM has the edge at +6.84% annualized vs +6.38%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IVE has been the more volatile fund, with annualized monthly volatility of 16.0% compared with 14.6% for VYM. 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 -63.0% for IVE and -58.8% for VYM. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.97. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

IVE charges 0.18% per year while VYM charges 0.04%. On a $10,000 position that is $18 vs $4 annually, a gap of $14 per year that compounds over a long holding period. On income, IVE currently yields 1.50% against 2.22% for VYM.

Holdings Overlap

IVE already in VYM55.9%
VYM already in IVE80.2%

55.9% of IVE's money is in holdings VYM also owns. 80.2% of VYM's money is in holdings IVE also owns.

Most of VYM is already inside IVE. Owning both mostly buys the same companies twice.

240 positions in common, counted across the 432 positions we hold weights for in IVE and 557 in VYM, against full books of 444 and 613.

What only one of them owns

Our book lists 289 positions for VYM that do not appear in our book for IVE (17.1% of the fund), and 189 for IVE that do not appear in VYM (43.3%).

Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.

Top Shared Holdings

StockWeight in IVEWeight in VYMDifference
XOMExxon Mobil Corp.2.21%2.63%0.42%
JPMJpmorgan Chase1.01%3.82%2.81%
JNJJohnson & Johnson - Common0.87%2.51%1.64%
BACBank of America Corp.: Financials1.34%1.66%0.32%
CVXChevron Corp1.28%1.48%0.20%
UNHUnitedhealth Group Incorporated1.17%1.52%0.35%
ABBVAbbvie Inc.0.81%1.80%0.99%
CSCOCisco Systems Inc. - Ordinary Shares0.68%1.86%1.18%
MRKMerck & Company Inc1.21%1.31%0.10%
PGProcter & Gamble Company1.12%1.37%0.25%

80.2% of VYM is already inside IVE.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

IVEVYM

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Frequently Asked Questions

Which is cheaper, IVE or VYM?

IVE has an expense ratio of 0.18% while VYM charges 0.04%. VYM is the cheaper option, by $14 a year on a $10,000 investment.

Which performed better, IVE or VYM?

Over the past year IVE returned +15.83% vs +16.24% for VYM, so VYM leads on 1-year performance. Over the longest common window we track (20 years), IVE annualized +6.38% vs +6.84% for VYM. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IVE or VYM?

IVE has been the more volatile fund at 16.0% annualized versus 14.6% for VYM. Worst drawdown: IVE -63.0% vs VYM -58.8%.

Should I hold both IVE and VYM?

IVE and VYM have a monthly-return correlation of 0.97, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between IVE and VYM?

80.2% of VYM's money is in holdings IVE also owns. 80.2% of VYM's is in holdings IVE also owns. They hold 240 positions in common, counted across the 432 positions we hold weights for in IVE and 557 in VYM.

Which pays a higher dividend, IVE or VYM?

IVE yields 1.50% while VYM yields 2.22%, so VYM currently pays the higher dividend yield.

Is VYM better than IVE?

VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. IVE is less concentrated, with 23.4% of the fund in its ten largest positions against 26.1%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.