IVV vs KBE

IVV vs KBE

Which is better, IVV or KBE?

Each has led over a different period.

IVV has a lower expense ratio. IVV led over 1Y, 5Y and the full window, KBE over 3Y. KBE is less concentrated, with 11.3% of the fund in its ten largest positions against 37.8%.

Lower Fees: IVVHigher Returns: splitLess Concentrated: KBE

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

MetricIVVKBE
Expense Ratio0.03%Best0.35%
AUM$876.4B$1.6B
Dividend Yield1.06%2.16%
Holdings508105
YTD Return+12.39%Best+10.13%
1Y Return+16.61%Best+10.06%
3Y Return (annualized)+21.38%+23.70%Best
5Y Return (annualized)+13.51%Best+9.02%
Volatility (annualized)15.1%Best26.6%
Max Drawdown-56.5%Best-84.6%
$10,000 over 5 years$18,844Best$15,400
Top 10 Weight37.8%11.3%Best
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Blend
InceptionMay 15, 2000Nov 8, 2005

Volatility and max drawdown are measured over the window both funds cover: Nov 15, 2005 to Sep 18, 2026 (20.8 years).

IVV vs KBE 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 20.8 years both funds cover.

IVV vs KBE Performance

iShares Core S&P 500 ETF (IVV) is an ETF from iShares by BlackRock (US) and State Street SPDR S&P Bank ETF (KBE) is an ETF from State Street Investment Management. Over the past year IVV returned +16.61% while KBE returned +10.06%. Year to date, IVV is up 12.39% versus a gain of 10.13% for KBE.

Over three years, IVV compounded at +21.38% per year against +23.70% for KBE; over five years the annualized figures are +13.51% and +9.02% respectively. Across the full 21-year window we track, IVV has the edge at +9.57% annualized vs +1.97%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

KBE has been the more volatile fund, with annualized monthly volatility of 26.6% 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 -56.5% for IVV and -84.6% for KBE. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.70. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

IVV charges 0.03% per year while KBE charges 0.35%. On a $10,000 position that is $3 vs $35 annually, a gap of $32 per year that compounds over a long holding period. On income, IVV currently yields 1.06% against 2.16% for KBE.

Holdings Overlap

IVV already in KBE3.2%
KBE already in IVV15.0%

3.2% of IVV's money is in holdings KBE also owns. 15.0% of KBE's money is in holdings IVV also owns.

KBE and IVV share little of their money.

15 positions in common, counted across the 490 positions we hold weights for in IVV and 103 in KBE, against full books of 508 and 105.

What only one of them owns

Our book lists 85 positions for KBE that do not appear in our book for IVV (81.8% of the fund), and 467 for IVV that do not appear in KBE (95.5%).

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 IVVWeight in KBEDifference
JPMJpmorgan Chase1.44%1.09%0.35%
WFCWells Fargo & Co.0.40%1.00%0.60%
CCitigroup Inc.0.34%0.94%0.60%
BKBank Of New York Mellon Corp0.17%1.10%0.93%
USBUS Bancorp0.14%1.03%0.89%
PNCPnc Financial Services Group Inc.0.15%0.98%0.83%
NTRSNorthern Trust Corp.0.05%1.06%1.01%
APOAthene (Ath) / Apollo Global Management (Apo)0.10%0.99%0.89%
CFGCitizens Financial Group Inc.0.04%1.01%0.97%
TFCTruist Financial Corp.0.09%0.95%0.86%

You are not choosing between two funds in isolation.

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

IVVKBE

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, IVV or KBE?

IVV has an expense ratio of 0.03% while KBE charges 0.35%. IVV is the cheaper option, by $32 a year on a $10,000 investment.

Which performed better, IVV or KBE?

Over the past year IVV returned +16.61% vs +10.06% for KBE, so IVV leads on 1-year performance. Over the longest common window we track (21 years), IVV annualized +9.57% vs +1.97% for KBE. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IVV or KBE?

KBE has been the more volatile fund at 26.6% annualized versus 15.1% for IVV. Worst drawdown: IVV -56.5% vs KBE -84.6%.

Should I hold both IVV and KBE?

IVV and KBE have a monthly-return correlation of 0.70, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between IVV and KBE?

15.0% of KBE's money is in holdings IVV also owns. 15.0% of KBE's is in holdings IVV also owns. They hold 15 positions in common, counted across the 490 positions we hold weights for in IVV and 103 in KBE.

Which pays a higher dividend, IVV or KBE?

IVV yields 1.06% while KBE yields 2.16%, so KBE currently pays the higher dividend yield.

Is KBE better than IVV?

IVV has a lower expense ratio. IVV led over 1Y, 5Y and the full window, KBE over 3Y. KBE is less concentrated, with 11.3% of the fund in its ten largest positions against 37.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.