IVV vs LQDW
iShares Core S&P 500 ETF vs iShares Investment Grade Corporate Bond BuyWrite Strategy ETF
Which is better, IVV or LQDW?
Large Cap Blend against Investment Grade Bond.
IVV has a lower expense ratio. IVV led over 1Y, 3Y and the full window.
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
| Metric | IVV | LQDW |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.34% |
| AUM | $876.4B | $318M |
| Dividend Yield | 1.06% | 12.32% |
| Holdings | 508 | 3,135 |
| YTD Return | +12.51%Best | -6.74% |
| 1Y Return | +17.57%Best | -6.14% |
| 3Y Return (annualized) | +21.27%Best | +0.73% |
| 5Y Return (annualized) | +12.95% | - |
| Volatility (annualized) | 14.2% | 5.9%Best |
| Max Drawdown | -18.8% | -9.2%Best |
| $10,000 over 4.1 years | $19,718Best | $10,012 |
| Fund Family | iShares by BlackRock (US) | iShares by BlackRock (US) |
| Category | Equity | Fixed Income |
| Style | Large Cap Blend | Investment Grade Bond |
| Inception | May 15, 2000 | Aug 18, 2022 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 4.1 years row, are measured over the window both funds cover: Aug 22, 2022 to Sep 11, 2026 (4.1 years).
IVV vs LQDW 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 4.1 years both funds cover.
IVV vs LQDW Performance
iShares Core S&P 500 ETF (IVV) is an ETF from iShares by BlackRock (US) and iShares Investment Grade Corporate Bond BuyWrite Strategy ETF (LQDW) is an ETF from iShares by BlackRock (US). Over the past year IVV returned +17.57% while LQDW returned -6.14%. Year to date, IVV is up 12.51% versus a loss of 6.74% for LQDW.
Over three years, IVV compounded at +21.27% per year against +0.73% for LQDW. Across the full 4-year window we track, IVV has the edge at +18.01% annualized vs +0.03%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IVV has been the more volatile fund, with annualized monthly volatility of 14.2% compared with 5.9% for LQDW. 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 -18.8% for IVV and -9.2% for LQDW. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.63. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IVV charges 0.03% per year while LQDW charges 0.34%. On a $10,000 position that is $3 vs $34 annually, a gap of $31 per year that compounds over a long holding period. On income, IVV currently yields 1.06% against 12.32% for LQDW.
Holdings Overlap
At least 0.2% of IVV's money is in holdings LQDW also owns.
Stated as a floor: for LQDW, our book for it covers 100.1% 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 505 positions we hold weights for in IVV and 2 in LQDW, against full books of 508 and 3,135.
Top Shared Holdings
| Stock | Weight in IVV | Weight in LQDW | Difference |
|---|---|---|---|
| XTSLABlackrock Cash Funds: Treasury, Sl Agency Shares | 0.18% | 0.16% | 0.02% |
You are not choosing between two funds in isolation.
Whichever of IVV and LQDW you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, IVV or LQDW?
IVV has an expense ratio of 0.03% while LQDW charges 0.34%. IVV is the cheaper option, by $31 a year on a $10,000 investment.
Which performed better, IVV or LQDW?
Over the past year IVV returned +17.57% vs -6.14% for LQDW, so IVV leads on 1-year performance. Over the longest common window we track (4 years), IVV annualized +18.01% vs +0.03% for LQDW. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IVV or LQDW?
IVV has been the more volatile fund at 14.2% annualized versus 5.9% for LQDW. Worst drawdown: IVV -18.8% vs LQDW -9.2%.
Should I hold both IVV and LQDW?
IVV and LQDW have a monthly-return correlation of 0.63, 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, IVV or LQDW?
IVV yields 1.06% while LQDW yields 12.32%, so LQDW currently pays the higher dividend yield.
Is LQDW better than IVV?
IVV has a lower expense ratio. IVV led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.