IVV vs PBMY

IVV vs PBMY
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Quick Verdict

IVV has a lower expense ratio. IVV delivered stronger 1-year returns. IVV offers more diversification with 508 holdings.

Lower Fees: IVVHigher Returns: IVVMore Diversified: IVV

Side-by-Side Comparison

MetricIVVPBMYWinner
Expense Ratio0.03%0.50%
AUM$907.0B$37M
Dividend Yield1.10%0.07%
Holdings5087
YTD Return+14.29%+5.59%
1Y Return+21.79%+8.85%
3Y Return (annualized)+22.19%-
5Y Return (annualized)+13.28%-
Volatility (annualized)15.1%2.8%
Max Drawdown-56.5%-8.1%
Fund FamilyiShares by BlackRock (US)PGIM Investments
CategoryEquityAlternative
InceptionMay 15, 2000May 1, 2024

IVV vs PBMY Performance

iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US) and PGIM S&P 500 Buffer 20 ETF - May (PBMY) is a ETF from PGIM Investments. Over the past year IVV returned +21.79% while PBMY returned +8.85%. Year to date, IVV is up 14.29% versus a gain of 5.59% for PBMY.

Risk: Volatility and Drawdowns

IVV has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 2.8% for PBMY. 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 -8.1% for PBMY. 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 0.81. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

IVV charges 0.03% per year while PBMY charges 0.50%. On a $10,000 position that is $3 vs $50 annually, a gap of $47 per year that compounds over a long holding period. On income, IVV currently yields 1.10% against 0.07% for PBMY.

Frequently Asked Questions

Which is cheaper, IVV or PBMY?

IVV has an expense ratio of 0.03% while PBMY charges 0.50%. IVV is the cheaper option. On a $10,000 investment, that is $47 per year of difference.

Which performed better, IVV or PBMY?

Over the past year IVV returned +21.79% vs +8.85% for PBMY, so IVV leads on 1-year performance. Over the longest common window we track (2 years), IVV annualized +7.06% vs +11.04% for PBMY. Past performance does not guarantee future results.

Which is riskier, IVV or PBMY?

IVV has been the more volatile fund at 15.1% annualized versus 2.8% for PBMY. Worst drawdown: IVV -56.5% vs PBMY -8.1%.

Should I hold both IVV and PBMY?

IVV and PBMY have a monthly-return correlation of 0.81, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, IVV or PBMY?

IVV yields 1.10% while PBMY yields 0.07%, so IVV currently pays the higher dividend yield.

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