IVV vs PCLO

IVV vs PCLO
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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

MetricIVVPCLOWinner
Expense Ratio0.03%0.29%
AUM$907.0B$20M
Dividend Yield1.10%5.19%
Holdings50824
YTD Return+12.28%+2.45%
1Y Return+20.94%+4.65%
3Y Return (annualized)+21.81%-
5Y Return (annualized)+13.05%-
Volatility (annualized)15.1%0.8%
Max Drawdown-56.5%-0.8%
Fund FamilyiShares by BlackRock (US)Virtus Investment Partners
CategoryEquityFixed Income
InceptionMay 15, 2000Nov 27, 2024

IVV vs PCLO Performance

iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US) and Virtus Seix AAA Private Credit CLO ETF (PCLO) is a ETF from Virtus Investment Partners. Over the past year IVV returned +20.94% while PCLO returned +4.65%. Year to date, IVV is up 12.28% versus a gain of 2.45% for PCLO.

Risk: Volatility and Drawdowns

IVV has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 0.8% for PCLO. 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 -0.8% for PCLO. 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 0.63. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

IVV charges 0.03% per year while PCLO charges 0.29%. On a $10,000 position that is $3 vs $29 annually, a gap of $26 per year that compounds over a long holding period. On income, IVV currently yields 1.10% against 5.19% for PCLO.

Frequently Asked Questions

Which is cheaper, IVV or PCLO?

IVV has an expense ratio of 0.03% while PCLO charges 0.29%. IVV is the cheaper option. On a $10,000 investment, that is $26 per year of difference.

Which performed better, IVV or PCLO?

Over the past year IVV returned +20.94% vs +4.65% for PCLO, so IVV leads on 1-year performance. Over the longest common window we track (2 years), IVV annualized +6.98% vs +4.94% for PCLO. Past performance does not guarantee future results.

Which is riskier, IVV or PCLO?

IVV has been the more volatile fund at 15.1% annualized versus 0.8% for PCLO. Worst drawdown: IVV -56.5% vs PCLO -0.8%.

Should I hold both IVV and PCLO?

IVV and PCLO have a monthly-return correlation of 0.63, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, IVV or PCLO?

IVV yields 1.10% while PCLO yields 5.19%, so PCLO currently pays the higher dividend yield.

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