IVV vs RFM

IVV vs RFM
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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

MetricIVVRFMWinner
Expense Ratio0.03%3.68%
AUM$907.0B$97M
Dividend Yield1.10%6.92%
Holdings50893
YTD Return+12.28%+8.24%
1Y Return+20.94%+13.46%
3Y Return (annualized)+21.81%+5.32%
5Y Return (annualized)+13.05%-1.32%
Volatility (annualized)15.1%15.0%
Max Drawdown-56.5%-33.8%
Fund FamilyiShares by BlackRock (US)RiverNorth
CategoryEquityFixed Income
InceptionMay 15, 2000Mar 26, 2020

IVV vs RFM Performance

iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US) and RiverNorth Flexible Municipal Income Fund, Inc. (RFM) is a ETF from RiverNorth. Over the past year IVV returned +20.94% while RFM returned +13.46%. Year to date, IVV is up 12.28% versus a gain of 8.24% for RFM.

Over three years, IVV compounded at +21.81% per year against +5.32% for RFM; over five years the annualized figures are +13.05% and -1.32% respectively. Across the full 6-year window we track, IVV has the edge at +6.98% annualized vs +2.34%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IVV has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 15.0% for RFM. 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 -33.8% for RFM. 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 0.61. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

IVV charges 0.03% per year while RFM charges 3.68%. On a $10,000 position that is $3 vs $368 annually, a gap of $365 per year that compounds over a long holding period. On income, IVV currently yields 1.10% against 6.92% for RFM.

Holdings Overlap

0.0%overlap

IVV and RFM share 0 holdings out of 552 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, IVV or RFM?

IVV has an expense ratio of 0.03% while RFM charges 3.68%. IVV is the cheaper option. On a $10,000 investment, that is $365 per year of difference.

Which performed better, IVV or RFM?

Over the past year IVV returned +20.94% vs +13.46% for RFM, so IVV leads on 1-year performance. Over the longest common window we track (6 years), IVV annualized +6.98% vs +2.34% for RFM. Past performance does not guarantee future results.

Which is riskier, IVV or RFM?

IVV has been the more volatile fund at 15.1% annualized versus 15.0% for RFM. Worst drawdown: IVV -56.5% vs RFM -33.8%.

Should I hold both IVV and RFM?

IVV and RFM have a monthly-return correlation of 0.61, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between IVV and RFM?

IVV and RFM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 552 unique securities.

Which pays a higher dividend, IVV or RFM?

IVV yields 1.10% while RFM yields 6.92%, so RFM currently pays the higher dividend yield.

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