IVV vs SHM
iShares Core S&P 500 ETF vs State Street SPDR Nuveen ICE Short Term Municipal Bond ETF
Which is better, IVV or SHM?
Large Cap Blend against Municipal Bond.
IVV has a lower expense ratio. IVV led over 1Y, 3Y, 5Y 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 | SHM |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.20% |
| AUM | $876.4B | $3.5B |
| Dividend Yield | 1.06% | 2.68% |
| Holdings | 508 | 1,049 |
| YTD Return | +11.57%Best | +0.29% |
| 1Y Return | +17.57%Best | +0.37% |
| 3Y Return (annualized) | +20.71%Best | +2.63% |
| 5Y Return (annualized) | +12.80%Best | +0.75% |
| Volatility (annualized) | 15.7% | 2.6%Best |
| Max Drawdown | -56.1% | -11.6%Best |
| $10,000 over 5 years | $18,262Best | $10,381 |
| Fund Family | iShares by BlackRock (US) | State Street Investment Management |
| Category | Equity | Tax Preferred |
| Style | Large Cap Blend | Municipal Bond |
| Inception | May 15, 2000 | Oct 10, 2007 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Oct 15, 2007 to Sep 10, 2026 (18.9 years).
IVV vs SHM 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
IVV vs SHM Performance
iShares Core S&P 500 ETF (IVV) is an ETF from iShares by BlackRock (US) and State Street SPDR Nuveen ICE Short Term Municipal Bond ETF (SHM) is an ETF from State Street Investment Management. Over the past year IVV returned +17.57% while SHM returned +0.37%. Year to date, IVV is up 11.57% versus a gain of 0.29% for SHM.
Over three years, IVV compounded at +20.71% per year against +2.63% for SHM; over five years the annualized figures are +12.80% and +0.75% respectively. Across the full 19-year window we track, IVV has the edge at +9.22% annualized vs +0.74%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IVV has been the more volatile fund, with annualized monthly volatility of 15.7% compared with 2.6% for SHM. 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 -56.1% for IVV and -11.6% for SHM. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.21. They move largely independently of each other.
Fees and Cost Over Time
IVV charges 0.03% per year while SHM charges 0.20%. On a $10,000 position that is $3 vs $20 annually, a gap of $17 per year that compounds over a long holding period. On income, IVV currently yields 1.06% against 2.68% for SHM.
You are not choosing between two funds in isolation.
Whichever of IVV and SHM 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 SHM?
IVV has an expense ratio of 0.03% while SHM charges 0.20%. IVV is the cheaper option, by $17 a year on a $10,000 investment.
Which performed better, IVV or SHM?
Over the past year IVV returned +17.57% vs +0.37% for SHM, so IVV leads on 1-year performance. Over the longest common window we track (19 years), IVV annualized +9.22% vs +0.74% for SHM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IVV or SHM?
IVV has been the more volatile fund at 15.7% annualized versus 2.6% for SHM. Worst drawdown: IVV -56.1% vs SHM -11.6%.
Should I hold both IVV and SHM?
IVV and SHM have a monthly-return correlation of 0.21, 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 SHM?
IVV yields 1.06% while SHM yields 2.68%, so SHM currently pays the higher dividend yield.
Is SHM better than IVV?
IVV has a lower expense ratio. IVV led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.