IVV vs USMC
iShares Core S&P 500 ETF vs Principal U.S. Mega-Cap ETF
Which is better, IVV or USMC?
Nearly the same fund. IVV costs less.
IVV has a lower expense ratio. IVV led over 1Y and 3Y, USMC over 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. IVV is less concentrated, with 37.8% of the fund in its ten largest positions against 55.4%.
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 | USMC |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.12% |
| AUM | $876.4B | $5.1B |
| Dividend Yield | 1.06% | 0.74% |
| Holdings | 508 | 29 |
| YTD Return | +14.14% | +14.32%Best |
| 1Y Return | +17.30%Best | +13.75% |
| 3Y Return (annualized) | +23.04%Best | +22.69% |
| 5Y Return (annualized) | +13.63% | +15.04%Best |
| Volatility (annualized) | 16.2% | 15.4%Best |
| Max Drawdown | -33.9% | -30.0%Best |
| $10,000 over 5 years | $18,944 | $20,149Best |
| Top 10 Weight | 37.8%Best | 55.4% |
| Fund Family | iShares by BlackRock (US) | Principal Funds |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | May 15, 2000 | Oct 11, 2017 |
Volatility and max drawdown are measured over the window both funds cover: Oct 12, 2017 to Sep 22, 2026 (8.9 years).
IVV vs USMC 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 8.9 years both funds cover.
IVV vs USMC Performance
iShares Core S&P 500 ETF (IVV) is an ETF from iShares by BlackRock (US) and Principal U.S. Mega-Cap ETF (USMC) is an ETF from Principal Funds. Over the past year IVV returned +17.30% while USMC returned +13.75%. Year to date, IVV is up 14.14% versus a gain of 14.32% for USMC.
Over three years, IVV compounded at +23.04% per year against +22.69% for USMC; over five years the annualized figures are +13.63% and +15.04% respectively. Across the full 9-year window we track, USMC has the edge at +14.43% annualized vs +14.21%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IVV has been the more volatile fund, with annualized monthly volatility of 16.2% compared with 15.4% for USMC. 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 -33.9% for IVV and -30.0% for USMC. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.97. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
IVV charges 0.03% per year while USMC charges 0.12%. On a $10,000 position that is $3 vs $12 annually, a gap of $9 per year that compounds over a long holding period. On income, IVV currently yields 1.06% against 0.74% for USMC.
Holdings Overlap
49.0% of IVV's money is in holdings USMC also owns. 99.8% of USMC's money is in holdings IVV also owns.
Most of USMC is already inside IVV. Owning both mostly buys the same companies twice.
26 positions in common, counted across the 490 positions we hold weights for in IVV and 27 in USMC, against full books of 508 and 29.
What only one of them owns
Measured across the 490 and 27 positions we hold weights for.
IVV holds 456 positions USMC does not, 49.6% of the fund.
Largest: GOOG 2.39%, AMD 1.16%, INTC 0.67%, CSCO 0.66%, PLTR 0.65%
Top Shared Holdings
| Stock | Weight in IVV | Weight in USMC | Difference |
|---|---|---|---|
| NVDANvidia Corp | 8.07% | 8.09% | 0.02% |
| AAPLApple, Inc | 7.02% | 7.06% | 0.04% |
| MSFTMicrosoft Corp | 5.69% | 5.69% | 0.00% |
| MUMicron Technology, Inc. | 1.63% | 7.06% | 5.43% |
| GOOGLAlphabet Inc,class A | 3.00% | 5.35% | 2.35% |
| AMZNAmazon.Com Inc | 3.84% | 3.81% | 0.03% |
| AVGOBroadcom Inc | 2.65% | 4.55% | 1.90% |
| JPMJpmorgan Chase | 1.44% | 4.65% | 3.21% |
| VVisa Inc Class A | 0.95% | 4.65% | 3.70% |
| METAMeta Platforms Inc | 1.90% | 3.46% | 1.56% |
99.8% of USMC is already inside IVV.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, IVV or USMC?
IVV has an expense ratio of 0.03% while USMC charges 0.12%. IVV is the cheaper option, by $9 a year on a $10,000 investment.
Which performed better, IVV or USMC?
Over the past year IVV returned +17.30% vs +13.75% for USMC, so IVV leads on 1-year performance. Over the longest common window we track (9 years), IVV annualized +14.21% vs +14.43% for USMC. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IVV or USMC?
IVV has been the more volatile fund at 16.2% annualized versus 15.4% for USMC. Worst drawdown: IVV -33.9% vs USMC -30.0%.
Should I hold both IVV and USMC?
IVV and USMC have a monthly-return correlation of 0.97, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between IVV and USMC?
99.8% of USMC's money is in holdings IVV also owns. 99.8% of USMC's is in holdings IVV also owns. They hold 26 positions in common, counted across the 490 positions we hold weights for in IVV and 27 in USMC.
Which pays a higher dividend, IVV or USMC?
IVV yields 1.06% while USMC yields 0.74%, so IVV currently pays the higher dividend yield.
Is USMC better than IVV?
IVV has a lower expense ratio. IVV led over 1Y and 3Y, USMC over 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. IVV is less concentrated, with 37.8% of the fund in its ten largest positions against 55.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.