IVV vs VALQ

IVV vs VALQ

Which is better, IVV or VALQ?

Large Cap Blend against Large Cap Value.

IVV has a lower expense ratio. IVV led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.91. VALQ is less concentrated, with 23.9% of the fund in its ten largest positions against 37.8%.

Lower Fees: IVVHigher Returns: IVVLess Concentrated: VALQ

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

MetricIVVVALQ
Expense Ratio0.03%Best0.29%
AUM$876.4B$338M
Dividend Yield1.06%1.74%
Holdings508224
YTD Return+13.32%Best+7.70%
1Y Return+17.08%Best+11.79%
3Y Return (annualized)+22.72%Best+15.08%
5Y Return (annualized)+13.20%Best+9.22%
Volatility (annualized)16.4%16.2%Best
Max Drawdown-33.9%Best-38.2%
$10,000 over 5 years$18,588Best$15,542
Top 10 Weight37.8%23.9%Best
Fund FamilyiShares by BlackRock (US)American Century Investments
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Value
InceptionMay 15, 2000Jan 11, 2018

Volatility and max drawdown are measured over the window both funds cover: Jan 16, 2018 to Sep 23, 2026 (8.7 years).

IVV vs VALQ 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 8.7 years both funds cover.

IVV vs VALQ Performance

iShares Core S&P 500 ETF (IVV) is an ETF from iShares by BlackRock (US) and American Century US Quality Value ETF (VALQ) is an ETF from American Century Investments. Over the past year IVV returned +17.08% while VALQ returned +11.79%. Year to date, IVV is up 13.32% versus a gain of 7.70% for VALQ.

Over three years, IVV compounded at +22.72% per year against +15.08% for VALQ; over five years the annualized figures are +13.20% and +9.22% respectively. Across the full 9-year window we track, IVV has the edge at +13.46% annualized vs +7.96%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IVV has been the more volatile fund, with annualized monthly volatility of 16.4% compared with 16.2% for VALQ. 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 -38.2% for VALQ. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.91. 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 VALQ 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 1.06% against 1.74% for VALQ.

Holdings Overlap

IVV already in VALQ64.4%
VALQ already in IVV82.1%

64.4% of IVV's money is in holdings VALQ also owns. 82.1% of VALQ's money is in holdings IVV also owns.

Most of VALQ is already inside IVV. Owning both mostly buys the same companies twice.

161 positions in common, counted across the 490 positions we hold weights for in IVV and 241 in VALQ, against full books of 508 and 224.

What only one of them owns

Our book lists 69 positions for VALQ that do not appear in our book for IVV (15.7% of the fund), and 321 for IVV that do not appear in VALQ (34.2%).

Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.

Top Shared Holdings

StockWeight in IVVWeight in VALQDifference
AAPLApple, Inc7.02%1.46%5.56%
NVDANvidia Corp8.07%0.13%7.94%
MSFTMicrosoft Corp5.69%0.14%5.55%
AMZNAmazon.Com Inc3.84%0.12%3.72%
MRKMerck & Company Inc0.55%2.77%2.22%
UNHUnitedhealth Group Incorporated0.53%2.73%2.20%
HDHome Depot Inc/The0.49%2.64%2.15%
GOOGLAlphabet Inc,class A3.00%0.12%2.88%
PGProcter & Gamble Company0.51%2.50%1.99%
BMYBristol-Myers Squibb Co.0.21%2.77%2.56%

82.1% of VALQ 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.

IVVVALQ

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Frequently Asked Questions

Which is cheaper, IVV or VALQ?

IVV has an expense ratio of 0.03% while VALQ charges 0.29%. IVV is the cheaper option, by $26 a year on a $10,000 investment.

Which performed better, IVV or VALQ?

Over the past year IVV returned +17.08% vs +11.79% for VALQ, so IVV leads on 1-year performance. Over the longest common window we track (9 years), IVV annualized +13.46% vs +7.96% for VALQ. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, IVV or VALQ?

IVV has been the more volatile fund at 16.4% annualized versus 16.2% for VALQ. Worst drawdown: IVV -33.9% vs VALQ -38.2%.

Should I hold both IVV and VALQ?

IVV and VALQ have a monthly-return correlation of 0.91, 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 VALQ?

82.1% of VALQ's money is in holdings IVV also owns. 82.1% of VALQ's is in holdings IVV also owns. They hold 161 positions in common, counted across the 490 positions we hold weights for in IVV and 241 in VALQ.

Which pays a higher dividend, IVV or VALQ?

IVV yields 1.06% while VALQ yields 1.74%, so VALQ currently pays the higher dividend yield.

Is VALQ better than IVV?

IVV has a lower expense ratio. IVV led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.91. VALQ is less concentrated, with 23.9% of the fund in its ten largest positions against 37.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.