IVV vs VTEC
iShares Core S&P 500 ETF vs Vanguard California Tax-Exempt Bond ETF
Quick Verdict
IVV has a lower expense ratio. IVV delivered stronger 1-year returns. VTEC offers more diversification with 702 holdings.
Side-by-Side Comparison
| Metric | IVV | VTEC | Winner |
|---|---|---|---|
| Expense Ratio | 0.03% | 0.06% | |
| AUM | $865.2B | $2.8B | |
| Dividend Yield | 1.09% | 3.14% | |
| Holdings | 508 | 3,617 | |
| YTD Return | +13.80% | -1.19% | |
| 1Y Return | +23.01% | +2.84% | |
| 3Y Return (annualized) | +21.77% | - | |
| 5Y Return (annualized) | +13.39% | - | |
| Volatility (annualized) | 15.1% | 3.9% | |
| Max Drawdown | -56.5% | -4.5% | |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) | |
| Category | Equity | Tax Preferred | |
| Inception | May 15, 2000 | Jan 26, 2024 |
IVV vs VTEC Performance
iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US) and Vanguard California Tax-Exempt Bond ETF (VTEC) is a ETF from Vanguard (US). Over the past year IVV returned +23.01% while VTEC returned +2.84%. Year to date, IVV is up 13.80% versus a loss of 1.19% for VTEC.
Risk: Volatility and Drawdowns
IVV has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 3.9% for VTEC. 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 -4.5% for VTEC. 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 0.60. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
IVV charges 0.03% per year while VTEC charges 0.06%. On a $10,000 position that is $3 vs $6 annually, a gap of $3 per year that compounds over a long holding period. On income, IVV currently yields 1.09% against 3.14% for VTEC.
Holdings Overlap
IVV and VTEC share 0 holdings out of 1207 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 VTEC?
IVV has an expense ratio of 0.03% while VTEC charges 0.06%. IVV is the cheaper option. On a $10,000 investment, that is $3 per year of difference.
Which performed better, IVV or VTEC?
Over the past year IVV returned +23.01% vs +2.84% for VTEC, so IVV leads on 1-year performance. Over the longest common window we track (3 years), IVV annualized +7.04% vs +1.55% for VTEC. Past performance does not guarantee future results.
Which is riskier, IVV or VTEC?
IVV has been the more volatile fund at 15.1% annualized versus 3.9% for VTEC. Worst drawdown: IVV -56.5% vs VTEC -4.5%.
Should I hold both IVV and VTEC?
IVV and VTEC have a monthly-return correlation of 0.60, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between IVV and VTEC?
IVV and VTEC share 0 common holdings with a 0.0% weight overlap. Combined, they hold 1207 unique securities.
Which pays a higher dividend, IVV or VTEC?
IVV yields 1.09% while VTEC yields 3.14%, so VTEC currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.