IVV vs VTEI
iShares Core S&P 500 ETF vs Vanguard Intermediate-Term Tax-Exempt Bond ETF
Which is better, IVV or VTEI?
Large Cap Blend against Municipal Bond.
IVV has a lower expense ratio. IVV led over 1Y 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 | VTEI |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.08% |
| AUM | $876.4B | $1.5B |
| Dividend Yield | 1.06% | 3.11% |
| Holdings | 508 | 5,977 |
| YTD Return | +13.32%Best | -4.69% |
| 1Y Return | +17.08%Best | -3.37% |
| 3Y Return (annualized) | +22.72% | - |
| 5Y Return (annualized) | +13.20% | - |
| Volatility (annualized) | 12.0% | 3.7%Best |
| Max Drawdown | -18.8% | -6.3%Best |
| $10,000 over 2.6 years | $16,044Best | $10,125 |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) |
| Category | Equity | Tax Preferred |
| Style | Large Cap Blend | Municipal Bond |
| Inception | May 15, 2000 | Jan 26, 2024 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 2.6 years row, are measured over the window both funds cover: Jan 30, 2024 to Sep 23, 2026 (2.6 years).
IVV vs VTEI 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 2.6 years both funds cover.
IVV vs VTEI Performance
iShares Core S&P 500 ETF (IVV) is an ETF from iShares by BlackRock (US) and Vanguard Intermediate-Term Tax-Exempt Bond ETF (VTEI) is an ETF from Vanguard (US). Over the past year IVV returned +17.08% while VTEI returned -3.37%. Year to date, IVV is up 13.32% versus a loss of 4.69% for VTEI.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IVV has been the more volatile fund, with annualized monthly volatility of 12.0% compared with 3.7% for VTEI. 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 -18.8% for IVV and -6.3% for VTEI. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.53. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IVV charges 0.03% per year while VTEI charges 0.08%. On a $10,000 position that is $3 vs $8 annually, a gap of $5 per year that compounds over a long holding period. On income, IVV currently yields 1.06% against 3.11% for VTEI.
Holdings Overlap
We hold position weights for 490 holdings in IVV and 18 in VTEI, totalling 99.3% and 0.1% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 490 positions we hold weights for in IVV and 18 in VTEI, against full books of 508 and 5,977.
You are not choosing between two funds in isolation.
Whichever of IVV and VTEI 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 VTEI?
IVV has an expense ratio of 0.03% while VTEI charges 0.08%. IVV is the cheaper option, by $5 a year on a $10,000 investment.
Which performed better, IVV or VTEI?
Over the past year IVV returned +17.08% vs -3.37% for VTEI, so IVV leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IVV or VTEI?
IVV has been the more volatile fund at 12.0% annualized versus 3.7% for VTEI. Worst drawdown: IVV -18.8% vs VTEI -6.3%.
Should I hold both IVV and VTEI?
IVV and VTEI have a monthly-return correlation of 0.53, 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 VTEI?
IVV yields 1.06% while VTEI yields 3.11%, so VTEI currently pays the higher dividend yield.
Is VTEI better than IVV?
IVV has a lower expense ratio. IVV led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.