IVV vs VTEL
iShares Core S&P 500 ETF vs Vanguard Long-Term Tax-Exempt Bond ETF
Quick Verdict
IVV has a lower expense ratio. IVV delivered stronger 1-year returns. VTEL offers more diversification with 1417 holdings.
Side-by-Side Comparison
| Metric | IVV | VTEL | Winner |
|---|---|---|---|
| Expense Ratio | 0.03% | 0.09% | |
| AUM | $865.2B | $288M | |
| Dividend Yield | 1.09% | 3.78% | |
| Holdings | 508 | 6,215 | |
| YTD Return | +13.72% | -1.03% | |
| 1Y Return | +21.64% | +4.86% | |
| 3Y Return (annualized) | +21.55% | - | |
| 5Y Return (annualized) | +13.27% | - | |
| Volatility (annualized) | 15.1% | 5.4% | |
| Max Drawdown | -56.5% | -3.5% | |
| Fund Family | iShares by BlackRock (US) | Vanguard (US) | |
| Category | Equity | Fixed Income | |
| Inception | May 15, 2000 | May 6, 2025 |
IVV vs VTEL Performance
iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US) and Vanguard Long-Term Tax-Exempt Bond ETF (VTEL) is a ETF from Vanguard (US). Over the past year IVV returned +21.64% while VTEL returned +4.86%. Year to date, IVV is up 13.72% versus a loss of 1.03% for VTEL.
Risk: Volatility and Drawdowns
IVV has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 5.4% for VTEL. 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 -3.5% for VTEL. 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 0.48. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
IVV charges 0.03% per year while VTEL charges 0.09%. On a $10,000 position that is $3 vs $9 annually, a gap of $6 per year that compounds over a long holding period. On income, IVV currently yields 1.09% against 3.78% for VTEL.
Holdings Overlap
IVV and VTEL share 0 holdings out of 1922 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 VTEL?
IVV has an expense ratio of 0.03% while VTEL charges 0.09%. IVV is the cheaper option. On a $10,000 investment, that is $6 per year of difference.
Which performed better, IVV or VTEL?
Over the past year IVV returned +21.64% vs +4.86% for VTEL, so IVV leads on 1-year performance. Over the longest common window we track (1 years), IVV annualized +7.04% vs +4.58% for VTEL. Past performance does not guarantee future results.
Which is riskier, IVV or VTEL?
IVV has been the more volatile fund at 15.1% annualized versus 5.4% for VTEL. Worst drawdown: IVV -56.5% vs VTEL -3.5%.
Should I hold both IVV and VTEL?
IVV and VTEL have a monthly-return correlation of 0.48, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between IVV and VTEL?
IVV and VTEL share 0 common holdings with a 0.0% weight overlap. Combined, they hold 1922 unique securities.
Which pays a higher dividend, IVV or VTEL?
IVV yields 1.09% while VTEL yields 3.78%, so VTEL 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.