IVV vs XLU
iShares Core S&P 500 ETF vs State Street Utilities Select Sector SPDR ETF
Which is better, IVV or XLU?
Large Cap Blend against Large Cap Value.
IVV has a lower expense ratio. IVV led over 1Y, 3Y, 5Y and the full window. IVV is less concentrated, with 37.8% of the fund in its ten largest positions against 58.6%.
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 | XLU |
|---|---|---|
| Expense Ratio | 0.03%Best | 0.08% |
| AUM | $876.4B | $22.1B |
| Dividend Yield | 1.06% | 2.70% |
| Holdings | 508 | 34 |
| YTD Return | +13.32%Best | -6.71% |
| 1Y Return | +17.08%Best | -5.22% |
| 3Y Return (annualized) | +22.72%Best | +10.96% |
| 5Y Return (annualized) | +13.20%Best | +7.06% |
| Volatility (annualized) | 15.1% | 14.9%Best |
| Max Drawdown | -56.5% | -55.7%Best |
| $10,000 over 5 years | $18,588Best | $14,065 |
| Top 10 Weight | 37.8%Best | 58.6% |
| Fund Family | iShares by BlackRock (US) | SPDR State Street Global Advisors |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Value |
| Inception | May 15, 2000 | Dec 16, 1998 |
Volatility and max drawdown are measured over the window both funds cover: May 19, 2000 to Sep 23, 2026 (26.3 years).
IVV vs XLU 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 26.3 years both funds cover.
IVV vs XLU Performance
iShares Core S&P 500 ETF (IVV) is an ETF from iShares by BlackRock (US) and State Street Utilities Select Sector SPDR ETF (XLU) is an ETF from SPDR State Street Global Advisors. Over the past year IVV returned +17.08% while XLU returned -5.22%. Year to date, IVV is up 13.32% versus a loss of 6.71% for XLU.
Over three years, IVV compounded at +22.72% per year against +10.96% for XLU; over five years the annualized figures are +13.20% and +7.06% respectively. Across the full 26-year window we track, IVV has the edge at +6.99% annualized vs +4.72%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IVV has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 14.9% for XLU. 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 -55.7% for XLU. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.47. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IVV charges 0.03% per year while XLU 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 2.70% for XLU.
Holdings Overlap
1.9% of IVV's money is in holdings XLU also owns. 96.3% of XLU's money is in holdings IVV also owns.
Most of XLU is already inside IVV. Owning both mostly buys the same companies twice.
30 positions in common, counted across the 490 positions we hold weights for in IVV and 32 in XLU, against full books of 508 and 34.
What only one of them owns
Measured across the 490 and 32 positions we hold weights for.
IVV holds 452 positions XLU does not, 96.7% of the fund.
Largest: NVDA 8.07%, AAPL 7.02%, MSFT 5.69%, AMZN 3.84%, GOOGL 3.00%
Top Shared Holdings
| Stock | Weight in IVV | Weight in XLU | Difference |
|---|---|---|---|
| NEENextera Energy Inc | 0.26% | 13.03% | 12.77% |
| SOSouthern Co. | 0.15% | 7.48% | 7.33% |
| DUKDuke Energy Corp | 0.14% | 7.07% | 6.93% |
| CEGConstellation Energy Corporation Com | 0.13% | 6.75% | 6.62% |
| AEPAmerican Electric Power Co Inc | 0.10% | 5.04% | 4.94% |
| DDominion Energy Inc. | 0.09% | 4.40% | 4.31% |
| SRESempra Common Stock | 0.08% | 4.15% | 4.07% |
| ETREntergy Corp. | 0.07% | 3.69% | 3.62% |
| XELXcel Energy Inc. | 0.07% | 3.57% | 3.50% |
| EXCExelon | 0.07% | 3.38% | 3.31% |
96.3% of XLU 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.
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Frequently Asked Questions
Which is cheaper, IVV or XLU?
IVV has an expense ratio of 0.03% while XLU charges 0.08%. IVV is the cheaper option, by $5 a year on a $10,000 investment.
Which performed better, IVV or XLU?
Over the past year IVV returned +17.08% vs -5.22% for XLU, so IVV leads on 1-year performance. Over the longest common window we track (26 years), IVV annualized +6.99% vs +4.72% for XLU. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IVV or XLU?
IVV has been the more volatile fund at 15.1% annualized versus 14.9% for XLU. Worst drawdown: IVV -56.5% vs XLU -55.7%.
Should I hold both IVV and XLU?
IVV and XLU have a monthly-return correlation of 0.47, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between IVV and XLU?
96.3% of XLU's money is in holdings IVV also owns. 96.3% of XLU's is in holdings IVV also owns. They hold 30 positions in common, counted across the 490 positions we hold weights for in IVV and 32 in XLU.
Which pays a higher dividend, IVV or XLU?
IVV yields 1.06% while XLU yields 2.70%, so XLU currently pays the higher dividend yield.
Is XLU better than IVV?
IVV has a lower expense ratio. IVV led over 1Y, 3Y, 5Y and the full window. IVV is less concentrated, with 37.8% of the fund in its ten largest positions against 58.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.