IVV vs TAGG
IVV vs TAGG
iShares Core S&P 500 ETF vs T Rowe Price QM US Bond ETF
Quick Verdict
IVV has a lower expense ratio. IVV delivered stronger 1-year returns. TAGG offers more diversification with 1212 holdings.
Side-by-Side Comparison
| Metric | IVV | TAGG | Winner |
|---|---|---|---|
| Expense Ratio | 0.03% | 0.08% | |
| AUM | $865.2B | $2.3B | |
| Dividend Yield | 1.09% | 4.57% | |
| Holdings | 508 | 1,595 | |
| YTD Return | +13.52% | +0.07% | |
| 1Y Return | +23.63% | +2.53% | |
| 3Y Return (annualized) | +21.26% | +4.41% | |
| 5Y Return (annualized) | +13.52% | - | |
| Volatility (annualized) | 15.1% | 6.6% | |
| Max Drawdown | -56.5% | -17.3% | |
| Fund Family | iShares by BlackRock (US) | T.Rowe Price | |
| Category | Equity | Fixed Income | |
| Inception | May 15, 2000 | Sep 28, 2021 |
IVV vs TAGG Performance
iShares Core S&P 500 ETF (IVV) is a ETF from iShares by BlackRock (US) and T Rowe Price QM US Bond ETF (TAGG) is a ETF from T.Rowe Price. Over the past year IVV returned +23.63% while TAGG returned +2.53%. Year to date, IVV is up 13.52% versus a gain of 0.07% for TAGG.
Over three years, IVV compounded at +21.26% per year against +4.41% for TAGG. Across the full 5-year window we track, IVV has the edge at +7.04% annualized vs +0.14%. 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 6.6% for TAGG. 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 -17.3% for TAGG. 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 0.59. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
IVV charges 0.03% per year while TAGG 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 1.09% against 4.57% for TAGG.
Holdings Overlap
IVV and TAGG share 1 holdings out of 1716 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in IVV | Weight in TAGG | Difference |
|---|---|---|---|
| GE | 0.55% | 0.03% | 0.52% |
Frequently Asked Questions
Which is cheaper, IVV or TAGG?
IVV has an expense ratio of 0.03% while TAGG charges 0.08%. IVV is the cheaper option. On a $10,000 investment, that is $5 per year of difference.
Which performed better, IVV or TAGG?
Over the past year IVV returned +23.63% vs +2.53% for TAGG, so IVV leads on 1-year performance. Over the longest common window we track (5 years), IVV annualized +7.04% vs +0.14% for TAGG. Past performance does not guarantee future results.
Which is riskier, IVV or TAGG?
IVV has been the more volatile fund at 15.1% annualized versus 6.6% for TAGG. Worst drawdown: IVV -56.5% vs TAGG -17.3%.
Should I hold both IVV and TAGG?
IVV and TAGG have a monthly-return correlation of 0.59, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between IVV and TAGG?
IVV and TAGG share 1 common holdings with a 0.0% weight overlap. Combined, they hold 1716 unique securities.
Which pays a higher dividend, IVV or TAGG?
IVV yields 1.09% while TAGG yields 4.57%, so TAGG 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.