IVV vs MSCI: Correlation
How closely do iShares Core S&P 500 ETF (IVV) and MSCI (MSCI) trade together? Their weekly returns over three years give a correlation of 0.49, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IVV and MSCI?
Across a 3-year window, the weekly returns of IVV and MSCI correlate at 0.49, moderate. The link has loosened recently: the 1-year correlation (0.38) runs below the 3-year figure (0.49). Stretching to 5 years gives 0.64, with an annualized covariance of 179.3 %².
Within IVV's tracked universe of 122 assets, MSCI comes in at #95 by 3-year correlation. Correlation aside, the last 12 months split them widely, with IVV ahead by 19.4 points (+20.7% versus +1.3%). Across three years, the rolling one-year figure varied moderately, from 0.35 to 0.71. One caveat on sizing: MSCI is 1.8 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
IVV vs MSCI: side by side
| IVV (iShares Core S&P 500 ETF) | MSCI (MSCI) | |
|---|---|---|
| 1-year return | +20.7% | +1.3% |
| 5-year return | +83.0% | -5.6% |
| Volatility (ann.) | 14.5% | 25.4% |
| Beta vs S&P 500 | 1.00 | 0.85 |
| Max drawdown (3Y) | -18.8% | -26.0% |
| Market cap | – | $41.4B |
| P/E (trailing) | – | 30.9 |
| Dividend yield | 1.09% | 1.36% |
| Expense ratio | 0.03% | – |
| Assets under management | $869.2B | – |
| Sector / category | ETF · US Large Cap | Financials |
IVV is a Large Blend fund from iShares: $869.2B under management, 503 holdings, a 0.03% expense ratio, a 1.09% trailing dividend yield.
Year-by-year returns
| Year | IVV | MSCI |
|---|---|---|
| 2022 | -18.2% | -23.3% |
| 2023 | +26.3% | +22.9% |
| 2024 | +24.9% | +7.3% |
| 2025 | +17.8% | -3.2% |
| 2026 | +13.7% | +0.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that IVV holds MSCI at a 0.06% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are IVV and MSCI good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.49 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between IVV and MSCI?
Using weekly returns as of 2026-08-27: 0.49 over 3 years, with 0.38 over the last year and 0.64 over 5 years.
Is MSCI a good diversifier for IVV?
Yes, to a useful degree: a correlation of 0.49 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.49 mean?
A reading of 0.49 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ivv-vs-msci.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/ivv-vs-msci/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: IVV correlations · MSCI correlations
