IVV vs VWO: Correlation & Overlap
iShares Core S&P 500 ETF (IVV) and Vanguard FTSE Emerging Markets ETF (VWO) show a strong relationship: their 3-year correlation of weekly returns is 0.71. By holdings, the two funds overlap 0.1% by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IVV and VWO?
Across a 3-year window, the weekly returns of IVV and VWO correlate at 0.71, strong. The relationship has been stable: the 1-year correlation (0.79) sits close to the 3-year figure. Stretching to 5 years gives 0.65, with an annualized covariance of 156.6 %².
Within IVV's tracked universe of 122 assets, VWO comes in at #45 by 3-year correlation. Neither side won the trailing year by much: +20.7% against +21.6%. Across three years, the rolling one-year figure varied moderately, from 0.51 to 0.80.
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 VWO: side by side
| IVV (iShares Core S&P 500 ETF) | VWO (Vanguard FTSE Emerging Markets ETF) | |
|---|---|---|
| 1-year return | +20.7% | +21.6% |
| 5-year return | +83.0% | +38.2% |
| Volatility (ann.) | 14.5% | 15.2% |
| Beta vs S&P 500 | 1.00 | 0.75 |
| Max drawdown (3Y) | -18.8% | -17.4% |
| Dividend yield | 1.09% | 2.36% |
| Expense ratio | 0.03% | 0.06% |
| Assets under management | $869.2B | $162.0B |
| Sector / category | ETF · US Large Cap | ETF · International |
IVV, iShares's Large Blend fund, carries $869.2B under management, 503 holdings, a 0.03% expense ratio, a 1.09% trailing dividend yield. On the fund side, VWO sits in the Diversified Emerging Mkts category at Vanguard, with $162.0B under management, 4113 holdings, a 0.06% expense ratio, a 2.36% trailing dividend yield.
Portfolio overlap between IVV and VWO
The two portfolios are largely distinct. Weighing the shared positions, 0.1% of the two funds is identical, spread across 10 common holdings. That shared book is a large part of why the returns line up.
| Common holding | Weight in IVV | Weight in VWO |
|---|---|---|
| HAL | 0.04% | 0.10% |
| TEL | 0.09% | 0.02% |
| EL | 0.04% | 0.02% |
| CCL | 0.05% | 0.01% |
| ECL | 0.11% | 0.01% |
| LULU | 0.02% | 0.01% |
| IEX | 0.03% | 0.01% |
| SRE | 0.08% | 0.01% |
| PTC | 0.03% | 0.00% |
| SPG | 0.11% | 0.00% |
Largest positions held only by IVV: NVDA (7.67%), AAPL (6.96%), MSFT (5.57%), AMZN (3.85%), GOOGL (3.03%). Only by VWO: 2330 (18.65%), 700 (3.97%), 9988 (2.90%), 2454 (1.62%), 939 (1.07%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 10 common positions shown.
Year-by-year returns
| Year | IVV | VWO |
|---|---|---|
| 2022 | -18.2% | -18.0% |
| 2023 | +26.3% | +9.3% |
| 2024 | +24.9% | +10.6% |
| 2025 | +17.8% | +25.6% |
| 2026 | +13.7% | +13.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are IVV and VWO good diversifiers for each other?
Somewhat, no more. With 0.71 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between IVV and VWO?
The IVV/VWO correlation stands at 0.71 on a 3-year window (1 year: 0.79, 5 years: 0.65), computed from weekly returns as of 2026-08-27.
Is VWO a good diversifier for IVV?
Somewhat, no more. With 0.71 correlation, most large moves hit both names, and the diversification benefit stays modest.
How much do IVV and VWO overlap?
Per the issuers' own portfolio disclosures (2026-08-26), the overlap is 0.1% by weight over 10 common positions.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ivv-vs-vwo.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ivv-vs-vwo/)
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Related comparisons
Hubs: IVV correlations · VWO correlations
