IVV vs VYM: Correlation & Overlap
Measured on weekly returns over the past three years, iShares Core S&P 500 ETF (IVV) and Vanguard High Dividend Yield ETF (VYM) carry a correlation of 0.81, a very strong link. The two funds also share 35.1% of their portfolios by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IVV and VYM?
Across a 3-year window, the weekly returns of IVV and VYM correlate at 0.81, very strong, meaning they move nearly in lockstep. The link has loosened recently: the 1-year correlation (0.65) runs below the 3-year figure (0.81). Stretching to 5 years gives 0.85, with an annualized covariance of 143.8 %².
Among the 122 assets we track against IVV, VYM ranks #33 by 3-year correlation. Neither side won the trailing year by much: +20.7% against +21.1%. Across three years, the rolling one-year figure varied moderately, from 0.65 to 0.93.
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 VYM: side by side
| IVV (iShares Core S&P 500 ETF) | VYM (Vanguard High Dividend Yield ETF) | |
|---|---|---|
| 1-year return | +20.7% | +21.1% |
| 5-year return | +83.0% | +76.6% |
| Volatility (ann.) | 14.5% | 12.3% |
| Beta vs S&P 500 | 1.00 | 0.69 |
| Max drawdown (3Y) | -18.8% | -14.5% |
| Dividend yield | 1.09% | 2.24% |
| Expense ratio | 0.03% | 0.04% |
| Assets under management | $869.2B | $99.2B |
| Sector / category | ETF · US Large Cap | ETF · Dividend |
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. VYM, Vanguard's Large Value fund, carries $99.2B under management, 604 holdings, a 0.04% expense ratio, a 2.24% trailing dividend yield.
Portfolio overlap between IVV and VYM
The two portfolios partially overlap, with 256 holdings in common adding up to 35.1% of fund weight. Where correlation shows the co-movement, the overlap shows its source.
| Common holding | Weight in IVV | Weight in VYM |
|---|---|---|
| AVGO | 2.54% | 7.37% |
| JPM | 1.44% | 3.83% |
| XOM | 0.99% | 2.63% |
| JNJ | 0.98% | 2.51% |
| ABBV | 0.70% | 1.81% |
| CSCO | 0.67% | 1.87% |
| BAC | 0.61% | 1.67% |
| CVX | 0.57% | 1.49% |
| MRK | 0.57% | 1.31% |
| CAT | 0.57% | 1.51% |
| UNH | 0.55% | 1.52% |
| KO | 0.53% | 1.39% |
| PG | 0.51% | 1.37% |
| HD | 0.50% | 1.35% |
| GS | 0.46% | 1.14% |
Largest positions held only by IVV: NVDA (7.67%), AAPL (6.96%), MSFT (5.57%), AMZN (3.85%), GOOGL (3.03%). Only by VYM: BAP (0.11%), RPRX (0.10%), RS (0.08%), EWBC (0.07%), OVV (0.07%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 15 common positions shown.
Year-by-year returns
| Year | IVV | VYM |
|---|---|---|
| 2022 | -18.2% | -0.4% |
| 2023 | +26.3% | +6.6% |
| 2024 | +24.9% | +17.6% |
| 2025 | +17.8% | +15.4% |
| 2026 | +13.7% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are IVV and VYM good diversifiers for each other?
No. With a correlation of 0.81, IVV and VYM move nearly in lockstep, so holding both adds very little diversification.
FAQ
What is the correlation between IVV and VYM?
Using weekly returns as of 2026-08-27: 0.81 over 3 years, with 0.65 over the last year and 0.85 over 5 years.
Is VYM a good diversifier for IVV?
No. With a correlation of 0.81, IVV and VYM move nearly in lockstep, so holding both adds very little diversification.
How much do IVV and VYM overlap?
Per the issuers' own portfolio disclosures (2026-08-26), the overlap is 35.1% by weight over 256 common positions.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ivv-vs-vym.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/ivv-vs-vym/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: IVV correlations · VYM correlations
