IGV vs. TSM
IGV (iShares Expanded Tech-Software Sector ETF) is Technology Equities fund tracking the S&P North American Expanded Technology Software Index, while TSM (Taiwan Semiconductor Manufacturing Company Limited) is a stock. Over the past 10 years, IGV returned 15.60%/yr vs 33.60%/yr for TSM. A 0.55 correlation means they provide meaningful diversification when combined.
Performance
IGV vs. TSM - Performance Comparison
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Returns By Period
In the year-to-date period, IGV achieves a -12.01% return, which is significantly lower than TSM's 33.07% return. Over the past 10 years, IGV has underperformed TSM with an annualized return of 15.60%, while TSM has yielded a comparatively higher 33.60% annualized return.
IGV
- 1D
- 0.19%
- 1M
- 4.37%
- 6M
- -5.40%
- YTD
- -12.01%
- 1Y
- -16.26%
- 3Y*
- 9.01%
- 5Y*
- 3.20%
- 10Y*
- 15.60%
- ALL TIME*
- 9.30%
TSM
- 1D
- 0.99%
- 1M
- -12.94%
- 6M
- 18.10%
- YTD
- 33.07%
- 1Y
- 69.17%
- 3Y*
- 62.80%
- 5Y*
- 29.92%
- 10Y*
- 33.60%
- ALL TIME*
- 16.19%
IGV vs. TSM - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
IGV iShares Expanded Tech-Software Sector ETF | -12.01% | 5.56% | 23.41% | 58.56% | -35.65% | 12.30% | 52.86% | 34.33% | 12.44% | 42.16% |
TSM Taiwan Semiconductor Manufacturing Company Limited | 33.07% | 55.91% | 92.58% | 42.33% | -36.75% | 12.09% | 92.67% | 64.85% | -3.50% | 41.46% |
Correlation
The correlation between IGV and TSM is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.26 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.45 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.52 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.52 |
Correlation (All Time) Calculated using the full available price history since Jul 13, 2001 | 0.55 |
Over the past year, the correlation between IGV and TSM has dropped to 0.26 - well below their long-term average of 0.55, suggesting their price drivers have been diverging.
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Return for Risk
IGV vs. TSM — Risk / Return Rank
IGV
TSM
IGV vs. TSM - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares Expanded Tech-Software Sector ETF (IGV) and Taiwan Semiconductor Manufacturing Company Limited (TSM). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| IGV | TSM | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -2.34 | ||
| Sortino ratioReturn per unit of downside risk | -3.01 | ||
| Omega ratioGain probability vs. loss probability | 0.92 | 1.29 | -0.36 |
| Calmar ratioReturn relative to maximum drawdown | -0.45 | 3.83 | -4.28 |
| Martin ratioReturn relative to average drawdown | -0.86 | 12.06 | -12.92 |
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Drawdowns
IGV vs. TSM - Drawdown Comparison
The maximum IGV drawdown since its inception was -63.45%, smaller than the maximum TSM drawdown of -89.08%. Use the drawdown chart below to compare losses from any high point for IGV and TSM.
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Drawdown Indicators
| IGV | TSM | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -63.45% | -89.08% | +25.63% |
Max Drawdown (1Y)Largest decline over 1 year | -36.61% | -18.14% | -18.47% |
Max Drawdown (3Y)Largest decline over 3 years | -36.61% | -36.82% | +0.21% |
Max Drawdown (5Y)Largest decline over 5 years | -45.85% | -56.47% | +10.62% |
Max Drawdown (10Y)Largest decline over 10 years | -45.85% | -56.47% | +10.62% |
Current DrawdownCurrent decline from peak | -21.05% | -15.76% | -5.29% |
Average DrawdownAverage peak-to-trough decline | -14.48% | -42.73% | +28.25% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 18.89% | 5.76% | +13.13% |
Volatility
IGV vs. TSM - Volatility Comparison
The current volatility for iShares Expanded Tech-Software Sector ETF (IGV) is 7.17%, while Taiwan Semiconductor Manufacturing Company Limited (TSM) has a volatility of 16.57%. This indicates that IGV experiences smaller price fluctuations and is considered to be less risky than TSM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| IGV | TSM | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 7.17% | 16.57% | -9.40% |
Volatility (6M)Calculated over the trailing 6-month period | 25.18% | 31.69% | -6.51% |
Volatility (1Y)Calculated over the trailing 1-year period | 28.69% | 39.45% | -10.76% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 28.08% | 38.06% | -9.98% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 26.41% | 34.60% | -8.19% |
Dividends
IGV vs. TSM - Dividend Comparison
IGV's dividend yield for the trailing twelve months is around 0.02%, less than TSM's 0.88% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IGV iShares Expanded Tech-Software Sector ETF | 0.02% | 0.00% | 0.00% | 0.01% | 0.01% | 0.00% | 0.35% | 0.02% | 0.16% | 0.09% | 0.82% | 0.22% |
TSM Taiwan Semiconductor Manufacturing Company Limited | 0.88% | 1.00% | 1.18% | 1.78% | 2.49% | 1.57% | 1.56% | 3.46% | 3.64% | 2.32% | 2.61% | 2.54% |
Frequently Asked Questions
IGV and TSM have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
TSM has higher volatility (16.57%) compared to IGV (7.17%). In terms of maximum drawdown, IGV dropped -63.45% vs TSM's -89.08%.
TSM currently has the higher Sharpe Ratio (1.77 vs -0.57), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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