PortfoliosLab logoPortfoliosLab logo

Documentation

Upgrade your plan
IYG vs. VOO
Performance
Return for Risk
Drawdowns
Volatility
Dividends

IYG vs. VOO

Last updated Jun 25, 2026

IYG (iShares U.S. Financial Services ETF) and VOO (Vanguard S&P 500 ETF) are both exchange-traded funds - IYG is a Financials Equities fund tracking the Dow Jones U.S. Financial Services TR, while VOO is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, IYG returned 14.99%/yr vs 15.60%/yr for VOO. A 0.80 correlation means they provide meaningful diversification when combined. IYG charges 0.42%/yr vs 0.03%/yr for VOO.

Performance

IYG vs. VOO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Financial Services ETF (IYG) and Vanguard S&P 500 ETF (VOO). The values are adjusted to include any dividend payments, if applicable.

Loading charts...

Returns By Period

In the year-to-date period, IYG achieves a -1.05% return, which is significantly lower than VOO's 8.08% return. Both investments have delivered pretty close results over the past 10 years, with IYG having a 14.99% annualized return and VOO not far ahead at 15.60%.

IYG

1D
-0.52%
1M
3.92%
YTD
-1.05%
6M
-2.97%
1Y
9.42%
3Y*
22.91%
5Y*
9.46%
10Y*
14.99%

VOO

1D
-0.10%
1M
-1.44%
YTD
8.08%
6M
6.78%
1Y
22.23%
3Y*
20.75%
5Y*
13.02%
10Y*
15.60%
*Multi-year figures are annualized to reflect compound growth (CAGR)

IYG vs. VOO - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
IYG
iShares U.S. Financial Services ETF		-1.05%19.85%31.94%16.07%-16.76%30.36%0.99%37.62%-12.56%24.47%
VOO
Vanguard S&P 500 ETF		8.08%17.82%24.98%26.32%-18.17%28.79%18.32%31.37%-4.50%21.77%

Correlation

The correlation between IYG and VOO is 0.62, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.62

Correlation (3Y)
Calculated over the trailing 3-year period

0.68

Correlation (5Y)
Calculated over the trailing 5-year period

0.77

Correlation (10Y)
Calculated over the trailing 10-year period

0.76

Correlation (All Time)
Calculated using the full available price history since Sep 9, 2010

0.80

The correlation between IYG and VOO shifts across timeframes, from 0.62 (1 year) to 0.80 (all time), reflecting how their relationship changes across market environments.

IYG vs. VOO - Sectors Allocation Comparison

Sectors
IYG
VOO

Financial Services

100.0%
10.9%

Basic Materials

-

1.7%

Communication Services

-

10.5%

Consumer Cyclical

-

9.8%

Consumer Defensive

-

4.5%

Energy

-

3.2%

Healthcare

-

8.3%

Industrials

-

7.6%

Real Estate

-

1.8%

Technology

-

39.1%

Utilities

-

2.5%

Financial Services

IYG
100.0%
VOO
10.9%

Basic Materials

IYG

-

VOO
1.7%

Communication Services

IYG

-

VOO
10.5%

Consumer Cyclical

IYG

-

VOO
9.8%

Consumer Defensive

IYG

-

VOO
4.5%

Energy

IYG

-

VOO
3.2%

Healthcare

IYG

-

VOO
8.3%

Industrials

IYG

-

VOO
7.6%

Real Estate

IYG

-

VOO
1.8%

Technology

IYG

-

VOO
39.1%

Utilities

IYG

-

VOO
2.5%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares U.S. Financial Services ETF

Vanguard S&P 500 ETF

Often compared with IYG:
IYG vs. IYFIYG vs. XLFIYG vs. IXGIYG vs. VFHIYG vs. FTXOIYG vs. GABFIYG vs. IYK
Often compared with VOO:
VOO vs. VTIVOO vs. QQQVOO vs. SCHDVOO vs. VTVOO vs. SPYVOO vs. FXAIXVOO vs. VGT

Return for Risk

IYG vs. VOO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
IYG
IYG Risk / Return Rank: 1717
Overall Rank
IYG Sharpe Ratio Rank: 1919
Sharpe Ratio Rank
IYG Sortino Ratio Rank: 1818
Sortino Ratio Rank
IYG Omega Ratio Rank: 1818
Omega Ratio Rank
IYG Calmar Ratio Rank: 1616
Calmar Ratio Rank
IYG Martin Ratio Rank: 1616
Martin Ratio Rank
VOO
VOO Risk / Return Rank: 6060
Overall Rank
VOO Sharpe Ratio Rank: 5959
Sharpe Ratio Rank
VOO Sortino Ratio Rank: 5757
Sortino Ratio Rank
VOO Omega Ratio Rank: 5959
Omega Ratio Rank
VOO Calmar Ratio Rank: 5757
Calmar Ratio Rank
VOO Martin Ratio Rank: 6868
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

IYG vs. VOO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Financial Services ETF (IYG) and Vanguard S&P 500 ETF (VOO). 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.

IYGVOODifference
Sharpe ratioReturn per unit of total volatility
0.61
1.80

-1.19

Sortino ratioReturn per unit of downside risk
0.92
2.46

-1.54

Omega ratioGain probability vs. loss probability

1.12

1.33

-0.21

Calmar ratioReturn relative to maximum drawdown

0.59

2.51

-1.91

Martin ratioReturn relative to average drawdown

1.51

11.16

-9.65

IYG vs. VOO - Sharpe Ratio Comparison

The current IYG Sharpe Ratio is 0.61, which is lower than the VOO Sharpe Ratio of 1.80. The chart below compares the historical Sharpe Ratios of IYG and VOO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Loading charts...

Drawdowns

IYG vs. VOO - Drawdown Comparison

The maximum IYG drawdown since its inception was -81.84%, which is greater than VOO's maximum drawdown of -33.99%. Use the drawdown chart below to compare losses from any high point for IYG and VOO.

Loading charts...

Drawdown Indicators

IYGVOODifference

Max Drawdown

Largest peak-to-trough decline

-81.84%

-33.99%

-47.85%

Max Drawdown (1Y)

Largest decline over 1 year

-15.90%

-8.90%

-7.00%

Max Drawdown (3Y)

Largest decline over 3 years

-18.54%

-18.69%

+0.15%

Max Drawdown (5Y)

Largest decline over 5 years

-29.62%

-24.52%

-5.10%

Max Drawdown (10Y)

Largest decline over 10 years

-44.32%

-33.99%

-10.33%

Current Drawdown

Current decline from peak

-4.50%

-3.23%

-1.27%

Average Drawdown

Average peak-to-trough decline

-20.71%

-3.68%

-17.03%

Ulcer Index

Depth and duration of drawdowns from previous peaks

6.23%

2.00%

+4.23%

Volatility

IYG vs. VOO - Volatility Comparison

The current volatility for iShares U.S. Financial Services ETF (IYG) is 4.46%, while Vanguard S&P 500 ETF (VOO) has a volatility of 4.80%. This indicates that IYG experiences smaller price fluctuations and is considered to be less risky than VOO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Loading charts...

Volatility by Period

IYGVOODifference

Volatility (1M)

Calculated over the trailing 1-month period

4.46%

4.80%

-0.34%

Volatility (6M)

Calculated over the trailing 6-month period

12.15%

9.79%

+2.36%

Volatility (1Y)

Calculated over the trailing 1-year period

15.59%

12.43%

+3.16%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

20.42%

16.91%

+3.51%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

23.44%

18.02%

+5.42%

IYG vs. VOO - Expense Ratio Comparison

IYG has a 0.42% expense ratio, which is higher than VOO's 0.03% expense ratio.

Dividends

IYG vs. VOO - Dividend Comparison

IYG's dividend yield for the trailing twelve months is around 1.09%, more than VOO's 1.05% yield.

PositionTTM20252024202320222021202020192018201720162015
IYG
iShares U.S. Financial Services ETF		1.09%1.00%1.16%1.77%2.07%1.25%1.71%1.59%1.81%1.24%1.28%1.33%
VOO
Vanguard S&P 500 ETF		1.05%1.13%1.24%1.46%1.69%1.25%1.54%1.88%2.06%1.78%2.02%2.10%

Frequently Asked Questions

IYG and VOO have a correlation of 0.62, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

VOO has higher volatility (4.80%) compared to IYG (4.46%). In terms of maximum drawdown, IYG dropped -81.84% vs VOO's -33.99%.

On 10-year performance, VOO leads with 15.60% vs 14.99% for IYG. On fees, VOO is cheaper at 0.03% per year. On volatility, IYG has been the lower-risk option at 4.46%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, VOO has performed better with a 15.60% return vs 14.99%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

VOO is cheaper with a 0.03% expense ratio, compared with 0.42% for IYG.

IYG has the higher dividend yield at 1.09%, compared with 1.05% for VOO.

IYG is categorized as Financials Equities, while VOO is S&P 500. IYG tracks Dow Jones U.S. Financial Services TR, while VOO tracks S&P 500 Index. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.42% for IYG and 0.03% for VOO.

VOO currently has the higher Sharpe Ratio (1.80 vs 0.61), 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.

Portfolio Optimizer

Find the right allocation for IYG and VOO

Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.

Open Portfolio Optimizer