# How Vanguard Intermediate-Term Bond ETF (BIV) compares with the whole market and its popular alternatives

> Source: EasyCompare research, https://easycompare.io/research/biv
> Data as of October 20, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on BIV alone. It places BIV (Vanguard Intermediate-Term Bond ETF) against 20+ popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where BIV stands in the market, and of the alternatives worth a closer look.

Period covered: BIV's full trading record, from April 2007 through September 2026. The crash tests reach back to 2000 using older funds and the S&P 500. All returns include reinvested dividends. Data as of October 20, 2026.

## Key findings

- **What you're buying:** A correlation of 0.99 with AGG (iShares Core U.S. Aggregate Bond ETF) over 5 years: effectively the same bet as the larger fund.
- **Right now:** Over the past 6 months, BIV fell 3.3% while the S&P 500 rose 9.1%. Even so, both BIV and the S&P 500 are within a few percent of a record high.
- **Fund or market?:** BIV fell 2.2% over the past 3 months, in line with the investment grade bonds ETF AGG (iShares Core U.S. Aggregate Bond ETF), which fell 1.7%. The S&P 500 rose 3.9%.
- **Long term:** BIV turned $10,000 into $11,600 over the past decade, against $42,100 in the S&P 500. BIV's 10-year return of 15.7% puts it behind 91% of the ETFs with at least $100 million in assets with that much history. The S&P 500 returned 321%.
- **In a crash:** Across six sell-offs, BIV has typically lost about 24% as much as the S&P 500. In the 2022 bear market, BIV fell 15.3%, against 24.5% for the S&P 500. That was more than BSV (Vanguard Short-Term Bond ETF, 6.9%) but less than VCIT (Vanguard Intermediate-Term Corporate Bond ETF, 17.4%).
- **Diversification:** Against the S&P 500, BIV has a correlation of 0.60 over 5 years, less closely than 77% of ETFs with at least $100 million in assets. Next to an index fund it is some diversification, but not a hedge. BIV cushions stocks less than it used to: its correlation with the S&P 500 rose to 0.60 over the past 5 years, from 0.09 in the 5 years before.
- **Better options**
  - **Nearby categories and themes:** BIL (State Street SPDR Bloomberg 1-3 Month T-Bill ETF, treasury bonds) and VTIP (Vanguard Short-Term Inflation-Protected Securities ETF, treasury bonds) earned more than BIV with less volatility over the past 5 years. BIL returned 3.7% a year at 0.3% volatility, against a loss of 0.1% a year at 6.4%.
  - **Whole market:** 95 of the 3,633 stocks and funds worth at least $500 million earned more than BIV with less volatility over the past 5 years, among them SGOV (iShares 0-3 Month Treasury Bond ETF), VTIP (Vanguard Short-Term Inflation-Protected Securities ETF) and BSV (Vanguard Short-Term Bond ETF).

## How much would $10,000 in BIV have grown?

This chart tracks a hypothetical $10,000 investment in BIV over the past 19 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of BIV over the same span and BIV's popular alternatives, among those that traded for the entire period.

- $10,000 invested in BIV at the end of September 2007 would have grown to $19,114 by September 2026, less than the $70,725 it would have become in SPY, an S&P 500 fund.
- Five of the eight other investments on the chart ended ahead of BIV, and NVDA finished highest, at $2,767,416.

## BIV at a glance

This section summarizes the key facts about the fund, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout.

- BIV's deepest decline since it began trading in 2007 was 18.9%, from August 2020 to October 2022. It took about three years from the low to climb back to its old high.
- Over 18 full calendar years, BIV's best was 2011, when it returned 11.1%, and its worst was 2022, when it lost 13.2%. It lost money in four of those years.
- BIV is 4.4% below its all-time high.

- Type: ETF, Bonds (Asset Management)
- Trading since: April 10, 2007
- Assets: $50B
- Expense ratio: 0.03%
- Volatility (5 years): 6.4%; Sharpe ratio: 0.01
- Worst decline ever: −18.9%, from August 6, 2020 to October 20, 2022; back at its high by February 13, 2026

| Period | BIV total return |
| --- | --- |
| 1 month | −0.7% |
| 3 months | −2.2% |
| 6 months | −3.3% |
| year to date | −2.6% |
| 1 year | −2.7% |
| 3 years | +16.8% |
| 5 years | −0.7% |
| 10 years | +15.7% |

## BIV against the whole market

Where BIV ranks among every stock and fund, and what across the market has done better.

### How does BIV rank among all ETFs?

This section ranks BIV on return, volatility, risk-adjusted return and worst decline against every ETF worth at least $100 million with enough history.

- BIV's worst decline of the past 10 years ranks in the top 10% of the 951 ETFs with at least $100 million in assets, where the top fell the least.
- On return for the risk taken (the Sharpe ratio), BIV ranks in the bottom 9% of the 1,560 ETFs with at least $100 million in assets.

| Measure | BIV | Rank |
| --- | --- | --- |
| 1-year return | −2.7% | 2,251 of 2,485 (top 91%) |
| 3-year return | +16.8% | 1,690 of 1,949 (top 87%) |
| 5-year return | −0.7% | 1,395 of 1,560 (top 90%) |
| 10-year return | +15.7% | 874 of 958 (top 92%) |
| Volatility, 5 years | 6.4% | 212 of 1,560 (top 14%) |
| Sharpe ratio, 5 years | 0.01 | 1,424 of 1,560 (top 92%) |
| Worst decline, past 10 years | −18.9% | 94 of 951 (top 10%) |

### What has beaten BIV on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer).

- 95 ETFs worth at least $500 million sit in the green region: each earned more than BIV over the past 5 years with smaller price swings. That is 3% of the 3,633 screened.
- Among those with at least half BIV's swings, BALT has the best return for its risk: 6.3% a year at 3.3% volatility, 48% less than BIV's 6.4%, and a Sharpe ratio (return above cash per unit of volatility) of 1.85 against 0.01 for BIV.
- Among BIV's popular alternatives, BSV, SPIB and GVI are in the region. BSV earned 1.7% a year against a loss of 0.1% a year for BIV, at 2.8% volatility, 57% less than BIV's 6.4%.

### Is there a better investment than BIV?

The table below lists investments that beat BIV over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes, and, for funds, the same exposure at a lower expense ratio.

- Among BIV's popular alternatives, BSV and SPIB earned more than BIV with less volatility over the past 5 years. BSV returned 1.7% a year at 2.8% volatility, against a loss of 0.1% a year at 6.4%.
- Looking beyond its popular alternatives, BIL (treasury bonds) and VTIP (treasury bonds) earned more than BIV with less volatility over the past 5 years. BIL returned 3.7% a year at 0.3% volatility, against a loss of 0.1% a year at 6.4%.
- Across the whole market, 95 of the 3,633 stocks and funds worth at least $500 million earned more than BIV with less volatility over the past 5 years, among them SGOV, VTIP and BSV.

The 15 strongest of 95 investments that beat BIV over the past 5 years, out of 3,633 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with BIV | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| BIV: Vanguard Intermediate-Term Bond ETF (this page) |  | −0.1% | 6.4% | 0.01 | −18.9% | +15.7% |  |  |
| JAAA: Janus Henderson AAA CLO ETF | CLO Bonds | +5.1% | 1.7% | 2.98 | −2.6% | — | 0.23 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [BIL](https://easycompare.io/research/bil): State Street SPDR Bloomberg 1-3 Month T-Bill ETF | Treasury Bonds | +3.7% | 0.3% | 14.05 | −0.2% | +25.8% | 0.26 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| BALT: Innovator Defined Wealth Shield ETF | Crypto | +6.3% | 3.3% | 1.85 | −4.9% | — | 0.60 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| VRIG: Invesco Variable Rate Investment Grade ETF | Bonds | +4.7% | 1.3% | 3.51 | −13.1% | +40.5% | 0.24 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| FLOT: iShares Floating Rate Bond ETF | Floating Rate Bonds | +4.5% | 1.8% | 2.48 | −13.5% | +35.9% | 0.19 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| VNLA: Janus Henderson Short Duration Income ETF | Bonds | +4.0% | 1.1% | 3.77 | −4.5% | — | 0.66 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| NEAR: iShares Short Duration Bond Active ETF | Short-Term Bonds | +3.9% | 1.4% | 2.71 | −9.6% | +31.8% | 0.71 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| TBUX: T. Rowe Price Ultra Short-Term Bond ETF | Bonds | +4.1% | 1.1% | 3.85 | −1.8% | — | 0.65 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| USTB: VictoryShares Short-Term Bond ETF | Bonds | +3.6% | 2.0% | 1.73 | −5.3% | — | 0.88 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| RAVI: Northern Trust Ultra-Short Fixed Income ETF | Bonds | +3.8% | 1.4% | 2.61 | −3.7% | +30.8% | 0.52 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| LMBS: First Trust Low Duration Opportunities ETF | Mortgage-Backed Securities | +3.0% | 2.6% | 1.14 | −6.5% | +25.6% | 0.89 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| MEAR: iShares Short Maturity Municipal Bond Active ETF | Bonds | +2.4% | 1.0% | 2.37 | −2.7% | +19.3% | 0.75 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VTIP](https://easycompare.io/research/vtip): Vanguard Short-Term Inflation-Protected Securities ETF | Treasury Bonds | +2.7% | 2.9% | 0.94 | −6.3% | +32.7% | 0.75 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| SPSB: State Street SPDR Portfolio Short Term Corporate Bond ETF | Investment Grade Bonds | +2.8% | 2.0% | 1.38 | −11.8% | +29.2% | 0.92 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| SHY: iShares 1-3 Year Treasury Bond ETF | Treasury Bonds | +1.8% | 2.0% | 0.89 | −5.7% | +17.7% | 0.88 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |

## BIV against its popular alternatives

The investments people most often weigh against BIV, compared period by period and year by year.

### How do BIV's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings.

- Ten of the 18 popular alternatives, led by BSV, SPIB and GVI, were both more rewarding and calmer than BIV over the past 5 years, earning a higher annual return with lower volatility.
- Over the past 5 years, BIV returned -0.1% a year, less than the S&P 500's 12.7%, with lower volatility (6.4% against 17.1%).

### Has BIV consistently beaten its popular alternatives?

This section compares BIV with the investments people most often weigh against it, checking each one over eight periods from one month to ten years.

- Six of the 22 popular alternatives, led by SPIB, IUSB and HYG, outperformed BIV in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- SPIB and IUSB outperformed BIV in every long-term period and in all but one short-term period, the most consistent record in the group.
- BSV, SPIB and GVI earned more for the risk they took than BIV (a higher Sharpe ratio) and fell less in their worst decline of the past 10 years.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of BIV | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| BIV: Vanguard Intermediate-Term Bond ETF (this page) | −2.7% | +16.8% | −0.7% | +15.7% |  |  | 0.01 |
| SPIB: State Street SPDR Portfolio Intermediate Term Corporate Bond ETF | −0.4% | +19.4% | +8.1% | +28.4% | 4/5 short-term, 3/3 long-term | all-weather | 0.37 |
| [IUSB](https://easycompare.io/research/iusb): iShares Core Universal USD Bond ETF | −1.6% | +17.5% | +0.2% | +16.9% | 4/5 short-term, 3/3 long-term | all-weather | 0.04 |
| HYG: iShares iBoxx $ High Yield Corporate Bond ETF | +0.7% | +27.5% | +16.8% | +49.5% | 3/5 short-term, 3/3 long-term | consistent | 0.45 |
| FBND: Fidelity Total Bond ETF | −1.9% | +17.8% | +1.5% | +21.9% | 3/5 short-term, 3/3 long-term | consistent | 0.08 |
| [BSV](https://easycompare.io/research/bsv): Vanguard Short-Term Bond ETF | +0.7% | +14.1% | +8.8% | +20.5% | 5/5 short-term, 2/3 long-term | consistent | 0.63 |
| GVI: iShares Intermediate Government/Credit Bond ETF | −0.6% | +14.4% | +4.6% | +17.4% | 5/5 short-term, 2/3 long-term | consistent | 0.25 |
| IGIB: iShares 5-10 Year Investment Grade Corporate Bond ETF | −2.7% | +21.9% | +3.9% | +28.8% | 0/5 short-term, 3/3 long-term |  | 0.15 |
| [VCIT](https://easycompare.io/research/vcit): Vanguard Intermediate-Term Corporate Bond ETF | −2.6% | +21.5% | +3.2% | +26.4% | 0/5 short-term, 3/3 long-term |  | 0.13 |
| BOND: PIMCO Active Bond Exchange-Traded Fund | −1.9% | +19.5% | −0.3% | +19.3% | 2/5 short-term, 2/3 long-term |  | 0.02 |
| [MUB](https://easycompare.io/research/mub): iShares National Muni Bond ETF | −1.7% | +10.8% | +1.5% | +17.8% | 1/5 short-term, 2/3 long-term |  | 0.09 |
| [BNDX](https://easycompare.io/research/bndx): Vanguard Total International Bond ETF | −1.4% | +13.4% | +0.8% | +15.0% | 5/5 short-term, 1/3 long-term |  | 0.06 |
| TIP: iShares TIPS Bond ETF | −1.5% | +13.3% | −0.3% | +23.5% | 4/5 short-term, 1/3 long-term |  | 0.02 |
| CGCP: Capital Group Core Plus Income ETF | −2.0% | +18.5% | — | — | 2/5 short-term, 1/3 long-term |  | — |
| SCHR: Schwab Intermediate-Term U.S. Treasury ETF | −1.9% | +13.1% | −0.5% | +10.8% | 5/5 short-term, 0/3 long-term |  | 0.01 |
| SCHZ: Schwab U.S. Aggregate Bond ETF | −1.9% | +16.2% | −1.6% | +15.0% | 4/5 short-term, 0/3 long-term |  | -0.02 |
| [AGG](https://easycompare.io/research/agg): iShares Core U.S. Aggregate Bond ETF | −1.9% | +16.2% | −1.5% | +13.3% | 4/5 short-term, 0/3 long-term |  | -0.02 |
| [GOVT](https://easycompare.io/research/govt): iShares U.S. Treasury Bond ETF | −1.8% | +12.7% | −3.5% | +7.1% | 4/5 short-term, 0/3 long-term |  | -0.09 |
| [BND](https://easycompare.io/research/bnd): Vanguard Total Bond Market ETF | −2.1% | +15.7% | −1.8% | +13.2% | 3/5 short-term, 0/3 long-term |  | -0.03 |
| SPAB: State Street SPDR Portfolio Aggregate Bond ETF | −1.9% | +16.1% | −1.6% | +13.1% | 3/5 short-term, 0/3 long-term |  | -0.02 |
| [VGIT](https://easycompare.io/research/vgit): Vanguard Intermediate-Term Treasury ETF | −2.3% | +12.6% | −0.7% | +10.5% | 1/5 short-term, 0/3 long-term |  | 0.00 |
| [IEF](https://easycompare.io/research/ief): iShares 7-10 Year Treasury Bond ETF | −4.1% | +12.4% | −8.0% | +3.0% | 0/5 short-term, 0/3 long-term |  | -0.18 |
| BLV: Vanguard Long-Term Bond ETF | −6.8% | +16.7% | −21.1% | +1.8% | 0/5 short-term, 0/3 long-term |  | -0.30 |

### How did BIV do year by year?

This table shows each investment's total return in every full calendar year since 2008, along with where BIV ranked among its popular alternatives each year.

- BIV finished ahead of the S&P 500 in four of its 18 full calendar years, and behind it in each of the last three.
- Ranked against its popular alternatives each year, BIV finished in the top quarter in five of 18 years and in the bottom quarter in one. In 2025, it ranked 4 of 20.
- Among its popular alternatives, VCIT came out ahead of BIV most often, in 11 of the 16 years both traded.

| Year | BIV | SPY |
| --- | --- | --- |
| 2025 | +8.5% | +17.7% |
| 2024 | +1.6% | +24.9% |
| 2023 | +6.1% | +26.2% |
| 2022 | −13.2% | −18.2% |
| 2021 | −2.4% | +28.7% |
| 2020 | +9.7% | +18.3% |
| 2019 | +10.3% | +31.2% |
| 2018 | −0.2% | −4.6% |
| 2017 | +3.6% | +21.7% |
| 2016 | +2.3% | +12.0% |

## Risk and diversification

How BIV has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

### What were BIV's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high.

- Not every decline was the market's doing: BIV fell 18.9% from August 2020 to October 2022, while the S&P 500 rose 13.0%.
- The slowest recovery came after BIV fell 18.9% from August 2020 to October 2022; it did not regain that peak until February 2026, three years later.
- In three of BIV's five worst declines, the S&P 500 held up better over the same dates.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −18.9% | August 6, 2020 | October 20, 2022 | February 13, 2026 | +13.0% | 2022 bear market |
| −13.6% | September 15, 2008 | October 10, 2008 | December 16, 2008 | −25.9% | 2008 financial crisis |
| −9.2% | March 6, 2020 | March 19, 2020 | May 22, 2020 | −19.1% | Covid crash |
| −7.7% | May 1, 2013 | September 5, 2013 | August 13, 2014 | +5.4% |  |
| −6.1% | July 8, 2016 | December 27, 2016 | March 7, 2019 | +7.6% |  |

### How did BIV do in stock market crashes?

This section measures how far BIV, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000.

- BIV fell less than the S&P 500 in all nine crashes it has traded through. The clearest case was the 2008 financial crisis, when BIV fell 13.6% and the S&P 500 fell 55.2%.
- Among its popular alternatives, BSV held up best, falling less than BIV in six of the nine crashes they both traded through.

| Crash | Dates | BIV fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | not trading | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −13.6% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | 0.0% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −1.6% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −2.3% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −0.7% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −1.0% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −9.2% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −15.3% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | 0.0% | −3.4% |

### How closely does BIV move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell.

- Over the past 10 years, BIV captured 13% of the S&P 500's gains in rising months and 18% of its losses in falling months, with a beta of 0.15. Its share of the market's losses was slightly larger than its share of the gains.
- 11 of the 18 popular alternatives had a higher capture ratio (upside capture divided by downside capture) than BIV's 0.74, led by BSV, GVI and SPIB.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| BIV: Vanguard Intermediate-Term Bond ETF (this page) | 13.0% | 18.0% | 0.15 |
| SPIB: State Street SPDR Portfolio Intermediate Term Corporate Bond ETF | 17.0% | 18.0% | 0.18 |
| [IUSB](https://easycompare.io/research/iusb): iShares Core Universal USD Bond ETF | 15.0% | 20.0% | 0.16 |
| HYG: iShares iBoxx $ High Yield Corporate Bond ETF | 34.0% | 40.0% | 0.39 |
| FBND: Fidelity Total Bond ETF | 17.0% | 21.0% | 0.18 |
| [BSV](https://easycompare.io/research/bsv): Vanguard Short-Term Bond ETF | 7.0% | 3.0% | 0.04 |
| GVI: iShares Intermediate Government/Credit Bond ETF | 9.0% | 8.0% | 0.08 |
| IGIB: iShares 5-10 Year Investment Grade Corporate Bond ETF | 22.0% | 29.0% | 0.27 |
| [VCIT](https://easycompare.io/research/vcit): Vanguard Intermediate-Term Corporate Bond ETF | 22.0% | 29.0% | 0.26 |
| BOND: PIMCO Active Bond Exchange-Traded Fund | 16.0% | 22.0% | 0.19 |
| [MUB](https://easycompare.io/research/mub): iShares National Muni Bond ETF | 14.0% | 18.0% | 0.14 |
| [BNDX](https://easycompare.io/research/bndx): Vanguard Total International Bond ETF | 11.0% | 13.0% | 0.14 |
| TIP: iShares TIPS Bond ETF | 15.0% | 17.0% | 0.18 |
| SCHR: Schwab Intermediate-Term U.S. Treasury ETF | 6.0% | 7.0% | 0.05 |
| SCHZ: Schwab U.S. Aggregate Bond ETF | 14.0% | 20.0% | 0.16 |
| [AGG](https://easycompare.io/research/agg): iShares Core U.S. Aggregate Bond ETF | 12.0% | 17.0% | 0.14 |
| [GOVT](https://easycompare.io/research/govt): iShares U.S. Treasury Bond ETF | 6.0% | 8.0% | 0.06 |
| [IEF](https://easycompare.io/research/ief): iShares 7-10 Year Treasury Bond ETF | 7.0% | 14.0% | 0.08 |
| BLV: Vanguard Long-Term Bond ETF | 21.0% | 45.0% | 0.32 |

### What diversifies BIV?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions).

- FIX made money in four of the four calendar years in which BIV lost money.
- Among large ETFs, DXJ, EMLP and HDV have moved largely independently of BIV over the past 5 years, with correlations of 0.49 or lower, and each still earned a positive 5-year return.
- Moving a fifth of the money in BIV into DXJ would have cut the portfolio's volatility by 5% over the past 5 years and raised its annual return (-0.5% for BIV alone, +4.6% for the mix).

| Investment | Correlation with BIV | 5Y return | Volatility | Sharpe | Rose in BIV's 4 down years |
| --- | --- | --- | --- | --- | --- |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.22 | +225% | 19.1% | 1.34 | 3 of 4 |
| EMLP: First Trust North American Energy Infrastructure Fund | 0.46 | +101% | 14.5% | 1.04 | 3 of 4 |
| HDV: iShares Core High Dividend ETF | 0.49 | +83.3% | 13.0% | 1.00 | 3 of 4 |
| [SMH](https://easycompare.io/research/smh): VanEck Semiconductor ETF | 0.49 | +323% | 36.9% | 0.97 | 2 of 4 |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | 0.41 | +126% | 18.9% | 0.96 | 0 of 4 |
| FFLC: Fidelity Fundamental Large Cap Core ETF | 0.49 | +107% | 16.8% | 0.95 | 1 of 4 |
| SPMO: Invesco S&P 500 Momentum ETF | 0.40 | +136% | 20.8% | 0.93 | 1 of 4 |
| [XLE](https://easycompare.io/research/xle): State Street Energy Select Sector SPDR ETF | 0.09 | +177% | 25.5% | 0.93 | 3 of 4 |

## Common questions

### What was BIV's worst drawdown?

BIV's deepest decline since it began trading in 2007 was 18.9%, from August 2020 to October 2022. It took about three years from the low to climb back to its old high. Because BIV launched in April 2007, that record does not include the dot-com bust.

### What were BIV's best and worst years?

Over 18 full calendar years, BIV's best year was 2011, when it returned 11.1%. Its worst was 2022, with a return of -13.2%.

### Is there a better investment than BIV?

Among BIV's popular alternatives, BSV and SPIB earned more than BIV with less volatility over the past 5 years. BSV returned 1.7% a year at 2.8% volatility, against a loss of 0.1% a year at 6.4%. Looking beyond its popular alternatives, BIL (treasury bonds) and VTIP (treasury bonds) earned more than BIV with less volatility over the past 5 years. BIL returned 3.7% a year at 0.3% volatility, against a loss of 0.1% a year at 6.4%.

### Is BIV more volatile than the S&P 500?

No. BIV's volatility over the past 5 years was 6.4%, 38% of the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, BIV's return lands within 6.4% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

### What is BIV's Sharpe ratio?

BIV's Sharpe ratio over the past 5 years was 0.01, against 0.79 for the S&P 500, so BIV earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

### How correlated is BIV with the S&P 500?

Over the past 5 years, BIV's monthly returns had a correlation of 0.60 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They often move together: some diversification next to an index fund, but not a cushion. In the table, the correlation column measures each option against BIV instead: the lower it is, the more that option would diversify a BIV holding.

### What are the best alternatives to BIV?

Of the 22 popular alternatives we compared, six outperformed BIV in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: SPIB, IUSB and HYG.

### Did BIV outperform the S&P 500?

BIV finished ahead of the S&P 500 (SPY) in four of 18 full calendar years. In 2025, it returned +8.5%, against +17.7% for the index.

### How did BIV do in stock market crashes?

BIV fell less than the S&P 500 (SPY) in nine of the nine major crashes it has traded through, and further in no. The clearest case was the 2008 financial crisis, when BIV fell 13.6% and the S&P 500 fell 55.2%.

### What diversifies BIV?

These had a low correlation with BIV over the past 5 years and still earned a positive 5-year return: among large ETFs, DXJ (correlation 0.22), EMLP (correlation 0.46) and HDV (correlation 0.49); among large stocks, CAH (correlation 0.23), CLS (correlation 0.09) and FIX (correlation 0.18). A correlation near zero means the two have moved largely independently.

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- [Vanguard Total Bond Market ETF (BND) Performance, Alternatives and Market Rank](https://easycompare.io/research/bnd)
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- [iShares 7-10 Year Treasury Bond ETF (IEF) Performance, Alternatives and Market Rank](https://easycompare.io/research/ief)
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## Explore further

- Full page with charts: https://easycompare.io/research/biv
- All research pages: https://easycompare.io/llms.txt
- Compare the entire market against BIV live: https://betterthanspy.com/?b=BIV&utm_source=easycompare&utm_medium=research