IVW vs. MINT: What’s The Difference?

The iShares S&P 500 Growth ETF (IVW) and the PIMCO Enhanced Short Maturity Active Exchange-Traded Fund (MINT) are both among the Top 100 ETFs. IVW is a iShares Large Growth fund and MINT is a PIMCO Ultrashort Bond fund. So, what’s the difference between IVW and MINT? And which fund is better?

The expense ratio of IVW is 0.18 percentage points lower than MINT’s (0.18% vs. 0.36%). IVW also has a high exposure to the technology sector while MINT is mostly comprised of Others bonds. Overall, IVW has provided higher returns than MINT over the past ten years.

In this article, we’ll compare IVW vs. MINT. We’ll look at annual returns and risk metrics, as well as at their portfolio growth and industry exposure. Moreover, I’ll also discuss IVW’s and MINT’s fund composition, holdings, and performance and examine how these affect their overall returns.

Summary

IVW MINT
Name iShares S&P 500 Growth ETF PIMCO Enhanced Short Maturity Active Exchange-Traded Fund
Category Large Growth Ultrashort Bond
Issuer iShares PIMCO
AUM 35.72B 14.02B
Avg. Return 16.74% 1.52%
Div. Yield 0.61% 0.56%
Expense Ratio 0.18% 0.36%

The iShares S&P 500 Growth ETF (IVW) is a Large Growth fund that is issued by iShares. It currently has 35.72B total assets under management and has yielded an average annual return of 16.74% over the past 10 years. The fund has a dividend yield of 0.61% with an expense ratio of 0.18%.

The PIMCO Enhanced Short Maturity Active Exchange-Traded Fund (MINT) is a Ultrashort Bond fund that is issued by PIMCO. It currently has 14.02B total assets under management and has yielded an average annual return of 1.52% over the past 10 years. The fund has a dividend yield of 0.56% with an expense ratio of 0.36%.

IVW’s dividend yield is 0.05% higher than that of MINT (0.61% vs. 0.56%). Also, IVW yielded on average 15.21% more per year over the past decade (16.74% vs. 1.52%). The expense ratio of IVW is 0.18 percentage points lower than MINT’s (0.18% vs. 0.36%).

Fund Composition

Holdings

IVW - Holdings

IVW Holdings Weight
Apple Inc 11.46%
Microsoft Corp 10.75%
Amazon.com Inc 7.14%
Facebook Inc Class A 4.28%
Alphabet Inc Class A 4.06%
Alphabet Inc Class C 3.86%
Tesla Inc 2.65%
NVIDIA Corp 2.43%
PayPal Holdings Inc 1.62%
Adobe Inc 1.49%

IVW’s Top Holdings are Apple Inc, Microsoft Corp, Amazon.com Inc, Facebook Inc Class A, and Alphabet Inc Class A at 11.46%, 10.75%, 7.14%, 4.28%, and 4.06%.

Alphabet Inc Class C (3.86%), Tesla Inc (2.65%), and NVIDIA Corp (2.43%) have a slightly smaller but still significant weight. PayPal Holdings Inc and Adobe Inc are also represented in the IVW’s holdings at 1.62% and 1.49%.

MINT - Holdings

MINT Bond Sectors Weight
Others 0.0%
Below B 0.0%
B 0.0%
BB 0.0%
BBB 0.0%
A 0.0%
AA 0.0%
AAA 0.0%
US Government 0.0%

MINT’s Top Bond Sectors are ratings of Others, Below B, B, BB, and BBB at 0.0%, 0.0%, 0.0%, 0.0%, and 0.0%. The fund is less weighted towards A (0.0%), AA (0.0%), and AAA (0.0%) rated bonds.

Risk Analysis

IVW MINT
Mean Return 1.44 0.12
R-squared 93.82 4.7
Std. Deviation 13.77 1.08
Alpha 2.19 0.62
Beta 0.98 0.08
Sharpe Ratio 1.21 0.78
Treynor Ratio 17.24 10.8

The iShares S&P 500 Growth ETF (IVW) has a Treynor Ratio of 17.24 with a Beta of 0.98 and a R-squared of 93.82. Its Standard Deviation is 13.77 while IVW’s Alpha is 2.19. Furthermore, the fund has a Mean Return of 1.44 and a Sharpe Ratio of 1.21.

The PIMCO Enhanced Short Maturity Active Exchange-Traded Fund (MINT) has a Beta of 0.08 with a Treynor Ratio of 10.8 and a Alpha of 0.62. Its Sharpe Ratio is 0.78 while MINT’s Standard Deviation is 1.08. Furthermore, the fund has a R-squared of 4.7 and a Mean Return of 0.12.

IVW’s Mean Return is 1.32 points higher than that of MINT and its R-squared is 89.12 points higher. With a Standard Deviation of 13.77, IVW is slightly more volatile than MINT. The Alpha and Beta of IVW are 1.57 points higher and 0.90 points higher than MINT’s Alpha and Beta.

Performance

Annual Returns

IVW vs. MINT - Annual Returns

Year IVW MINT
2020 33.21% 1.63%
2019 30.91% 3.3%
2018 -0.17% 1.72%
2017 27.2% 1.9%
2016 6.74% 1.99%
2015 5.33% 0.52%
2014 14.67% 0.53%
2013 32.48% 0.72%
2012 14.39% 2.48%
2011 4.49% 0.42%
2010 14.84% 1.72%

IVW had its best year in 2020 with an annual return of 33.21%. IVW’s worst year over the past decade yielded -0.17% and occurred in 2018. In most years the iShares S&P 500 Growth ETF provided moderate returns such as in 2012, 2014, and 2010 where annual returns amounted to 14.39%, 14.67%, and 14.84% respectively.

The year 2019 was the strongest year for MINT, returning 3.3% on an annual basis. The poorest year for MINT in the last ten years was 2011, with a yield of 0.42%. Most years the PIMCO Enhanced Short Maturity Active Exchange-Traded Fund has given investors modest returns, such as in 2020, 2018, and 2010, when gains were 1.63%, 1.72%, and 1.72% respectively.

Portfolio Growth

IVW vs. MINT - Portfolio Growth

Fund Initial Balance Final Balance CAGR
IVW $10,000 $45,206 16.74%
MINT $10,000 $11,624 1.52%

A $10,000 investment in IVW would have resulted in a final balance of $45,206. This is a profit of $35,206 over 10 years and amounts to a compound annual growth rate (CAGR) of 16.74%.

With a $10,000 investment in MINT, the end total would have been $11,624. This equates to a $1,624 profit over 10 years and a compound annual growth rate (CAGR) of 1.52%.

IVW’s CAGR is 15.21 percentage points higher than that of MINT and as a result, would have yielded $33,582 more on a $10,000 investment. Thus, IVW outperformed MINT by 15.21% annually.


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