The iShares Core MSCI Total International Stock ETF (IXUS) and the JPMorgan Ultra-Short Income ETF (JPST) are both among the Top 100 ETFs. IXUS is a iShares Foreign Large Blend fund and JPST is a JPMorgan Ultrashort Bond fund. So, what’s the difference between IXUS and JPST? And which fund is better?
The expense ratio of IXUS is 0.09 percentage points lower than JPST’s (0.09% vs. 0.18%). IXUS also has a high exposure to the financial services sector while JPST is mostly comprised of A bonds. Overall, IXUS has provided higher returns than JPST over the past ten years.
In this article, we’ll compare IXUS vs. JPST. We’ll look at portfolio growth and fund composition, as well as at their annual returns and industry exposure. Moreover, I’ll also discuss IXUS’s and JPST’s risk metrics, holdings, and performance and examine how these affect their overall returns.
|Name||iShares Core MSCI Total International Stock ETF||JPMorgan Ultra-Short Income ETF|
|Category||Foreign Large Blend||Ultrashort Bond|
The iShares Core MSCI Total International Stock ETF (IXUS) is a Foreign Large Blend fund that is issued by iShares. It currently has 29.54B total assets under management and has yielded an average annual return of 6.09% over the past 10 years. The fund has a dividend yield of 2.13% with an expense ratio of 0.09%.
The JPMorgan Ultra-Short Income ETF (JPST) is a Ultrashort Bond fund that is issued by JPMorgan. It currently has 17.32B total assets under management and has yielded an average annual return of 2.57% over the past 10 years. The fund has a dividend yield of 0.94% with an expense ratio of 0.18%.
IXUS’s dividend yield is 1.19% higher than that of JPST (2.13% vs. 0.94%). Also, IXUS yielded on average 3.51% more per year over the past decade (6.09% vs. 2.57%). The expense ratio of IXUS is 0.09 percentage points lower than JPST’s (0.09% vs. 0.18%).
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|Taiwan Semiconductor Manufacturing Co Ltd||1.64%|
|Tencent Holdings Ltd||1.35%|
|Alibaba Group Holding Ltd Ordinary Shares||1.34%|
|Samsung Electronics Co Ltd||1.06%|
|ASML Holding NV||0.9%|
|Roche Holding AG||0.81%|
|LVMH Moet Hennessy Louis Vuitton SE||0.67%|
|Toyota Motor Corp||0.59%|
IXUS’s Top Holdings are Taiwan Semiconductor Manufacturing Co Ltd, Tencent Holdings Ltd, Alibaba Group Holding Ltd Ordinary Shares, Nestle SA, and Samsung Electronics Co Ltd at 1.64%, 1.35%, 1.34%, 1.1%, and 1.06%.
ASML Holding NV (0.9%), Roche Holding AG (0.81%), and LVMH Moet Hennessy Louis Vuitton SE (0.67%) have a slightly smaller but still significant weight. Novartis AG and Toyota Motor Corp are also represented in the IXUS’s holdings at 0.62% and 0.59%.
|JPST Bond Sectors||Weight|
JPST’s Top Bond Sectors are ratings of A, BBB, AAA, AA, and Others at 39.21%, 36.75%, 14.9%, 9.14%, and 0.0%. The fund is less weighted towards Below B (0.0%), B (0.0%), and BB (0.0%) rated bonds.
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The iShares Core MSCI Total International Stock ETF (IXUS) has a Beta of 0 with a Mean Return of 0 and a Alpha of 0. Its Treynor Ratio is 0 while IXUS’s Sharpe Ratio is 0. Furthermore, the fund has a Standard Deviation of 0 and a R-squared of 0.
The JPMorgan Ultra-Short Income ETF (JPST) has a Sharpe Ratio of 0 with a Treynor Ratio of 0 and a Mean Return of 0. Its Beta is 0 while JPST’s Alpha is 0. Furthermore, the fund has a Standard Deviation of 0 and a R-squared of 0.
IXUS’s Mean Return is 0.00 points lower than that of JPST and its R-squared is 0.00 points lower. With a Standard Deviation of 0, IXUS is slightly less volatile than JPST. The Alpha and Beta of IXUS are 0.00 points lower and 0.00 points lower than JPST’s Alpha and Beta.
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IXUS had its best year in 2017 with an annual return of 28.08%. IXUS’s worst year over the past decade yielded -14.55% and occurred in 2018. In most years the iShares Core MSCI Total International Stock ETF provided moderate returns such as in 2011, 2010, and 2016 where annual returns amounted to 0.0%, 0.0%, and 4.66% respectively.
The year 2019 was the strongest year for JPST, returning 3.36% on an annual basis. The poorest year for JPST in the last ten years was 2017, with a yield of 0.0%. Most years the JPMorgan Ultra-Short Income ETF has given investors modest returns, such as in 2013, 2012, and 2011, when gains were 0.0%, 0.0%, and 0.0% respectively.
|Fund||Initial Balance||Final Balance||CAGR|
A $10,000 investment in IXUS would have resulted in a final balance of $11,571. This is a profit of $1,571 over 3 years and amounts to a compound annual growth rate (CAGR) of 6.09%.
With a $10,000 investment in JPST, the end total would have been $10,791. This equates to a $791 profit over 3 years and a compound annual growth rate (CAGR) of 2.57%.
IXUS’s CAGR is 3.51 percentage points higher than that of JPST and as a result, would have yielded $780 more on a $10,000 investment. Thus, IXUS outperformed JPST by 3.51% annually.
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