Can you please explain the difference in the latest distribution amounts for IVV and IHVV?

Can you please explain the difference in the latest distribution amounts for IVV and IHVV? Why is IHVV a so much larger percentage? I’m not interested in these funds for income and will reinvest both, but I’m more curious given I would expect the underlying funds to be the same. Can the hedging be impacting the distribution this much?

A: A question (I think) for iShares/Blackrock.

Clearly, there is the impact of profits on the hedging. Also, it is possible that IHVV grew more quickly in 2020/21, requiring re-balancing of positions and potentially greater realisation of gains.

As managed funds, both IVV and IHVV distribute all income (which includes realised capital gains)


Read Answer