AVUV vs IJR: Head-to-Head Comparison
Last updated: March 2026 • Small/Mid-Cap
Quick Verdict
IJR edges out AVUV with a stronger Beginner Suitability Score (9 vs 8.5). It offers lower fees for new investors.
Side-by-Side Comparison
Key Differences Between AVUV and IJR
AVUV (Avantis U.S. Small Cap Value ETF) is a u.s. small-cap value fund managed by Avantis Investors. AVUV targets U.S. small-cap value stocks, a segment of the market that academic research shows has historically produced higher returns over long periods. It uses a systematic approach based on factor investing principles. Beginners with long time horizons may benefit from a small allocation, but should expect higher short-term volatility.
IJR (iShares Core S&P Small-Cap ETF) is a us small-cap fund managed by BlackRock. IJR tracks the S&P SmallCap 600 Index, which screens for profitability before including companies, making it a higher-quality small-cap option. Unlike broader small-cap indexes, the S&P 600 requires positive earnings, filtering out unprofitable speculative companies. This quality screen has historically helped IJR deliver better risk-adjusted returns than many competing small-cap funds.
The most notable differences are in fees (0.25% vs 0.06%), number of holdings (750 vs 600), and 5-year returns (15.00% vs 9.50%).
Recommended: This beginner-friendly ETF course on Udemy covers everything from ETF fundamentals to building a recession-proof portfolio in 7 days.
Holdings Overlap Analysis
5%
Holdings Overlap
AVUV and IJR share only 5% of their top holdings. These funds are quite different, making them complementary choices if you want broader market coverage.
Cost Comparison Over Time
If you invest $10,000 and hold for 20 years (assuming 8% annual returns):
AVUV
Fee cost: $2,111
IJR
Fee cost: $515
Over 20 years, the fee difference amounts to $1,596 on a $10,000 investment. IJR saves you more in fees over time.
Which One Should a Beginner Choose?
Choose AVUV if: You want long-term investors who believe in the small-cap value factor premium, those looking to tilt their portfolio toward academically-supported return factors, patient investors with 10+ year time horizons willing to accept short-term volatility. It's managed by Avantis Investors with an expense ratio of 0.25%.
Choose IJR if: You want quality-conscious investors wanting small-cap exposure without the junkiest stocks, core small-cap allocation in a diversified portfolio, investors who prefer index methodology with built-in quality screening. It's managed by BlackRock with an expense ratio of 0.06%.
Can You Own Both AVUV and IJR?
Absolutely! With only 5% overlap, AVUV and IJR complement each other well. A simple portfolio might allocate 60% to one and 40% to the other, or you could pair them with a bond ETF like BND for a complete three-fund portfolio.
Get the Free ETF Starter Checklist
7 steps to make your first ETF investment with confidence. No spam, unsubscribe anytime.
Frequently Asked Questions
Should I buy AVUV or IJR?▾
IJR edges out AVUV with a stronger Beginner Suitability Score (9 vs 8.5). It offers lower fees for new investors. However, both are solid options. AVUV is best for investors who want long-term investors who believe in the small-cap value factor premium, while IJR is better suited for quality-conscious investors wanting small-cap exposure without the junkiest stocks.
What is the difference between AVUV and IJR?▾
AVUV (Avantis U.S. Small Cap Value ETF) tracks u.s. small-cap value investments with 750 holdings and a 0.25% expense ratio. IJR (iShares Core S&P Small-Cap ETF) focuses on us small-cap with 600 holdings at 0.06%. Their top holdings overlap by 5%.
Can I own both AVUV and IJR?▾
Yes! With only 5% holdings overlap, AVUV and IJR complement each other well. Owning both gives you broader diversification.