ACWI vs SPY

Quick Verdict

SPY has a lower expense ratio. ACWI delivered stronger 1-year returns. ACWI offers more diversification with 1314 holdings.

Lower Fees: SPYHigher Returns: ACWIMore Diversified: ACWI

Side-by-Side Comparison

MetricACWISPYWinner
Expense Ratio0.32%0.09%
AUM$32.1B$789.1B
Dividend Yield1.43%1.01%
Holdings2,280505
YTD Return+10.50%+9.93%
1Y Return+22.21%+19.50%
3Y Return (annualized)+18.24%+19.33%
5Y Return (annualized)+10.65%+12.82%
Volatility (annualized)16.6%15.3%
Max Drawdown-56.3%-56.5%
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryEquityEquity
InceptionMar 26, 2008Jan 22, 1993

ACWI vs SPY Performance

iShares MSCI ACWI ETF (ACWI) is a ETF from iShares by BlackRock (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year ACWI returned +22.21% while SPY returned +19.50%. Year to date, ACWI is up 10.50% versus a gain of 9.93% for SPY.

Over three years, ACWI compounded at +18.24% per year against +19.33% for SPY; over five years the annualized figures are +10.65% and +12.82% respectively. Across the full 18-year window we track, SPY has the edge at +8.74% annualized vs +6.91%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

ACWI has been the more volatile fund, with annualized monthly volatility of 16.6% compared with 15.3% for SPY. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -56.3% for ACWI and -56.5% for SPY. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.96. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

ACWI charges 0.32% per year while SPY charges 0.09%. On a $10,000 position that is $32 vs $9 annually, a gap of $23 per year that compounds over a long holding period. On income, ACWI currently yields 1.43% against 1.01% for SPY.

Holdings Overlap

58.0%overlap

ACWI and SPY share 380 holdings out of 1437 unique holdings combined, representing a 58.0% weight overlap.

High overlap means holding both may not provide much additional diversification.

Top Shared Holdings

StockWeight in ACWIWeight in SPYDifference
NVDA4.40%7.31%2.91%
AAPL4.47%7.09%2.62%
MSFT2.66%4.43%1.77%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
GOOGProProPro
METAProProPro
TSLAProProPro
MUProProPro
See all 10 holdings ACWI shares with SPY
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, ACWI or SPY?

ACWI has an expense ratio of 0.32% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $23 per year of difference.

Which performed better, ACWI or SPY?

Over the past year ACWI returned +22.21% vs +19.50% for SPY, so ACWI leads on 1-year performance. Over the longest common window we track (18 years), ACWI annualized +6.91% vs +8.74% for SPY. Past performance does not guarantee future results.

Which is riskier, ACWI or SPY?

ACWI has been the more volatile fund at 16.6% annualized versus 15.3% for SPY. Worst drawdown: ACWI -56.3% vs SPY -56.5%.

Should I hold both ACWI and SPY?

ACWI and SPY have a monthly-return correlation of 0.96, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between ACWI and SPY?

ACWI and SPY share 380 common holdings with a 58.0% weight overlap. Combined, they hold 1437 unique securities.

Which pays a higher dividend, ACWI or SPY?

ACWI yields 1.43% while SPY yields 1.01%, so ACWI currently pays the higher dividend yield.

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