AIO vs SPY

Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricAIOSPYWinner
Expense Ratio1.47%0.09%
AUM$973M$789.1B
Dividend Yield9.94%1.01%
Holdings101505
YTD Return+24.95%+13.10%
1Y Return+18.72%+22.80%
3Y Return (annualized)+24.66%+20.98%
5Y Return (annualized)+12.13%+13.20%
Volatility (annualized)21.9%15.3%
Max Drawdown-45.2%-56.5%
Fund FamilyVirtus Investment PartnersState Street Investment Management
CategoryEquityEquity
InceptionOct 31, 2019Jan 22, 1993

AIO vs SPY Performance

Virtus Artificial Intelligence & Technology Opportunities Fund (AIO) is a ETF from Virtus Investment Partners and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year AIO returned +18.72% while SPY returned +22.80%. Year to date, AIO is up 24.95% versus a gain of 13.10% for SPY.

Over three years, AIO compounded at +24.66% per year against +20.98% for SPY; over five years the annualized figures are +12.13% and +13.20% respectively. Across the full 7-year window we track, AIO has the edge at +14.42% annualized vs +8.83%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

AIO has been the more volatile fund, with annualized monthly volatility of 21.9% 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 -45.2% for AIO 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 0.86. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

AIO charges 1.47% per year while SPY charges 0.09%. On a $10,000 position that is $147 vs $9 annually, a gap of $138 per year that compounds over a long holding period. On income, AIO currently yields 9.94% against 1.01% for SPY.

Holdings Overlap

24.6%overlap

AIO and SPY share 40 holdings out of 548 unique holdings combined, representing a 24.6% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in AIOWeight in SPYDifference
NVDA5.39%7.31%1.92%
MSFT1.28%4.43%3.15%
AVGO2.63%2.73%0.10%
GOOGLProProPro
LLYProProPro
METAProProPro
JPM:USProProPro
CProProPro
APHProProPro
FLEXProProPro
See all 10 holdings AIO 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, AIO or SPY?

AIO has an expense ratio of 1.47% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $138 per year of difference.

Which performed better, AIO or SPY?

Over the past year AIO returned +18.72% vs +22.80% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (7 years), AIO annualized +14.42% vs +8.83% for SPY. Past performance does not guarantee future results.

Which is riskier, AIO or SPY?

AIO has been the more volatile fund at 21.9% annualized versus 15.3% for SPY. Worst drawdown: AIO -45.2% vs SPY -56.5%.

Should I hold both AIO and SPY?

AIO and SPY have a monthly-return correlation of 0.86, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between AIO and SPY?

AIO and SPY share 40 common holdings with a 24.6% weight overlap. Combined, they hold 548 unique securities.

Which pays a higher dividend, AIO or SPY?

AIO yields 9.94% while SPY yields 1.01%, so AIO currently pays the higher dividend yield.

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