AVMA 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

MetricAVMASPYWinner
Expense Ratio0.21%0.09%
AUM$81M$789.1B
Dividend Yield2.02%1.01%
Holdings19505
YTD Return+11.55%+13.10%
1Y Return+20.51%+22.80%
3Y Return (annualized)+14.90%+20.98%
5Y Return (annualized)-+13.20%
Volatility (annualized)9.4%15.3%
Max Drawdown-11.8%-56.5%
Fund FamilyAvantis InvestorsState Street Investment Management
CategoryAllocation/BalancedEquity
InceptionJun 27, 2023Jan 22, 1993

AVMA vs SPY Performance

Avantis Moderate Allocation ETF (AVMA) is a ETF from Avantis Investors and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year AVMA returned +20.51% while SPY returned +22.80%. Year to date, AVMA is up 11.55% versus a gain of 13.10% for SPY.

Over three years, AVMA compounded at +14.90% per year against +20.98% for SPY. Across the full 3-year window we track, AVMA has the edge at +15.37% annualized vs +8.83%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 9.4% for AVMA. 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 -11.8% for AVMA 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 0.89. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

AVMA charges 0.21% per year while SPY charges 0.09%. On a $10,000 position that is $21 vs $9 annually, a gap of $12 per year that compounds over a long holding period. On income, AVMA currently yields 2.02% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

AVMA and SPY share 0 holdings out of 521 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, AVMA or SPY?

AVMA has an expense ratio of 0.21% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $12 per year of difference.

Which performed better, AVMA or SPY?

Over the past year AVMA returned +20.51% vs +22.80% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (3 years), AVMA annualized +15.37% vs +8.83% for SPY. Past performance does not guarantee future results.

Which is riskier, AVMA or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 9.4% for AVMA. Worst drawdown: AVMA -11.8% vs SPY -56.5%.

Should I hold both AVMA and SPY?

AVMA and SPY have a monthly-return correlation of 0.89, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between AVMA and SPY?

AVMA and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 521 unique securities.

Which pays a higher dividend, AVMA or SPY?

AVMA yields 2.02% while SPY yields 1.01%, so AVMA currently pays the higher dividend yield.

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