CGBL 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

MetricCGBLSPYWinner
Expense Ratio0.33%0.09%
AUM$7.2B$789.1B
Dividend Yield1.85%1.01%
Holdings77505
YTD Return+8.38%+13.28%
1Y Return+16.12%+23.94%
3Y Return (annualized)-+21.07%
5Y Return (annualized)-+13.27%
Volatility (annualized)9.2%15.3%
Max Drawdown-11.7%-56.5%
Fund FamilyCapital Group (US)State Street Investment Management
CategoryAllocation/BalancedEquity
InceptionSep 26, 2023Jan 22, 1993

CGBL vs SPY Performance

Capital Group Core Balanced ETF (CGBL) is a ETF from Capital Group (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year CGBL returned +16.12% while SPY returned +23.94%. Year to date, CGBL is up 8.38% versus a gain of 13.28% for SPY.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 9.2% for CGBL. 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 -11.7% for CGBL 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 0.93. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

CGBL charges 0.33% per year while SPY charges 0.09%. On a $10,000 position that is $33 vs $9 annually, a gap of $24 per year that compounds over a long holding period. On income, CGBL currently yields 1.85% against 1.01% for SPY.

Holdings Overlap

27.3%overlap

CGBL and SPY share 59 holdings out of 522 unique holdings combined, representing a 27.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in CGBLWeight in SPYDifference
AAPL2.33%7.09%4.76%
NVDA0.93%7.31%6.38%
AVGO4.68%2.73%1.95%
MSFTProProPro
GOOGProProPro
AMZNProProPro
MUProProPro
METAProProPro
PMProProPro
LLYProProPro
See all 10 holdings CGBL 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, CGBL or SPY?

CGBL has an expense ratio of 0.33% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $24 per year of difference.

Which performed better, CGBL or SPY?

Over the past year CGBL returned +16.12% vs +23.94% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (3 years), CGBL annualized +18.19% vs +8.84% for SPY. Past performance does not guarantee future results.

Which is riskier, CGBL or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 9.2% for CGBL. Worst drawdown: CGBL -11.7% vs SPY -56.5%.

Should I hold both CGBL and SPY?

CGBL and SPY have a monthly-return correlation of 0.93, 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 CGBL and SPY?

CGBL and SPY share 59 common holdings with a 27.3% weight overlap. Combined, they hold 522 unique securities.

Which pays a higher dividend, CGBL or SPY?

CGBL yields 1.85% while SPY yields 1.01%, so CGBL currently pays the higher dividend yield.

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