DGRO vs SPY

Quick Verdict

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

Lower Fees: DGROHigher Returns: DGROMore Diversified: SPY

Side-by-Side Comparison

MetricDGROSPYWinner
Expense Ratio0.08%0.09%
AUM$42.8B$789.1B
Dividend Yield1.95%1.01%
Holdings397505
YTD Return+12.78%+9.93%
1Y Return+23.23%+19.50%
3Y Return (annualized)+16.31%+19.33%
5Y Return (annualized)+11.12%+12.82%
Volatility (annualized)13.7%15.3%
Max Drawdown-35.1%-56.5%
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryEquityEquity
InceptionJun 10, 2014Jan 22, 1993

DGRO vs SPY Performance

iShares Core Dividend Growth ETF (DGRO) 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 DGRO returned +23.23% while SPY returned +19.50%. Year to date, DGRO is up 12.78% versus a gain of 9.93% for SPY.

Over three years, DGRO compounded at +16.31% per year against +19.33% for SPY; over five years the annualized figures are +11.12% and +12.82% respectively. Across the full 12-year window we track, DGRO has the edge at +11.08% annualized vs +8.74%. 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 13.7% for DGRO. 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 -35.1% for DGRO 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 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

DGRO charges 0.08% per year while SPY charges 0.09%. On a $10,000 position that is $8 vs $9 annually, a gap of $1 per year that compounds over a long holding period. On income, DGRO currently yields 1.95% against 1.01% for SPY.

Holdings Overlap

42.5%overlap

DGRO and SPY share 221 holdings out of 662 unique holdings combined, representing a 42.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in DGROWeight in SPYDifference
AAPL2.93%7.09%4.16%
MSFT2.72%4.43%1.71%
AVGO2.48%2.73%0.25%
JPMProProPro
JNJProProPro
ABBVProProPro
XOMProProPro
HDProProPro
PGProProPro
LLYProProPro
See all 10 holdings DGRO 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, DGRO or SPY?

DGRO has an expense ratio of 0.08% while SPY charges 0.09%. DGRO is the cheaper option. On a $10,000 investment, that is $1 per year of difference.

Which performed better, DGRO or SPY?

Over the past year DGRO returned +23.23% vs +19.50% for SPY, so DGRO leads on 1-year performance. Over the longest common window we track (12 years), DGRO annualized +11.08% vs +8.74% for SPY. Past performance does not guarantee future results.

Which is riskier, DGRO or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 13.7% for DGRO. Worst drawdown: DGRO -35.1% vs SPY -56.5%.

Should I hold both DGRO and SPY?

DGRO and SPY have a monthly-return correlation of 0.94, 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 DGRO and SPY?

DGRO and SPY share 221 common holdings with a 42.5% weight overlap. Combined, they hold 662 unique securities.

Which pays a higher dividend, DGRO or SPY?

DGRO yields 1.95% while SPY yields 1.01%, so DGRO currently pays the higher dividend yield.

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