ISPY vs SPY

Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. ISPY offers more diversification with 504 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: ISPY

Side-by-Side Comparison

MetricISPYSPYWinner
Expense Ratio0.56%0.09%
AUM$1.2B$789.1B
Dividend Yield4.45%1.01%
Holdings512505
YTD Return+6.61%+13.28%
1Y Return+15.74%+23.94%
3Y Return (annualized)-+21.07%
5Y Return (annualized)-+13.27%
Volatility (annualized)15.5%15.3%
Max Drawdown-18.4%-56.5%
Fund FamilyProSharesState Street Investment Management
CategoryAlternativeEquity
InceptionDec 18, 2023Jan 22, 1993

ISPY vs SPY Performance

ProShares S&P 500 High Income ETF (ISPY) is a ETF from ProShares and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year ISPY returned +15.74% while SPY returned +23.94%. Year to date, ISPY is up 6.61% versus a gain of 13.28% for SPY.

Risk: Volatility and Drawdowns

ISPY has been the more volatile fund, with annualized monthly volatility of 15.5% 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 -18.4% for ISPY 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 0.69. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

ISPY charges 0.56% per year while SPY charges 0.09%. On a $10,000 position that is $56 vs $9 annually, a gap of $47 per year that compounds over a long holding period. On income, ISPY currently yields 4.45% against 1.01% for SPY.

Holdings Overlap

82.3%overlap

ISPY and SPY share 491 holdings out of 516 unique holdings combined, representing a 82.3% weight overlap.

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

Top Shared Holdings

StockWeight in ISPYWeight in SPYDifference
NVDA6.18%7.31%1.13%
AAPL5.99%7.09%1.10%
MSFT3.75%4.43%0.68%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
GOOGProProPro
METAProProPro
TSLAProProPro
MUProProPro
See all 10 holdings ISPY 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, ISPY or SPY?

ISPY has an expense ratio of 0.56% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $47 per year of difference.

Which performed better, ISPY or SPY?

Over the past year ISPY returned +15.74% vs +23.94% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (3 years), ISPY annualized +8.07% vs +8.84% for SPY. Past performance does not guarantee future results.

Which is riskier, ISPY or SPY?

ISPY has been the more volatile fund at 15.5% annualized versus 15.3% for SPY. Worst drawdown: ISPY -18.4% vs SPY -56.5%.

Should I hold both ISPY and SPY?

ISPY and SPY have a monthly-return correlation of 0.69, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between ISPY and SPY?

ISPY and SPY share 491 common holdings with a 82.3% weight overlap. Combined, they hold 516 unique securities.

Which pays a higher dividend, ISPY or SPY?

ISPY yields 4.45% while SPY yields 1.01%, so ISPY currently pays the higher dividend yield.

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