IVVW 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

MetricIVVWSPYWinner
Expense Ratio0.25%0.09%
AUM$325M$789.1B
Dividend Yield17.58%1.01%
Holdings4505
YTD Return-0.77%+11.49%
1Y Return+7.32%+21.37%
3Y Return (annualized)-+20.76%
5Y Return (annualized)-+12.94%
Volatility (annualized)7.5%15.3%
Max Drawdown-16.8%-56.5%
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryEquityEquity
InceptionMar 14, 2024Jan 22, 1993

IVVW vs SPY Performance

iShares S&P 500 BuyWrite ETF (IVVW) 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 IVVW returned +7.32% while SPY returned +21.37%. Year to date, IVVW is down 0.77% versus a gain of 11.49% for SPY.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 7.5% for IVVW. 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 -16.8% for IVVW 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 0.85. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

IVVW charges 0.25% per year while SPY charges 0.09%. On a $10,000 position that is $25 vs $9 annually, a gap of $16 per year that compounds over a long holding period. On income, IVVW currently yields 17.58% against 1.01% for SPY.

Holdings Overlap

90.6%overlap

IVVW and SPY share 452 holdings out of 546 unique holdings combined, representing a 90.6% weight overlap.

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

Top Shared Holdings

StockWeight in IVVWWeight in SPYDifference
NVDA7.57%7.31%0.26%
AAPL7.16%7.09%0.07%
MSFT4.40%4.43%0.03%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
GOOGProProPro
METAProProPro
TSLAProProPro
MUProProPro
See all 10 holdings IVVW 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, IVVW or SPY?

IVVW has an expense ratio of 0.25% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $16 per year of difference.

Which performed better, IVVW or SPY?

Over the past year IVVW returned +7.32% vs +21.37% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (2 years), IVVW annualized +9.22% vs +8.78% for SPY. Past performance does not guarantee future results.

Which is riskier, IVVW or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 7.5% for IVVW. Worst drawdown: IVVW -16.8% vs SPY -56.5%.

Should I hold both IVVW and SPY?

IVVW and SPY have a monthly-return correlation of 0.85, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between IVVW and SPY?

IVVW and SPY share 452 common holdings with a 90.6% weight overlap. Combined, they hold 546 unique securities.

Which pays a higher dividend, IVVW or SPY?

IVVW yields 17.58% while SPY yields 1.01%, so IVVW currently pays the higher dividend yield.

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