IXG vs SPY

Quick Verdict

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

Lower Fees: SPYHigher Returns: IXGMore Diversified: SPY

Side-by-Side Comparison

MetricIXGSPYWinner
Expense Ratio0.41%0.09%
AUM$674M$789.1B
Dividend Yield2.27%1.01%
Holdings247505
YTD Return+11.55%+11.49%
1Y Return+23.64%+21.37%
3Y Return (annualized)+25.24%+20.76%
5Y Return (annualized)+14.72%+12.94%
Volatility (annualized)20.9%15.3%
Max Drawdown-80.0%-56.5%
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryEquityEquity
InceptionNov 12, 2001Jan 22, 1993

IXG vs SPY Performance

iShares Global Financials ETF (IXG) 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 IXG returned +23.64% while SPY returned +21.37%. Year to date, IXG is up 11.55% versus a gain of 11.49% for SPY.

Over three years, IXG compounded at +25.24% per year against +20.76% for SPY; over five years the annualized figures are +14.72% and +12.94% respectively. Across the full 25-year window we track, SPY has the edge at +8.78% annualized vs +4.54%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IXG has been the more volatile fund, with annualized monthly volatility of 20.9% 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 -80.0% for IXG 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

IXG charges 0.41% per year while SPY charges 0.09%. On a $10,000 position that is $41 vs $9 annually, a gap of $32 per year that compounds over a long holding period. On income, IXG currently yields 2.27% against 1.01% for SPY.

Holdings Overlap

10.6%overlap

IXG and SPY share 72 holdings out of 653 unique holdings combined, representing a 10.6% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in IXGWeight in SPYDifference
JPM5.84%1.40%4.44%
V3.82%0.92%2.90%
MA2.77%0.66%2.11%
BACProProPro
GSProProPro
WFCProProPro
MSProProPro
CProProPro
AXPProProPro
SCHWProProPro
See all 10 holdings IXG 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, IXG or SPY?

IXG has an expense ratio of 0.41% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $32 per year of difference.

Which performed better, IXG or SPY?

Over the past year IXG returned +23.64% vs +21.37% for SPY, so IXG leads on 1-year performance. Over the longest common window we track (25 years), IXG annualized +4.54% vs +8.78% for SPY. Past performance does not guarantee future results.

Which is riskier, IXG or SPY?

IXG has been the more volatile fund at 20.9% annualized versus 15.3% for SPY. Worst drawdown: IXG -80.0% vs SPY -56.5%.

Should I hold both IXG and SPY?

IXG 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 IXG and SPY?

IXG and SPY share 72 common holdings with a 10.6% weight overlap. Combined, they hold 653 unique securities.

Which pays a higher dividend, IXG or SPY?

IXG yields 2.27% while SPY yields 1.01%, so IXG currently pays the higher dividend yield.

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