PAVE vs SPY

Quick Verdict

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

Lower Fees: SPYHigher Returns: PAVEMore Diversified: SPY

Side-by-Side Comparison

MetricPAVESPYWinner
Expense Ratio0.47%0.09%
AUM$14.2B$789.1B
Dividend Yield0.51%1.01%
Holdings102505
YTD Return+20.14%+13.79%
1Y Return+28.79%+23.66%
3Y Return (annualized)+22.52%+21.40%
5Y Return (annualized)+17.90%+13.37%
Volatility (annualized)22.9%15.3%
Max Drawdown-44.1%-56.5%
Fund FamilyGlobal X by mirae AssetState Street Investment Management
CategoryEquityEquity
InceptionMar 6, 2017Jan 22, 1993

PAVE vs SPY Performance

Global X US Infrastructure Development ETF (PAVE) is a ETF from Global X by mirae Asset and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year PAVE returned +28.79% while SPY returned +23.66%. Year to date, PAVE is up 20.14% versus a gain of 13.79% for SPY.

Over three years, PAVE compounded at +22.52% per year against +21.40% for SPY; over five years the annualized figures are +17.90% and +13.37% respectively. Across the full 9-year window we track, PAVE has the edge at +16.44% annualized vs +8.85%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PAVE has been the more volatile fund, with annualized monthly volatility of 22.9% 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 -44.1% for PAVE 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 0.86. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PAVE charges 0.47% per year while SPY charges 0.09%. On a $10,000 position that is $47 vs $9 annually, a gap of $38 per year that compounds over a long holding period. On income, PAVE currently yields 0.51% against 1.01% for SPY.

Holdings Overlap

0.3%overlap

PAVE and SPY share 10 holdings out of 578 unique holdings combined, representing a 0.3% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in PAVEWeight in SPYDifference
STLD4.03%0.05%3.98%
HUBB3.23%0.04%3.19%
FTV2.89%0.03%2.86%
IEXProProPro
JProProPro
PNRProProPro
TRMBProProPro
BLDRProProPro
EMEProProPro
MLMProProPro
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Frequently Asked Questions

Which is cheaper, PAVE or SPY?

PAVE has an expense ratio of 0.47% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $38 per year of difference.

Which performed better, PAVE or SPY?

Over the past year PAVE returned +28.79% vs +23.66% for SPY, so PAVE leads on 1-year performance. Over the longest common window we track (9 years), PAVE annualized +16.44% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, PAVE or SPY?

PAVE has been the more volatile fund at 22.9% annualized versus 15.3% for SPY. Worst drawdown: PAVE -44.1% vs SPY -56.5%.

Should I hold both PAVE and SPY?

PAVE and SPY have a monthly-return correlation of 0.86, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between PAVE and SPY?

PAVE and SPY share 10 common holdings with a 0.3% weight overlap. Combined, they hold 578 unique securities.

Which pays a higher dividend, PAVE or SPY?

PAVE yields 0.51% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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