RACK 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

MetricRACKSPYWinner
Expense Ratio0.50%0.09%
AUM$49M$789.1B
Dividend Yield0.00%1.01%
Holdings50505
YTD Return-7.70%+13.50%
1Y Return-7.70%+23.56%
3Y Return (annualized)-+21.17%
5Y Return (annualized)-+13.46%
Volatility (annualized)230991813.2%15.3%
Max Drawdown-100.0%-56.5%
Fund FamilyVanEckState Street Investment Management
CategoryEquityEquity
InceptionJun 1, 2026Jan 22, 1993

RACK vs SPY Performance

VanEck Data Center Supply Chain ETF (RACK) is a ETF from VanEck and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year RACK returned -7.70% while SPY returned +23.56%. Year to date, RACK is down 7.70% versus a gain of 13.50% for SPY.

Risk: Volatility and Drawdowns

RACK has been the more volatile fund, with annualized monthly volatility of 230991813.2% 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 -100.0% for RACK 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 -0.08. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

RACK charges 0.50% per year while SPY charges 0.09%. On a $10,000 position that is $50 vs $9 annually, a gap of $41 per year that compounds over a long holding period. On income, RACK currently yields 0.00% against 1.01% for SPY.

Holdings Overlap

14.7%overlap

RACK and SPY share 30 holdings out of 523 unique holdings combined, representing a 14.7% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in RACKWeight in SPYDifference
NVDA4.33%7.31%2.98%
AVGO4.32%2.73%1.59%
MU4.88%1.71%3.17%
APHProProPro
ETNProProPro
CEGProProPro
PEGProProPro
AMDProProPro
SNDKProProPro
ORCLProProPro
See all 10 holdings RACK 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, RACK or SPY?

RACK has an expense ratio of 0.50% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $41 per year of difference.

Which performed better, RACK or SPY?

Over the past year RACK returned -7.70% vs +23.56% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (13 years), RACK annualized +20.12% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, RACK or SPY?

RACK has been the more volatile fund at 230991813.2% annualized versus 15.3% for SPY. Worst drawdown: RACK -100.0% vs SPY -56.5%.

Should I hold both RACK and SPY?

RACK and SPY have a monthly-return correlation of -0.08, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between RACK and SPY?

RACK and SPY share 30 common holdings with a 14.7% weight overlap. Combined, they hold 523 unique securities.

Which pays a higher dividend, RACK or SPY?

RACK yields 0.00% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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