SMOT vs SPY
SMOT vs SPY
VanEck Morningstar SMID Moat ETF vs State Street SPDR S&P 500 ETF Trust
Quick Verdict
SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.
Side-by-Side Comparison
| Metric | SMOT | SPY | Winner |
|---|---|---|---|
| Expense Ratio | 0.49% | 0.09% | |
| AUM | $328M | $789.1B | |
| Dividend Yield | 1.28% | 1.01% | |
| Holdings | 116 | 505 | |
| YTD Return | +11.59% | +13.28% | |
| 1Y Return | +15.03% | +23.94% | |
| 3Y Return (annualized) | +10.82% | +21.07% | |
| 5Y Return (annualized) | - | +13.27% | |
| Volatility (annualized) | 17.1% | 15.3% | |
| Max Drawdown | -23.4% | -56.5% | |
| Fund Family | VanEck | State Street Investment Management | |
| Category | Equity | Equity | |
| Inception | Oct 4, 2022 | Jan 22, 1993 |
SMOT vs SPY Performance
VanEck Morningstar SMID Moat ETF (SMOT) 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 SMOT returned +15.03% while SPY returned +23.94%. Year to date, SMOT is up 11.59% versus a gain of 13.28% for SPY.
Over three years, SMOT compounded at +10.82% per year against +21.07% for SPY. Across the full 4-year window we track, SMOT has the edge at +13.33% annualized vs +8.84%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SMOT has been the more volatile fund, with annualized monthly volatility of 17.1% 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 -23.4% for SMOT 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 0.82. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SMOT charges 0.49% per year while SPY charges 0.09%. On a $10,000 position that is $49 vs $9 annually, a gap of $40 per year that compounds over a long holding period. On income, SMOT currently yields 1.28% against 1.01% for SPY.
Holdings Overlap
SMOT and SPY share 69 holdings out of 544 unique holdings combined, representing a 3.5% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Top Shared Holdings
| Stock | Weight in SMOT | Weight in SPY | Difference |
|---|---|---|---|
| TECH | 1.70% | 0.02% | 1.68% |
| CTVA | 1.49% | 0.09% | 1.40% |
| MAS | 1.50% | 0.03% | 1.47% |
| IQV | Pro | Pro | Pro |
| XYZ | Pro | Pro | Pro |
| CI | Pro | Pro | Pro |
| BIIB | Pro | Pro | Pro |
| ABNB | Pro | Pro | Pro |
| MDLZ | Pro | Pro | Pro |
| AMCR | Pro | Pro | Pro |
See all 10 holdings SMOT shares with SPY Exact weights in each fund and the difference, for every overlapping position. Get FundXLS Pro: $29/moFirst 500 subscribers, then $49/mo. Cancel anytime. | |||
Frequently Asked Questions
Which is cheaper, SMOT or SPY?
SMOT has an expense ratio of 0.49% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $40 per year of difference.
Which performed better, SMOT or SPY?
Over the past year SMOT returned +15.03% vs +23.94% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (4 years), SMOT annualized +13.33% vs +8.84% for SPY. Past performance does not guarantee future results.
Which is riskier, SMOT or SPY?
SMOT has been the more volatile fund at 17.1% annualized versus 15.3% for SPY. Worst drawdown: SMOT -23.4% vs SPY -56.5%.
Should I hold both SMOT and SPY?
SMOT and SPY have a monthly-return correlation of 0.82, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between SMOT and SPY?
SMOT and SPY share 69 common holdings with a 3.5% weight overlap. Combined, they hold 544 unique securities.
Which pays a higher dividend, SMOT or SPY?
SMOT yields 1.28% while SPY yields 1.01%, so SMOT currently pays the higher dividend yield.
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