SPHY vs SPY
SPHY vs SPY
State Street SPDR Portfolio High Yield Bond ETF vs State Street SPDR S&P 500 ETF Trust
Quick Verdict
SPHY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.
Side-by-Side Comparison
| Metric | SPHY | SPY | Winner |
|---|---|---|---|
| Expense Ratio | 0.05% | 0.09% | |
| AUM | $11.6B | $789.1B | |
| Dividend Yield | 7.24% | 1.01% | |
| Holdings | 1,942 | 505 | |
| YTD Return | +1.75% | +13.50% | |
| 1Y Return | +5.12% | +23.56% | |
| 3Y Return (annualized) | +8.18% | +21.17% | |
| 5Y Return (annualized) | +4.11% | +13.46% | |
| Volatility (annualized) | 8.6% | 15.3% | |
| Max Drawdown | -22.4% | -56.5% | |
| Fund Family | State Street Investment Management | State Street Investment Management | |
| Category | Fixed Income | Equity | |
| Inception | Jun 18, 2012 | Jan 22, 1993 |
SPHY vs SPY Performance
State Street SPDR Portfolio High Yield Bond ETF (SPHY) is a ETF from State Street Investment Management and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year SPHY returned +5.12% while SPY returned +23.56%. Year to date, SPHY is up 1.75% versus a gain of 13.50% for SPY.
Over three years, SPHY compounded at +8.18% per year against +21.17% for SPY; over five years the annualized figures are +4.11% and +13.46% respectively. Across the full 7-year window we track, SPY has the edge at +8.85% annualized vs +3.66%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 8.6% for SPHY. 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 -22.4% for SPHY 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
SPHY charges 0.05% per year while SPY charges 0.09%. On a $10,000 position that is $5 vs $9 annually, a gap of $4 per year that compounds over a long holding period. On income, SPHY currently yields 7.24% against 1.01% for SPY.
Holdings Overlap
SPHY and SPY share 0 holdings out of 854 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, SPHY or SPY?
SPHY has an expense ratio of 0.05% while SPY charges 0.09%. SPHY is the cheaper option. On a $10,000 investment, that is $4 per year of difference.
Which performed better, SPHY or SPY?
Over the past year SPHY returned +5.12% vs +23.56% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (7 years), SPHY annualized +3.66% vs +8.85% for SPY. Past performance does not guarantee future results.
Which is riskier, SPHY or SPY?
SPY has been the more volatile fund at 15.3% annualized versus 8.6% for SPHY. Worst drawdown: SPHY -22.4% vs SPY -56.5%.
Should I hold both SPHY and SPY?
SPHY 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 SPHY and SPY?
SPHY and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 854 unique securities.
Which pays a higher dividend, SPHY or SPY?
SPHY yields 7.24% while SPY yields 1.01%, so SPHY currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.