SPY vs SPYI

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

MetricSPYSPYIWinner
Expense Ratio0.09%0.68%
AUM$789.1B$10.8B
Dividend Yield1.01%11.84%
Holdings505509
YTD Return+13.28%+2.68%
1Y Return+23.94%+10.90%
3Y Return (annualized)+21.07%+12.91%
5Y Return (annualized)+13.27%-
Volatility (annualized)15.3%10.4%
Max Drawdown-56.5%-16.5%
Fund FamilyState Street Investment ManagementNEOS
CategoryEquityEquity
InceptionJan 22, 1993Aug 29, 2022

SPY vs SPYI Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and NEOS S&P 500 High Income ETF (SPYI) is a ETF from NEOS. Over the past year SPY returned +23.94% while SPYI returned +10.90%. Year to date, SPY is up 13.28% versus a gain of 2.68% for SPYI.

Over three years, SPY compounded at +21.07% per year against +12.91% for SPYI. Across the full 4-year window we track, SPYI has the edge at +13.20% annualized vs +8.84%. 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 10.4% for SPYI. 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 -56.5% for SPY and -16.5% for SPYI. 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 0.97. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

SPY charges 0.09% per year while SPYI charges 0.68%. On a $10,000 position that is $9 vs $68 annually, a gap of $59 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 11.84% for SPYI.

Holdings Overlap

94.4%overlap

SPY and SPYI share 493 holdings out of 511 unique holdings combined, representing a 94.4% weight overlap.

High overlap means holding both may not provide much additional diversification.

Top Shared Holdings

StockWeight in SPYWeight in SPYIDifference
AAPL7.09%7.75%0.66%
NVDA7.31%7.50%0.19%
MSFT4.43%4.54%0.11%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
GOOGProProPro
METAProProPro
MUProProPro
TSLAProProPro
See all 10 holdings SPY shares with SPYI
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Frequently Asked Questions

Which is cheaper, SPY or SPYI?

SPY has an expense ratio of 0.09% while SPYI charges 0.68%. SPY is the cheaper option. On a $10,000 investment, that is $59 per year of difference.

Which performed better, SPY or SPYI?

Over the past year SPY returned +23.94% vs +10.90% for SPYI, so SPY leads on 1-year performance. Over the longest common window we track (4 years), SPY annualized +8.84% vs +13.20% for SPYI. Past performance does not guarantee future results.

Which is riskier, SPY or SPYI?

SPY has been the more volatile fund at 15.3% annualized versus 10.4% for SPYI. Worst drawdown: SPY -56.5% vs SPYI -16.5%.

Should I hold both SPY and SPYI?

SPY and SPYI have a monthly-return correlation of 0.97, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between SPY and SPYI?

SPY and SPYI share 493 common holdings with a 94.4% weight overlap. Combined, they hold 511 unique securities.

Which pays a higher dividend, SPY or SPYI?

SPY yields 1.01% while SPYI yields 11.84%, so SPYI currently pays the higher dividend yield.

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