SPY vs USCA

Quick Verdict

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

Lower Fees: USCAHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricSPYUSCAWinner
Expense Ratio0.09%0.07%
AUM$789.1B$3.4B
Dividend Yield1.01%1.14%
Holdings505273
YTD Return+13.28%+10.31%
1Y Return+23.94%+17.24%
3Y Return (annualized)+21.07%+19.40%
5Y Return (annualized)+13.27%-
Volatility (annualized)15.3%12.8%
Max Drawdown-56.5%-19.1%
Fund FamilyState Street Investment ManagementXtrackers ETFs
CategoryEquityEquity
InceptionJan 22, 1993Apr 4, 2023

SPY vs USCA Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Xtrackers MSCI USA Climate Action Equity ETF (USCA) is a ETF from Xtrackers ETFs. Over the past year SPY returned +23.94% while USCA returned +17.24%. Year to date, SPY is up 13.28% versus a gain of 10.31% for USCA.

Over three years, SPY compounded at +21.07% per year against +19.40% for USCA. Across the full 3-year window we track, USCA has the edge at +21.48% 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 12.8% for USCA. 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 -19.1% for USCA. 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 0.98. 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 USCA charges 0.07%. On a $10,000 position that is $9 vs $7 annually, a gap of $2 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 1.14% for USCA.

Holdings Overlap

83.5%overlap

SPY and USCA share 364 holdings out of 544 unique holdings combined, representing a 83.5% weight overlap.

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

Top Shared Holdings

StockWeight in SPYWeight in USCADifference
NVDA7.31%9.16%1.85%
AAPL7.09%9.38%2.29%
MSFT4.43%5.17%0.74%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
GOOGProProPro
METAProProPro
TSLAProProPro
LLYProProPro
See all 10 holdings SPY shares with USCA
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, SPY or USCA?

SPY has an expense ratio of 0.09% while USCA charges 0.07%. USCA is the cheaper option. On a $10,000 investment, that is $2 per year of difference.

Which performed better, SPY or USCA?

Over the past year SPY returned +23.94% vs +17.24% for USCA, so SPY leads on 1-year performance. Over the longest common window we track (3 years), SPY annualized +8.84% vs +21.48% for USCA. Past performance does not guarantee future results.

Which is riskier, SPY or USCA?

SPY has been the more volatile fund at 15.3% annualized versus 12.8% for USCA. Worst drawdown: SPY -56.5% vs USCA -19.1%.

Should I hold both SPY and USCA?

SPY and USCA have a monthly-return correlation of 0.98, 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 USCA?

SPY and USCA share 364 common holdings with a 83.5% weight overlap. Combined, they hold 544 unique securities.

Which pays a higher dividend, SPY or USCA?

SPY yields 1.01% while USCA yields 1.14%, so USCA currently pays the higher dividend yield.

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