SPY vs VTSAX

Quick Verdict

VTSAX has a lower expense ratio. VTSAX delivered stronger 1-year returns. VTSAX offers more diversification with 2728 holdings.

Lower Fees: VTSAXHigher Returns: VTSAXMore Diversified: VTSAX

Side-by-Side Comparison

MetricSPYVTSAXWinner
Expense Ratio0.09%0.04%
AUM$789.1B$489.0B
Dividend Yield1.01%1.04%
Holdings5053,543
YTD Return+13.10%+12.90%
1Y Return+22.80%+22.84%
3Y Return (annualized)+20.98%+19.17%
5Y Return (annualized)+13.20%+10.71%
Volatility (annualized)15.3%16.4%
Max Drawdown-56.5%-26.3%
Fund FamilyState Street Investment ManagementVanguard (US)
CategoryEquityEquity
InceptionJan 22, 1993Nov 13, 2000

SPY vs VTSAX Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX) is a mutual fund from Vanguard (US). Over the past year SPY returned +22.80% while VTSAX returned +22.84%. Year to date, SPY is up 13.10% versus a gain of 12.90% for VTSAX.

Over three years, SPY compounded at +20.98% per year against +19.17% for VTSAX; over five years the annualized figures are +13.20% and +10.71% respectively. Across the full 5-year window we track, VTSAX has the edge at +10.71% annualized vs +8.83%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VTSAX has been the more volatile fund, with annualized monthly volatility of 16.4% 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 -56.5% for SPY and -26.3% for VTSAX. 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 0.99. 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 VTSAX charges 0.04%. On a $10,000 position that is $9 vs $4 annually, a gap of $5 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 1.04% for VTSAX.

Holdings Overlap

85.9%overlap

SPY and VTSAX share 462 holdings out of 2769 unique holdings combined, representing a 85.9% weight overlap.

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

Top Shared Holdings

StockWeight in SPYWeight in VTSAXDifference
NVDA7.31%6.32%0.99%
AAPL7.09%5.84%1.25%
MSFT4.43%3.81%0.62%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
GOOGProProPro
METAProProPro
MUProProPro
TSLAProProPro
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Frequently Asked Questions

Which is cheaper, SPY or VTSAX?

SPY has an expense ratio of 0.09% while VTSAX charges 0.04%. VTSAX is the cheaper option. On a $10,000 investment, that is $5 per year of difference.

Which performed better, SPY or VTSAX?

Over the past year SPY returned +22.80% vs +22.84% for VTSAX, so VTSAX leads on 1-year performance. Over the longest common window we track (5 years), SPY annualized +8.83% vs +10.71% for VTSAX. Past performance does not guarantee future results.

Which is riskier, SPY or VTSAX?

VTSAX has been the more volatile fund at 16.4% annualized versus 15.3% for SPY. Worst drawdown: SPY -56.5% vs VTSAX -26.3%.

Should I hold both SPY and VTSAX?

SPY and VTSAX have a monthly-return correlation of 0.99, 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 VTSAX?

SPY and VTSAX share 462 common holdings with a 85.9% weight overlap. Combined, they hold 2769 unique securities.

Which pays a higher dividend, SPY or VTSAX?

SPY yields 1.01% while VTSAX yields 1.04%, so VTSAX currently pays the higher dividend yield.

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