ALTY vs SPY

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

MetricALTYSPYWinner
Expense Ratio0.50%0.09%
AUM$46M$789.1B
Dividend Yield7.39%1.01%
Holdings21505
YTD Return+6.53%+13.79%
1Y Return+13.08%+23.66%
3Y Return (annualized)+11.17%+21.40%
5Y Return (annualized)+5.49%+13.37%
Volatility (annualized)16.2%15.3%
Max Drawdown-60.1%-56.5%
Fund FamilyGlobal X by mirae AssetState Street Investment Management
CategoryAlternativeEquity
InceptionJul 13, 2015Jan 22, 1993

ALTY vs SPY Performance

Global X Alternative Income ETF (ALTY) is a ETF from Global X by mirae Asset and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year ALTY returned +13.08% while SPY returned +23.66%. Year to date, ALTY is up 6.53% versus a gain of 13.79% for SPY.

Over three years, ALTY compounded at +11.17% per year against +21.40% for SPY; over five years the annualized figures are +5.49% and +13.37% respectively. Across the full 11-year window we track, SPY has the edge at +8.85% annualized vs +1.76%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

ALTY has been the more volatile fund, with annualized monthly volatility of 16.2% 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 -60.1% for ALTY 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 0.80. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

ALTY charges 0.50% per year while SPY charges 0.09%. On a $10,000 position that is $50 vs $9 annually, a gap of $41 per year that compounds over a long holding period. On income, ALTY currently yields 7.39% against 1.01% for SPY.

Holdings Overlap

0.1%overlap

ALTY and SPY share 2 holdings out of 520 unique holdings combined, representing a 0.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in ALTYWeight in SPYDifference
OKE1.26%0.09%1.17%
EIX1.29%0.04%1.25%

Frequently Asked Questions

Which is cheaper, ALTY or SPY?

ALTY has an expense ratio of 0.50% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $41 per year of difference.

Which performed better, ALTY or SPY?

Over the past year ALTY returned +13.08% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (11 years), ALTY annualized +1.76% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, ALTY or SPY?

ALTY has been the more volatile fund at 16.2% annualized versus 15.3% for SPY. Worst drawdown: ALTY -60.1% vs SPY -56.5%.

Should I hold both ALTY and SPY?

ALTY and SPY have a monthly-return correlation of 0.80, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between ALTY and SPY?

ALTY and SPY share 2 common holdings with a 0.1% weight overlap. Combined, they hold 520 unique securities.

Which pays a higher dividend, ALTY or SPY?

ALTY yields 7.39% while SPY yields 1.01%, so ALTY currently pays the higher dividend yield.

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