AOR vs SPY

AOR vs SPY

Which is better, AOR or SPY?

Allocation/Balanced against Large Cap Blend.

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92.

Lower Fees: SPYHigher Returns: SPY

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricAORSPY
Expense Ratio0.15%0.09%Best
AUM$3.7B$804.7B
Dividend Yield2.54%0.98%
Holdings9505
YTD Return+7.26%+12.22%Best
1Y Return+10.87%+16.97%Best
3Y Return (annualized)+13.90%+21.16%Best
5Y Return (annualized)+6.71%+13.00%Best
Volatility (annualized)10.0%Best14.9%
Max Drawdown-25.0%Best-34.1%
$10,000 over 5 years$13,836$18,424Best
Top 10 Weight-37.8%
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryAllocation/BalancedEquity
StyleAllocation/BalancedLarge Cap Blend
InceptionNov 4, 2008Jan 22, 1993

Volatility and max drawdown are measured over the window both funds cover: Nov 11, 2008 to Sep 17, 2026 (17.8 years).

AOR vs SPY growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 17.8 years both funds cover.

AOR vs SPY Performance

iShares Core 60/40 Balanced Allocation ETF (AOR) is an ETF from iShares by BlackRock (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year AOR returned +10.87% while SPY returned +16.97%. Year to date, AOR is up 7.26% versus a gain of 12.22% for SPY.

Over three years, AOR compounded at +13.90% per year against +21.16% for SPY; over five years the annualized figures are +6.71% and +13.00% respectively. Across the full 18-year window we track, SPY has the edge at +13.21% annualized vs +6.90%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 14.9% compared with 10.0% for AOR. 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 -25.0% for AOR and -34.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.92. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

AOR charges 0.15% per year while SPY charges 0.09%. On a $10,000 position that is $15 vs $9 annually, a gap of $6 per year that compounds over a long holding period. On income, AOR currently yields 2.54% against 0.98% for SPY.

Holdings Overlap

We hold position weights for 8 holdings in AOR and 504 in SPY, totalling 99.9% and 99.9% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 8 positions we hold weights for in AOR and 504 in SPY, against full books of 9 and 505.

What only one of them owns

Our book lists 497 positions for SPY that do not appear in our book for AOR (99.3% of the fund), and 8 for AOR that do not appear in SPY (99.9%).

Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.

You are not choosing between two funds in isolation.

Whichever of AOR and SPY you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

AORSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, AOR or SPY?

AOR has an expense ratio of 0.15% while SPY charges 0.09%. SPY is the cheaper option, by $6 a year on a $10,000 investment.

Which performed better, AOR or SPY?

Over the past year AOR returned +10.87% vs +16.97% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (18 years), AOR annualized +6.90% vs +13.21% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, AOR or SPY?

SPY has been the more volatile fund at 14.9% annualized versus 10.0% for AOR. Worst drawdown: AOR -25.0% vs SPY -34.1%.

Should I hold both AOR and SPY?

AOR and SPY have a monthly-return correlation of 0.92, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

Which pays a higher dividend, AOR or SPY?

AOR yields 2.54% while SPY yields 0.98%, so AOR currently pays the higher dividend yield.

Is SPY better than AOR?

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.92. Which one suits a particular account depends on what it is for. This is information, not a recommendation.