AVDS vs SPY

Quick Verdict

SPY has a lower expense ratio. AVDS delivered stronger 1-year returns. AVDS offers more diversification with 1924 holdings.

Lower Fees: SPYHigher Returns: AVDSMore Diversified: AVDS

Side-by-Side Comparison

MetricAVDSSPYWinner
Expense Ratio0.30%0.09%
AUM$318M$789.1B
Dividend Yield2.32%1.01%
Holdings3,038505
YTD Return+13.95%+13.39%
1Y Return+26.44%+22.52%
3Y Return (annualized)+20.45%+21.36%
5Y Return (annualized)-+13.19%
Volatility (annualized)14.5%15.3%
Max Drawdown-13.5%-56.5%
Fund FamilyAvantis InvestorsState Street Investment Management
CategoryEquityEquity
InceptionJul 18, 2023Jan 22, 1993

AVDS vs SPY Performance

Avantis International Small Cap Equity ETF (AVDS) is a ETF from Avantis Investors and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year AVDS returned +26.44% while SPY returned +22.52%. Year to date, AVDS is up 13.95% versus a gain of 13.39% for SPY.

Over three years, AVDS compounded at +20.45% per year against +21.36% for SPY. Across the full 3-year window we track, AVDS has the edge at +18.92% 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 14.5% for AVDS. 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 -13.5% for AVDS 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 0.65. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

AVDS charges 0.30% per year while SPY charges 0.09%. On a $10,000 position that is $30 vs $9 annually, a gap of $21 per year that compounds over a long holding period. On income, AVDS currently yields 2.32% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

AVDS and SPY share 2 holdings out of 2425 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in AVDSWeight in SPYDifference
ATO0.00%0.04%0.04%
PNR0.02%0.02%0.00%

Frequently Asked Questions

Which is cheaper, AVDS or SPY?

AVDS has an expense ratio of 0.30% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $21 per year of difference.

Which performed better, AVDS or SPY?

Over the past year AVDS returned +26.44% vs +22.52% for SPY, so AVDS leads on 1-year performance. Over the longest common window we track (3 years), AVDS annualized +18.92% vs +8.84% for SPY. Past performance does not guarantee future results.

Which is riskier, AVDS or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 14.5% for AVDS. Worst drawdown: AVDS -13.5% vs SPY -56.5%.

Should I hold both AVDS and SPY?

AVDS and SPY have a monthly-return correlation of 0.65, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between AVDS and SPY?

AVDS and SPY share 2 common holdings with a 0.0% weight overlap. Combined, they hold 2425 unique securities.

Which pays a higher dividend, AVDS or SPY?

AVDS yields 2.32% while SPY yields 1.01%, so AVDS currently pays the higher dividend yield.

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