AVSE vs SPY

Quick Verdict

SPY has a lower expense ratio. AVSE delivered stronger 1-year returns. AVSE offers more diversification with 1526 holdings.

Lower Fees: SPYHigher Returns: AVSEMore Diversified: AVSE

Side-by-Side Comparison

MetricAVSESPYWinner
Expense Ratio0.33%0.09%
AUM$210M$789.1B
Dividend Yield1.27%1.01%
Holdings4,803505
YTD Return+18.68%+13.68%
1Y Return+32.87%+21.53%
3Y Return (annualized)+23.33%+21.44%
5Y Return (annualized)-+13.18%
Volatility (annualized)18.4%15.3%
Max Drawdown-26.3%-56.5%
Fund FamilyAvantis InvestorsState Street Investment Management
CategoryEquityEquity
InceptionMar 28, 2022Jan 22, 1993

AVSE vs SPY Performance

Avantis Responsible Emerging Markets Equity ETF (AVSE) 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 AVSE returned +32.87% while SPY returned +21.53%. Year to date, AVSE is up 18.68% versus a gain of 13.68% for SPY.

Over three years, AVSE compounded at +23.33% per year against +21.44% for SPY. Across the full 4-year window we track, AVSE has the edge at +13.55% annualized vs +8.85%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

AVSE has been the more volatile fund, with annualized monthly volatility of 18.4% 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 -26.3% for AVSE 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 0.70. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

AVSE charges 0.33% per year while SPY charges 0.09%. On a $10,000 position that is $33 vs $9 annually, a gap of $24 per year that compounds over a long holding period. On income, AVSE currently yields 1.27% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

AVSE and SPY share 2 holdings out of 2027 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in AVSEWeight in SPYDifference
UNH0.00%0.59%0.59%
HAL0.10%0.04%0.06%

Frequently Asked Questions

Which is cheaper, AVSE or SPY?

AVSE has an expense ratio of 0.33% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $24 per year of difference.

Which performed better, AVSE or SPY?

Over the past year AVSE returned +32.87% vs +21.53% for SPY, so AVSE leads on 1-year performance. Over the longest common window we track (4 years), AVSE annualized +13.55% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, AVSE or SPY?

AVSE has been the more volatile fund at 18.4% annualized versus 15.3% for SPY. Worst drawdown: AVSE -26.3% vs SPY -56.5%.

Should I hold both AVSE and SPY?

AVSE and SPY have a monthly-return correlation of 0.70, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between AVSE and SPY?

AVSE and SPY share 2 common holdings with a 0.0% weight overlap. Combined, they hold 2027 unique securities.

Which pays a higher dividend, AVSE or SPY?

AVSE yields 1.27% while SPY yields 1.01%, so AVSE currently pays the higher dividend yield.

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