BMED vs SPY

BMED vs SPY

Which is better, BMED or SPY?

All Cap Blend against Large Cap Blend.

SPY has a lower expense ratio. BMED led over 1Y, SPY over 3Y, 5Y and the full window. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 42.4%.

Lower Fees: SPYHigher Returns: splitLess Concentrated: 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

MetricBMEDSPY
Expense Ratio0.55%0.09%Best
AUM$14M$804.7B
Dividend Yield0.24%0.98%
Holdings61505
YTD Return+13.16%Best+12.99%
1Y Return+30.05%Best+16.73%
3Y Return (annualized)+15.09%+22.52%Best
5Y Return (annualized)+2.30%+13.07%Best
Volatility (annualized)17.1%15.4%Best
Max Drawdown-36.4%-24.5%Best
$10,000 over 5 years$11,204$18,481Best
Top 10 Weight42.4%37.8%Best
Fund FamilyBlackRock, Inc. (US)State Street Investment Management
CategoryEquityEquity
StyleAll Cap BlendLarge Cap Blend
InceptionSep 29, 2020Jan 22, 1993

Volatility and max drawdown are measured over the window both funds cover: Oct 1, 2020 to Sep 23, 2026 (6 years).

BMED 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 6 years both funds cover.

BMED vs SPY Performance

iShares Health Innovation Active ETF (BMED) is an ETF from BlackRock, Inc. (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year BMED returned +30.05% while SPY returned +16.73%. Year to date, BMED is up 13.16% versus a gain of 12.99% for SPY.

Over three years, BMED compounded at +15.09% per year against +22.52% for SPY; over five years the annualized figures are +2.30% and +13.07% respectively. Across the full 6-year window we track, SPY has the edge at +16.20% annualized vs +5.10%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

BMED has been the more volatile fund, with annualized monthly volatility of 17.1% compared with 15.4% 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 -36.4% for BMED and -24.5% 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 0.68. They move together some of the time, and apart the rest.

Fees and Cost Over Time

BMED charges 0.55% per year while SPY charges 0.09%. On a $10,000 position that is $55 vs $9 annually, a gap of $46 per year that compounds over a long holding period. On income, BMED currently yields 0.24% against 0.98% for SPY.

Holdings Overlap

BMED already in SPY69.2%
SPY already in BMED4.7%

69.2% of BMED's money is in holdings SPY also owns. 4.7% of SPY's money is in holdings BMED also owns.

The two portfolios partly overlap.

20 positions in common, counted across the 53 positions we hold weights for in BMED and 504 in SPY, against full books of 61 and 505.

What only one of them owns

Our book lists 477 positions for SPY that do not appear in our book for BMED (94.7% of the fund), and 23 for BMED that do not appear in SPY (19.1%).

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.

Top Shared Holdings

StockWeight in BMEDWeight in SPYDifference
MRKMerck & Company Inc4.99%0.56%4.43%
ABBVAbbvie Inc.4.61%0.70%3.91%
GILDGilead Sciences5.01%0.28%4.73%
JNJJohnson & Johnson - Common4.27%0.99%3.28%
TMOThermo Fisherscientific Inc.4.12%0.34%3.78%
CRLCharles River Laboratories International Inc4.22%0.02%4.20%
EWEdwards Lifesciences Corp3.95%0.08%3.87%
MRNAModerna therapeutics3.86%0.08%3.78%
DHRDanaher Corporation3.64%0.20%3.44%
IQVI Q V I A Holdings Inc.3.72%0.07%3.65%

69.2% of BMED is already inside SPY.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

BMEDSPY

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Frequently Asked Questions

Which is cheaper, BMED or SPY?

BMED has an expense ratio of 0.55% while SPY charges 0.09%. SPY is the cheaper option, by $46 a year on a $10,000 investment.

Which performed better, BMED or SPY?

Over the past year BMED returned +30.05% vs +16.73% for SPY, so BMED leads on 1-year performance. Over the longest common window we track (6 years), BMED annualized +5.10% vs +16.20% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, BMED or SPY?

BMED has been the more volatile fund at 17.1% annualized versus 15.4% for SPY. Worst drawdown: BMED -36.4% vs SPY -24.5%.

Should I hold both BMED and SPY?

BMED and SPY have a monthly-return correlation of 0.68, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between BMED and SPY?

69.2% of BMED's money is in holdings SPY also owns. 4.7% of SPY's is in holdings BMED also owns. They hold 20 positions in common, counted across the 53 positions we hold weights for in BMED and 504 in SPY.

Which pays a higher dividend, BMED or SPY?

BMED yields 0.24% while SPY yields 0.98%, so SPY currently pays the higher dividend yield.

Is SPY better than BMED?

SPY has a lower expense ratio. BMED led over 1Y, SPY over 3Y, 5Y and the full window. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 42.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.