BUFP vs SPY
PGIM Laddered S&P 500 Buffer 12 ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, BUFP or SPY?
Option Writing against Large Cap Blend.
SPY has a lower expense ratio. SPY led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.98. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 83.3%.
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
| Metric | BUFP | SPY |
|---|---|---|
| Expense Ratio | 0.50% | 0.09%Best |
| AUM | $251M | $804.7B |
| Dividend Yield | 0.01% | 0.98% |
| Holdings | 16 | 505 |
| YTD Return | +8.83% | +12.22%Best |
| 1Y Return | +12.26% | +16.97%Best |
| 3Y Return (annualized) | - | +21.16% |
| 5Y Return (annualized) | - | +13.00% |
| Volatility (annualized) | 6.1%Best | 11.9% |
| Max Drawdown | -12.0%Best | -18.8% |
| $10,000 over 2.3 years | $13,122 | $14,528Best |
| Top 10 Weight | 83.3% | 37.8%Best |
| Fund Family | PGIM Investments | State Street Investment Management |
| Category | Alternative | Equity |
| Style | Option Writing | Large Cap Blend |
| Inception | Jun 11, 2024 | Jan 22, 1993 |
Volatility and max drawdown, and the $10,000 over 2.3 years row, are measured over the window both funds cover: Jun 13, 2024 to Sep 17, 2026 (2.3 years).
BUFP 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 2.3 years both funds cover.
BUFP vs SPY Performance
PGIM Laddered S&P 500 Buffer 12 ETF (BUFP) is an ETF from PGIM Investments and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year BUFP returned +12.26% while SPY returned +16.97%. Year to date, BUFP is up 8.83% versus a gain of 12.22% for SPY.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 11.9% compared with 6.1% for BUFP. 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 -12.0% for BUFP and -18.8% 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 0.98. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
BUFP 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, BUFP currently yields 0.01% against 0.98% for SPY.
Holdings Overlap
We hold position weights for 12 holdings in BUFP and 504 in SPY, totalling 100.0% 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 12 positions we hold weights for in BUFP and 504 in SPY, against full books of 16 and 505.
What only one of them owns
Our book lists 497 positions for SPY that do not appear in our book for BUFP (99.3% of the fund), and 12 for BUFP that do not appear in SPY (100.0%).
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 BUFP and SPY you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, BUFP or SPY?
BUFP has an expense ratio of 0.50% while SPY charges 0.09%. SPY is the cheaper option, by $41 a year on a $10,000 investment.
Which performed better, BUFP or SPY?
Over the past year BUFP returned +12.26% vs +16.97% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (2 years), BUFP annualized +12.54% vs +17.63% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, BUFP or SPY?
SPY has been the more volatile fund at 11.9% annualized versus 6.1% for BUFP. Worst drawdown: BUFP -12.0% vs SPY -18.8%.
Should I hold both BUFP and SPY?
BUFP and SPY have a monthly-return correlation of 0.98, 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, BUFP or SPY?
BUFP yields 0.01% while SPY yields 0.98%, so SPY currently pays the higher dividend yield.
Is SPY better than BUFP?
SPY has a lower expense ratio. SPY led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.98. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 83.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.