FXB vs SPY

FXB vs SPY

Which is better, FXB or SPY?

Single Currency against Large Cap Blend.

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window.

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

MetricFXBSPY
Expense Ratio0.40%0.09%Best
AUM$65M$804.7B
Dividend Yield2.11%0.98%
Holdings3505
YTD Return+1.01%+12.09%Best
1Y Return+0.96%+16.29%Best
3Y Return (annualized)+5.41%+21.20%Best
5Y Return (annualized)+1.62%+13.37%Best
Volatility (annualized)8.6%Best15.3%
Max Drawdown-51.3%Best-56.5%
$10,000 over 5 years$10,837$18,728Best
Fund FamilyInvesco (US)State Street Investment Management
CategoryAlternativeEquity
StyleSingle CurrencyLarge Cap Blend
InceptionJun 21, 2006Jan 22, 1993

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Jun 26, 2006 to Sep 18, 2026 (20.2 years).

FXB 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.

FXB vs SPY Performance

Invesco CurrencyShares British Pound Sterling Trust (FXB) is an ETF from Invesco (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year FXB returned +0.96% while SPY returned +16.29%. Year to date, FXB is up 1.01% versus a gain of 12.09% for SPY.

Over three years, FXB compounded at +5.41% per year against +21.20% for SPY; over five years the annualized figures are +1.62% and +13.37% respectively. Across the full 20-year window we track, SPY has the edge at +9.75% annualized vs -1.21%.

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 8.6% for FXB. 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 -51.3% for FXB and -56.5% 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 0.50. They move together some of the time, and apart the rest.

Fees and Cost Over Time

FXB charges 0.40% per year while SPY charges 0.09%. On a $10,000 position that is $40 vs $9 annually, a gap of $31 per year that compounds over a long holding period. On income, FXB currently yields 2.11% against 0.98% for SPY.

You are not choosing between two funds in isolation.

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

FXBSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, FXB or SPY?

FXB has an expense ratio of 0.40% while SPY charges 0.09%. SPY is the cheaper option, by $31 a year on a $10,000 investment.

Which performed better, FXB or SPY?

Over the past year FXB returned +0.96% vs +16.29% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (20 years), FXB annualized -1.21% vs +9.75% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FXB or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 8.6% for FXB. Worst drawdown: FXB -51.3% vs SPY -56.5%.

Should I hold both FXB and SPY?

FXB and SPY have a monthly-return correlation of 0.50, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, FXB or SPY?

FXB yields 2.11% while SPY yields 0.98%, so FXB currently pays the higher dividend yield.

Is SPY better than FXB?

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.