GEMD vs SPY

Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricGEMDSPYWinner
Expense Ratio0.30%0.09%
AUM$36M$789.1B
Dividend Yield5.63%1.01%
Holdings195505
YTD Return-1.72%+13.79%
1Y Return+3.02%+23.66%
3Y Return (annualized)+6.45%+21.40%
5Y Return (annualized)-+13.37%
Volatility (annualized)10.1%15.3%
Max Drawdown-24.6%-56.5%
Fund FamilyGoldman Sachs Asset ManagementState Street Investment Management
CategoryFixed IncomeEquity
InceptionFeb 15, 2022Jan 22, 1993

GEMD vs SPY Performance

Goldman Sachs Access Emerging Markets USD Bond ETF (GEMD) is a ETF from Goldman Sachs Asset Management and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year GEMD returned +3.02% while SPY returned +23.66%. Year to date, GEMD is down 1.72% versus a gain of 13.79% for SPY.

Over three years, GEMD compounded at +6.45% per year against +21.40% for SPY. Across the full 5-year window we track, SPY has the edge at +8.85% annualized vs +1.11%. 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 10.1% for GEMD. 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 -24.6% for GEMD 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 0.77. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

GEMD 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, GEMD currently yields 5.63% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

GEMD and SPY share 0 holdings out of 595 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, GEMD or SPY?

GEMD 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, GEMD or SPY?

Over the past year GEMD returned +3.02% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (5 years), GEMD annualized +1.11% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, GEMD or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 10.1% for GEMD. Worst drawdown: GEMD -24.6% vs SPY -56.5%.

Should I hold both GEMD and SPY?

GEMD and SPY have a monthly-return correlation of 0.77, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between GEMD and SPY?

GEMD and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 595 unique securities.

Which pays a higher dividend, GEMD or SPY?

GEMD yields 5.63% while SPY yields 1.01%, so GEMD currently pays the higher dividend yield.

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