GOVZ vs SPY
iShares 25+ Year Treasury STRIPS Bond ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, GOVZ or SPY?
Long Term Government Bond against Large Cap Blend.
SPY has a lower expense ratio. GOVZ led over 1Y and 3Y, SPY over 5Y and the full window.
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 | GOVZ | SPY |
|---|---|---|
| Expense Ratio | 0.10% | 0.09%Best |
| AUM | $324M | $804.7B |
| Dividend Yield | 5.17% | 0.98% |
| Holdings | 22 | 505 |
| YTD Return | +255.90%Best | +11.52% |
| 1Y Return | +240.53%Best | +17.48% |
| 3Y Return (annualized) | +47.15%Best | +20.62% |
| 5Y Return (annualized) | +12.00% | +12.73%Best |
| Volatility (annualized) | 125.4% | 15.4%Best |
| Max Drawdown | -59.6% | -24.5%Best |
| $10,000 over 5 years | $17,623 | $18,205Best |
| Fund Family | iShares by BlackRock (US) | State Street Investment Management |
| Category | Fixed Income | Equity |
| Style | Long Term Government Bond | Large Cap Blend |
| Inception | Sep 22, 2020 | Jan 22, 1993 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 24, 2020 to Sep 10, 2026 (6 years).
GOVZ 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.
GOVZ vs SPY Performance
iShares 25+ Year Treasury STRIPS Bond ETF (GOVZ) is an ETF from iShares by BlackRock (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year GOVZ returned +240.53% while SPY returned +17.48%. Year to date, GOVZ is up 255.90% versus a gain of 11.52% for SPY.
Over three years, GOVZ compounded at +47.15% per year against +20.62% for SPY; over five years the annualized figures are +12.00% and +12.73% respectively. Across the full 6-year window we track, SPY has the edge at +16.80% annualized vs +7.68%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
GOVZ has been the more volatile fund, with annualized monthly volatility of 125.4% 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 -59.6% for GOVZ 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 0.19. They move largely independently of each other.
Fees and Cost Over Time
GOVZ charges 0.10% per year while SPY charges 0.09%. On a $10,000 position that is $10 vs $9 annually, a gap of $1 per year that compounds over a long holding period. On income, GOVZ currently yields 5.17% against 0.98% for SPY.
Holdings Overlap
We hold position weights for 18 holdings in GOVZ and 504 in SPY, totalling 85.9% and 100.0% 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 18 positions we hold weights for in GOVZ and 504 in SPY, against full books of 22 and 505.
You are not choosing between two funds in isolation.
Whichever of GOVZ 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, GOVZ or SPY?
GOVZ has an expense ratio of 0.10% while SPY charges 0.09%. SPY is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, GOVZ or SPY?
Over the past year GOVZ returned +240.53% vs +17.48% for SPY, so GOVZ leads on 1-year performance. Over the longest common window we track (6 years), GOVZ annualized +7.68% vs +16.80% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, GOVZ or SPY?
GOVZ has been the more volatile fund at 125.4% annualized versus 15.4% for SPY. Worst drawdown: GOVZ -59.6% vs SPY -24.5%.
Should I hold both GOVZ and SPY?
GOVZ and SPY have a monthly-return correlation of 0.19, 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, GOVZ or SPY?
GOVZ yields 5.17% while SPY yields 0.98%, so GOVZ currently pays the higher dividend yield.
Is SPY better than GOVZ?
SPY has a lower expense ratio. GOVZ led over 1Y and 3Y, SPY over 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.