HIMU 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

MetricHIMUSPYWinner
Expense Ratio0.42%0.09%
AUM$2.4B$789.1B
Dividend Yield5.08%1.01%
Holdings909505
YTD Return-0.18%+13.68%
1Y Return+4.10%+21.53%
3Y Return (annualized)-+21.44%
5Y Return (annualized)-+13.18%
Volatility (annualized)5.9%15.3%
Max Drawdown-8.0%-56.5%
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryFixed IncomeEquity
InceptionFeb 7, 2025Jan 22, 1993

HIMU vs SPY Performance

iShares High Yield Muni Active ETF (HIMU) is a ETF from iShares by BlackRock (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year HIMU returned +4.10% while SPY returned +21.53%. Year to date, HIMU is down 0.18% versus a gain of 13.68% for SPY.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 5.9% for HIMU. 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 -8.0% for HIMU 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 0.53. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

HIMU charges 0.42% per year while SPY charges 0.09%. On a $10,000 position that is $42 vs $9 annually, a gap of $33 per year that compounds over a long holding period. On income, HIMU currently yields 5.08% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

HIMU and SPY share 0 holdings out of 719 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, HIMU or SPY?

HIMU has an expense ratio of 0.42% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $33 per year of difference.

Which performed better, HIMU or SPY?

Over the past year HIMU returned +4.10% vs +21.53% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (2 years), HIMU annualized +0.37% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, HIMU or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 5.9% for HIMU. Worst drawdown: HIMU -8.0% vs SPY -56.5%.

Should I hold both HIMU and SPY?

HIMU and SPY have a monthly-return correlation of 0.53, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between HIMU and SPY?

HIMU and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 719 unique securities.

Which pays a higher dividend, HIMU or SPY?

HIMU yields 5.08% while SPY yields 1.01%, so HIMU currently pays the higher dividend yield.

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