IBDW vs SPY
iShares iBonds Dec 2031 Term Corporate ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, IBDW or SPY?
SPY has been ahead.
SPY has a lower expense ratio. SPY led over 1Y, 3Y, 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 | IBDW | SPY |
|---|---|---|
| Expense Ratio | 0.10% | 0.09%Best |
| AUM | $2.6B | $814.4B |
| Dividend Yield | 4.81% | 1.01% |
| Holdings | 624 | 505 |
| YTD Return | -0.15% | +13.34%Best |
| 1Y Return | +1.18% | +19.97%Best |
| 3Y Return (annualized) | +6.23% | +21.20%Best |
| 5Y Return (annualized) | +0.13% | +12.81%Best |
| Volatility (annualized) | 8.2%Best | 15.5% |
| Max Drawdown | -23.9%Best | -24.5% |
| $10,000 over 5 years | $10,065 | $18,270Best |
| Fund Family | iShares by BlackRock (US) | State Street Investment Management |
| Category | Fixed Income | Equity |
| Style | - | Large Cap Blend |
| Inception | Jun 22, 2021 | Jan 22, 1993 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jun 24, 2021 to Sep 4, 2026 (5.2 years).
IBDW 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 5.2 years both funds cover.
IBDW vs SPY Performance
iShares iBonds Dec 2031 Term Corporate ETF (IBDW) 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 IBDW returned +1.18% while SPY returned +19.97%. Year to date, IBDW is down 0.15% versus a gain of 13.34% for SPY.
Over three years, IBDW compounded at +6.23% per year against +21.20% for SPY; over five years the annualized figures are +0.13% and +12.81% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 15.5% compared with 8.2% for IBDW. 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 -23.9% for IBDW 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 0.69. They move together some of the time, and apart the rest.
Fees and Cost Over Time
IBDW 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, IBDW currently yields 4.81% against 1.01% for SPY.
Holdings Overlap
We hold position weights for 430 holdings in IBDW and 504 in SPY, totalling 70.2% 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 430 positions we hold weights for in IBDW and 504 in SPY, against full books of 624 and 505.
You are not choosing between two funds in isolation.
Whichever of IBDW 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, IBDW or SPY?
IBDW 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, IBDW or SPY?
Over the past year IBDW returned +1.18% vs +19.97% for SPY, so SPY leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IBDW or SPY?
SPY has been the more volatile fund at 15.5% annualized versus 8.2% for IBDW. Worst drawdown: IBDW -23.9% vs SPY -24.5%.
Should I hold both IBDW and SPY?
IBDW and SPY have a monthly-return correlation of 0.69, 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, IBDW or SPY?
IBDW yields 4.81% while SPY yields 1.01%, so IBDW currently pays the higher dividend yield.
Is SPY better than IBDW?
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.