IBHH vs SPY
iShares iBonds 2028 Term High Yield and Income ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, IBHH or SPY?
High Yield Bond against Large Cap Blend.
SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. IBHH is less concentrated, with 16.5% of the fund in its ten largest positions against 37.8%.
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 | IBHH | SPY |
|---|---|---|
| Expense Ratio | 0.35% | 0.09%Best |
| AUM | $452M | $804.7B |
| Dividend Yield | 6.20% | 0.98% |
| Holdings | 216 | 505 |
| YTD Return | -1.44% | +12.22%Best |
| 1Y Return | -0.64% | +16.97%Best |
| 3Y Return (annualized) | +6.55% | +21.16%Best |
| 5Y Return (annualized) | - | +13.00% |
| Volatility (annualized) | 7.5%Best | 15.7% |
| Max Drawdown | -12.1%Best | -22.1% |
| $10,000 over 4.5 years | $11,904 | $18,985Best |
| Top 10 Weight | 16.5%Best | 37.8% |
| Fund Family | iShares by BlackRock (US) | State Street Investment Management |
| Category | Fixed Income | Equity |
| Style | High Yield Bond | Large Cap Blend |
| Inception | Mar 8, 2022 | Jan 22, 1993 |
Volatility and max drawdown, and the $10,000 over 4.5 years row, are measured over the window both funds cover: Mar 10, 2022 to Sep 17, 2026 (4.5 years).
IBHH 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 4.5 years both funds cover.
IBHH vs SPY Performance
iShares iBonds 2028 Term High Yield and Income ETF (IBHH) 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 IBHH returned -0.64% while SPY returned +16.97%. Year to date, IBHH is down 1.44% versus a gain of 12.22% for SPY.
Over three years, IBHH compounded at +6.55% per year against +21.16% for SPY.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 15.7% compared with 7.5% for IBHH. 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 -12.1% for IBHH and -22.1% 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 0.84. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
IBHH charges 0.35% per year while SPY charges 0.09%. On a $10,000 position that is $35 vs $9 annually, a gap of $26 per year that compounds over a long holding period. On income, IBHH currently yields 6.20% against 0.98% for SPY.
Holdings Overlap
We hold position weights for 194 holdings in IBHH and 504 in SPY, totalling 96.8% and 99.9% 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 194 positions we hold weights for in IBHH and 504 in SPY, against full books of 216 and 505.
What only one of them owns
Our book lists 497 positions for SPY that do not appear in our book for IBHH (99.3% of the fund), and 193 for IBHH that do not appear in SPY (96.2%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of IBHH 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, IBHH or SPY?
IBHH has an expense ratio of 0.35% while SPY charges 0.09%. SPY is the cheaper option, by $26 a year on a $10,000 investment.
Which performed better, IBHH or SPY?
Over the past year IBHH returned -0.64% vs +16.97% 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, IBHH or SPY?
SPY has been the more volatile fund at 15.7% annualized versus 7.5% for IBHH. Worst drawdown: IBHH -12.1% vs SPY -22.1%.
Should I hold both IBHH and SPY?
IBHH and SPY have a monthly-return correlation of 0.84, 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, IBHH or SPY?
IBHH yields 6.20% while SPY yields 0.98%, so IBHH currently pays the higher dividend yield.
Is SPY better than IBHH?
SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. IBHH is less concentrated, with 16.5% of the fund in its ten largest positions against 37.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.