IBHI vs SPY
iShares iBonds 2029 Term High Yield and Income ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, IBHI or SPY?
High Yield Bond against Large Cap Blend.
SPY has a lower expense ratio. SPY led over 1Y, 3Y 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 | IBHI | SPY |
|---|---|---|
| Expense Ratio | 0.35% | 0.09%Best |
| AUM | $507M | $804.7B |
| Dividend Yield | 6.63% | 0.98% |
| Holdings | 374 | 505 |
| YTD Return | -1.99% | +12.47%Best |
| 1Y Return | -1.10% | +17.51%Best |
| 3Y Return (annualized) | +6.83% | +21.18%Best |
| 5Y Return (annualized) | - | +12.88% |
| Volatility (annualized) | 8.6%Best | 15.7% |
| Max Drawdown | -13.7%Best | -22.1% |
| $10,000 over 4.5 years | $11,889 | $19,074Best |
| 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 |
Not shown on this pair: Top 10 Weight.
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 11, 2026 (4.5 years).
IBHI 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.
IBHI vs SPY Performance
iShares iBonds 2029 Term High Yield and Income ETF (IBHI) 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 IBHI returned -1.10% while SPY returned +17.51%. Year to date, IBHI is down 1.99% versus a gain of 12.47% for SPY.
Over three years, IBHI compounded at +6.83% per year against +21.18% 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 8.6% for IBHI. 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 -13.7% for IBHI 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 0.85. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
IBHI 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, IBHI currently yields 6.63% against 0.98% for SPY.
Holdings Overlap
We hold position weights for 348 holdings in IBHI and 504 in SPY, totalling 94.3% 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 348 positions we hold weights for in IBHI and 504 in SPY, against full books of 374 and 505.
You are not choosing between two funds in isolation.
Whichever of IBHI 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, IBHI or SPY?
IBHI 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, IBHI or SPY?
Over the past year IBHI returned -1.10% vs +17.51% 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, IBHI or SPY?
SPY has been the more volatile fund at 15.7% annualized versus 8.6% for IBHI. Worst drawdown: IBHI -13.7% vs SPY -22.1%.
Should I hold both IBHI and SPY?
IBHI and SPY have a monthly-return correlation of 0.85, 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, IBHI or SPY?
IBHI yields 6.63% while SPY yields 0.98%, so IBHI currently pays the higher dividend yield.
Is SPY better than IBHI?
SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.