IIGD 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

MetricIIGDSPYWinner
Expense Ratio0.13%0.09%
AUM$27M$789.1B
Dividend Yield4.26%1.01%
Holdings167505
YTD Return+0.44%+13.39%
1Y Return+2.64%+22.52%
3Y Return (annualized)+5.30%+21.36%
5Y Return (annualized)+1.65%+13.19%
Volatility (annualized)3.7%15.3%
Max Drawdown-13.1%-56.5%
Fund FamilyInvesco (US)State Street Investment Management
CategoryFixed IncomeEquity
InceptionJul 25, 2018Jan 22, 1993

IIGD vs SPY Performance

Invesco Investment Grade Defensive ETF (IIGD) is a ETF from Invesco (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year IIGD returned +2.64% while SPY returned +22.52%. Year to date, IIGD is up 0.44% versus a gain of 13.39% for SPY.

Over three years, IIGD compounded at +5.30% per year against +21.36% for SPY; over five years the annualized figures are +1.65% and +13.19% respectively. Across the full 8-year window we track, SPY has the edge at +8.84% annualized vs +1.89%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 3.7% for IIGD. 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 -13.1% for IIGD 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 0.50. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

IIGD charges 0.13% per year while SPY charges 0.09%. On a $10,000 position that is $13 vs $9 annually, a gap of $4 per year that compounds over a long holding period. On income, IIGD currently yields 4.26% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

IIGD and SPY share 0 holdings out of 654 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, IIGD or SPY?

IIGD has an expense ratio of 0.13% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $4 per year of difference.

Which performed better, IIGD or SPY?

Over the past year IIGD returned +2.64% vs +22.52% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (8 years), IIGD annualized +1.89% vs +8.84% for SPY. Past performance does not guarantee future results.

Which is riskier, IIGD or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 3.7% for IIGD. Worst drawdown: IIGD -13.1% vs SPY -56.5%.

Should I hold both IIGD and SPY?

IIGD and SPY have a monthly-return correlation of 0.50, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between IIGD and SPY?

IIGD and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 654 unique securities.

Which pays a higher dividend, IIGD or SPY?

IIGD yields 4.26% while SPY yields 1.01%, so IIGD currently pays the higher dividend yield.

Get Full ETF Analytics

Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.