Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. ISCF offers more diversification with 1011 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: ISCF

Side-by-Side Comparison

MetricISCFSPYWinner
Expense Ratio0.24%0.09%
AUM$652M$789.1B
Dividend Yield3.73%1.01%
Holdings1,188505
YTD Return+11.37%+13.79%
1Y Return+19.38%+23.66%
3Y Return (annualized)+18.25%+21.40%
5Y Return (annualized)+8.24%+13.37%
Volatility (annualized)16.1%15.3%
Max Drawdown-43.6%-56.5%
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryEquityEquity
InceptionApr 28, 2015Jan 22, 1993

ISCF vs SPY Performance

iShares International Small-Cap Equity Factor ETF (ISCF) 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 ISCF returned +19.38% while SPY returned +23.66%. Year to date, ISCF is up 11.37% versus a gain of 13.79% for SPY.

Over three years, ISCF compounded at +18.25% per year against +21.40% for SPY; over five years the annualized figures are +8.24% and +13.37% respectively. Across the full 11-year window we track, SPY has the edge at +8.85% annualized vs +7.46%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

ISCF has been the more volatile fund, with annualized monthly volatility of 16.1% compared with 15.3% for SPY. 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 -43.6% for ISCF 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 0.84. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

ISCF charges 0.24% per year while SPY charges 0.09%. On a $10,000 position that is $24 vs $9 annually, a gap of $15 per year that compounds over a long holding period. On income, ISCF currently yields 3.73% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

ISCF and SPY share 1 holdings out of 1513 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in ISCFWeight in SPYDifference
RF0.08%0.04%0.04%

Frequently Asked Questions

Which is cheaper, ISCF or SPY?

ISCF has an expense ratio of 0.24% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $15 per year of difference.

Which performed better, ISCF or SPY?

Over the past year ISCF returned +19.38% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (11 years), ISCF annualized +7.46% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, ISCF or SPY?

ISCF has been the more volatile fund at 16.1% annualized versus 15.3% for SPY. Worst drawdown: ISCF -43.6% vs SPY -56.5%.

Should I hold both ISCF and SPY?

ISCF and SPY have a monthly-return correlation of 0.84, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between ISCF and SPY?

ISCF and SPY share 1 common holdings with a 0.0% weight overlap. Combined, they hold 1513 unique securities.

Which pays a higher dividend, ISCF or SPY?

ISCF yields 3.73% while SPY yields 1.01%, so ISCF currently pays the higher dividend yield.

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