IUS vs SPY
Invesco RAFI Strategic US ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, IUS or SPY?
Large Cap Value against Large Cap Blend.
SPY has a lower expense ratio. IUS led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.94. IUS is less concentrated, with 26.2% 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 | IUS | SPY |
|---|---|---|
| Expense Ratio | 0.19% | 0.09%Best |
| AUM | $981M | $804.7B |
| Dividend Yield | 1.21% | 0.98% |
| Holdings | 541 | 505 |
| YTD Return | +21.71%Best | +11.45% |
| 1Y Return | +28.45%Best | +15.87% |
| 3Y Return (annualized) | +21.54%Best | +20.93% |
| 5Y Return (annualized) | +14.94%Best | +12.59% |
| Volatility (annualized) | 16.6%Best | 16.9% |
| Max Drawdown | -35.2% | -34.1%Best |
| $10,000 over 5 years | $20,061Best | $18,093 |
| Top 10 Weight | 26.2%Best | 37.8% |
| Fund Family | Invesco (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Blend |
| Inception | Sep 12, 2018 | Jan 22, 1993 |
Volatility and max drawdown are measured over the window both funds cover: Sep 12, 2018 to Sep 15, 2026 (8 years).
IUS 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 8 years both funds cover.
IUS vs SPY Performance
Invesco RAFI Strategic US ETF (IUS) is an ETF from Invesco (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year IUS returned +28.45% while SPY returned +15.87%. Year to date, IUS is up 21.71% versus a gain of 11.45% for SPY.
Over three years, IUS compounded at +21.54% per year against +20.93% for SPY; over five years the annualized figures are +14.94% and +12.59% respectively. Across the full 8-year window we track, IUS has the edge at +15.02% annualized vs +13.83%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 16.9% compared with 16.6% for IUS. 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 -35.2% for IUS and -34.1% 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 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
IUS charges 0.19% per year while SPY charges 0.09%. On a $10,000 position that is $19 vs $9 annually, a gap of $10 per year that compounds over a long holding period. On income, IUS currently yields 1.21% against 0.98% for SPY.
Holdings Overlap
89.8% of IUS's money is in holdings SPY also owns. 83.6% of SPY's money is in holdings IUS also owns.
Most of IUS is already inside SPY. Owning both mostly buys the same companies twice.
357 positions in common, counted across the 501 positions we hold weights for in IUS and 504 in SPY, against full books of 541 and 505.
What only one of them owns
Our book lists 143 positions for SPY that do not appear in our book for IUS (15.8% of the fund), and 136 for IUS that do not appear in SPY (7.8%).
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.
Top Shared Holdings
| Stock | Weight in IUS | Weight in SPY | Difference |
|---|---|---|---|
| AAPLApple, Inc | 3.98% | 7.26% | 3.28% |
| NVDANvidia Corp | 2.11% | 8.01% | 5.90% |
| MSFTMicrosoft Corp | 3.98% | 5.66% | 1.68% |
| AMZNAmazon.Com Inc | 2.68% | 3.79% | 1.11% |
| GOOGLAlphabet Inc,class A | 3.45% | 2.99% | 0.46% |
| METAMeta Platforms Inc | 2.36% | 1.93% | 0.43% |
| BRK.BBerkshire Hathaway Inc Brk/B Us Equity | 2.59% | 1.40% | 1.19% |
| AVGOBroadcom Inc | 0.73% | 2.66% | 1.93% |
| XOMExxon Mobil Corp. | 2.24% | 1.04% | 1.20% |
| MUMicron Technology, Inc. | 0.51% | 1.60% | 1.09% |
89.8% of IUS is already inside SPY.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, IUS or SPY?
IUS has an expense ratio of 0.19% while SPY charges 0.09%. SPY is the cheaper option, by $10 a year on a $10,000 investment.
Which performed better, IUS or SPY?
Over the past year IUS returned +28.45% vs +15.87% for SPY, so IUS leads on 1-year performance. Over the longest common window we track (8 years), IUS annualized +15.02% vs +13.83% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IUS or SPY?
SPY has been the more volatile fund at 16.9% annualized versus 16.6% for IUS. Worst drawdown: IUS -35.2% vs SPY -34.1%.
Should I hold both IUS and SPY?
IUS and SPY have a monthly-return correlation of 0.94, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between IUS and SPY?
89.8% of IUS's money is in holdings SPY also owns. 83.6% of SPY's is in holdings IUS also owns. They hold 357 positions in common, counted across the 501 positions we hold weights for in IUS and 504 in SPY.
Which pays a higher dividend, IUS or SPY?
IUS yields 1.21% while SPY yields 0.98%, so IUS currently pays the higher dividend yield.
Is SPY better than IUS?
SPY has a lower expense ratio. IUS led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.94. IUS is less concentrated, with 26.2% 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.