IXP vs SPY

Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 505 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricIXPSPYWinner
Expense Ratio0.40%0.09%
AUM$522M$789.1B
Dividend Yield3.48%1.01%
Holdings86505
YTD Return-2.30%+14.47%
1Y Return+2.73%+21.96%
3Y Return (annualized)+20.89%+21.70%
5Y Return (annualized)+7.93%+13.30%
Volatility (annualized)16.6%15.3%
Max Drawdown-53.1%-56.5%
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryEquityEquity
InceptionNov 12, 2001Jan 22, 1993

IXP vs SPY Performance

iShares Global Comm Services ETF (IXP) 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 IXP returned +2.73% while SPY returned +21.96%. Year to date, IXP is down 2.30% versus a gain of 14.47% for SPY.

Over three years, IXP compounded at +20.89% per year against +21.70% for SPY; over five years the annualized figures are +7.93% and +13.30% respectively. Across the full 25-year window we track, SPY has the edge at +8.87% annualized vs +3.63%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

IXP has been the more volatile fund, with annualized monthly volatility of 16.6% 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 -53.1% for IXP 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 0.78. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

IXP charges 0.40% per year while SPY charges 0.09%. On a $10,000 position that is $40 vs $9 annually, a gap of $31 per year that compounds over a long holding period. On income, IXP currently yields 3.48% against 1.01% for SPY.

Holdings Overlap

10.0%overlap

IXP and SPY share 24 holdings out of 544 unique holdings combined, representing a 10.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in IXPWeight in SPYDifference
META17.26%2.03%15.23%
GOOGL13.03%3.32%9.71%
GOOG10.46%2.66%7.80%
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TProProPro
TMUSProProPro
CMCSAProProPro
WBDProProPro
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Frequently Asked Questions

Which is cheaper, IXP or SPY?

IXP has an expense ratio of 0.40% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $31 per year of difference.

Which performed better, IXP or SPY?

Over the past year IXP returned +2.73% vs +21.96% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (25 years), IXP annualized +3.63% vs +8.87% for SPY. Past performance does not guarantee future results.

Which is riskier, IXP or SPY?

IXP has been the more volatile fund at 16.6% annualized versus 15.3% for SPY. Worst drawdown: IXP -53.1% vs SPY -56.5%.

Should I hold both IXP and SPY?

IXP and SPY have a monthly-return correlation of 0.78, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between IXP and SPY?

IXP and SPY share 24 common holdings with a 10.0% weight overlap. Combined, they hold 544 unique securities.

Which pays a higher dividend, IXP or SPY?

IXP yields 3.48% while SPY yields 1.01%, so IXP currently pays the higher dividend yield.

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