IYF vs SPY
iShares US Financials ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, IYF or SPY?
Large Cap Value against Large Cap Blend.
SPY has a lower expense ratio. IYF led over 3Y, SPY over 1Y, 5Y and the full window. SPY is less concentrated, with 38.0% of the fund in its ten largest positions against 48.7%.
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 | IYF | SPY |
|---|---|---|
| Expense Ratio | 0.38% | 0.09%Best |
| AUM | $4.3B | $804.7B |
| Dividend Yield | 1.40% | 0.98% |
| Holdings | 147 | 505 |
| YTD Return | +5.39% | +12.47%Best |
| 1Y Return | +8.56% | +17.51%Best |
| 3Y Return (annualized) | +22.21%Best | +21.18% |
| 5Y Return (annualized) | +11.90% | +12.88%Best |
| Volatility (annualized) | 19.2% | 15.1%Best |
| Max Drawdown | -80.2% | -56.5%Best |
| $10,000 over 5 years | $17,545 | $18,327Best |
| Top 10 Weight | 48.7% | 38.0%Best |
| Fund Family | iShares by BlackRock (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Blend |
| Inception | May 22, 2000 | Jan 22, 1993 |
Volatility and max drawdown are measured over the window both funds cover: May 31, 2000 to Sep 11, 2026 (26.3 years).
IYF 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 26.3 years both funds cover.
IYF vs SPY Performance
iShares US Financials ETF (IYF) 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 IYF returned +8.56% while SPY returned +17.51%. Year to date, IYF is up 5.39% versus a gain of 12.47% for SPY.
Over three years, IYF compounded at +22.21% per year against +21.18% for SPY; over five years the annualized figures are +11.90% and +12.88% respectively. Across the full 26-year window we track, SPY has the edge at +6.90% annualized vs +5.43%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
IYF has been the more volatile fund, with annualized monthly volatility of 19.2% compared with 15.1% 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 -80.2% for IYF and -56.5% 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
IYF charges 0.38% per year while SPY charges 0.09%. On a $10,000 position that is $38 vs $9 annually, a gap of $29 per year that compounds over a long holding period. On income, IYF currently yields 1.40% against 0.98% for SPY.
Holdings Overlap
88.3% of IYF's money is in holdings SPY also owns. 9.8% of SPY's money is in holdings IYF also owns.
Most of IYF is already inside SPY. Owning both mostly buys the same companies twice.
63 positions in common, counted across the 142 positions we hold weights for in IYF and 504 in SPY, against full books of 147 and 505.
What only one of them owns
Our book lists 432 positions for SPY that do not appear in our book for IYF (89.7% of the fund), and 75 for IYF that do not appear in SPY (10.0%).
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 IYF | Weight in SPY | Difference |
|---|---|---|---|
| JPMJpmorgan Chase & Co. | 11.22% | 1.44% | 9.78% |
| BRK.BBerkshire Hathaway B | 11.09% | 1.42% | 9.67% |
| BACBank Of America Corp. | 4.34% | 0.62% | 3.72% |
| GSGoldman Sachs Group Inc. | 3.96% | 0.47% | 3.49% |
| WFCWells Fargo & Co. | 3.79% | 0.41% | 3.38% |
| MSMorgan Stanley | 3.60% | 0.39% | 3.21% |
| CCitigroup Inc. | 3.37% | 0.35% | 3.02% |
| SCHWCharles Schwab Corp. | 2.70% | 0.26% | 2.44% |
| BLKBlackrock Inc. | 2.66% | 0.25% | 2.41% |
| SPGIS&p Global Inc | 1.94% | 0.19% | 1.75% |
88.3% of IYF 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, IYF or SPY?
IYF has an expense ratio of 0.38% while SPY charges 0.09%. SPY is the cheaper option, by $29 a year on a $10,000 investment.
Which performed better, IYF or SPY?
Over the past year IYF returned +8.56% vs +17.51% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (26 years), IYF annualized +5.43% vs +6.90% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, IYF or SPY?
IYF has been the more volatile fund at 19.2% annualized versus 15.1% for SPY. Worst drawdown: IYF -80.2% vs SPY -56.5%.
Should I hold both IYF and SPY?
IYF 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.
What is the holdings overlap between IYF and SPY?
88.3% of IYF's money is in holdings SPY also owns. 9.8% of SPY's is in holdings IYF also owns. They hold 63 positions in common, counted across the 142 positions we hold weights for in IYF and 504 in SPY.
Which pays a higher dividend, IYF or SPY?
IYF yields 1.40% while SPY yields 0.98%, so IYF currently pays the higher dividend yield.
Is SPY better than IYF?
SPY has a lower expense ratio. IYF led over 3Y, SPY over 1Y, 5Y and the full window. SPY is less concentrated, with 38.0% of the fund in its ten largest positions against 48.7%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.