JMBS vs SPY

JMBS vs SPY
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Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. JMBS offers more diversification with 629 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: JMBS

Side-by-Side Comparison

MetricJMBSSPYWinner
Expense Ratio0.21%0.09%
AUM$6.6B$821.1B
Dividend Yield5.72%1.01%
Holdings629505
YTD Return+0.48%+14.24%
1Y Return+4.03%+21.71%
3Y Return (annualized)+5.35%+22.10%
5Y Return (annualized)+0.62%+13.21%
Volatility (annualized)5.9%15.3%
Max Drawdown-17.0%-56.5%
Fund FamilyJanus Henderson InvestorsState Street Investment Management
CategoryFixed IncomeEquity
InceptionSep 12, 2018Jan 22, 1993

JMBS vs SPY Performance

Janus Henderson Mortgage-Backed Securities ETF (JMBS) is a ETF from Janus Henderson Investors and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year JMBS returned +4.03% while SPY returned +21.71%. Year to date, JMBS is up 0.48% versus a gain of 14.24% for SPY.

Over three years, JMBS compounded at +5.35% per year against +22.10% for SPY; over five years the annualized figures are +0.62% and +13.21% respectively. Across the full 8-year window we track, SPY has the edge at +8.86% annualized vs +1.25%. 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 5.9% for JMBS. 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 -17.0% for JMBS 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 0.47. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

JMBS charges 0.21% per year while SPY charges 0.09%. On a $10,000 position that is $21 vs $9 annually, a gap of $12 per year that compounds over a long holding period. On income, JMBS currently yields 5.72% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

JMBS and SPY share 0 holdings out of 878 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, JMBS or SPY?

JMBS has an expense ratio of 0.21% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $12 per year of difference.

Which performed better, JMBS or SPY?

Over the past year JMBS returned +4.03% vs +21.71% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (8 years), JMBS annualized +1.25% vs +8.86% for SPY. Past performance does not guarantee future results.

Which is riskier, JMBS or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 5.9% for JMBS. Worst drawdown: JMBS -17.0% vs SPY -56.5%.

Should I hold both JMBS and SPY?

JMBS and SPY have a monthly-return correlation of 0.47, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between JMBS and SPY?

JMBS and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 878 unique securities.

Which pays a higher dividend, JMBS or SPY?

JMBS yields 5.72% while SPY yields 1.01%, so JMBS currently pays the higher dividend yield.

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