LGRO vs SPY

LGRO vs SPY
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Quick Verdict

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

Lower Fees: SPYHigher Returns: LGROMore Diversified: SPY

Side-by-Side Comparison

MetricLGROSPYWinner
Expense Ratio0.50%0.09%
AUM$144M$821.1B
Dividend Yield0.35%1.01%
Holdings49505
YTD Return+13.93%+12.22%
1Y Return+24.35%+20.83%
3Y Return (annualized)+23.25%+21.70%
5Y Return (annualized)-+12.98%
Volatility (annualized)16.9%15.3%
Max Drawdown-23.3%-56.5%
Fund FamilyALPS AdvisorsState Street Investment Management
CategoryEquityEquity
InceptionAug 22, 2023Jan 22, 1993

LGRO vs SPY Performance

Level Four Large Cap Growth Active ETF (LGRO) is a ETF from ALPS Advisors and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year LGRO returned +24.35% while SPY returned +20.83%. Year to date, LGRO is up 13.93% versus a gain of 12.22% for SPY.

Over three years, LGRO compounded at +23.25% per year against +21.70% for SPY. Across the full 3-year window we track, LGRO has the edge at +23.25% annualized vs +8.79%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

LGRO has been the more volatile fund, with annualized monthly volatility of 16.9% 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 -23.3% for LGRO 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 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

LGRO charges 0.50% per year while SPY charges 0.09%. On a $10,000 position that is $50 vs $9 annually, a gap of $41 per year that compounds over a long holding period. On income, LGRO currently yields 0.35% against 1.01% for SPY.

Holdings Overlap

38.5%overlap

LGRO and SPY share 38 holdings out of 514 unique holdings combined, representing a 38.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in LGROWeight in SPYDifference
AAPL7.52%6.83%0.69%
NVDA4.25%7.71%3.46%
MSFT5.92%5.50%0.42%
AMZNProProPro
GOOGLProProPro
AVGOProProPro
UNHProProPro
METAProProPro
MUProProPro
PYPLProProPro
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Frequently Asked Questions

Which is cheaper, LGRO or SPY?

LGRO has an expense ratio of 0.50% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $41 per year of difference.

Which performed better, LGRO or SPY?

Over the past year LGRO returned +24.35% vs +20.83% for SPY, so LGRO leads on 1-year performance. Over the longest common window we track (3 years), LGRO annualized +23.25% vs +8.79% for SPY. Past performance does not guarantee future results.

Which is riskier, LGRO or SPY?

LGRO has been the more volatile fund at 16.9% annualized versus 15.3% for SPY. Worst drawdown: LGRO -23.3% vs SPY -56.5%.

Should I hold both LGRO and SPY?

LGRO and SPY have a monthly-return correlation of 0.94, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between LGRO and SPY?

LGRO and SPY share 38 common holdings with a 38.5% weight overlap. Combined, they hold 514 unique securities.

Which pays a higher dividend, LGRO or SPY?

LGRO yields 0.35% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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