NAD vs SPY
Nuveen Quality Municipal Income Fund vs State Street SPDR S&P 500 ETF Trust
Quick Verdict
SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.
Side-by-Side Comparison
| Metric | NAD | SPY | Winner |
|---|---|---|---|
| Expense Ratio | 3.74% | 0.09% | |
| AUM | - | $789.1B | |
| Dividend Yield | 7.09% | 1.01% | |
| Holdings | 1,159 | 505 | |
| YTD Return | +2.82% | +14.47% | |
| 1Y Return | +12.24% | +21.96% | |
| 3Y Return (annualized) | +9.71% | +21.70% | |
| 5Y Return (annualized) | -0.27% | +13.30% | |
| Volatility (annualized) | 12.2% | 15.3% | |
| Max Drawdown | -51.9% | -56.5% | |
| Fund Family | Nuveen | State Street Investment Management | |
| Category | Tax Preferred | Equity | |
| Inception | May 26, 1999 | Jan 22, 1993 |
NAD vs SPY Performance
Nuveen Quality Municipal Income Fund (NAD) is a ETF from Nuveen and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year NAD returned +12.24% while SPY returned +21.96%. Year to date, NAD is up 2.82% versus a gain of 14.47% for SPY.
Over three years, NAD compounded at +9.71% per year against +21.70% for SPY; over five years the annualized figures are -0.27% and +13.30% respectively. Across the full 27-year window we track, SPY has the edge at +8.87% annualized vs +0.31%. 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 12.2% for NAD. 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 -51.9% for NAD 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 0.19. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
NAD charges 3.74% per year while SPY charges 0.09%. On a $10,000 position that is $374 vs $9 annually, a gap of $365 per year that compounds over a long holding period. On income, NAD currently yields 7.09% against 1.01% for SPY.
Holdings Overlap
NAD and SPY share 0 holdings out of 934 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, NAD or SPY?
NAD has an expense ratio of 3.74% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $365 per year of difference.
Which performed better, NAD or SPY?
Over the past year NAD returned +12.24% vs +21.96% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (27 years), NAD annualized +0.31% vs +8.87% for SPY. Past performance does not guarantee future results.
Which is riskier, NAD or SPY?
SPY has been the more volatile fund at 15.3% annualized versus 12.2% for NAD. Worst drawdown: NAD -51.9% vs SPY -56.5%.
Should I hold both NAD and SPY?
NAD and SPY have a monthly-return correlation of 0.19, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between NAD and SPY?
NAD and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 934 unique securities.
Which pays a higher dividend, NAD or SPY?
NAD yields 7.09% while SPY yields 1.01%, so NAD currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.