Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricNERDSPYWinner
Expense Ratio0.50%0.09%
AUM$15M$789.1B
Dividend Yield1.40%1.01%
Holdings46505
YTD Return-8.59%+13.79%
1Y Return-17.11%+23.66%
3Y Return (annualized)+15.19%+21.40%
5Y Return (annualized)-3.63%+13.37%
Volatility (annualized)22.6%15.3%
Max Drawdown-65.6%-56.5%
Fund FamilyRoundhill InvestmentsState Street Investment Management
CategoryEquityEquity
InceptionJun 3, 2019Jan 22, 1993

NERD vs SPY Performance

Roundhill Video Games ETF (NERD) is a ETF from Roundhill Investments and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year NERD returned -17.11% while SPY returned +23.66%. Year to date, NERD is down 8.59% versus a gain of 13.79% for SPY.

Over three years, NERD compounded at +15.19% per year against +21.40% for SPY; over five years the annualized figures are -3.63% and +13.37% respectively. Across the full 7-year window we track, SPY has the edge at +8.85% annualized vs +6.37%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

NERD has been the more volatile fund, with annualized monthly volatility of 22.6% 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 -65.6% for NERD 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 0.65. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

NERD 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, NERD currently yields 1.40% against 1.01% for SPY.

Holdings Overlap

0.1%overlap

NERD and SPY share 2 holdings out of 541 unique holdings combined, representing a 0.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in NERDWeight in SPYDifference
EA8.48%0.07%8.41%
TTWO8.21%0.07%8.14%

Frequently Asked Questions

Which is cheaper, NERD or SPY?

NERD 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, NERD or SPY?

Over the past year NERD returned -17.11% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (7 years), NERD annualized +6.37% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, NERD or SPY?

NERD has been the more volatile fund at 22.6% annualized versus 15.3% for SPY. Worst drawdown: NERD -65.6% vs SPY -56.5%.

Should I hold both NERD and SPY?

NERD and SPY have a monthly-return correlation of 0.65, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between NERD and SPY?

NERD and SPY share 2 common holdings with a 0.1% weight overlap. Combined, they hold 541 unique securities.

Which pays a higher dividend, NERD or SPY?

NERD yields 1.40% while SPY yields 1.01%, so NERD currently pays the higher dividend yield.

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