OPTZ vs SPY

OPTZ vs SPY

Which is better, OPTZ or SPY?

Large Cap Value against Large Cap Blend.

SPY has a lower expense ratio. OPTZ led over 1Y and the full window. OPTZ is less concentrated, with 21.9% of the fund in its ten largest positions against 37.8%.

Lower Fees: SPYHigher Returns: OPTZLess Concentrated: OPTZ

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

MetricOPTZSPY
Expense Ratio0.25%0.09%Best
AUM$265M$804.7B
Dividend Yield0.46%0.98%
Holdings339505
YTD Return+26.62%Best+13.81%
1Y Return+30.57%Best+16.94%
3Y Return (annualized)-+22.84%
5Y Return (annualized)-+13.50%
Volatility (annualized)19.0%11.7%Best
Max Drawdown-25.5%-18.8%Best
$10,000 over 2.4 years$18,289Best$15,663
Top 10 Weight21.9%Best37.8%
Fund FamilyOptimize FinancialState Street Investment Management
CategoryEquityEquity
StyleLarge Cap ValueLarge Cap Blend
InceptionApr 23, 2024Jan 22, 1993

Volatility and max drawdown, and the $10,000 over 2.4 years row, are measured over the window both funds cover: Apr 23, 2024 to Sep 22, 2026 (2.4 years).

OPTZ 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 2.4 years both funds cover.

OPTZ vs SPY Performance

Optimize Strategy Index ETF (OPTZ) is an ETF from Optimize Financial and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year OPTZ returned +30.57% while SPY returned +16.94%. Year to date, OPTZ is up 26.62% versus a gain of 13.81% for SPY.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

OPTZ has been the more volatile fund, with annualized monthly volatility of 19.0% compared with 11.7% 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 -25.5% for OPTZ and -18.8% 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 0.80. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

OPTZ charges 0.25% per year while SPY charges 0.09%. On a $10,000 position that is $25 vs $9 annually, a gap of $16 per year that compounds over a long holding period. On income, OPTZ currently yields 0.46% against 0.98% for SPY.

Holdings Overlap

OPTZ already in SPY54.4%
SPY already in OPTZ47.9%

54.4% of OPTZ's money is in holdings SPY also owns. 47.9% of SPY's money is in holdings OPTZ also owns.

The two portfolios partly overlap.

144 positions in common, counted across the 336 positions we hold weights for in OPTZ and 504 in SPY, against full books of 339 and 505.

What only one of them owns

Our book lists 354 positions for SPY that do not appear in our book for OPTZ (51.5% of the fund), and 184 for OPTZ that do not appear in SPY (40.7%).

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

StockWeight in OPTZWeight in SPYDifference
NVDANvidia Corp1.35%8.01%6.66%
AAPLApple, Inc1.35%7.26%5.91%
MSFTMicrosoft Corp1.30%5.66%4.36%
MUMicron Technology, Inc.2.77%1.60%1.17%
AMZNAmazon.Com Inc0.29%3.79%3.50%
AMDAdvanced Micro Devices Inc2.55%1.14%1.41%
SNDKSandisk Corp/De3.16%0.35%2.81%
STXSeagate Technology Holdings Plc2.46%0.28%2.18%
WDCWestern Digital Corp Company Guar 11/28 31.96%0.24%1.72%
LRCXLrcx Uw Equity1.55%0.55%1.00%

54.4% of OPTZ 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.

OPTZSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, OPTZ or SPY?

OPTZ has an expense ratio of 0.25% while SPY charges 0.09%. SPY is the cheaper option, by $16 a year on a $10,000 investment.

Which performed better, OPTZ or SPY?

Over the past year OPTZ returned +30.57% vs +16.94% for SPY, so OPTZ leads on 1-year performance. Over the longest common window we track (2 years), OPTZ annualized +28.60% vs +20.56% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, OPTZ or SPY?

OPTZ has been the more volatile fund at 19.0% annualized versus 11.7% for SPY. Worst drawdown: OPTZ -25.5% vs SPY -18.8%.

Should I hold both OPTZ and SPY?

OPTZ and SPY have a monthly-return correlation of 0.80, 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 OPTZ and SPY?

54.4% of OPTZ's money is in holdings SPY also owns. 47.9% of SPY's is in holdings OPTZ also owns. They hold 144 positions in common, counted across the 336 positions we hold weights for in OPTZ and 504 in SPY.

Which pays a higher dividend, OPTZ or SPY?

OPTZ yields 0.46% while SPY yields 0.98%, so SPY currently pays the higher dividend yield.

Is SPY better than OPTZ?

SPY has a lower expense ratio. OPTZ led over 1Y and the full window. OPTZ is less concentrated, with 21.9% of the fund in its ten largest positions against 37.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.