PABU vs SPY
iShares Paris-Aligned Climate Optimized MSCI USA ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, PABU or SPY?
Large Cap Growth against Large Cap Blend.
SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. The two have moved almost in lockstep, correlation 0.98. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 47.8%.
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
| Metric | PABU | SPY |
|---|---|---|
| Expense Ratio | 0.10% | 0.09%Best |
| AUM | $2.5B | $804.7B |
| Dividend Yield | 0.90% | 0.98% |
| Holdings | 97 | 505 |
| YTD Return | +8.69% | +12.22%Best |
| 1Y Return | +11.62% | +16.97%Best |
| 3Y Return (annualized) | +18.44% | +21.16%Best |
| 5Y Return (annualized) | - | +13.00% |
| Volatility (annualized) | 16.5% | 15.1%Best |
| Max Drawdown | -20.8% | -19.1%Best |
| $10,000 over 4.4 years | $16,765 | $18,144Best |
| Top 10 Weight | 47.8% | 37.8%Best |
| Fund Family | iShares by BlackRock (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Growth | Large Cap Blend |
| Inception | Feb 8, 2022 | Jan 22, 1993 |
Volatility and max drawdown, and the $10,000 over 4.4 years row, are measured over the window both funds cover: Apr 20, 2022 to Sep 17, 2026 (4.4 years).
PABU 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 4.4 years both funds cover.
PABU vs SPY Performance
iShares Paris-Aligned Climate Optimized MSCI USA ETF (PABU) is an ETF from iShares by BlackRock (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year PABU returned +11.62% while SPY returned +16.97%. Year to date, PABU is up 8.69% versus a gain of 12.22% for SPY.
Over three years, PABU compounded at +18.44% per year against +21.16% for SPY. Across the full 4-year window we track, SPY has the edge at +14.50% annualized vs +12.46%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PABU has been the more volatile fund, with annualized monthly volatility of 16.5% compared with 15.1% 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 -20.8% for PABU and -19.1% 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 0.98. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
PABU charges 0.10% per year while SPY charges 0.09%. On a $10,000 position that is $10 vs $9 annually, a gap of $1 per year that compounds over a long holding period. On income, PABU currently yields 0.90% against 0.98% for SPY.
Holdings Overlap
93.5% of PABU's money is in holdings SPY also owns. 50.0% of SPY's money is in holdings PABU also owns.
Most of PABU is already inside SPY. Owning both mostly buys the same companies twice.
76 positions in common, counted across the 87 positions we hold weights for in PABU and 504 in SPY, against full books of 97 and 505.
What only one of them owns
Our book lists 421 positions for SPY that do not appear in our book for PABU (49.3% of the fund), and 11 for PABU that do not appear in SPY (6.5%).
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
| Stock | Weight in PABU | Weight in SPY | Difference |
|---|---|---|---|
| NVDANvidia Corp | 9.55% | 8.01% | 1.54% |
| AAPLApple, Inc | 7.09% | 7.26% | 0.17% |
| MSFTMicrosoft Corp | 7.68% | 5.66% | 2.02% |
| AVGOBroadcom Inc | 3.63% | 2.66% | 0.97% |
| GOOGAlphabet Inc | 3.80% | 2.39% | 1.41% |
| AMZNAmazon.Com Inc | 1.88% | 3.79% | 1.91% |
| TSLATesla Inc | 3.28% | 1.52% | 1.76% |
| GOOGLAlphabet Inc,class A | 1.72% | 2.99% | 1.27% |
| LLYEli Lilly & Co. | 3.23% | 1.40% | 1.83% |
| AMDAdvanced Micro Devices Inc | 3.31% | 1.14% | 2.17% |
93.5% of PABU 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.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, PABU or SPY?
PABU has an expense ratio of 0.10% while SPY charges 0.09%. SPY is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, PABU or SPY?
Over the past year PABU returned +11.62% vs +16.97% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (4 years), PABU annualized +12.46% vs +14.50% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PABU or SPY?
PABU has been the more volatile fund at 16.5% annualized versus 15.1% for SPY. Worst drawdown: PABU -20.8% vs SPY -19.1%.
Should I hold both PABU and SPY?
PABU and SPY have a monthly-return correlation of 0.98, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between PABU and SPY?
93.5% of PABU's money is in holdings SPY also owns. 50.0% of SPY's is in holdings PABU also owns. They hold 76 positions in common, counted across the 87 positions we hold weights for in PABU and 504 in SPY.
Which pays a higher dividend, PABU or SPY?
PABU yields 0.90% while SPY yields 0.98%, so SPY currently pays the higher dividend yield.
Is SPY better than PABU?
SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. The two have moved almost in lockstep, correlation 0.98. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 47.8%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.