PEJ vs SPY

PEJ vs SPY

Which is better, PEJ or SPY?

Large Cap Growth against Large Cap Blend.

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 47.6%.

Lower Fees: SPYHigher Returns: SPYLess Concentrated: SPY

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

MetricPEJSPY
Expense Ratio0.57%0.09%Best
AUM$420M$804.7B
Dividend Yield0.51%0.98%
Holdings32505
YTD Return+0.48%+12.99%Best
1Y Return-0.33%+16.73%Best
3Y Return (annualized)+17.82%+22.52%Best
5Y Return (annualized)+4.23%+13.07%Best
Volatility (annualized)22.2%15.0%Best
Max Drawdown-67.3%-56.5%Best
$10,000 over 5 years$12,302$18,481Best
Top 10 Weight47.6%37.8%Best
Fund FamilyInvesco (US)State Street Investment Management
CategoryEquityEquity
StyleLarge Cap GrowthLarge Cap Blend
InceptionJun 23, 2005Jan 22, 1993

Volatility and max drawdown are measured over the window both funds cover: Jun 23, 2005 to Sep 23, 2026 (21.3 years).

PEJ 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 21.3 years both funds cover.

PEJ vs SPY Performance

Invesco Leisure and Entertainment ETF (PEJ) is an ETF from Invesco (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year PEJ returned -0.33% while SPY returned +16.73%. Year to date, PEJ is up 0.48% versus a gain of 12.99% for SPY.

Over three years, PEJ compounded at +17.82% per year against +22.52% for SPY; over five years the annualized figures are +4.23% and +13.07% respectively. Across the full 21-year window we track, SPY has the edge at +9.51% annualized vs +7.03%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PEJ has been the more volatile fund, with annualized monthly volatility of 22.2% compared with 15.0% 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 -67.3% for PEJ and -56.5% 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 0.81. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

PEJ charges 0.57% per year while SPY charges 0.09%. On a $10,000 position that is $57 vs $9 annually, a gap of $48 per year that compounds over a long holding period. On income, PEJ currently yields 0.51% against 0.98% for SPY.

Holdings Overlap

PEJ already in SPY41.5%
SPY already in PEJ0.7%

41.5% of PEJ's money is in holdings SPY also owns. 0.7% of SPY's money is in holdings PEJ also owns.

The two portfolios partly overlap.

9 positions in common, counted across the 30 positions we hold weights for in PEJ and 504 in SPY, against full books of 32 and 505.

What only one of them owns

Our book lists 488 positions for SPY that do not appear in our book for PEJ (98.7% of the fund), and 20 for PEJ that do not appear in SPY (53.7%).

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 PEJWeight in SPYDifference
EXPEExpedia Group Inc (consumer Discretionary)6.71%0.05%6.66%
ABNBAirbnb Inc6.51%0.12%6.39%
SYYSysco Corp5.08%0.06%5.02%
SBUXStarbucks Corp4.94%0.18%4.76%
HLTHilton Worldwide Holdings, Inc.4.61%0.11%4.50%
MARMarriott International, Inc.4.33%0.11%4.22%
LVSLas Vegas Sands Corp.4.16%0.02%4.14%
FOXAFox Corp. Class A2.67%0.02%2.65%
TKOTko Group Holdings Inc2.49%0.02%2.47%

41.5% of PEJ 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.

PEJSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, PEJ or SPY?

PEJ has an expense ratio of 0.57% while SPY charges 0.09%. SPY is the cheaper option, by $48 a year on a $10,000 investment.

Which performed better, PEJ or SPY?

Over the past year PEJ returned -0.33% vs +16.73% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (21 years), PEJ annualized +7.03% vs +9.51% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PEJ or SPY?

PEJ has been the more volatile fund at 22.2% annualized versus 15.0% for SPY. Worst drawdown: PEJ -67.3% vs SPY -56.5%.

Should I hold both PEJ and SPY?

PEJ and SPY have a monthly-return correlation of 0.81, 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 PEJ and SPY?

41.5% of PEJ's money is in holdings SPY also owns. 0.7% of SPY's is in holdings PEJ also owns. They hold 9 positions in common, counted across the 30 positions we hold weights for in PEJ and 504 in SPY.

Which pays a higher dividend, PEJ or SPY?

PEJ yields 0.51% while SPY yields 0.98%, so SPY currently pays the higher dividend yield.

Is SPY better than PEJ?

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 47.6%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.