PIT vs SPY

Quick Verdict

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

Lower Fees: SPYHigher Returns: PITMore Diversified: SPY

Side-by-Side Comparison

MetricPITSPYWinner
Expense Ratio0.55%0.09%
AUM$295M$789.1B
Dividend Yield7.15%1.01%
Holdings30505
YTD Return+38.15%+13.79%
1Y Return+41.67%+23.66%
3Y Return (annualized)+16.05%+21.40%
5Y Return (annualized)-+13.37%
Volatility (annualized)17.9%15.3%
Max Drawdown-17.2%-56.5%
Fund FamilyVanEckState Street Investment Management
CategoryAlternativeEquity
InceptionDec 20, 2022Jan 22, 1993

PIT vs SPY Performance

VanEck Commodity Strategy ETF (PIT) is a ETF from VanEck and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year PIT returned +41.67% while SPY returned +23.66%. Year to date, PIT is up 38.15% versus a gain of 13.79% for SPY.

Over three years, PIT compounded at +16.05% per year against +21.40% for SPY. Across the full 4-year window we track, PIT has the edge at +14.12% annualized vs +8.85%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PIT has been the more volatile fund, with annualized monthly volatility of 17.9% 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 -17.2% for PIT 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 -0.07. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

PIT charges 0.55% per year while SPY charges 0.09%. On a $10,000 position that is $55 vs $9 annually, a gap of $46 per year that compounds over a long holding period. On income, PIT currently yields 7.15% against 1.01% for SPY.

Frequently Asked Questions

Which is cheaper, PIT or SPY?

PIT has an expense ratio of 0.55% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $46 per year of difference.

Which performed better, PIT or SPY?

Over the past year PIT returned +41.67% vs +23.66% for SPY, so PIT leads on 1-year performance. Over the longest common window we track (4 years), PIT annualized +14.12% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, PIT or SPY?

PIT has been the more volatile fund at 17.9% annualized versus 15.3% for SPY. Worst drawdown: PIT -17.2% vs SPY -56.5%.

Should I hold both PIT and SPY?

PIT and SPY have a monthly-return correlation of -0.07, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, PIT or SPY?

PIT yields 7.15% while SPY yields 1.01%, so PIT currently pays the higher dividend yield.

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