SMLF vs SPY
iShares US Small-Cap Equity Factor ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, SMLF or SPY?
Small Cap Blend against Large Cap Blend.
SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. SMLF is less concentrated, with 8.1% of the fund in its ten largest positions against 38.0%.
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 | SMLF | SPY |
|---|---|---|
| Expense Ratio | 0.15% | 0.09%Best |
| AUM | $4.3B | $814.4B |
| Dividend Yield | 1.02% | 1.01% |
| Holdings | 934 | 505 |
| YTD Return | +15.67%Best | +12.71% |
| 1Y Return | +18.66% | +19.36%Best |
| 3Y Return (annualized) | +19.07% | +21.09%Best |
| 5Y Return (annualized) | +11.04% | +12.69%Best |
| Volatility (annualized) | 18.9% | 15.1%Best |
| Max Drawdown | -43.1% | -34.1%Best |
| $10,000 over 5 years | $16,881 | $18,173Best |
| Top 10 Weight | 8.1%Best | 38.0% |
| Fund Family | iShares by BlackRock (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Small Cap Blend | Large Cap Blend |
| Inception | Apr 28, 2015 | Jan 22, 1993 |
Volatility and max drawdown are measured over the window both funds cover: Apr 30, 2015 to Sep 8, 2026 (11.4 years).
SMLF 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 11.4 years both funds cover.
SMLF vs SPY Performance
iShares US Small-Cap Equity Factor ETF (SMLF) 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 SMLF returned +18.66% while SPY returned +19.36%. Year to date, SMLF is up 15.67% versus a gain of 12.71% for SPY.
Over three years, SMLF compounded at +19.07% per year against +21.09% for SPY; over five years the annualized figures are +11.04% and +12.69% respectively. Across the full 11-year window we track, SPY has the edge at +12.87% annualized vs +10.80%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SMLF has been the more volatile fund, with annualized monthly volatility of 18.9% 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 -43.1% for SMLF and -34.1% 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 0.87. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SMLF charges 0.15% per year while SPY charges 0.09%. On a $10,000 position that is $15 vs $9 annually, a gap of $6 per year that compounds over a long holding period. On income, SMLF currently yields 1.02% against 1.01% for SPY.
Holdings Overlap
9.5% of SMLF's money is in holdings SPY also owns. 0.9% of SPY's money is in holdings SMLF also owns.
SMLF and SPY share little of their money.
41 positions in common, counted across the 862 positions we hold weights for in SMLF and 503 in SPY, against full books of 934 and 505.
What only one of them owns
Our book lists 453 positions for SPY that do not appear in our book for SMLF (98.5% of the fund), and 779 for SMLF that do not appear in SPY (84.2%).
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 SMLF | Weight in SPY | Difference |
|---|---|---|---|
| EMEEmcor Group Inc (eme) | 0.91% | 0.05% | 0.86% |
| IBKRInteractive Brokers Group Inc | 0.88% | 0.06% | 0.82% |
| JBLJabil, Inc. | 0.77% | 0.05% | 0.72% |
| TPRTapestry Inc | 0.59% | 0.05% | 0.54% |
| WSMWilliams-sonoma Inc | 0.57% | 0.04% | 0.53% |
| MRNAMrna Uw Equity | 0.50% | 0.03% | 0.47% |
| RLRalph Lauren Corp. Class A | 0.33% | 0.02% | 0.31% |
| HASHasbro Inc | 0.33% | 0.02% | 0.31% |
| CASYCasey's General Stores Inc | 0.30% | 0.05% | 0.25% |
| DDDupont De Nemours Inc. | 0.31% | 0.03% | 0.28% |
You are not choosing between two funds in isolation.
Whichever of SMLF and SPY you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, SMLF or SPY?
SMLF has an expense ratio of 0.15% while SPY charges 0.09%. SPY is the cheaper option, by $6 a year on a $10,000 investment.
Which performed better, SMLF or SPY?
Over the past year SMLF returned +18.66% vs +19.36% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (11 years), SMLF annualized +10.80% vs +12.87% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SMLF or SPY?
SMLF has been the more volatile fund at 18.9% annualized versus 15.1% for SPY. Worst drawdown: SMLF -43.1% vs SPY -34.1%.
Should I hold both SMLF and SPY?
SMLF and SPY have a monthly-return correlation of 0.87, 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 SMLF and SPY?
9.5% of SMLF's money is in holdings SPY also owns. 0.9% of SPY's is in holdings SMLF also owns. They hold 41 positions in common, counted across the 862 positions we hold weights for in SMLF and 503 in SPY.
Which pays a higher dividend, SMLF or SPY?
SMLF yields 1.02% while SPY yields 1.01%, so SMLF currently pays the higher dividend yield.
Is SPY better than SMLF?
SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. SMLF is less concentrated, with 8.1% of the fund in its ten largest positions against 38.0%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.