SOVF vs SPY

SOVF vs SPY

Which is better, SOVF or SPY?

SPY has been ahead.

SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. SOVF is less concentrated, with 35.4% of the fund in its ten largest positions against 38.0%.

Lower Fees: SPYHigher Returns: SPYLess Concentrated: SOVF

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

MetricSOVFSPY
Expense Ratio0.75%0.09%Best
AUM$91M$814.4B
Dividend Yield0.73%1.01%
Holdings79505
YTD Return+10.63%+13.78%Best
1Y Return+6.23%+21.44%Best
3Y Return (annualized)+10.39%+21.38%Best
5Y Return (annualized)-+12.80%
Volatility (annualized)16.6%12.3%Best
Max Drawdown-21.7%-18.8%Best
$10,000 over 2.9 years$13,320$18,893Best
Top 10 Weight35.4%Best38.0%
Fund FamilySovereign's CapitalState Street Investment Management
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Blend
InceptionOct 2, 2023Jan 22, 1993

Volatility and max drawdown, and the $10,000 over 2.9 years row, are measured over the window both funds cover: Oct 3, 2023 to Sep 3, 2026 (2.9 years).

SOVF 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 2.9 years both funds cover.

SOVF vs SPY Performance

Sovereigns Capital Flourish Fund (SOVF) is an ETF from Sovereign's Capital and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year SOVF returned +6.23% while SPY returned +21.44%. Year to date, SOVF is up 10.63% versus a gain of 13.78% for SPY.

Over three years, SOVF compounded at +10.39% per year against +21.38% for SPY.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SOVF has been the more volatile fund, with annualized monthly volatility of 16.6% compared with 12.3% 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 -21.7% for SOVF 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 0.70. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SOVF charges 0.75% per year while SPY charges 0.09%. On a $10,000 position that is $75 vs $9 annually, a gap of $66 per year that compounds over a long holding period. On income, SOVF currently yields 0.73% against 1.01% for SPY.

Holdings Overlap

SOVF already in SPY36.8%
SPY already in SOVF4.6%

36.8% of SOVF's money is in holdings SPY also owns. 4.6% of SPY's money is in holdings SOVF also owns.

The two portfolios partly overlap.

34 positions in common, counted across the 80 positions we hold weights for in SOVF and 504 in SPY, against full books of 79 and 505.

What only one of them owns

Our book lists 462 positions for SPY that do not appear in our book for SOVF (94.8% of the fund), and 43 for SOVF that do not appear in SPY (62.1%).

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 SOVFWeight in SPYDifference
QCOMQualcomm Inc.3.69%0.26%3.43%
VSTVistra Energy Corp.3.03%0.07%2.96%
PGRProgressive Corporation2.48%0.19%2.29%
AJGArthur J Gallagher & Co.2.21%0.10%2.11%
CSCOCisco Systems Inc. - Ordinary Shares1.51%0.72%0.79%
CBRECBRE group2.10%0.07%2.03%
UPSUnited Parcel Service, Inc2.03%0.12%1.91%
ANETArista Networks Inc.1.50%0.30%1.20%
ADPAutomatic Data Processing, Inc.1.63%0.16%1.47%
RJFRaymond James Financial Inc.1.70%0.05%1.65%

36.8% of SOVF 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.

SOVFSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, SOVF or SPY?

SOVF has an expense ratio of 0.75% while SPY charges 0.09%. SPY is the cheaper option, by $66 a year on a $10,000 investment.

Which performed better, SOVF or SPY?

Over the past year SOVF returned +6.23% vs +21.44% for SPY, so SPY leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, SOVF or SPY?

SOVF has been the more volatile fund at 16.6% annualized versus 12.3% for SPY. Worst drawdown: SOVF -21.7% vs SPY -18.8%.

Should I hold both SOVF and SPY?

SOVF and SPY have a monthly-return correlation of 0.70, 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 SOVF and SPY?

36.8% of SOVF's money is in holdings SPY also owns. 4.6% of SPY's is in holdings SOVF also owns. They hold 34 positions in common, counted across the 80 positions we hold weights for in SOVF and 504 in SPY.

Which pays a higher dividend, SOVF or SPY?

SOVF yields 0.73% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

Is SPY better than SOVF?

SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. SOVF is less concentrated, with 35.4% 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.