SPBC vs SPY

SPBC vs SPY
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Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 505 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricSPBCSPYWinner
Expense Ratio0.54%0.09%
AUM$43M$821.1B
Dividend Yield0.85%1.01%
Holdings4505
YTD Return+11.46%+12.68%
1Y Return+17.73%+21.82%
3Y Return (annualized)+28.21%+21.98%
5Y Return (annualized)+14.99%+12.89%
Volatility (annualized)19.9%15.3%
Max Drawdown-33.8%-56.5%
Fund FamilySimplify Exchange Traded FundsState Street Investment Management
CategoryAlternativeEquity
InceptionMay 24, 2021Jan 22, 1993

SPBC vs SPY Performance

Simplify US Equity PLUS Bitcoin Strategy ETF (SPBC) is a ETF from Simplify Exchange Traded Funds and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year SPBC returned +17.73% while SPY returned +21.82%. Year to date, SPBC is up 11.46% versus a gain of 12.68% for SPY.

Over three years, SPBC compounded at +28.21% per year against +21.98% for SPY; over five years the annualized figures are +14.99% and +12.89% respectively. Across the full 5-year window we track, SPBC has the edge at +16.26% annualized vs +8.81%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPBC has been the more volatile fund, with annualized monthly volatility of 19.9% 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 -33.8% for SPBC 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

SPBC charges 0.54% per year while SPY charges 0.09%. On a $10,000 position that is $54 vs $9 annually, a gap of $45 per year that compounds over a long holding period. On income, SPBC currently yields 0.85% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

SPBC and SPY share 0 holdings out of 506 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, SPBC or SPY?

SPBC has an expense ratio of 0.54% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $45 per year of difference.

Which performed better, SPBC or SPY?

Over the past year SPBC returned +17.73% vs +21.82% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (5 years), SPBC annualized +16.26% vs +8.81% for SPY. Past performance does not guarantee future results.

Which is riskier, SPBC or SPY?

SPBC has been the more volatile fund at 19.9% annualized versus 15.3% for SPY. Worst drawdown: SPBC -33.8% vs SPY -56.5%.

Should I hold both SPBC and SPY?

SPBC and SPY have a monthly-return correlation of 0.95, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between SPBC and SPY?

SPBC and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 506 unique securities.

Which pays a higher dividend, SPBC or SPY?

SPBC yields 0.85% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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