SPHY vs VOO

SPHY vs VOO

Which is better, SPHY or VOO?

High Yield Bond against Large Cap Blend.

VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window.

Lower Fees: VOOHigher Returns: VOO

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

MetricSPHYVOO
Expense Ratio0.05%0.03%Best
AUM$11.9B$997.4B
Dividend Yield7.19%1.04%
Holdings1,925509
YTD Return+1.91%+12.25%Best
1Y Return+3.50%+17.03%Best
3Y Return (annualized)+8.11%+21.25%Best
5Y Return (annualized)+3.88%+13.08%Best
Volatility (annualized)8.5%Best16.7%
Max Drawdown-22.4%Best-34.3%
$10,000 over 5 years$12,096$18,490Best
Fund FamilyState Street Investment ManagementVanguard (US)
CategoryFixed IncomeEquity
StyleHigh Yield BondLarge Cap Blend
InceptionJun 18, 2012Sep 7, 2010

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Sep 23, 2019 to Sep 17, 2026 (7 years).

SPHY vs VOO 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 7 years both funds cover.

SPHY vs VOO Performance

State Street SPDR Portfolio High Yield Bond ETF (SPHY) is an ETF from State Street Investment Management and Vanguard S&P 500 ETF (VOO) is an ETF from Vanguard (US). Over the past year SPHY returned +3.50% while VOO returned +17.03%. Year to date, SPHY is up 1.91% versus a gain of 12.25% for VOO.

Over three years, SPHY compounded at +8.11% per year against +21.25% for VOO; over five years the annualized figures are +3.88% and +13.08% respectively. Across the full 7-year window we track, VOO has the edge at +15.60% annualized vs +3.62%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VOO has been the more volatile fund, with annualized monthly volatility of 16.7% compared with 8.5% for SPHY. 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 -22.4% for SPHY and -34.3% for VOO. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.82. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SPHY charges 0.05% per year while VOO charges 0.03%. On a $10,000 position that is $5 vs $3 annually, a gap of $2 per year that compounds over a long holding period. On income, SPHY currently yields 7.19% against 1.04% for VOO.

Holdings Overlap

We hold position weights for 2 holdings in SPHY and 494 in VOO, totalling 0.5% and 99.5% of the two funds. The two books name no position in common, so there is no overlap percentage to show.

0 positions in common, counted across the 2 positions we hold weights for in SPHY and 494 in VOO, against full books of 1,925 and 509.

You are not choosing between two funds in isolation.

Whichever of SPHY and VOO you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

SPHYVOO

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, SPHY or VOO?

SPHY has an expense ratio of 0.05% while VOO charges 0.03%. VOO is the cheaper option, by $2 a year on a $10,000 investment.

Which performed better, SPHY or VOO?

Over the past year SPHY returned +3.50% vs +17.03% for VOO, so VOO leads on 1-year performance. Over the longest common window we track (7 years), SPHY annualized +3.62% vs +15.60% for VOO. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, SPHY or VOO?

VOO has been the more volatile fund at 16.7% annualized versus 8.5% for SPHY. Worst drawdown: SPHY -22.4% vs VOO -34.3%.

Should I hold both SPHY and VOO?

SPHY and VOO have a monthly-return correlation of 0.82, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, SPHY or VOO?

SPHY yields 7.19% while VOO yields 1.04%, so SPHY currently pays the higher dividend yield.

Is VOO better than SPHY?

VOO has a lower expense ratio. VOO led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.