SPPP vs SPY

Quick Verdict

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

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricSPPPSPYWinner
Expense Ratio1.01%0.09%
AUM$573M$789.1B
Dividend Yield0.00%1.01%
Holdings4505
YTD Return-18.68%+13.39%
1Y Return+18.61%+22.52%
3Y Return (annualized)+8.91%+21.36%
5Y Return (annualized)-4.65%+13.19%
Volatility (annualized)24.1%15.3%
Max Drawdown-59.1%-56.5%
Fund FamilySprott Asset Management LPState Street Investment Management
CategoryCommodityEquity
InceptionDec 18, 2012Jan 22, 1993

SPPP vs SPY Performance

Sprott Physical Platinum and Palladium Trust (SPPP) is a ETF from Sprott Asset Management LP and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year SPPP returned +18.61% while SPY returned +22.52%. Year to date, SPPP is down 18.68% versus a gain of 13.39% for SPY.

Over three years, SPPP compounded at +8.91% per year against +21.36% for SPY; over five years the annualized figures are -4.65% and +13.19% respectively. Across the full 14-year window we track, SPY has the edge at +8.84% annualized vs +2.65%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPPP has been the more volatile fund, with annualized monthly volatility of 24.1% 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 -59.1% for SPPP 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 0.23. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SPPP charges 1.01% per year while SPY charges 0.09%. On a $10,000 position that is $101 vs $9 annually, a gap of $92 per year that compounds over a long holding period. On income, SPPP currently yields 0.00% against 1.01% for SPY.

Frequently Asked Questions

Which is cheaper, SPPP or SPY?

SPPP has an expense ratio of 1.01% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $92 per year of difference.

Which performed better, SPPP or SPY?

Over the past year SPPP returned +18.61% vs +22.52% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (14 years), SPPP annualized +2.65% vs +8.84% for SPY. Past performance does not guarantee future results.

Which is riskier, SPPP or SPY?

SPPP has been the more volatile fund at 24.1% annualized versus 15.3% for SPY. Worst drawdown: SPPP -59.1% vs SPY -56.5%.

Should I hold both SPPP and SPY?

SPPP and SPY have a monthly-return correlation of 0.23, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, SPPP or SPY?

SPPP yields 0.00% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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