SPY vs TEKX

Quick Verdict

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

Lower Fees: SPYHigher Returns: TEKXMore Diversified: SPY

Side-by-Side Comparison

MetricSPYTEKXWinner
Expense Ratio0.09%0.65%
AUM$789.1B$16M
Dividend Yield1.01%0.20%
Holdings50571
YTD Return+13.39%+53.83%
1Y Return+22.52%+97.90%
3Y Return (annualized)+21.36%-
5Y Return (annualized)+13.19%-
Volatility (annualized)15.3%47.5%
Max Drawdown-56.5%-43.8%
Fund FamilyState Street Investment ManagementSPDR State Street Global Advisors
CategoryEquityEquity
InceptionJan 22, 1993Sep 9, 2024

SPY vs TEKX Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and State Street Galaxy Transformative Tech Accelerators ETF (TEKX) is a ETF from SPDR State Street Global Advisors. Over the past year SPY returned +22.52% while TEKX returned +97.90%. Year to date, SPY is up 13.39% versus a gain of 53.83% for TEKX.

Risk: Volatility and Drawdowns

TEKX has been the more volatile fund, with annualized monthly volatility of 47.5% 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 -56.5% for SPY and -43.8% for TEKX. 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 0.83. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SPY charges 0.09% per year while TEKX charges 0.65%. On a $10,000 position that is $9 vs $65 annually, a gap of $56 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 0.20% for TEKX.

Holdings Overlap

15.8%overlap

SPY and TEKX share 19 holdings out of 518 unique holdings combined, representing a 15.8% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SPYWeight in TEKXDifference
NVDA7.31%4.43%2.88%
MSFT4.43%4.38%0.05%
HOOD0.14%4.78%4.64%
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Frequently Asked Questions

Which is cheaper, SPY or TEKX?

SPY has an expense ratio of 0.09% while TEKX charges 0.65%. SPY is the cheaper option. On a $10,000 investment, that is $56 per year of difference.

Which performed better, SPY or TEKX?

Over the past year SPY returned +22.52% vs +97.90% for TEKX, so TEKX leads on 1-year performance. Over the longest common window we track (2 years), SPY annualized +8.84% vs +68.39% for TEKX. Past performance does not guarantee future results.

Which is riskier, SPY or TEKX?

TEKX has been the more volatile fund at 47.5% annualized versus 15.3% for SPY. Worst drawdown: SPY -56.5% vs TEKX -43.8%.

Should I hold both SPY and TEKX?

SPY and TEKX have a monthly-return correlation of 0.83, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SPY and TEKX?

SPY and TEKX share 19 common holdings with a 15.8% weight overlap. Combined, they hold 518 unique securities.

Which pays a higher dividend, SPY or TEKX?

SPY yields 1.01% while TEKX yields 0.20%, so SPY currently pays the higher dividend yield.

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