SPY vs THY

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

MetricSPYTHYWinner
Expense Ratio0.09%1.03%
AUM$789.1B$87M
Dividend Yield1.01%5.42%
Holdings5052
YTD Return+13.79%+0.31%
1Y Return+23.66%+1.81%
3Y Return (annualized)+21.40%+4.61%
5Y Return (annualized)+13.37%+1.72%
Volatility (annualized)15.3%4.0%
Max Drawdown-56.5%-8.6%
Fund FamilyState Street Investment ManagementTOEWS Funds
CategoryEquityAlternative
InceptionJan 22, 1993Jun 25, 2020

SPY vs THY Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Toews Agility Shares Dynamic Tactical Income ETF (THY) is a ETF from TOEWS Funds. Over the past year SPY returned +23.66% while THY returned +1.81%. Year to date, SPY is up 13.79% versus a gain of 0.31% for THY.

Over three years, SPY compounded at +21.40% per year against +4.61% for THY; over five years the annualized figures are +13.37% and +1.72% respectively. Across the full 6-year window we track, SPY has the edge at +8.85% annualized vs +1.65%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 4.0% for THY. 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 -8.6% for THY. 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 0.69. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SPY charges 0.09% per year while THY charges 1.03%. On a $10,000 position that is $9 vs $103 annually, a gap of $94 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 5.42% for THY.

Frequently Asked Questions

Which is cheaper, SPY or THY?

SPY has an expense ratio of 0.09% while THY charges 1.03%. SPY is the cheaper option. On a $10,000 investment, that is $94 per year of difference.

Which performed better, SPY or THY?

Over the past year SPY returned +23.66% vs +1.81% for THY, so SPY leads on 1-year performance. Over the longest common window we track (6 years), SPY annualized +8.85% vs +1.65% for THY. Past performance does not guarantee future results.

Which is riskier, SPY or THY?

SPY has been the more volatile fund at 15.3% annualized versus 4.0% for THY. Worst drawdown: SPY -56.5% vs THY -8.6%.

Should I hold both SPY and THY?

SPY and THY have a monthly-return correlation of 0.69, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, SPY or THY?

SPY yields 1.01% while THY yields 5.42%, so THY currently pays the higher dividend yield.

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