SPY vs TIPA

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

MetricSPYTIPAWinner
Expense Ratio0.09%0.10%
AUM$789.1B$18M
Dividend Yield1.01%2.65%
Holdings5056
YTD Return+13.79%+4.34%
1Y Return+23.66%+5.32%
3Y Return (annualized)+21.40%-
5Y Return (annualized)+13.37%-
Volatility (annualized)15.3%1.9%
Max Drawdown-56.5%-0.8%
Fund FamilyState Street Investment ManagementNorthern Trust Asset Management
CategoryEquityFixed Income
InceptionJan 22, 1993Mar 1, 2025

SPY vs TIPA Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Northern Trust 2030 Inflation-Linked Distributing Ladder ETF (TIPA) is a ETF from Northern Trust Asset Management. Over the past year SPY returned +23.66% while TIPA returned +5.32%. Year to date, SPY is up 13.79% versus a gain of 4.34% for TIPA.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 1.9% for TIPA. 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 -0.8% for TIPA. 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

SPY charges 0.09% per year while TIPA charges 0.10%. On a $10,000 position that is $9 vs $10 annually, a gap of $1 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 2.65% for TIPA.

Holdings Overlap

0.0%overlap

SPY and TIPA share 0 holdings out of 507 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, SPY or TIPA?

SPY has an expense ratio of 0.09% while TIPA charges 0.10%. SPY is the cheaper option. On a $10,000 investment, that is $1 per year of difference.

Which performed better, SPY or TIPA?

Over the past year SPY returned +23.66% vs +5.32% for TIPA, so SPY leads on 1-year performance. Past performance does not guarantee future results.

Which is riskier, SPY or TIPA?

SPY has been the more volatile fund at 15.3% annualized versus 1.9% for TIPA. Worst drawdown: SPY -56.5% vs TIPA -0.8%.

Should I hold both SPY and TIPA?

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

What is the holdings overlap between SPY and TIPA?

SPY and TIPA share 0 common holdings with a 0.0% weight overlap. Combined, they hold 507 unique securities.

Which pays a higher dividend, SPY or TIPA?

SPY yields 1.01% while TIPA yields 2.65%, so TIPA currently pays the higher dividend yield.

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