SPY vs TMAT

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

MetricSPYTMATWinner
Expense Ratio0.09%0.85%
AUM$789.1B$233M
Dividend Yield1.01%0.02%
Holdings50598
YTD Return+13.68%+19.24%
1Y Return+21.53%+19.39%
3Y Return (annualized)+21.44%+27.16%
5Y Return (annualized)+13.18%+5.52%
Volatility (annualized)15.3%28.2%
Max Drawdown-56.5%-58.5%
Fund FamilyState Street Investment ManagementMain Management ETF Advisors, LLC
CategoryEquityEquity
InceptionJan 22, 1993Jan 28, 2021

SPY vs TMAT Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Main Thematic Innovation ETF (TMAT) is a ETF from Main Management ETF Advisors, LLC. Over the past year SPY returned +21.53% while TMAT returned +19.39%. Year to date, SPY is up 13.68% versus a gain of 19.24% for TMAT.

Over three years, SPY compounded at +21.44% per year against +27.16% for TMAT; over five years the annualized figures are +13.18% and +5.52% respectively. Across the full 6-year window we track, SPY has the edge at +8.85% annualized vs +3.75%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

TMAT has been the more volatile fund, with annualized monthly volatility of 28.2% 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 -58.5% for TMAT. 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 0.77. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SPY charges 0.09% per year while TMAT charges 0.85%. On a $10,000 position that is $9 vs $85 annually, a gap of $76 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 0.02% for TMAT.

Holdings Overlap

8.9%overlap

SPY and TMAT share 49 holdings out of 551 unique holdings combined, representing a 8.9% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SPYWeight in TMATDifference
MU1.71%2.22%0.51%
PANW0.45%2.53%2.08%
LITE0.09%2.59%2.50%
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Frequently Asked Questions

Which is cheaper, SPY or TMAT?

SPY has an expense ratio of 0.09% while TMAT charges 0.85%. SPY is the cheaper option. On a $10,000 investment, that is $76 per year of difference.

Which performed better, SPY or TMAT?

Over the past year SPY returned +21.53% vs +19.39% for TMAT, so SPY leads on 1-year performance. Over the longest common window we track (6 years), SPY annualized +8.85% vs +3.75% for TMAT. Past performance does not guarantee future results.

Which is riskier, SPY or TMAT?

TMAT has been the more volatile fund at 28.2% annualized versus 15.3% for SPY. Worst drawdown: SPY -56.5% vs TMAT -58.5%.

Should I hold both SPY and TMAT?

SPY and TMAT have a monthly-return correlation of 0.77, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SPY and TMAT?

SPY and TMAT share 49 common holdings with a 8.9% weight overlap. Combined, they hold 551 unique securities.

Which pays a higher dividend, SPY or TMAT?

SPY yields 1.01% while TMAT yields 0.02%, so SPY currently pays the higher dividend yield.

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