SPY vs USMV
State Street SPDR S&P 500 ETF Trust vs iShares MSCI USA Minimum Volatility Factor ETF
Which is better, SPY or USMV?
SPY has been ahead.
SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. USMV is less concentrated, with 15.1% of the fund in its ten largest positions against 38.0%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | SPY | USMV |
|---|---|---|
| Expense Ratio | 0.09%Best | 0.15% |
| AUM | $804.7B | $24.1B |
| Dividend Yield | 0.98% | 1.42% |
| Holdings | 505 | 170 |
| YTD Return | +12.47%Best | +6.80% |
| 1Y Return | +17.51%Best | +6.23% |
| 3Y Return (annualized) | +21.18%Best | +11.81% |
| 5Y Return (annualized) | +12.88%Best | +7.06% |
| Volatility (annualized) | 13.9% | 11.2%Best |
| Max Drawdown | -34.1% | -33.1%Best |
| $10,000 over 5 years | $18,327Best | $14,065 |
| Top 10 Weight | 38.0% | 15.1%Best |
| Fund Family | State Street Investment Management | iShares by BlackRock (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Jan 22, 1993 | Oct 18, 2011 |
Volatility and max drawdown are measured over the window both funds cover: Oct 20, 2011 to Sep 11, 2026 (14.9 years).
SPY vs USMV growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 14.9 years both funds cover.
SPY vs USMV Performance
State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management and iShares MSCI USA Minimum Volatility Factor ETF (USMV) is an ETF from iShares by BlackRock (US). Over the past year SPY returned +17.51% while USMV returned +6.23%. Year to date, SPY is up 12.47% versus a gain of 6.80% for USMV.
Over three years, SPY compounded at +21.18% per year against +11.81% for USMV; over five years the annualized figures are +12.88% and +7.06% respectively. Across the full 15-year window we track, SPY has the edge at +13.70% annualized vs +10.25%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 13.9% compared with 11.2% for USMV. 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 -34.1% for SPY and -33.1% for USMV. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.86. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SPY charges 0.09% per year while USMV charges 0.15%. On a $10,000 position that is $9 vs $15 annually, a gap of $6 per year that compounds over a long holding period. On income, SPY currently yields 0.98% against 1.42% for USMV.
Holdings Overlap
65.4% of SPY's money is in holdings USMV also owns. 93.5% of USMV's money is in holdings SPY also owns.
Most of USMV is already inside SPY. Owning both mostly buys the same companies twice.
148 positions in common, counted across the 504 positions we hold weights for in SPY and 167 in USMV, against full books of 505 and 170.
What only one of them owns
Our book lists 18 positions for USMV that do not appear in our book for SPY (5.2% of the fund), and 346 for SPY that do not appear in USMV (34.1%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in SPY | Weight in USMV | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 7.71% | 1.37% | 6.34% |
| AAPLApple, Inc | 6.83% | 0.88% | 5.95% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 5.50% | 1.69% | 3.81% |
| AMZNAmazon.Com Inc | 4.08% | 0.14% | 3.94% |
| AVGOBroadcom Inc | 2.97% | 1.07% | 1.90% |
| GOOGAlphabet Inc | 2.67% | 0.42% | 2.25% |
| BRK.BBerkshire Hathaway B | 1.42% | 1.46% | 0.04% |
| JNJJohnson & Johnson | 0.92% | 1.50% | 0.58% |
| XOMExxon Mobil Corp. | 0.96% | 1.35% | 0.39% |
| CSCOCisco Systems Inc. - Ordinary Shares | 0.72% | 1.51% | 0.79% |
93.5% of USMV is already inside SPY.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, SPY or USMV?
SPY has an expense ratio of 0.09% while USMV charges 0.15%. SPY is the cheaper option, by $6 a year on a $10,000 investment.
Which performed better, SPY or USMV?
Over the past year SPY returned +17.51% vs +6.23% for USMV, so SPY leads on 1-year performance. Over the longest common window we track (15 years), SPY annualized +13.70% vs +10.25% for USMV. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SPY or USMV?
SPY has been the more volatile fund at 13.9% annualized versus 11.2% for USMV. Worst drawdown: SPY -34.1% vs USMV -33.1%.
Should I hold both SPY and USMV?
SPY and USMV have a monthly-return correlation of 0.86, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between SPY and USMV?
93.5% of USMV's money is in holdings SPY also owns. 93.5% of USMV's is in holdings SPY also owns. They hold 148 positions in common, counted across the 504 positions we hold weights for in SPY and 167 in USMV.
Which pays a higher dividend, SPY or USMV?
SPY yields 0.98% while USMV yields 1.42%, so USMV currently pays the higher dividend yield.
Is USMV better than SPY?
SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. USMV is less concentrated, with 15.1% of the fund in its ten largest positions against 38.0%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.