SPY vs UTES

Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 505 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricSPYUTESWinner
Expense Ratio0.09%0.49%
AUM$789.1B$1.4B
Dividend Yield1.01%1.46%
Holdings50519
YTD Return+14.47%-3.04%
1Y Return+21.96%-3.71%
3Y Return (annualized)+21.70%+22.21%
5Y Return (annualized)+13.30%+13.95%
Volatility (annualized)15.3%16.1%
Max Drawdown-56.5%-35.7%
Fund FamilyState Street Investment ManagementVirtus Investment Partners
CategoryEquityEquity
InceptionJan 22, 1993Sep 23, 2015

SPY vs UTES Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Virtus Reaves Utilities ETF (UTES) is a ETF from Virtus Investment Partners. Over the past year SPY returned +21.96% while UTES returned -3.71%. Year to date, SPY is up 14.47% versus a loss of 3.04% for UTES.

Over three years, SPY compounded at +21.70% per year against +22.21% for UTES; over five years the annualized figures are +13.30% and +13.95% respectively. Across the full 11-year window we track, UTES has the edge at +11.99% annualized vs +8.87%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

UTES has been the more volatile fund, with annualized monthly volatility of 16.1% 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 -35.7% for UTES. 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 0.51. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SPY charges 0.09% per year while UTES charges 0.49%. On a $10,000 position that is $9 vs $49 annually, a gap of $40 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 1.46% for UTES.

Holdings Overlap

1.2%overlap

SPY and UTES share 16 holdings out of 505 unique holdings combined, representing a 1.2% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SPYWeight in UTESDifference
CEG0.12%10.94%10.82%
VST0.08%10.09%10.01%
XEL0.08%6.98%6.90%
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Frequently Asked Questions

Which is cheaper, SPY or UTES?

SPY has an expense ratio of 0.09% while UTES charges 0.49%. SPY is the cheaper option. On a $10,000 investment, that is $40 per year of difference.

Which performed better, SPY or UTES?

Over the past year SPY returned +21.96% vs -3.71% for UTES, so SPY leads on 1-year performance. Over the longest common window we track (11 years), SPY annualized +8.87% vs +11.99% for UTES. Past performance does not guarantee future results.

Which is riskier, SPY or UTES?

UTES has been the more volatile fund at 16.1% annualized versus 15.3% for SPY. Worst drawdown: SPY -56.5% vs UTES -35.7%.

Should I hold both SPY and UTES?

SPY and UTES have a monthly-return correlation of 0.51, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SPY and UTES?

SPY and UTES share 16 common holdings with a 1.2% weight overlap. Combined, they hold 505 unique securities.

Which pays a higher dividend, SPY or UTES?

SPY yields 1.01% while UTES yields 1.46%, so UTES currently pays the higher dividend yield.

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