SPY vs VCLN

SPY vs VCLN
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Quick Verdict

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

Lower Fees: SPYHigher Returns: VCLNMore Diversified: SPY

Side-by-Side Comparison

MetricSPYVCLNWinner
Expense Ratio0.09%0.59%
AUM$821.1B$6M
Dividend Yield1.01%1.94%
Holdings50545
YTD Return+12.22%+5.91%
1Y Return+20.83%+32.88%
3Y Return (annualized)+21.70%+16.07%
5Y Return (annualized)+12.98%+2.65%
Volatility (annualized)15.3%27.4%
Max Drawdown-56.5%-45.7%
Fund FamilyState Street Investment ManagementVirtus Investment Partners
CategoryEquityEquity
InceptionJan 22, 1993Aug 3, 2021

SPY vs VCLN Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Virtus Duff & Phelps Clean Energy ETF (VCLN) is a ETF from Virtus Investment Partners. Over the past year SPY returned +20.83% while VCLN returned +32.88%. Year to date, SPY is up 12.22% versus a gain of 5.91% for VCLN.

Over three years, SPY compounded at +21.70% per year against +16.07% for VCLN; over five years the annualized figures are +12.98% and +2.65% respectively. Across the full 5-year window we track, SPY has the edge at +8.79% annualized vs +2.59%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VCLN has been the more volatile fund, with annualized monthly volatility of 27.4% 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 -45.7% for VCLN. 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 0.67. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SPY charges 0.09% per year while VCLN charges 0.59%. On a $10,000 position that is $9 vs $59 annually, a gap of $50 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 1.94% for VCLN.

Holdings Overlap

1.1%overlap

SPY and VCLN share 6 holdings out of 539 unique holdings combined, representing a 1.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SPYWeight in VCLNDifference
FSLR0.04%8.80%8.76%
CEG0.13%1.89%1.76%
NEE0.27%1.46%1.19%
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Frequently Asked Questions

Which is cheaper, SPY or VCLN?

SPY has an expense ratio of 0.09% while VCLN charges 0.59%. SPY is the cheaper option. On a $10,000 investment, that is $50 per year of difference.

Which performed better, SPY or VCLN?

Over the past year SPY returned +20.83% vs +32.88% for VCLN, so VCLN leads on 1-year performance. Over the longest common window we track (5 years), SPY annualized +8.79% vs +2.59% for VCLN. Past performance does not guarantee future results.

Which is riskier, SPY or VCLN?

VCLN has been the more volatile fund at 27.4% annualized versus 15.3% for SPY. Worst drawdown: SPY -56.5% vs VCLN -45.7%.

Should I hold both SPY and VCLN?

SPY and VCLN have a monthly-return correlation of 0.67, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SPY and VCLN?

SPY and VCLN share 6 common holdings with a 1.1% weight overlap. Combined, they hold 539 unique securities.

Which pays a higher dividend, SPY or VCLN?

SPY yields 1.01% while VCLN yields 1.94%, so VCLN currently pays the higher dividend yield.

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