SPY vs VFMF
State Street SPDR S&P 500 ETF Trust vs Vanguard US Multifactor ETF
Which is better, SPY or VFMF?
Large Cap Blend against Mid Cap Blend.
SPY has a lower expense ratio. SPY led over the full window, VFMF over 1Y, 3Y and 5Y. VFMF is less concentrated, with 8.4% 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 | VFMF |
|---|---|---|
| Expense Ratio | 0.09%Best | 0.18% |
| AUM | $814.4B | $905M |
| Dividend Yield | 1.01% | 1.35% |
| Holdings | 505 | 655 |
| YTD Return | +12.71% | +22.39%Best |
| 1Y Return | +19.36% | +30.17%Best |
| 3Y Return (annualized) | +21.09% | +22.22%Best |
| 5Y Return (annualized) | +12.69% | +14.73%Best |
| Volatility (annualized) | 16.4%Best | 18.5% |
| Max Drawdown | -34.1%Best | -41.3% |
| $10,000 over 5 years | $18,173 | $19,879Best |
| Top 10 Weight | 38.0% | 8.4%Best |
| Fund Family | State Street Investment Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Mid Cap Blend |
| Inception | Jan 22, 1993 | Feb 13, 2018 |
Volatility and max drawdown are measured over the window both funds cover: Feb 15, 2018 to Sep 8, 2026 (8.6 years).
SPY vs VFMF 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 8.6 years both funds cover.
SPY vs VFMF Performance
State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management and Vanguard US Multifactor ETF (VFMF) is an ETF from Vanguard (US). Over the past year SPY returned +19.36% while VFMF returned +30.17%. Year to date, SPY is up 12.71% versus a gain of 22.39% for VFMF.
Over three years, SPY compounded at +21.09% per year against +22.22% for VFMF; over five years the annualized figures are +12.69% and +14.73% respectively. Across the full 9-year window we track, SPY has the edge at +13.79% annualized vs +12.58%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VFMF has been the more volatile fund, with annualized monthly volatility of 18.5% compared with 16.4% 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 -34.1% for SPY and -41.3% for VFMF. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.89. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SPY charges 0.09% per year while VFMF charges 0.18%. On a $10,000 position that is $9 vs $18 annually, a gap of $9 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 1.35% for VFMF.
Holdings Overlap
48.2% of SPY's money is in holdings VFMF also owns. 44.9% of VFMF's money is in holdings SPY also owns.
The two portfolios partly overlap.
157 positions in common, counted across the 503 positions we hold weights for in SPY and 636 in VFMF, against full books of 505 and 655.
What only one of them owns
Our book lists 457 positions for VFMF that do not appear in our book for SPY (50.9% of the fund), and 336 for SPY that do not appear in VFMF (51.2%).
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 VFMF | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 7.71% | 0.02% | 7.69% |
| AAPLApple Inc Ord | 6.83% | 0.18% | 6.65% |
| AMZNAmazon.Com Inc | 4.08% | 0.13% | 3.95% |
| GOOGL Alphabet Inc. Class A | 3.33% | 0.48% | 2.85% |
| GOOGAlphabet, Inc., Class C | 2.67% | 0.26% | 2.41% |
| MUMicron Technology, Inc. | 1.51% | 0.89% | 0.62% |
| JPMJpmorgan Chase & Co. | 1.44% | 0.39% | 1.05% |
| XOMExxon Mobil Corp | 0.96% | 0.48% | 0.48% |
| ABBVAbbvie Inc. | 0.65% | 0.68% | 0.03% |
| CSCOCisco Systems Inc | 0.72% | 0.55% | 0.17% |
48.2% of SPY is already inside VFMF.
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 VFMF?
SPY has an expense ratio of 0.09% while VFMF charges 0.18%. SPY is the cheaper option, by $9 a year on a $10,000 investment.
Which performed better, SPY or VFMF?
Over the past year SPY returned +19.36% vs +30.17% for VFMF, so VFMF leads on 1-year performance. Over the longest common window we track (9 years), SPY annualized +13.79% vs +12.58% for VFMF. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SPY or VFMF?
VFMF has been the more volatile fund at 18.5% annualized versus 16.4% for SPY. Worst drawdown: SPY -34.1% vs VFMF -41.3%.
Should I hold both SPY and VFMF?
SPY and VFMF have a monthly-return correlation of 0.89, 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 VFMF?
48.2% of SPY's money is in holdings VFMF also owns. 44.9% of VFMF's is in holdings SPY also owns. They hold 157 positions in common, counted across the 503 positions we hold weights for in SPY and 636 in VFMF.
Which pays a higher dividend, SPY or VFMF?
SPY yields 1.01% while VFMF yields 1.35%, so VFMF currently pays the higher dividend yield.
Is VFMF better than SPY?
SPY has a lower expense ratio. SPY led over the full window, VFMF over 1Y, 3Y and 5Y. VFMF is less concentrated, with 8.4% 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.