SPY vs VNM

SPY vs VNM
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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

MetricSPYVNMWinner
Expense Ratio0.09%0.66%
AUM$821.1B$490M
Dividend Yield1.01%0.23%
Holdings50558
YTD Return+12.22%-10.26%
1Y Return+20.83%-3.05%
3Y Return (annualized)+21.70%+8.03%
5Y Return (annualized)+12.98%-0.88%
Volatility (annualized)15.3%24.1%
Max Drawdown-56.5%-62.7%
Fund FamilyState Street Investment ManagementVanEck
CategoryEquityEquity
InceptionJan 22, 1993Aug 11, 2009

SPY vs VNM Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and VanEck Vietnam ETF (VNM) is a ETF from VanEck. Over the past year SPY returned +20.83% while VNM returned -3.05%. Year to date, SPY is up 12.22% versus a loss of 10.26% for VNM.

Over three years, SPY compounded at +21.70% per year against +8.03% for VNM; over five years the annualized figures are +12.98% and -0.88% respectively. Across the full 17-year window we track, SPY has the edge at +8.79% annualized vs -0.80%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VNM has been the more volatile fund, with annualized monthly volatility of 24.1% 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 -62.7% for VNM. 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 0.56. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SPY charges 0.09% per year while VNM charges 0.66%. On a $10,000 position that is $9 vs $66 annually, a gap of $57 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 0.23% for VNM.

Holdings Overlap

0.0%overlap

SPY and VNM share 0 holdings out of 559 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, SPY or VNM?

SPY has an expense ratio of 0.09% while VNM charges 0.66%. SPY is the cheaper option. On a $10,000 investment, that is $57 per year of difference.

Which performed better, SPY or VNM?

Over the past year SPY returned +20.83% vs -3.05% for VNM, so SPY leads on 1-year performance. Over the longest common window we track (17 years), SPY annualized +8.79% vs -0.80% for VNM. Past performance does not guarantee future results.

Which is riskier, SPY or VNM?

VNM has been the more volatile fund at 24.1% annualized versus 15.3% for SPY. Worst drawdown: SPY -56.5% vs VNM -62.7%.

Should I hold both SPY and VNM?

SPY and VNM have a monthly-return correlation of 0.56, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SPY and VNM?

SPY and VNM share 0 common holdings with a 0.0% weight overlap. Combined, they hold 559 unique securities.

Which pays a higher dividend, SPY or VNM?

SPY yields 1.01% while VNM yields 0.23%, so SPY currently pays the higher dividend yield.

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