SPY vs VSLU
State Street SPDR S&P 500 ETF Trust vs Applied Finance Valuation Large Cap ETF
Quick Verdict
SPY has a lower expense ratio. SPY delivered stronger 1-year returns. VSLU offers more diversification with 591 holdings.
Side-by-Side Comparison
| Metric | SPY | VSLU | Winner |
|---|---|---|---|
| Expense Ratio | 0.09% | 0.49% | |
| AUM | $821.1B | $569M | |
| Dividend Yield | 1.01% | 0.43% | |
| Holdings | 505 | 591 | |
| YTD Return | +12.35% | +11.47% | |
| 1Y Return | +20.15% | +19.10% | |
| 3Y Return (annualized) | +21.69% | +21.98% | |
| 5Y Return (annualized) | +12.77% | +13.24% | |
| Volatility (annualized) | 15.3% | 14.8% | |
| Max Drawdown | -56.5% | -23.9% | |
| Fund Family | State Street Investment Management | Applied Finance Funds | |
| Category | Equity | Equity | |
| Inception | Jan 22, 1993 | Apr 29, 2021 |
SPY vs VSLU Performance
State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Applied Finance Valuation Large Cap ETF (VSLU) is a ETF from Applied Finance Funds. Over the past year SPY returned +20.15% while VSLU returned +19.10%. Year to date, SPY is up 12.35% versus a gain of 11.47% for VSLU.
Over three years, SPY compounded at +21.69% per year against +21.98% for VSLU; over five years the annualized figures are +12.77% and +13.24% respectively. Across the full 5-year window we track, VSLU has the edge at +14.09% annualized vs +8.79%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 14.8% for VSLU. 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 -23.9% for VSLU. 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 0.98. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
SPY charges 0.09% per year while VSLU 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 0.43% for VSLU.
Holdings Overlap
SPY and VSLU share 320 holdings out of 770 unique holdings combined, representing a 62.7% weight overlap.
High overlap means holding both may not provide much additional diversification.
Frequently Asked Questions
Which is cheaper, SPY or VSLU?
SPY has an expense ratio of 0.09% while VSLU 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 VSLU?
Over the past year SPY returned +20.15% vs +19.10% for VSLU, so SPY leads on 1-year performance. Over the longest common window we track (5 years), SPY annualized +8.79% vs +14.09% for VSLU. Past performance does not guarantee future results.
Which is riskier, SPY or VSLU?
SPY has been the more volatile fund at 15.3% annualized versus 14.8% for VSLU. Worst drawdown: SPY -56.5% vs VSLU -23.9%.
Should I hold both SPY and VSLU?
SPY and VSLU have a monthly-return correlation of 0.98, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.
What is the holdings overlap between SPY and VSLU?
SPY and VSLU share 320 common holdings with a 62.7% weight overlap. Combined, they hold 770 unique securities.
Which pays a higher dividend, SPY or VSLU?
SPY yields 1.01% while VSLU yields 0.43%, so SPY currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.