SPY vs VTWAX
State Street SPDR S&P 500 ETF Trust vs Vanguard Total World Stock Index Fund Admiral Class
Which is better, SPY or VTWAX?
Each has led over a different period.
SPY led over 3Y, 5Y and the full window, VTWAX over 1Y. The two have moved almost in lockstep, correlation 0.97.
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 | VTWAX |
|---|---|---|
| Expense Ratio | 0.09%Tie | 0.09%Tie |
| AUM | $804.7B | $12.1B |
| Dividend Yield | 0.98% | 1.52% |
| Holdings | 505 | 10,039 |
| YTD Price Return | +11.87% | +12.57%Best |
| 1Y Price Return | +16.22% | +16.89%Best |
| 3Y Price Return (annualized) | +19.68%Best | +18.20% |
| 5Y Price Return (annualized) | +11.36%Best | +8.52% |
| Volatility (annualized) | 15.8% | 15.1%Best |
| Max Drawdown | -25.4%Best | -28.0% |
| $10,000 over 5 years | $17,126Best | $15,050 |
| Fund Family | State Street Investment Management | Vanguard (US) |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Jan 22, 1993 | Feb 7, 2019 |
Not shown on this pair: Top 10 Weight.
Returns are price returns and exclude distributions, because our data feed carries no adjusted close for VTWAX. Both funds are measured the same way, so the comparison holds. SPY yields 0.98% and VTWAX 1.52% on top.
Volatility and max drawdown are measured over the window both funds cover: Sep 13, 2021 to Sep 11, 2026 (5 years).
SPY vs VTWAX 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 5 years both funds cover. Prices exclude distributions, on both funds alike.
SPY vs VTWAX Performance
State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management and Vanguard Total World Stock Index Fund Admiral Class (VTWAX) is a mutual fund from Vanguard (US). Over the past year SPY returned +16.22% while VTWAX returned +16.89%. Year to date, SPY is up 11.87% versus a gain of 12.57% for VTWAX.
Over three years, SPY compounded at +19.68% per year against +18.20% for VTWAX; over five years the annualized figures are +11.36% and +8.52% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 15.8% compared with 15.1% for VTWAX. 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 -25.4% for SPY and -28.0% for VTWAX. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.97. 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 VTWAX charges 0.09%. On a $10,000 position that is $9 vs $9 annually. On income, SPY currently yields 0.98% against 1.52% for VTWAX.
Structure and taxes
VTWAX is a mutual fund and SPY is an ETF. A mutual fund prices once a day at net asset value and may carry a purchase minimum. An ETF trades through the day at whatever the market pays for it.
In a taxable account the difference that usually matters is distributions. An ETF can meet redemptions in kind, so it rarely has to sell holdings and rarely passes a capital gain to the people who held it; a mutual fund that sells holdings to meet redemptions can distribute a realised gain at year end to everyone still in the fund, whether or not they sold anything themselves. In a tax-deferred account that difference largely disappears. Both are descriptions of how the two wrappers work, not a recommendation.
Tax-loss harvesting works on either wrapper.
Holdings Overlap
At least 95.7% of SPY's money is in holdings VTWAX also owns.
Stated as a floor: for VTWAX, our book for it covers 89.4% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
Most of SPY is already inside VTWAX. Owning both mostly buys the same companies twice.
The two holdings books were reported 185 days apart, SPY as of Aug 4, 2026 and VTWAX as of Jan 31, 2026, so some of the difference between them is the time between the two reports rather than the funds.
492 positions in common, counted across the 504 positions we hold weights for in SPY and 9,796 in VTWAX, against full books of 505 and 10,039.
Top Shared Holdings
| Stock | Weight in SPY | Weight in VTWAX | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 7.71% | 4.16% | 3.55% |
| AAPLApple, Inc | 6.83% | 3.51% | 3.32% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 5.50% | 2.96% | 2.54% |
| AMZNAmazon.Com Inc | 4.08% | 2.13% | 1.95% |
| GOOGAlphabet Inc | 2.67% | 1.83% | 0.84% |
| AVGOBroadcom Inc | 2.97% | 1.42% | 1.55% |
| TSLATesla Inc | 1.38% | 1.13% | 0.25% |
| JPMJpmorgan Chase & Co. | 1.44% | 0.74% | 0.70% |
| BRK.BBerkshire Hathaway B | 1.42% | 0.72% | 0.70% |
| LLYEli Lilly & Co. | 1.33% | 0.77% | 0.56% |
95.7% of SPY is already inside VTWAX.
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 VTWAX?
SPY has an expense ratio of 0.09% while VTWAX charges 0.09%. At the precision these are quoted to, they cost the same.
Which performed better, SPY or VTWAX?
Over the past year SPY returned +16.22% vs +16.89% for VTWAX, so VTWAX leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SPY or VTWAX?
SPY has been the more volatile fund at 15.8% annualized versus 15.1% for VTWAX. Worst drawdown: SPY -25.4% vs VTWAX -28.0%.
Should I hold both SPY and VTWAX?
SPY and VTWAX have a monthly-return correlation of 0.97, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between SPY and VTWAX?
At least 95.7% of SPY's money is in holdings VTWAX also owns. Our book for VTWAX is partial, so the real figure is this or higher. They hold 492 positions in common, counted across the 504 positions we hold weights for in SPY and 9,796 in VTWAX.
Which pays a higher dividend, SPY or VTWAX?
SPY yields 0.98% while VTWAX yields 1.52%, so VTWAX currently pays the higher dividend yield.
Is it better to hold VTWAX or SPY in a taxable account?
SPY is an ETF and VTWAX is a mutual fund. An ETF can meet redemptions in kind, so it rarely distributes a capital gain to the people holding it. A mutual fund that sells holdings to meet redemptions can pass a realised gain to every holder at year end. In a tax-deferred account that difference largely disappears. This is information, not a recommendation.
Is VTWAX better than SPY?
SPY led over 3Y, 5Y and the full window, VTWAX over 1Y. The two have moved almost in lockstep, correlation 0.97. Which one suits a particular account depends on what it is for. This is information, not a recommendation.