SPY vs WEBL

Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricSPYWEBLWinner
Expense Ratio0.09%0.96%
AUM$789.1B$83M
Dividend Yield1.01%0.19%
Holdings50547
YTD Return+13.75%+16.27%
1Y Return+22.91%+4.71%
3Y Return (annualized)+21.67%+39.20%
5Y Return (annualized)+13.32%-17.56%
Volatility (annualized)15.3%73.1%
Max Drawdown-56.5%-94.4%
Fund FamilyState Street Investment ManagementDirexion Shares ETF Trust
CategoryEquityAlternative
InceptionJan 22, 1993Nov 7, 2019

SPY vs WEBL Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Direxion Daily Dow Jones Internet Bull 3X ETF (WEBL) is a ETF from Direxion Shares ETF Trust. Over the past year SPY returned +22.91% while WEBL returned +4.71%. Year to date, SPY is up 13.75% versus a gain of 16.27% for WEBL.

Over three years, SPY compounded at +21.67% per year against +39.20% for WEBL; over five years the annualized figures are +13.32% and -17.56% respectively. Across the full 7-year window we track, SPY has the edge at +8.85% annualized vs +3.98%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

WEBL has been the more volatile fund, with annualized monthly volatility of 73.1% 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 -94.4% for WEBL. 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 0.82. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SPY charges 0.09% per year while WEBL charges 0.96%. On a $10,000 position that is $9 vs $96 annually, a gap of $87 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 0.19% for WEBL.

Holdings Overlap

14.9%overlap

SPY and WEBL share 24 holdings out of 521 unique holdings combined, representing a 14.9% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in SPYWeight in WEBLDifference
AMZN3.69%6.56%2.87%
META2.03%6.40%4.37%
GOOGL3.32%3.58%0.26%
CSCOProProPro
GOOGProProPro
BKNGProProPro
ANETProProPro
ORCLProProPro
NFLXProProPro
CRMProProPro
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Frequently Asked Questions

Which is cheaper, SPY or WEBL?

SPY has an expense ratio of 0.09% while WEBL charges 0.96%. SPY is the cheaper option. On a $10,000 investment, that is $87 per year of difference.

Which performed better, SPY or WEBL?

Over the past year SPY returned +22.91% vs +4.71% for WEBL, so SPY leads on 1-year performance. Over the longest common window we track (7 years), SPY annualized +8.85% vs +3.98% for WEBL. Past performance does not guarantee future results.

Which is riskier, SPY or WEBL?

WEBL has been the more volatile fund at 73.1% annualized versus 15.3% for SPY. Worst drawdown: SPY -56.5% vs WEBL -94.4%.

Should I hold both SPY and WEBL?

SPY and WEBL have a monthly-return correlation of 0.82, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SPY and WEBL?

SPY and WEBL share 24 common holdings with a 14.9% weight overlap. Combined, they hold 521 unique securities.

Which pays a higher dividend, SPY or WEBL?

SPY yields 1.01% while WEBL yields 0.19%, so SPY currently pays the higher dividend yield.

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