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

MetricSPYWTIPWinner
Expense Ratio0.09%0.65%
AUM$789.1B$21M
Dividend Yield1.01%3.85%
Holdings50535
YTD Return+13.79%+8.09%
1Y Return+23.66%+23.47%
3Y Return (annualized)+21.40%-
5Y Return (annualized)+13.37%-
Volatility (annualized)15.3%12.8%
Max Drawdown-56.5%-16.5%
Fund FamilyState Street Investment ManagementWisdomTree Investments
CategoryEquityFixed Income
InceptionJan 22, 1993Jun 18, 2025

SPY vs WTIP Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and WisdomTree Inflation Plus Fund ETF (WTIP) is a ETF from WisdomTree Investments. Over the past year SPY returned +23.66% while WTIP returned +23.47%. Year to date, SPY is up 13.79% versus a gain of 8.09% for WTIP.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 12.8% for WTIP. 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 -16.5% for WTIP. 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 -0.02. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SPY charges 0.09% per year while WTIP charges 0.65%. On a $10,000 position that is $9 vs $65 annually, a gap of $56 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 3.85% for WTIP.

Holdings Overlap

0.0%overlap

SPY and WTIP share 0 holdings out of 524 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 WTIP?

SPY has an expense ratio of 0.09% while WTIP charges 0.65%. SPY is the cheaper option. On a $10,000 investment, that is $56 per year of difference.

Which performed better, SPY or WTIP?

Over the past year SPY returned +23.66% vs +23.47% for WTIP, so SPY leads on 1-year performance. Over the longest common window we track (1 years), SPY annualized +8.85% vs +20.91% for WTIP. Past performance does not guarantee future results.

Which is riskier, SPY or WTIP?

SPY has been the more volatile fund at 15.3% annualized versus 12.8% for WTIP. Worst drawdown: SPY -56.5% vs WTIP -16.5%.

Should I hold both SPY and WTIP?

SPY and WTIP have a monthly-return correlation of -0.02, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SPY and WTIP?

SPY and WTIP share 0 common holdings with a 0.0% weight overlap. Combined, they hold 524 unique securities.

Which pays a higher dividend, SPY or WTIP?

SPY yields 1.01% while WTIP yields 3.85%, so WTIP currently pays the higher dividend yield.

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