SPY vs XSHD
State Street SPDR S&P 500 ETF Trust vs Invesco S&P SmallCap High Dividend Low Volatility ETF
Quick Verdict
SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 505 holdings.
Side-by-Side Comparison
| Metric | SPY | XSHD | Winner |
|---|---|---|---|
| Expense Ratio | 0.09% | 0.30% | |
| AUM | $821.1B | $72M | |
| Dividend Yield | 1.01% | 4.90% | |
| Holdings | 505 | 55 | |
| YTD Return | +12.22% | +11.77% | |
| 1Y Return | +20.83% | +9.20% | |
| 3Y Return (annualized) | +21.70% | +2.79% | |
| 5Y Return (annualized) | +12.98% | -3.43% | |
| Volatility (annualized) | 15.3% | 21.6% | |
| Max Drawdown | -56.5% | -49.5% | |
| Fund Family | State Street Investment Management | Invesco (US) | |
| Category | Equity | Equity | |
| Inception | Jan 22, 1993 | Dec 1, 2016 |
SPY vs XSHD Performance
State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD) is a ETF from Invesco (US). Over the past year SPY returned +20.83% while XSHD returned +9.20%. Year to date, SPY is up 12.22% versus a gain of 11.77% for XSHD.
Over three years, SPY compounded at +21.70% per year against +2.79% for XSHD; over five years the annualized figures are +12.98% and -3.43% respectively. Across the full 10-year window we track, SPY has the edge at +8.79% annualized vs -0.25%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
XSHD has been the more volatile fund, with annualized monthly volatility of 21.6% 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 -49.5% for XSHD. 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 0.74. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SPY charges 0.09% per year while XSHD charges 0.30%. On a $10,000 position that is $9 vs $30 annually, a gap of $21 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 4.90% for XSHD.
Holdings Overlap
SPY and XSHD share 0 holdings out of 557 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 XSHD?
SPY has an expense ratio of 0.09% while XSHD charges 0.30%. SPY is the cheaper option. On a $10,000 investment, that is $21 per year of difference.
Which performed better, SPY or XSHD?
Over the past year SPY returned +20.83% vs +9.20% for XSHD, so SPY leads on 1-year performance. Over the longest common window we track (10 years), SPY annualized +8.79% vs -0.25% for XSHD. Past performance does not guarantee future results.
Which is riskier, SPY or XSHD?
XSHD has been the more volatile fund at 21.6% annualized versus 15.3% for SPY. Worst drawdown: SPY -56.5% vs XSHD -49.5%.
Should I hold both SPY and XSHD?
SPY and XSHD have a monthly-return correlation of 0.74, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between SPY and XSHD?
SPY and XSHD share 0 common holdings with a 0.0% weight overlap. Combined, they hold 557 unique securities.
Which pays a higher dividend, SPY or XSHD?
SPY yields 1.01% while XSHD yields 4.90%, so XSHD 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.