What is the main difference between SPY and SPYM in terms of fees?

SPY (stock_1) carries an expense ratio of 0.09%, while SPYM (stock_2) has a lower expense ratio of 0.02%. This means SPYM is generally cheaper to hold over time, as the fee difference of 0.07 percentage points reduces the total cost of ownership. For large or long-term investments, even small fee differences can compound, potentially impacting net returns. However, fees are just one consideration; tracking, liquidity and tax structure also matter. Always check the latest fee schedules and consider your investment horizon when comparing these funds.

How do the net assets of SPY and SPYM compare?

SPY (stock_1) has net assets of $785.0 billion, making it one of the largest ETFs globally. SPYM (stock_2) has $157.4 billion in net assets. The larger size of SPY generally leads to higher trading volumes and potentially tighter bid-ask spreads for large orders, though smaller orders may face wider spreads. SPYM, while smaller, still offers solid liquidity and lower fees. Size alone doesn't determine performance, but it can influence trading ease and expense ratios.

What does the 0.07% fee difference mean over 10 years?

The 0.07 percentage point difference between SPY (0.09%) and SPYM (0.02%) means that, for every $10,000 invested, SPYM saves approximately $7 per year. Over 10 years, assuming no growth, the savings total about $70. While seemingly minor, these costs compound and directly reduce net returns. It's crucial to compare how much difference a 0.07% annual fee adds up to. The lower expense ratio generally favours SPYM (stock_2), but you must weigh this against other factors like tracking accuracy.

Are the holdings in SPY and SPYM identical?

SPY (stock_1) and SPYM (stock_2) have nearly identical top-ten holdings, including NVDA, AAPL, MSFT and AMZN. Both funds exhibit a high concentration in these large-cap technology stocks. The weights differ by fractions of a percent due to tracking methods or timing, but the overall exposure is effectively the same. Consequently, their sector and stock risks are very similar. Choosing between them is less about the stocks held and more about fees and trading mechanics.

How do dividend yields compare between the two funds?

SPY (stock_1) has a dividend yield of 0.98%, while SPYM (stock_2) offers slightly more at 1.00%. This minor difference reflects each fund's income generation from its underlying S&P 500 constituents. Dividend yields can fluctuate with share prices and declared distributions. Both funds distribute quarterly, reinvesting dividends or taking cash is a matter of personal preference. The yield gap is small, so this factor alone should not dictate the choice between these two ETFs.

Which index do SPY and SPYM track?

Both SPY (stock_1) and SPYM (stock_2) aim to track the performance of the S&P 500 index. This means their holdings and returns should closely mirror the 500 largest US publicly traded companies. While sector weight data is currently listed as 'not available' in the provided ground truth for both, their shared top holdings confirm this market exposure. Investors in either fund are buying into the same broad US large-cap market segment.

Does the age of the fund matter for beginners?

SPY (stock_1) was launched in 1993 and has a long operational history, while SPYM (stock_2) launched in 2005. A longer history demonstrates stability and has survived various market cycles. However, SPYM is still mature and backed by the same issuer. For a beginner, the age is less critical than the fund's current efficiency, liquidity and fees. Both are established options, so track record alone should not overshadow cost considerations.

Which fund is better for long-term growth?

Since both funds track the S&P 500 with identical top holdings, their long-term growth potential is very similar. However, the lower expense ratio of SPYM (0.02%) versus SPY (0.09%) means that, all else being equal, SPYM might provide slightly higher net returns over long periods due to cost efficiency. Sector weights are not available for direct comparison in the data. Beginners focused on cost-effectiveness for long-term holding often look towards the lower-fee option.

What disclaimer should readers note?

This comparison is for educational purposes only and does not constitute financial advice. Figures such as expense ratios, net assets and yields are sourced from the provided context. Investors should consider their own risk tolerance, investment horizon, and consult a qualified professional before making decisions. Past performance of SPY or SPYM is not indicative of future results. Always verify current data and fees through official issuer documents and reliable financial news sources.

SPY vs SPYM

Two funds, one decision: we compare cost, performance and what each ETF actually holds in September 2026.

Compare the S&P 500 ETF Trust SPDR (SPY) and the SPDR Portfolio S&P 500 ETF (SPYM) to assess fees, holdings, dividends and how each fund tracks its market. With expense ratios of 0.09% and 0.02%, and net assets of $785.0 billion and $157.4 billion, both share identical top-10 holdings including NVDA and AAPL. Educational content, not financial advice.

Compare the S&P 500 ETF Trust SPDR (SPY) and the SPDR Portfolio S&P 500 ETF (SPYM) to assess fees, holdings, dividends and how each fund tracks its market. With expense ratios of 0.09% and 0.02%, and ...

Fund Snapshot

Key Fund Metrics

SPY

Metric

SPYM

0.09%

Expense Ratio

0.02%

0.98%

Dividend Yield

1.00%

$785.05B

Net Assets

$157.41B

505

Holdings

508

Jan 22, 1993

Inception Date

Nov 8, 2005

–

Index Tracked

–

Large Blend

Fund Category

–

SPYM costs about $7.00 less per year for every $10,000 invested.

Shared Top Holdings

Holding	SPY	SPYM
NVDANVIDIA Corporation	8.16%	8.15%
AAPLApple Inc.	7.44%	7.43%
MSFTMicrosoft Corporation	5.56%	5.55%
AMZNAmazon.com, Inc.	3.78%	3.77%
GOOGLAlphabet Inc.	3.11%	3.11%
AVGOBroadcom Inc.	2.58%	2.57%
GOOGAlphabet Inc.	2.48%	2.48%
METAMeta Platforms, Inc.	2.23%	2.22%
MUMicron Technology, Inc.	1.74%	1.74%
TSLATesla, Inc.	1.56%	1.55%

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Investment Analysis

SPY

Pros

Sustains a net asset value of $785.0 billion, indicating substantial scale.
Demonstrates a long operational history dating from its 1993 inception.
Pays a 0.98 per cent dividend yield, reflecting income generation.

Considerations

Carries an expense ratio of 0.09 per cent, which is relatively high.
Concentrates holdings in ten large technology and consumer stocks.
Frequently trades with wider bid-ask spreads for smaller orders.

SPYM

Pros

Offers a low expense ratio of 0.02 per cent, reducing investment costs.
Maintains a net asset value of $157.4 billion, indicating solid size.
Distributes a 1.00 per cent dividend yield, slightly exceeding Fund A.

Considerations

Holds a high concentration in ten leading large-cap technology stocks.
Faces a sector-weight data unavailability, limiting specific sector analysis.
Shares an identical top-10 holding profile with Fund A, limiting differentiation.

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About SPY and SPYM

SPY (SPY)

SPDR S&P 500 ETF Trust (SPY) is an exchange‑traded fund designed to track the S&P 500 index, offering investors broad exposure to large‑capitalisation US equities. It is widely used by retail and institutional investors for core portfolio allocation, tactical trading and hedging because of its deep liquidity and transparent holdings. SPY distributes dividends (typically quarterly) and reflects the performance of the underlying index, so returns move with the US large‑cap market. As with any equity product, value can fall as well as rise and past performance is not a guide to the future. Costs, tax considerations and suitability will depend on an individual’s circumstances; consult official documents and consider seeking independent advice where appropriate. This summary is general educational information and not personalised investment advice.

SPYM (SPYM)

This ETF aims to track a large-cap US equity benchmark, typically offering diversified exposure to hundreds of major companies. With a low expense ratio of 0.02%, it is designed for cost-efficient long-term portfolio building. It holds a significant amount of net assets, currently reported at approximately USD 157.41 billion, which can indicate liquidity and widespread institutional use. The fund provides exposure across various sectors of the US economy through its holdings, currently numbering around 508 companies. Investors might consider this as a core holding or a satellite position to complement other assets. As with all equity investments, the value of the ETF can fluctuate, and there is no guarantee of profit. It serves as a vehicle for gaining broad market exposure rather than trying to outperform specific stocks.

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SPY vs SPYM

Fund Snapshot