SPY: The Original S&P 500® ETF | SPDR® (2024)

FAQs

Does SPY mirror the S&P 500? ›

As such, the average return in SPY closely mirrors that of the S&P 500. The S&P 500 assumed its current size and name in 1957, however, its origins as a composite index date back to the 1920s.

The SPDR S&P 500 ETF Trust (SPY), also known as SPY, is an exchange-traded fund that tracks the performance of the S&P 500 index. The S&P 500 is a stock market index that measures the performance of 500 large cap publicly traded companies in the United States.

The SPDR S&P 500 ETF is a globally well-known and widely-tracked exchange-traded fund. Launched in January 1993 by State Street Global Advisors, SPY was the first ETF listed in the United States and remains one of the largest ($528 billion in total assets) and most heavily traded.

When was SPY created? SPY was created on January 22, 1993. It was the first US ETF to be listed on a national stock exchange, and it remains the most widely traded ETF in the world.

The S&P 500 carries market risk, as its value fluctuates with overall market performance, as well as the performance of heavily weighted stocks and sectors. For example, the technology sector performed poorly in 2022 and was a large contributor to the index's correction that year.

VOO earns a top rating of Gold, while SPY earns the next best rating of Silver. Almahasneh says the reason is fees. VOO charges 0.03%, while SPY charges 0.09%. With all else equal, the fund with the lower fee is more aligned with investors' best interests.

SPX contracts are known for being much larger than SPY contracts. They are about 10x larger, in fact. Some find an advantage in buying these larger contracts since it gives you the ability to average your price over several different price points.

In the past year, QQQ returned a total of 29.88%, which is higher than SPY's 26.19% return. Over the past 10 years, QQQ has had annualized average returns of 18.31% , compared to 12.50% for SPY. These numbers are adjusted for stock splits and include dividends.

In the last 30 Years, the SPDR S&P 500 (SPY) ETF obtained a 10.47% compound annual return, with a 15.14% standard deviation. Discover new asset allocations in USD and EUR, in addition to the lazy portfolios on the website.

Does SPY charge a fee? ›

Low expenses: The SPY ETF has a low expense ratio of 0.09%, which is much lower than average mutual fund expenses, which are often 0.50% or more. Diversification: By investing in the SPY ETF, investors gain access to 500 of the largest publicly traded companies in the U.S. across 11 different sectors.

SPY has a dividend yield of 1.28% and paid $6.72 per share in the past year. The dividend is paid every three months and the last ex-dividend date was Mar 15, 2024.

The SPDR S&P 500 ETF is listed on the New York Stock Exchange and trades under the ticker symbol SPY. The SPY's price tracks the S&P 500 index. The SPDR S&P 500 ETF allows investors to track the performance of the US economy without having to buy all the stocks listed on the S&P 500 directly.

VFIAX and SWPPX are some of the best S&P 500 index funds on the market in terms of costs and minimums. S&P 500 index funds track the S&P 500 — a market index made up of about 500 U.S. companies.

SPY's price is about 1/10th of the SPX's value at all times. If the SPX is trading at 4,500, the SPY should be around 450. As such, the option prices will usually correlate.