PABU vs SPY

PABU vs SPY

Which is better, PABU or SPY?

Large Cap Growth against Large Cap Blend.

SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. The two have moved almost in lockstep, correlation 0.98. SPY is less concentrated, with 38.2% of the fund in its ten largest positions against 49.7%.

Lower Fees: SPYHigher Returns: SPYLess Concentrated: SPY

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricPABUSPY
Expense Ratio0.10%0.09%Best
AUM$2.5B$823.2B
Dividend Yield0.95%0.99%
Holdings911,515
YTD Return+9.60%+13.53%Best
1Y Return+11.59%+17.47%Best
3Y Return (annualized)+19.34%+22.36%Best
5Y Return (annualized)-+13.21%
Volatility (annualized)16.3%15.0%Best
Max Drawdown-20.8%-19.1%Best
$10,000 over 4.5 years$16,963$18,421Best
Top 10 Weight49.7%38.2%Best
Fund FamilyiShares by BlackRock (US)State Street Investment Management
CategoryEquityEquity
StyleLarge Cap GrowthLarge Cap Blend
InceptionFeb 8, 2022Jan 22, 1993

Volatility and max drawdown, and the $10,000 over 4.5 years row, are measured over the window both funds cover: Apr 20, 2022 to Oct 14, 2026 (4.5 years).

PABU vs SPY growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 4.5 years both funds cover.

PABU vs SPY Performance

iShares Paris-Aligned Climate Optimized MSCI USA ETF (PABU) is an ETF from iShares by BlackRock (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year PABU returned +11.59% while SPY returned +17.47%. Year to date, PABU is up 9.60% versus a gain of 13.53% for SPY.

Over three years, PABU compounded at +19.34% per year against +22.36% for SPY.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PABU has been the more volatile fund, with annualized monthly volatility of 16.3% compared with 15.0% 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 -20.8% for PABU and -19.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.98. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

PABU charges 0.10% per year while SPY charges 0.09%. On a $10,000 position that is $10 vs $9 annually, a gap of $1 per year that compounds over a long holding period. On income, PABU currently yields 0.95% against 0.99% for SPY.

Holdings Overlap

PABU already in SPY93.4%
SPY already in PABU50.4%

93.4% of PABU's money is in holdings SPY also owns. 50.4% of SPY's money is in holdings PABU also owns.

Most of PABU is already inside SPY. Owning both mostly buys the same companies twice.

76 positions in common, counted across the 87 positions we hold weights for in PABU and 504 in SPY, against full books of 91 and 1,515.

What only one of them owns

Measured across the 87 and 504 positions we hold weights for.

SPY holds 420 positions PABU does not, 48.7% of the fund.

Largest: MU 1.59%, BRK.B 1.44%, JPM 1.43%, XOM 1.04%, JNJ 0.98%

Top Shared Holdings

StockWeight in PABUWeight in SPYDifference
NVDANvidia Corp10.02%7.78%2.24%
AAPLApple, Inc7.41%7.45%0.04%
MSFTMicrosoft Corp7.78%5.71%2.07%
GOOGAlphabet Inc. C3.80%2.49%1.31%
AVGOBroadcom Inc3.38%2.48%0.90%
AMZNAmazon.Com Inc1.80%3.78%1.98%
AMDAdvanced Micro Devices Inc4.34%1.22%3.12%
GOOGLAlphabet Inc1.72%3.12%1.40%
METAMeta Platforms Inc2.61%2.22%0.39%
TSLATesla Inc3.17%1.54%1.63%

93.4% of PABU is already inside SPY.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

PABUSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, PABU or SPY?

PABU has an expense ratio of 0.10% while SPY charges 0.09%. SPY is the cheaper option, by $1 a year on a $10,000 investment.

Which performed better, PABU or SPY?

Over the past year PABU returned +11.59% vs +17.47% for SPY, so SPY leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PABU or SPY?

PABU has been the more volatile fund at 16.3% annualized versus 15.0% for SPY. Worst drawdown: PABU -20.8% vs SPY -19.1%.

Should I hold both PABU and SPY?

PABU and SPY have a monthly-return correlation of 0.98, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between PABU and SPY?

93.4% of PABU's money is in holdings SPY also owns. 50.4% of SPY's is in holdings PABU also owns. They hold 76 positions in common, counted across the 87 positions we hold weights for in PABU and 504 in SPY.

Which pays a higher dividend, PABU or SPY?

PABU yields 0.95% while SPY yields 0.99%, so SPY currently pays the higher dividend yield.

Is SPY better than PABU?

SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. The two have moved almost in lockstep, correlation 0.98. SPY is less concentrated, with 38.2% of the fund in its ten largest positions against 49.7%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.