State Street’s SPYM charges 0.02% expense ratio versus VOO’s 0.03%, saving investors $1 annually on a $10,000 holding.
The SPDR Portfolio S&P 500 ETF (SPYM) offers the same S&P 500 index exposure as Vanguard’s VOO but at a 0.02% expense ratio, undercutting VOO’s 0.03%. The 1 basis point difference saves roughly $1 per year on a $10,000 investment.
VOO, with over $1 trillion in assets under management, remains the dominant S&P 500 ETF, praised for its 0.03% fee. Both funds hold identical portfolios, including Apple (AAPL), Microsoft (MSFT), and Nvidia (NVDA), but SPYM’s lower cost raises questions about investor preference.
Taxable account holders are advised against switching due to transaction costs and tax implications, which outweigh the minimal fee savings.