SPYM undercuts SPY’s 9.45 basis point fee, offering identical S&P 500 exposure for retirement savers at a fraction of the cost.
State Street’s SPDR Portfolio S&P 500 ETF (SPYM) now tracks the S&P 500 at 2 basis points, nearly five times cheaper than the 9.45 basis points charged by its flagship SPDR S&P 500 ETF Trust (SPY). The new fee matches competitors VOO and IVV, targeting buy-and-hold investors in retirement accounts.
SPY’s higher fee funds the deepest ETF options market globally, a feature critical for active traders but irrelevant to long-term savers. SPYM, formerly SPLG, was renamed on October 31, 2025, as State Street repositioned its lineup to capture retirement plan assets. Both funds hold identical S&P 500 portfolios.
The launch reflects a broader shift toward cost efficiency in passive investing, where even small fee differences compound over decades. SPYM’s ticker mirrors SPY’s branding to attract investors seeking lower expenses without sacrificing index exposure.