HSBC vs. SPY

Last updated Jun 4, 2026

HSBC (HSBC Holdings plc) is a stock, while SPY (State Street SPDR S&P 500 ETF) is S&P 500 fund tracking the S&P 500 Index. Over the past 10 years, HSBC returned 17.61%/yr vs 15.49%/yr for SPY. A 0.60 correlation means they provide meaningful diversification when combined.

Performance

HSBC vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in HSBC Holdings plc (HSBC) and State Street SPDR S&P 500 ETF (SPY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HSBC achieves a 23.06% return, which is significantly higher than SPY's 10.91% return. Over the past 10 years, HSBC has outperformed SPY with an annualized return of 17.61%, while SPY has yielded a comparatively lower 15.49% annualized return.

HSBC

• 1D: -1.65%
• 1M: 4.47%
• YTD: 23.06%
• 6M: 34.44%
• 1Y: 65.49%
• 3Y*: 45.12%
• 5Y*: 32.27%
• 10Y*: 17.61%

SPY

• 1D: -0.70%
• 1M: 5.05%
• YTD: 10.91%
• 6M: 10.91%
• 1Y: 27.98%
• 3Y*: 22.35%
• 5Y*: 13.83%
• 10Y*: 15.49%

*Multi-year figures are annualized to reflect compound growth (CAGR)

HSBC vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
HSBC HSBC Holdings plc	23.06%	67.91%	34.48%	39.45%	7.79%	20.76%	-31.71%	1.44%	-16.05%	36.04%
SPY State Street SPDR S&P 500 ETF	10.91%	17.72%	24.89%	26.18%	-18.18%	28.73%	18.33%	31.22%	-4.57%	21.71%

Correlation

The correlation between HSBC and SPY is 0.58, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.58
Correlation (3Y) Calculated over the trailing 3-year period	0.48
Correlation (5Y) Calculated over the trailing 5-year period	0.47
Correlation (10Y) Calculated over the trailing 10-year period	0.49
Correlation (All Time) Calculated using the full available price history since Jul 19, 1999	0.60

The correlation between HSBC and SPY shifts across timeframes, from 0.47 (5 years) to 0.60 (all time), reflecting how their relationship changes across market environments.

Return for Risk

HSBC vs. SPY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

HSBC

HSBC Risk / Return Rank: 90
HSBC Sharpe Ratio Rank: 92
HSBC Sortino Ratio Rank: 90
HSBC Omega Ratio Rank: 90
HSBC Calmar Ratio Rank: 87
HSBC Martin Ratio Rank: 92

SPY

SPY Risk / Return Rank: 70
SPY Sharpe Ratio Rank: 71
SPY Sortino Ratio Rank: 69
SPY Omega Ratio Rank: 70
SPY Calmar Ratio Rank: 62
SPY Martin Ratio Rank: 75

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

HSBC vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for HSBC Holdings plc (HSBC) and State Street SPDR S&P 500 ETF (SPY). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	HSBC	SPY	Difference
Sharpe ratio: Return per unit of total volatility	2.52	2.38	+0.15
Sortino ratio: Return per unit of downside risk	3.23	3.24	-0.01
Omega ratio: Gain probability vs. loss probability	1.44	1.43	+0.01
Calmar ratio: Return relative to maximum drawdown	4.04	3.16	+0.88
Martin ratio: Return relative to average drawdown	14.50	14.72	-0.21
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HSBC vs. SPY - Sharpe Ratio Comparison

The current HSBC Sharpe Ratio is 2.52, which is comparable to the SPY Sharpe Ratio of 2.38. The chart below compares the historical Sharpe Ratios of HSBC and SPY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	HSBC	SPY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.52	2.38	+0.15
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.26	0.82	+0.44
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.69	0.87	-0.17
Sharpe Ratio (All Time) Calculated using the full available price history	0.25	0.59	-0.33

Drawdowns

HSBC vs. SPY - Drawdown Comparison

The maximum HSBC drawdown since its inception was -74.47%, which is greater than SPY's maximum drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for HSBC and SPY.

Drawdown Indicators

	HSBC	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-74.47%	-55.19%	-19.28%
Max Drawdown (1Y) Largest decline over 1 year	-16.28%	-8.88%	-7.40%
Max Drawdown (3Y) Largest decline over 3 years	-21.83%	-18.76%	-3.07%
Max Drawdown (5Y) Largest decline over 5 years	-31.80%	-24.50%	-7.30%
Max Drawdown (10Y) Largest decline over 10 years	-62.26%	-33.72%	-28.54%
Current Drawdown Current decline from peak	-1.65%	-0.70%	-0.95%
Average Drawdown Average peak-to-trough decline	-24.12%	-9.05%	-15.07%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.53%	1.91%	+2.62%

Volatility

HSBC vs. SPY - Volatility Comparison

HSBC Holdings plc (HSBC) has a higher volatility of 9.27% compared to State Street SPDR S&P 500 ETF (SPY) at 2.84%. This indicates that HSBC's price experiences larger fluctuations and is considered to be riskier than SPY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HSBC	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.27%	2.84%	+6.43%
Volatility (6M) Calculated over the trailing 6-month period	21.43%	8.90%	+12.53%
Volatility (1Y) Calculated over the trailing 1-year period	26.11%	11.83%	+14.28%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	25.76%	17.05%	+8.71%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	25.55%	17.94%	+7.61%

Dividends

HSBC vs. SPY - Dividend Comparison

HSBC's dividend yield for the trailing twelve months is around 4.00%, more than SPY's 0.98% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HSBC HSBC Holdings plc	4.00%	4.19%	8.29%	6.54%	4.33%	3.65%	4.05%	6.52%	6.20%	4.94%	6.35%	6.33%
SPY State Street SPDR S&P 500 ETF	0.98%	1.07%	1.21%	1.40%	1.65%	1.20%	1.52%	1.75%	2.04%	1.80%	2.03%	2.06%

Frequently Asked Questions

Can I hold both HSBC and SPY in my portfolio?

HSBC and SPY have a correlation of 0.58, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HSBC or SPY?

HSBC has higher volatility (9.27%) compared to SPY (2.84%). In terms of maximum drawdown, HSBC dropped -74.47% vs SPY's -55.19%.

Which has better risk-adjusted returns?

HSBC currently has the higher Sharpe Ratio (2.52 vs 2.38), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.