VUSE vs. SPY

Last updated Jun 4, 2026

VUSE (Vident U.S. Equity Strategy ETF) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - VUSE is a Mid Cap Value Equities fund tracking the Vident U.S. Quality Index, while SPY is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, VUSE returned 12.38%/yr vs 15.49%/yr for SPY. Their correlation of 0.86 suggests significant overlap in exposure. VUSE charges 0.50%/yr vs 0.09%/yr for SPY.

Performance

VUSE vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vident U.S. Equity Strategy ETF (VUSE) 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, VUSE achieves a 9.45% return, which is significantly lower than SPY's 10.91% return. Over the past 10 years, VUSE has underperformed SPY with an annualized return of 12.38%, while SPY has yielded a comparatively higher 15.49% annualized return.

VUSE

• 1D: -0.51%
• 1M: 5.30%
• YTD: 9.45%
• 6M: 9.20%
• 1Y: 18.48%
• 3Y*: 17.51%
• 5Y*: 10.93%
• 10Y*: 12.38%

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)

VUSE vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VUSE Vident U.S. Equity Strategy ETF	9.45%	13.18%	15.77%	24.36%	-9.42%	35.46%	6.76%	20.74%	-15.25%	16.62%
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 VUSE and SPY is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.90
Correlation (3Y) Calculated over the trailing 3-year period	0.91
Correlation (5Y) Calculated over the trailing 5-year period	0.89
Correlation (10Y) Calculated over the trailing 10-year period	0.85
Correlation (All Time) Calculated using the full available price history since Jan 23, 2014	0.86

The correlation between VUSE and SPY has been stable across timeframes, ranging from 0.85 to 0.91 - a consistent structural relationship.

VUSE vs. SPY - Sectors Allocation Comparison

Sectors	VUSE	SPY
Technology	33.1%	35.9%
Financial Services	14.1%	11.8%
Consumer Cyclical	10.5%	10.3%
Healthcare	9.5%	8.4%
Communication Services	9.4%	11.3%
Industrials	8.6%	7.8%
Consumer Defensive	7.3%	4.8%
Basic Materials	2.7%	1.8%
Energy	2.6%	3.6%
Utilities	1.3%	2.4%
Real Estate	1.0%	1.9%

Return for Risk

VUSE vs. SPY — Risk / Return Rank

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

VUSE

VUSE Risk / Return Rank: 42
VUSE Sharpe Ratio Rank: 42
VUSE Sortino Ratio Rank: 41
VUSE Omega Ratio Rank: 39
VUSE Calmar Ratio Rank: 41
VUSE Martin Ratio Rank: 45

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.

VUSE vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vident U.S. Equity Strategy ETF (VUSE) 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.

	VUSE	SPY	Difference
Sharpe ratio: Return per unit of total volatility	1.47	2.38	-0.91
Sortino ratio: Return per unit of downside risk	2.10	3.24	-1.14
Omega ratio: Gain probability vs. loss probability	1.26	1.43	-0.18
Calmar ratio: Return relative to maximum drawdown	2.00	3.16	-1.16
Martin ratio: Return relative to average drawdown	7.45	14.72	-7.26
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VUSE vs. SPY - Sharpe Ratio Comparison

The current VUSE Sharpe Ratio is 1.47, which is lower than the SPY Sharpe Ratio of 2.38. The chart below compares the historical Sharpe Ratios of VUSE 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

	VUSE	SPY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.47	2.38	-0.91
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.63	0.82	-0.19
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.61	0.87	-0.25
Sharpe Ratio (All Time) Calculated using the full available price history	0.54	0.59	-0.05

Drawdowns

VUSE vs. SPY - Drawdown Comparison

The maximum VUSE drawdown since its inception was -43.92%, smaller than the maximum SPY drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for VUSE and SPY.

Drawdown Indicators

	VUSE	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-43.92%	-55.19%	+11.27%
Max Drawdown (1Y) Largest decline over 1 year	-9.28%	-8.88%	-0.40%
Max Drawdown (3Y) Largest decline over 3 years	-18.93%	-18.76%	-0.17%
Max Drawdown (5Y) Largest decline over 5 years	-21.34%	-24.50%	+3.16%
Max Drawdown (10Y) Largest decline over 10 years	-43.92%	-33.72%	-10.20%
Current Drawdown Current decline from peak	-0.86%	-0.70%	-0.16%
Average Drawdown Average peak-to-trough decline	-5.62%	-9.05%	+3.43%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.48%	1.91%	+0.57%

Volatility

VUSE vs. SPY - Volatility Comparison

Vident U.S. Equity Strategy ETF (VUSE) has a higher volatility of 2.99% compared to State Street SPDR S&P 500 ETF (SPY) at 2.84%. This indicates that VUSE'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

	VUSE	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.99%	2.84%	+0.15%
Volatility (6M) Calculated over the trailing 6-month period	9.49%	8.90%	+0.59%
Volatility (1Y) Calculated over the trailing 1-year period	12.64%	11.83%	+0.81%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.46%	17.05%	+0.41%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.21%	17.94%	+2.27%

VUSE vs. SPY - Expense Ratio Comparison

VUSE has a 0.50% expense ratio, which is higher than SPY's 0.09% expense ratio.

Dividends

VUSE vs. SPY - Dividend Comparison

VUSE's dividend yield for the trailing twelve months is around 0.44%, less than SPY's 0.98% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
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%
VUSE Vident U.S. Equity Strategy ETF	0.44%	0.47%	0.84%	1.15%	1.57%	1.16%	1.33%	1.61%	1.55%	1.16%	1.25%	1.73%

Frequently Asked Questions

Can I hold both VUSE and SPY in my portfolio?

With a correlation of 0.90, VUSE and SPY move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, VUSE or SPY?

VUSE has higher volatility (2.99%) compared to SPY (2.84%). In terms of maximum drawdown, VUSE dropped -43.92% vs SPY's -55.19%.

Which ETF is better, VUSE or SPY?

On 10-year performance, SPY leads with 15.49% vs 12.38% for VUSE. On fees, SPY is cheaper at 0.09% per year. On volatility, SPY has been the lower-risk option at 2.84%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VUSE or SPY?

Over the 10-year period, SPY has performed better with a 15.49% return vs 12.38%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VUSE or SPY?

SPY is cheaper with a 0.09% expense ratio, compared with 0.50% for VUSE.

Which ETF pays a higher dividend yield, VUSE or SPY?

SPY has the higher dividend yield at 0.98%, compared with 0.44% for VUSE.

What is the main difference between VUSE and SPY?

VUSE is categorized as Mid Cap Value Equities, while SPY is S&P 500. VUSE tracks Vident U.S. Quality Index, while SPY tracks S&P 500 Index. They also come from different issuers: Vident and State Street. Their fees differ too: 0.50% for VUSE and 0.09% for SPY.

Which has better risk-adjusted returns?

SPY currently has the higher Sharpe Ratio (2.38 vs 1.47), 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.