Happy Birthday S&P 500 SPY ETF! If You Invested $1,000 In SPY At Launch, Here's How Much You'd Have Today
Portfolio Pulse from Chris Katje
The SPDR S&P 500 ETF Trust (SPY) celebrated another birthday, marking its position as the first U.S. ETF since its launch on Jan. 22, 1993. Initially struggling with investor interest, SPY now leads the ETF market with $474 million in assets under management. The ETF's success spurred the creation of similar ETFs like iShares Core S&P 500 ETF (IVV) and Vanguard S&P 500 Index Fund ETF (VOO). The S&P 500 Index saw a significant rebound in 2023, with a 20% increase and a new all-time high, partly due to the performance of technology stocks. A $1,000 investment in SPY at launch would be worth $19,326.69 today when adjusted for dividends, a return of 1,932.7% over 31 years.
January 22, 2024 | 6:59 pm
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POSITIVE IMPACT
Apple, with a 6.9% weight in SPY, could see its stock price influenced by the ETF's success and the S&P 500's positive trajectory.
As a major holding in SPY, Apple's stock price could benefit from the ETF's historical performance and the S&P 500's recent gains, particularly in the tech sector.
CONFIDENCE 75
IMPORTANCE 50
RELEVANCE 60
POSITIVE IMPACT
Amazon, as a key holding in SPY with a 3.5% weight, stands to gain from the ETF's success and the S&P 500's positive momentum.
Amazon's stock price could see a short-term positive impact due to its role as a major holding in SPY and the S&P 500's strong performance, with an emphasis on the tech sector's growth.
CONFIDENCE 75
IMPORTANCE 50
RELEVANCE 60
POSITIVE IMPACT
Alphabet Inc., represented in SPY by both classes of stock, may experience a positive stock price impact from the ETF's and S&P 500's performance.
Alphabet's presence in SPY with both GOOG and GOOGL stocks, combined with the S&P 500's strong performance, particularly in tech, suggests a positive short-term impact on its stock price.
CONFIDENCE 75
IMPORTANCE 50
RELEVANCE 60
POSITIVE IMPACT
Alphabet Inc.'s Class A shares (GOOGL) in SPY could see a positive impact from the ETF's performance and the S&P 500's recent highs.
With GOOGL as part of SPY's holdings, Alphabet's Class A shares may see a positive short-term impact from the ETF's track record and the S&P 500's recent performance, especially in the tech sector.
CONFIDENCE 75
IMPORTANCE 50
RELEVANCE 60
POSITIVE IMPACT
IVV is one of the largest ETFs tracking the S&P 500, with $405 million in assets under management, benefiting from the index's positive performance.
IVV's close tracking of the S&P 500 and its large AUM position it to potentially benefit from the index's recent highs and the overall positive sentiment in the market.
CONFIDENCE 85
IMPORTANCE 70
RELEVANCE 80
POSITIVE IMPACT
Microsoft, as a top holding in SPY, may benefit from the ETF's performance and the S&P 500's recent highs, especially given its 7.3% representation.
Microsoft's significant weight in SPY and the S&P 500's strong performance, particularly in the tech sector, suggest a potential positive short-term impact on MSFT's stock price.
CONFIDENCE 75
IMPORTANCE 50
RELEVANCE 60
POSITIVE IMPACT
NVIDIA, holding a 3.6% weight in SPY, could benefit from the ETF's historical performance and the S&P 500's recent tech-driven rally.
NVIDIA's stock price may be positively impacted in the short term due to its significant presence in SPY and the S&P 500's recent outperformance, particularly in the tech sector.
CONFIDENCE 75
IMPORTANCE 50
RELEVANCE 60
POSITIVE IMPACT
SPY, the first U.S. ETF, celebrates its birthday with a strong historical performance and a significant AUM, reflecting investor confidence and market leadership.
The positive historical performance and the recent rebound of the S&P 500 Index are likely to reinforce investor confidence in SPY, potentially leading to a short-term positive impact on its price.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
State Street Corp., the company that applied for the SPY ETF, may see a positive reflection on its stock due to the ETF's success and historical performance.
State Street Corp.'s association with the successful SPY ETF could positively influence its stock price as investors recognize the company's role in pioneering the ETF market.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 70
POSITIVE IMPACT
VOO, with $377 million in assets under management, is another major ETF tracking the S&P 500, likely to be influenced by the index's recent performance.
Given VOO's significant AUM and its tracking of the S&P 500, the ETF is likely to experience a positive short-term impact in line with the index's positive momentum.
CONFIDENCE 85
IMPORTANCE 70
RELEVANCE 80