SPDR S&P 500 ETF is one of the best U.S. large-cap funds around because it is one of the cheapest and tracks the well-constructed S&P 500. However, the fund is structured as a unit investment trust, which puts it at a slight disadvantage to some of its peers. Under our new ratings framework the fund is being downgraded to a Morningstar Analyst Rating of Silver from Gold.
Will SPY outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable SPY’s performance objective and investment process is for both security selection and portfolio construction.
The People Pillar is our evaluation of the SPY management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
The Parent Pillar is our rating of SPY’s parent organization’s priorities and whether they’re in line with investors’ interests.