SPY vs LQD23-Year Performance Comparison

S&P 500 vs Investment-Grade Corp Bonds — backtested 20022024

SPY wins$78,592 vs $26,647 on $10,000 over 23 years
SPYS&P 500
Final value$78,592
CAGR+9.4%
Max drawdown-37.0%
Best year+32% (2013)
Years won18 of 23
LQDInvestment-Grade Corp Bonds
Final value$26,647
CAGR+4.4%
Max drawdown-19.4%
Best year+17% (2019)
Years won5 of 23

Growth of $10,000

20022024
SPYLQD
$43k$81k200220072012201720222024
SPY$78,592
LQD$26,647
50/50 mix$49,931

50/50 blend: $49,931 (+7.2%/yr CAGR)

Splitting equally between SPY and LQD would have landed between the two — slightly lower CAGR than SPY but less volatility. Try a custom split →

Year-by-year: SPY vs LQD

YearSPYLQDWinner
2024+23.3%+0.9%SPY
2023+26.3%+9.4%SPY
2022-18.2%-17.9%LQD
2021+28.7%-1.8%SPY
2020+18.4%+11.0%SPY
2019+31.5%+17.4%SPY
2018-4.4%-3.8%LQD
2017+21.8%+7.1%SPY
2016+12.0%+6.2%SPY
2015+1.4%-1.3%SPY
2014+13.7%+8.2%SPY
2013+32.4%-2.0%SPY
2012+16.0%+10.6%SPY
2011+2.1%+9.7%LQD
2010+15.1%+9.3%SPY
2009+26.5%+8.4%SPY
2008-37.0%+2.4%LQD
2007+5.5%+3.7%SPY
2006+15.8%+4.2%SPY
2005+4.9%+1.2%SPY
2004+10.9%+5.7%SPY
2003+28.7%+7.3%SPY
2002-22.1%+9.9%LQD

More comparisons

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Past performance does not guarantee future results.