NEW YORK, July 20, 2026, 11:07 EDT
- SPMO posted a 21.11% gain as of Friday, while SPY advanced 9.58%.
- Across four sessions, its performance advantage narrowed by 4.05 percentage points.
- The top 10 holdings in SPMO account for approximately 51.1% of its assets.
Invesco Ltd.’s NYSE:IVZ S&P 500 Momentum ETF NYSEARCA:SPMO maintains an 11.53 percentage-point performance lead over State Street Corp.’s NYSE:STT SPDR S&P 500 ETF Trust NYSEARCA:SPY so far this year. However, the gap has narrowed quickly, signaling a shift for investors.
The referenced article attributed SPMO’s 26.03% return to July 13. As of Friday, respective total-return data revealed SPMO at 21.11% and SPY at 9.58%.
The lead was 15.59 points on July 13 based on adjusted closes, dropping to 11.54 points after four more sessions. This 4.05-point narrowing represents roughly 114 years of annual fee differential.
Momentum picked up again on Monday. SPMO increased approximately 1.2% to $145.66 as of 11:07 a.m. EDT. SPY advanced nearly 0.2%, reaching $744.89 while U.S. markets were open.
| Metric | SPMO | SPY |
|---|---|---|
| Total return for 2026 as of July 17 | 21.11% | 9.58% |
| Price change July 13–17 | -3.90% | -0.78% |
| Number of holdings | 100 | 504 |
| Top 10 holdings weight in portfolio | 51.1% | 37.5% |
| Expense ratio per year | 0.13% | 0.0945% |
Closing-market data is used for returns and price changes. Issuers and current holdings disclosures provide portfolio counts and fees. Summed top-10 weights are based on reported positions.
SPMO selects S&P 500 stocks based on high volatility-adjusted momentum, with a portfolio of 100 holdings as of Thursday. In comparison, SPY included 504 securities, representing every sector.
The gap is most pronounced at the top. Nearly a quarter of SPMO consisted of Micron Technology Inc. NASDAQ:MU, Nvidia Corp. NASDAQ:NVDA, and Broadcom Inc. NASDAQ:AVGO. The fund’s technology allocation stood at roughly 52%.
SPMO’s connection to July’s chip reversal was significant due to its exposure. The Philadelphia semiconductor index has risen 65% so far this year, but saw an 18% decline in July.
Rick Meckler, partner at Cherry Lane Investments, said, “The daily moves for companies this big are just shocking.” Analysts expect chipmakers to account for approximately 44% of the S&P 500’s earnings growth in the second quarter. Reuters
SPMO undergoes semiannual rebalancing, introducing further timing risk. It is possible for a shift in leadership to last until the next portfolio update. SPY is still considered broader and uses a market-cap weighted approach.
Fees are largely negligible. SPMO carries a yearly cost of approximately $13 for every $10,000 invested, compared to SPY’s $9.45, resulting in a yearly gap of just $3.55.
Risks: Momentum trends may shift ahead of the subsequent planned rebalance. High chip sector weighting heightens sensitivity to changes in earnings and fluctuations in AI-related demand. U.S. investors subject to taxation could incur gains when moving out of SPY.
SPMO’s lead for 2026 is still significant. However, the uptick on Monday leaves the nature of the trade unchanged. Investors continue to favor focused leadership instead of just seeking an additional four basis points.
Related articles: NASDAQ:NVDA
