GET DAILY SIGNALSSPHB vs SPLV: Weighing High-Beta Exposure Against Low-Volatility Defense
Key Takeaways
- Opposite risk profiles: SPHB holds the 100 most volatile, highest-beta names in the S&P 500, while SPLV holds the 100 least-volatile, most defensive names.
- Divergent sector exposure: SPHB is dominated by technology and cyclical industrials, whereas SPLV tilts heavily toward utilities, financials, and real estate.
- Identical cost structure: Both funds are passively managed by Invesco and carry the same 0.25% net expense ratio.
- Different volatility and income profiles: SPLV offers materially lower volatility and a meaningfully higher dividend yield than SPHB.
- Tickeron AI Verdict: On a risk-adjusted, diversification, and trend-consistency basis, the AI currently favors SPLV.
Why These Two ETFs Stand Out
Few ETF comparisons capture the full spectrum of equity risk as cleanly as this one. Both SPHB and SPLV are issued by Invesco, both draw from the S&P 500, and both were launched on the same day in May 2011 — yet they occupy opposite ends of the volatility curve. Rather than competing directly, they serve as alternative risk allocations within the same large-cap universe: SPHB pursues amplified market sensitivity, while SPLV seeks to dampen it. In a market environment shaped by shifting interest-rate expectations, sector rotation, and questions about the durability of growth leadership, understanding the relative positioning of these two funds is timely for both retail and professional investors. I also checked this using Tickeron’s AI Screener to see how the funds compare on volatility metrics.
SPHB: Capturing High-Beta Momentum
SPHB is a passively managed fund that tracks the S&P 500 High Beta Index, which selects the 100 constituents of the S&P 500 with the highest sensitivity to market returns — known as beta (a measure of how much an asset tends to move relative to the broader market) — over the prior 12 months. The fund holds roughly 100 securities and is classified as non-diversified, meaning its concentration risk is elevated by design. Its net expense ratio is 0.25%.
Sector exposure is overwhelmingly tilted toward information technology, which typically represents around half of the portfolio, followed by industrials, financials, and consumer discretionary. Top holdings in recent periods have included MU (Micron Technology), TSLA (Tesla), INTC (Intel), COIN (Coinbase Global), WDC (Western Digital), LRCX (Lam Research), MPWR (Monolithic Power Systems), and TER (Teradyne). Individual position weights are modest, generally in the low single digits, reflecting the index's broad, beta-ranked construction. Because the index rebalances periodically based on trailing volatility, its composition can shift meaningfully across market cycles.
SPLV: Focusing on Stability and Income
SPLV is a passively managed fund tracking the S&P 500 Low Volatility Index, which holds the 100 S&P 500 constituents with the lowest realized volatility over the prior 12 months. The fund maintains roughly 100 to 110 holdings and carries the same 0.25% net expense ratio as its high-beta counterpart. Unlike SPHB, SPLV is not heavily concentrated in any single growth sector; instead, it is classified as a large-cap value-oriented product with a diversified, defensive bias.
Sector allocation is anchored in utilities, financials, and real estate, with additional weight in industrials and consumer staples. Technology exposure is negligible. Representative top holdings have included BRK-B (Berkshire Hathaway Class B), EVRG (Evergy), REG (Regency Centers), DUK (Duke Energy), WEC (WEC Energy Group), FE (FirstEnergy), JNJ (Johnson & Johnson), and KO (Coca-Cola). Individual weights remain tightly capped near 1% to 1.4%, supporting broad diversification across low-volatility names.
Market Context and Sector Differences
Both funds are shaped by the same macro currents but respond in opposite directions. High-beta technology and cyclical names in SPHB are sensitive to interest-rate expectations, earnings momentum, and risk appetite, making them prone to outsized moves during risk-on phases and sharp drawdowns during risk-off periods. Conversely, SPLV's utilities, financials, and real estate sleeve is more sensitive to the path of long-term yields, dividend demand, and investor preference for stability. Recent market cycles have featured pronounced sector rotation between growth leadership and defensive, income-oriented equity.
How They've Performed Relative to Each Other
Over recent weeks and months, the two funds have reflected their structural design. SPHB, with its concentrated technology and consumer-discretionary exposure, has tended to exhibit stronger upside in risk-on environments alongside materially higher realized volatility and deeper drawdowns during corrections. Its fund performance is tightly linked to the earnings cycle of semiconductor, software, and high-momentum consumer names. SPLV, by contrast, has provided steadier relative positioning, with lower beta and reduced drawdown sensitivity. Its reliance on regulated utilities and stable dividend payers supports a higher distribution yield and smoother return path, though it typically lags in strong bull markets. In an environment of elevated uncertainty around growth durability and interest rates, SPLV's defensive sector exposure and diversification have offered a more consistent risk-adjusted profile.
Refining ETF Comparisons with AI Tools
When I compare funds like these, Tickeron’s AI Screener helps me quickly filter on volatility, sector exposure, and trend signals. It surfaces how SPHB and SPLV stack up against peers without manual crunching, which supports a clearer view of risk-adjusted positioning and relative strength.
Tickeron AI Verdict
On a probability-weighted basis, Tickeron's AI currently favors SPLV over SPHB. Although both funds share the same cost structure, SPLV demonstrates superior diversification, materially lower volatility and beta, a higher income yield, and greater trend consistency across sectors. SPHB's non-diversified, technology-heavy construction offers higher momentum potential but also greater concentration and drawdown risk. In an environment where risk-adjusted positioning and defensive sector exposure carry value, SPLV's structural strength and steadier return profile align more closely with the AI's emphasis on consistency and risk management. This assessment reflects observable fund characteristics and is not personal investment advice.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
Momentum Indicator for SPHB turns negative, indicating new downward trend
SPHB saw its Momentum Indicator move below the 0 level on October 30, 2026. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 86 similar instances where the indicator turned negative. In 80 of the 86 cases, the stock moved further down in the following days. The odds of a decline are at 90%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Moving Average Convergence Divergence Histogram (MACD) for SPHB turned negative on October 12, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 58 similar instances when the indicator turned negative. In 51 of the 58 cases the stock turned lower in the days that followed. This puts the odds of success at 88%.
SPHB moved below its 50-day moving average on October 14, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for SPHB crossed bearishly below the 50-day moving average on October 20, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 16 of 17 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 90%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where SPHB declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 81%.
The Aroon Indicator for SPHB entered a downward trend on November 06, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where SPHB's RSI Oscillator exited the oversold zone, 28 of 30 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 90%.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 3 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a +4.55% 3-day Advance, the price is estimated to grow further. Considering data from situations where SPHB advanced for three days, in 299 of 342 cases, the price rose further within the following month. The odds of a continued upward trend are 87%.
SPHB may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
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