What Is SLYG? State Street SPDR S&P 600 Small Cap Growth ETF
Last updated September 2026
Short answer
SLYG is State Street SPDR S&P 600 Small Cap Growth ETF, an ETF that tracks the S&P SmallCap 600 Growth Index at a 0.15% expense ratio. SLYG draws from the S&P SmallCap 600, an index whose committee requires a record of positive earnings before adding a company. That single rule separates it from the small-cap growth funds built on unscreened universes. Healthcare is 17% of the portfolio, and the names in it, Krystal Biotech, Alkermes and Corcept Therapeutics, are companies with approved products generating revenue rather than clinical-stage research businesses. State Street charges 0.15%, the fund holds $5.2 billion and yields 0.64%, the lowest in its immediate peer group. It has traded since 2000.
SLYG is issued by State Street SPDR and tracks the S&P SmallCap 600 Growth Index. It charges a 0.15% expense ratio, holds approximately $5.2B in assets under management, yields about 0.64%, and launched in 2000.
The profitability screen changes what growth means
Most small-cap growth indices start from a mechanical size ranking and take the growth half of whatever falls into it. That universe includes a large population of pre-revenue biotechnology companies, early-stage technology businesses and recent listings without an earnings history, and in some periods those firms drive the index's behaviour in both directions.
The S&P SmallCap 600 works differently. Its committee requires evidence of profitability before a company is added, which filters that population out at the source. By the time a company reaches SLYG it has demonstrated it can earn money, which is not a guarantee of anything but is a materially different starting point.
The visible result is in the healthcare sleeve. At 17% of the fund, healthcare is the third largest sector, and its representatives are Krystal Biotech at 1.1%, Alkermes at 1.0% and Corcept Therapeutics at 0.9%. All three sell approved therapies. A small-cap growth fund built on an unscreened universe would show a longer list of names whose value rests entirely on trial outcomes.
How S&P splits the 600 into growth and value
The growth and value versions of the index are not two separate lists of companies. S&P scores every constituent on both growth characteristics and value characteristics, and companies with strong scores on one side are assigned entirely to that index. Companies with mixed profiles are split, appearing in both the growth and value indices at partial weight.
That construction matters for anyone holding both SLYG and its value counterpart SLYV, since some companies will be in both. It also means the growth index is not a collection of the fastest-growing companies. It is the growth-leaning end of a distribution that starts from the same 600 profitable small businesses.
The sector shape follows: industrials 19%, technology 18%, healthcare 17%, financials 14%, consumer discretionary 11%. That is a more industrial mix than the word growth usually conjures, and it reflects a US small-cap universe where growing profitable businesses are frequently engineering, construction and specialist manufacturing firms rather than software companies.
Fee, yield and fit
The largest positions are FormFactor at 1.4%, Viasat at 1.3%, Argan at 1.2%, BrightSpring Health Services at 1.2% and Krystal Biotech at 1.1%, with the top ten reaching about 10.9%. That is more concentrated than a factor-weighted small-cap fund and far less concentrated than any large-cap fund, which is a reasonable place for a 600-stock index to sit.
The 0.64% yield is the lowest among comparable small-cap funds, which is what a growth screen produces: companies reinvesting earnings rather than distributing them. The 0.15% fee is competitive for a style-specific small-cap product, well below what actively managed small-cap growth funds charge.
It is a poor fit in two situations. If you specifically want exposure to pre-profit growth companies, whether early biotechnology or unprofitable technology, the earnings screen removes exactly that population by design. And if you already hold a broad small-cap fund, adding SLYG is a style tilt on top of existing exposure rather than new coverage, which should be a deliberate choice rather than a default one.
SLYG holdings: top 10
Approximate weights as of August 2026. Each ticker links to its individual stock guide in Walnut.
| Rank | Ticker | Company | % of SLYG | |
|---|---|---|---|---|
| 1 | FORM | FormFactor Inc | 1.4% | |
| 2 | VSAT | Viasat Inc | 1.3% | |
| 3 | AGX | Argan Inc | 1.2% | |
| 4 | BTSG | BrightSpring Health Services Inc | 1.2% | |
| 5 | KRYS | Krystal Biotech Inc | 1.1% | |
| 6 | ESE | ESCO Technologies Inc | 1.0% | |
| 7 | ALKS | Alkermes PLC | 1.0% | |
| 8 | ECG | Everus Construction Group Inc | 0.9% | |
| 9 | SNEX | StoneX Group Inc | 0.9% | |
| 10 | CORT | Corcept Therapeutics Inc | 0.9% |
How do I invest in SLYG?
There are three common ways to get SLYG exposure. Buy shares (or fractional shares) of SLYG directly at any major broker that lists it. Hold it as a core position and layer more concentrated ideas on top. Or build it into a thematic portfolio in Walnut, so SLYG sits alongside other holdings that express the same thesis, with target weights you can rebalance toward. SLYG trades like a stock during market hours, so you buy it the same way you would any listed share.
New to buying funds? See how to buy an ETF, step by step.
Is SLYG a good buy?
Whether SLYG is a good buy depends less on any single call and more on your time horizon and what you already hold: it tracks the S&P SmallCap 600 Growth Index, so the real question is whether you want that exposure in your mix and at what weight. We walk through valuation, concentration, and what would have to be true for it to outperform from here in is SLYG a buy?
The bottom line on SLYG
SLYG gives you the S&P SmallCap 600 Growth Index exposure in one ticker at a 0.15% expense ratio. Most investors use it as a core holding and layer more concentrated thematic portfolios on top.
More on SLYG
Whether SLYG is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, concentration, and what would have to be true for it to outperform from here in is SLYG a buy?
SLYG yields 0.64% as of August 2026, paid by passing through the dividends of its underlying holdings. For the payout schedule, history, and how the distributions are taxed, see SLYG dividend: yield and schedule.
New to funds like SLYG? Start with what an ETF is, then how to buy an ETF, or browse the full guide to ETF investing.
Wondering how SLYG fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in SLYG with AI
Connect the broker you already use and ask Walnut's AI how SLYG fits what you actually hold: what it overlaps with, what it leaves you exposed to, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is the S&P SmallCap 600?
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An index of 600 US small-cap companies selected by an S&P index committee rather than by pure size ranking. Its distinguishing feature is a profitability requirement: companies must show a record of positive earnings before being added. That screen removes pre-revenue and loss-making businesses that mechanical small-cap indices include, which changes the character of the resulting universe.
How does SLYG differ from a Russell 2000 growth fund?
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The underlying universe. The Russell 2000 is assembled by size ranking and includes companies regardless of profitability, so its growth half contains a substantial population of loss-making firms. The S&P 600 requires positive earnings for inclusion, so SLYG's holdings have all demonstrated the ability to earn money. The two funds carry the same style label and quite different risk profiles.
Why does a growth fund hold biotechnology companies?
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Healthcare is 17% of the portfolio, with Krystal Biotech, Alkermes and Corcept Therapeutics among the largest holdings. All three have approved products generating revenue, which is how they satisfied the index's earnings requirement. This is a different kind of biotechnology exposure from the clinical-stage companies that populate unscreened small-cap growth indices.
Why is SLYG's yield only 0.64%?
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Growth screens select companies reinvesting their earnings rather than distributing them, and small companies in expansion phases rarely pay large dividends. The 0.64% figure is the lowest among comparable small-cap funds, and the value half of the same index yields 1.81%. That gap is the clearest evidence of what the style split actually does to a portfolio.
Can a company appear in both SLYG and SLYV?
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Yes. S&P scores every constituent on both growth and value characteristics. Companies with clearly defined profiles go entirely into one index, while those with mixed characteristics are split across both at partial weight. Anyone holding both funds will therefore own some companies twice, which is a design feature of S&P's style methodology rather than an error.
What does SLYG cost?
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0.15% a year, or $15 per $10,000 held. That is competitive for a style-specific small-cap index fund and considerably below what actively managed small-cap growth funds typically charge. Small-cap index funds generally cost more than large-cap ones because the underlying stocks are less liquid and the portfolios require more maintenance.
Is SLYG more volatile than a large-cap fund?
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Small-cap stocks generally show larger price swings than large caps, are more sensitive to domestic economic conditions and are less liquid. A growth screen adds to that, since the valuations of growth-oriented companies depend more heavily on expectations about future earnings. The profitability requirement in the underlying index moderates the effect somewhat but does not remove it.
Who is SLYG a poor fit for?
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Anyone specifically seeking exposure to pre-profit growth companies, since the earnings screen excludes them. Also anyone who already holds a broad small-cap fund, because SLYG then represents a style tilt on top of existing exposure rather than filling a coverage gap. And anyone needing income, given a 0.64% yield and the reinvestment habits of the underlying companies.
What is SLYG's expense ratio?
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SLYG has an expense ratio of 0.15% per year as of August 2026, charged by State Street SPDR and deducted from the fund's value rather than billed to you separately. On a $10,000 position that is roughly $15 a year. Fees compound over time, so on a long-term holding the expense ratio is one of the few return drivers you control. It is worth comparing against other funds that track the S&P SmallCap 600 Growth Index before you choose.
How do I compare SLYG to similar ETFs?
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Put a few fields side by side: the expense ratio (fees compound over decades), the index or strategy it tracks, the top holdings and how much they overlap with what you already own, the dividend yield, and the AUM, liquidity, and bid-ask spread that affect trading costs. For index funds, tracking error (how closely it follows its index) and tax efficiency matter too. SLYG's figures are above; the full method is in Walnut's guide on how to compare ETFs.
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Walnut is informational, not investment advice. Holdings weights and fund statistics on this page are approximations stamped to August 2026; verify current figures against State Street SPDR's fund page or your broker before investing.