What Is SPDW? State Street SPDR Portfolio Developed World ex-US ETF
Last updated September 2026
Short answer
SPDW is State Street SPDR Portfolio Developed World ex-US ETF, an ETF that tracks an index of developed-market equities outside the United States at a 0.03% expense ratio. SPDW holds large and mid-sized companies across developed markets outside the United States: Japan, the UK, Europe, Canada, Australia and developed Asia. It costs 0.03%, which is remarkable for international exposure, and it yields about 3.02%, roughly triple a US large-cap fund. That yield gap is not a bonus. It reflects genuinely different market composition, with more banks, insurers and industrials and far less of the technology weight that dominates US indices.
SPDW is issued by State Street SPDR and tracks an index of developed-market equities outside the United States. It charges a 0.03% expense ratio, holds approximately $40.3B in assets under management, yields about 3.02%, and launched in 2007.
Why the yield is three times a US fund
Developed markets outside the US are structurally different. Financials are 23% of SPDW and industrials another 18%, while technology is 18%. A US large-cap index runs technology near 40%.
Banks, insurers, utilities and industrials pay out a much larger share of their earnings than technology companies do, and European companies in particular have a stronger dividend culture than their US counterparts. The 3.02% yield follows from that composition rather than from any income strategy.
Currency is a real and often ignored risk
SPDW holds shares priced in yen, euros, pounds, Swiss francs and other currencies, and reports its value in dollars. When the dollar strengthens, those holdings translate into fewer dollars and the fund falls even if every underlying share is flat.
This works in both directions and can dominate returns over multi-year periods. It is the single largest difference between holding international equities and holding US equities, and it is the thing most people discover after the fact rather than before.
Unhedged exposure like this is the norm and is generally considered reasonable for a long-horizon holding, on the argument that currency moves wash out over decades. Over any given five-year window they emphatically do not.
What you actually own
The largest positions are Samsung Electronics at 3.0%, SK Hynix at 2.8%, ASML at 2.3%, HSBC at 1.0%, AstraZeneca at 0.9% and Roche at 0.9%. That top end is more concentrated in semiconductors than the fund's overall profile suggests.
Note what is absent: no Apple, no Microsoft, no Nvidia. If your portfolio is a US fund plus SPDW, the two genuinely complement each other rather than overlapping, which is the entire argument for holding international equity at all.
SPDW holdings: top 10
Approximate weights as of August 2026. Each ticker links to its individual stock guide in Walnut.
| Rank | Ticker | Company | % of SPDW | |
|---|---|---|---|---|
| 1 | SMSN | Samsung Electronics Co Ltd DR | 3.0% | |
| 2 | SK Hynix Inc | 2.8% | ||
| 3 | ASML Holding NV | 2.3% | ||
| 4 | HSBC Holdings PLC | 1.0% | ||
| 5 | AstraZeneca PLC | 0.9% | ||
| 6 | Roche Holding AG Ordinary Shares new | 0.9% | ||
| 7 | RY | Royal Bank of Canada | 0.9% | |
| 8 | Novartis AG Registered Shares | 0.9% | ||
| 9 | Nestle SA | 0.8% | ||
| 10 | Mitsubishi UFJ Financial Group Inc | 0.7% |
How do I invest in SPDW?
There are three common ways to get SPDW exposure. Buy shares (or fractional shares) of SPDW 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 SPDW sits alongside other holdings that express the same thesis, with target weights you can rebalance toward. SPDW 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 SPDW a good buy?
Whether SPDW is a good buy depends less on any single call and more on your time horizon and what you already hold: it tracks an index of developed-market equities outside the United States, 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 SPDW a buy?
The bottom line on SPDW
SPDW gives you an index of developed-market equities outside the United States exposure in one ticker at a 0.03% expense ratio. Most investors use it as a core holding and layer more concentrated thematic portfolios on top.
More on SPDW
Whether SPDW 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 SPDW a buy?
SPDW yields 3.02% 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 SPDW dividend: yield and schedule.
New to funds like SPDW? Start with what an ETF is, then how to buy an ETF, or browse the full guide to ETF investing.
Wondering how SPDW 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 SPDW with AI
Connect the broker you already use and ask Walnut's AI how SPDW 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 SPDW?
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SPDW is the SPDR Portfolio Developed World ex-US ETF. It holds large and mid-cap companies in developed markets outside the United States, including Japan, the UK, Europe, Canada and Australia. It charges 0.03%, holds about $40.3B, yields roughly 3.02%, and launched in 2007.
Why does SPDW yield so much more than a US fund?
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Composition, not strategy. Financials are 23% of the fund and industrials 18%, while technology is 18%; a US large-cap index runs technology near 40%. Banks, insurers and industrials pay out far more of their earnings than technology companies, and European dividend culture is stronger than the US equivalent.
What does SPDW hold?
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Developed-market companies outside the US. The largest are Samsung Electronics at 3.0%, SK Hynix at 2.8%, ASML at 2.3%, HSBC at 1.0%, AstraZeneca at 0.9% and Roche at 0.9%. There is no Apple, Microsoft or Nvidia, which is the point of holding it.
Does SPDW hedge currency risk?
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No, and this matters more than most people expect. The fund holds shares priced in yen, euros, pounds and other currencies while reporting in dollars. A stronger dollar reduces the fund's value even when the underlying shares are unchanged. Over five-year windows currency can dominate returns; over decades the argument is that it washes out.
Does SPDW include emerging markets?
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No. It covers developed markets only. Emerging markets such as India, Brazil and mainland China require a separate fund. A common construction is a US fund, a developed ex-US fund like SPDW, and a smaller emerging-markets allocation.
Is 0.03% unusually cheap for international exposure?
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It is at the very low end. International funds have historically charged more than domestic ones because of the cost of trading and custody across many markets. At 0.03% SPDW is priced like a US index fund, which is one of the strongest arguments in its favour.
Why has international underperformed the US?
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Largely sector composition. US indices are dominated by the technology companies that led global markets for over a decade, while developed international indices are weighted toward financials and industrials. Whether that reverses is unknowable, which is the case for holding both rather than choosing.
How is SPDW taxed?
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Distributions are generally qualified dividends where the holding-period tests are met, taxed at long-term capital-gains rates. Foreign governments often withhold tax on dividends at source, and in a taxable account you may be able to claim a foreign tax credit for it. That credit is generally unavailable inside an IRA. This is not tax advice.
What is SPDW's expense ratio?
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SPDW has an expense ratio of 0.03% 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 $3 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 an index of developed-market equities outside the United States before you choose.
How do I compare SPDW 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. SPDW'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.