AFDM vs SPY
First Trust Active Factor International ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, AFDM or SPY?
Each has led over a different period.
SPY has a lower expense ratio. AFDM led over 1Y, SPY over 3Y, 5Y and the full window. AFDM is less concentrated, with 22.5% of the fund in its ten largest positions against 38.2%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | AFDM | SPY |
|---|---|---|
| Expense Ratio | 0.83% | 0.09%Best |
| AUM | $158M | $811.2B |
| Dividend Yield | 3.02% | 0.98% |
| Holdings | 146 | 1,515 |
| YTD Return | +11.92% | +13.54%Best |
| 1Y Return | +19.65%Best | +16.25% |
| 3Y Return (annualized) | +22.61% | +23.72%Best |
| 5Y Return (annualized) | +9.78% | +13.95%Best |
| Volatility (annualized) | 15.3% | 15.1%Best |
| Max Drawdown | -42.4% | -34.1%Best |
| $10,000 over 5 years | $15,945 | $19,212Best |
| Top 10 Weight | 22.5%Best | 38.2% |
| Fund Family | First Trust Portfolios (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Apr 14, 2016 | Jan 22, 1993 |
Volatility and max drawdown are measured over the window both funds cover: Apr 14, 2016 to Oct 2, 2026 (10.5 years).
AFDM vs SPY growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 10.5 years both funds cover.
AFDM vs SPY Performance
First Trust Active Factor International ETF (AFDM) is an ETF from First Trust Portfolios (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year AFDM returned +19.65% while SPY returned +16.25%. Year to date, AFDM is up 11.92% versus a gain of 13.54% for SPY.
Over three years, AFDM compounded at +22.61% per year against +23.72% for SPY; over five years the annualized figures are +9.78% and +13.95% respectively. Across the full 11-year window we track, SPY has the edge at +14.15% annualized vs +7.67%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
AFDM has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 15.1% for SPY. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -42.4% for AFDM and -34.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
AFDM charges 0.83% per year while SPY charges 0.09%. On a $10,000 position that is $83 vs $9 annually, a gap of $74 per year that compounds over a long holding period. On income, AFDM currently yields 3.02% against 0.98% for SPY.
Holdings Overlap
We hold position weights for 146 holdings in AFDM and 504 in SPY, totalling 98.0% and 99.8% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 146 positions we hold weights for in AFDM and 504 in SPY, against full books of 146 and 1,515.
What only one of them owns
Our book lists 497 positions for SPY that do not appear in our book for AFDM (99.2% of the fund), and 6 for AFDM that do not appear in SPY (6.3%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of AFDM and SPY you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, AFDM or SPY?
AFDM has an expense ratio of 0.83% while SPY charges 0.09%. SPY is the cheaper option, by $74 a year on a $10,000 investment.
Which performed better, AFDM or SPY?
Over the past year AFDM returned +19.65% vs +16.25% for SPY, so AFDM leads on 1-year performance. Over the longest common window we track (11 years), AFDM annualized +7.67% vs +14.15% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, AFDM or SPY?
AFDM has been the more volatile fund at 15.3% annualized versus 15.1% for SPY. Worst drawdown: AFDM -42.4% vs SPY -34.1%.
Should I hold both AFDM and SPY?
AFDM and SPY have a monthly-return correlation of 0.83, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, AFDM or SPY?
AFDM yields 3.02% while SPY yields 0.98%, so AFDM currently pays the higher dividend yield.
Is SPY better than AFDM?
SPY has a lower expense ratio. AFDM led over 1Y, SPY over 3Y, 5Y and the full window. AFDM is less concentrated, with 22.5% of the fund in its ten largest positions against 38.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.