Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricDAUGSPYWinner
Expense Ratio0.85%0.09%
AUM$370M$789.1B
Dividend Yield0.00%1.01%
Holdings5505
YTD Return+6.95%+13.79%
1Y Return+11.61%+23.66%
3Y Return (annualized)+11.39%+21.40%
5Y Return (annualized)+6.63%+13.37%
Volatility (annualized)8.2%15.3%
Max Drawdown-15.3%-56.5%
Fund FamilyFirst Trust Portfolios (US)State Street Investment Management
CategoryAlternativeEquity
InceptionNov 6, 2019Jan 22, 1993

DAUG vs SPY Performance

FT Vest US Equity Deep Buffer ETF - August (DAUG) is a ETF from First Trust Portfolios (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year DAUG returned +11.61% while SPY returned +23.66%. Year to date, DAUG is up 6.95% versus a gain of 13.79% for SPY.

Over three years, DAUG compounded at +11.39% per year against +21.40% for SPY; over five years the annualized figures are +6.63% and +13.37% respectively. Across the full 7-year window we track, SPY has the edge at +8.85% annualized vs +6.95%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 8.2% for DAUG. 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 -15.3% for DAUG and -56.5% for SPY. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.

The two funds' monthly returns correlate at 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

DAUG charges 0.85% per year while SPY charges 0.09%. On a $10,000 position that is $85 vs $9 annually, a gap of $76 per year that compounds over a long holding period. On income, DAUG currently yields 0.00% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

DAUG and SPY share 0 holdings out of 504 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, DAUG or SPY?

DAUG has an expense ratio of 0.85% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $76 per year of difference.

Which performed better, DAUG or SPY?

Over the past year DAUG returned +11.61% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (7 years), DAUG annualized +6.95% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, DAUG or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 8.2% for DAUG. Worst drawdown: DAUG -15.3% vs SPY -56.5%.

Should I hold both DAUG and SPY?

DAUG and SPY have a monthly-return correlation of 0.94, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between DAUG and SPY?

DAUG and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 504 unique securities.

Which pays a higher dividend, DAUG or SPY?

DAUG yields 0.00% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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