DFAC vs PBDC
Dimensional US Core Equity 2 ETF vs Putnam BDC Income ETF
Which is better, DFAC or PBDC?
DFAC has been ahead.
DFAC has a lower expense ratio. DFAC led over 1Y, 3Y and the full window. DFAC is less concentrated, with 26.8% of the fund in its ten largest positions against 69.3%.
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 | DFAC | PBDC |
|---|---|---|
| Expense Ratio | 0.17%Best | 11.77% |
| AUM | $48.6B | $294M |
| Dividend Yield | 0.89% | 10.67% |
| Holdings | 2,554 | 28 |
| YTD Return | +14.69%Best | -12.82% |
| 1Y Return | +19.83%Best | -7.76% |
| 3Y Return (annualized) | +21.42%Best | +3.69% |
| 5Y Return (annualized) | +12.31% | - |
| Volatility (annualized) | 13.9%Best | 15.1% |
| Max Drawdown | -20.0%Best | -20.5% |
| $10,000 over 4 years | $21,210Best | $14,828 |
| Top 10 Weight | 26.8%Best | 69.3% |
| Fund Family | Dimensional | Putnam Investments |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Oct 4, 2007 | Sep 29, 2022 |
Volatility and max drawdown, and the $10,000 over 4 years row, are measured over the window both funds cover: Sep 30, 2022 to Oct 12, 2026 (4 years).
DFAC vs PBDC 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 4 years both funds cover.
DFAC vs PBDC Performance
Dimensional US Core Equity 2 ETF (DFAC) is an ETF from Dimensional and Putnam BDC Income ETF (PBDC) is an ETF from Putnam Investments. Over the past year DFAC returned +19.83% while PBDC returned -7.76%. Year to date, DFAC is up 14.69% versus a loss of 12.82% for PBDC.
Over three years, DFAC compounded at +21.42% per year against +3.69% for PBDC. Across the full 4-year window we track, DFAC has the edge at +20.68% annualized vs +10.35%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
PBDC has been the more volatile fund, with annualized monthly volatility of 15.1% compared with 13.9% for DFAC. 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 -20.0% for DFAC and -20.5% for PBDC. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.53. They move together some of the time, and apart the rest.
Fees and Cost Over Time
DFAC charges 0.17% per year while PBDC charges 11.77%. On a $10,000 position that is $17 vs $1177 annually, a gap of $1160 per year that compounds over a long holding period. On income, DFAC currently yields 0.89% against 10.67% for PBDC.
Holdings Overlap
We hold position weights for 2,510 holdings in DFAC and 25 in PBDC, totalling 98.5% and 99.0% 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 2,510 positions we hold weights for in DFAC and 25 in PBDC, against full books of 2,554 and 28.
What only one of them owns
Our book lists 25 positions for PBDC that do not appear in our book for DFAC (99.0% of the fund), and 1,449 for DFAC that do not appear in PBDC (97.0%).
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 DFAC and PBDC 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, DFAC or PBDC?
DFAC has an expense ratio of 0.17% while PBDC charges 11.77%. DFAC is the cheaper option, by $1160 a year on a $10,000 investment.
Which performed better, DFAC or PBDC?
Over the past year DFAC returned +19.83% vs -7.76% for PBDC, so DFAC leads on 1-year performance. Over the longest common window we track (4 years), DFAC annualized +20.68% vs +10.35% for PBDC. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, DFAC or PBDC?
PBDC has been the more volatile fund at 15.1% annualized versus 13.9% for DFAC. Worst drawdown: DFAC -20.0% vs PBDC -20.5%.
Should I hold both DFAC and PBDC?
DFAC and PBDC have a monthly-return correlation of 0.53, 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, DFAC or PBDC?
DFAC yields 0.89% while PBDC yields 10.67%, so PBDC currently pays the higher dividend yield.
Is PBDC better than DFAC?
DFAC has a lower expense ratio. DFAC led over 1Y, 3Y and the full window. DFAC is less concentrated, with 26.8% of the fund in its ten largest positions against 69.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.