FBDC vs SPY
FT Confluence BDC & Specialty Finance Income ETF vs State Street SPDR S&P 500 ETF Trust
Quick Verdict
SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 505 holdings.
Side-by-Side Comparison
| Metric | FBDC | SPY | Winner |
|---|---|---|---|
| Expense Ratio | 13.69% | 0.09% | |
| AUM | $36M | $821.1B | |
| Dividend Yield | 13.39% | 1.01% | |
| Holdings | 22 | 505 | |
| YTD Return | -2.80% | +13.70% | |
| 1Y Return | -6.39% | +21.44% | |
| 3Y Return (annualized) | - | +22.50% | |
| 5Y Return (annualized) | - | +13.24% | |
| Volatility (annualized) | 16.5% | 15.3% | |
| Max Drawdown | -20.6% | -56.5% | |
| Fund Family | First Trust Portfolios (US) | State Street Investment Management | |
| Category | Equity | Equity | |
| Inception | May 25, 2007 | Jan 22, 1993 |
FBDC vs SPY Performance
FT Confluence BDC & Specialty Finance Income ETF (FBDC) 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 FBDC returned -6.39% while SPY returned +21.44%. Year to date, FBDC is down 2.80% versus a gain of 13.70% for SPY.
Risk: Volatility and Drawdowns
FBDC has been the more volatile fund, with annualized monthly volatility of 16.5% compared with 15.3% 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 -20.6% for FBDC 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 0.26. They move independently enough that combining them can meaningfully diversify a portfolio.
Fees and Cost Over Time
FBDC charges 13.69% per year while SPY charges 0.09%. On a $10,000 position that is $1369 vs $9 annually, a gap of $1360 per year that compounds over a long holding period. On income, FBDC currently yields 13.39% against 1.01% for SPY.
Holdings Overlap
FBDC and SPY share 0 holdings out of 524 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, FBDC or SPY?
FBDC has an expense ratio of 13.69% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $1360 per year of difference.
Which performed better, FBDC or SPY?
Over the past year FBDC returned -6.39% vs +21.44% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (1 years), FBDC annualized -4.15% vs +8.84% for SPY. Past performance does not guarantee future results.
Which is riskier, FBDC or SPY?
FBDC has been the more volatile fund at 16.5% annualized versus 15.3% for SPY. Worst drawdown: FBDC -20.6% vs SPY -56.5%.
Should I hold both FBDC and SPY?
FBDC and SPY have a monthly-return correlation of 0.26, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between FBDC and SPY?
FBDC and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 524 unique securities.
Which pays a higher dividend, FBDC or SPY?
FBDC yields 13.39% while SPY yields 1.01%, so FBDC currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.