FCOM vs SPY

Quick Verdict

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

Lower Fees: FCOMHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricFCOMSPYWinner
Expense Ratio0.08%0.09%
AUM$1.7B$789.1B
Dividend Yield1.01%1.01%
Holdings92505
YTD Return-2.62%+13.79%
1Y Return+8.41%+23.66%
3Y Return (annualized)+20.26%+21.40%
5Y Return (annualized)+6.20%+13.37%
Volatility (annualized)17.1%15.3%
Max Drawdown-46.8%-56.5%
Fund FamilyFidelity Investments (US)State Street Investment Management
CategoryEquityEquity
InceptionOct 21, 2013Jan 22, 1993

FCOM vs SPY Performance

Fidelity MSCI Communication Services Index ETF (FCOM) is a ETF from Fidelity Investments (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year FCOM returned +8.41% while SPY returned +23.66%. Year to date, FCOM is down 2.62% versus a gain of 13.79% for SPY.

Over three years, FCOM compounded at +20.26% per year against +21.40% for SPY; over five years the annualized figures are +6.20% and +13.37% respectively. Across the full 13-year window we track, SPY has the edge at +8.85% annualized vs +8.81%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FCOM has been the more volatile fund, with annualized monthly volatility of 17.1% 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 -46.8% for FCOM 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 0.82. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FCOM charges 0.08% per year while SPY charges 0.09%. On a $10,000 position that is $8 vs $9 annually, a gap of $1 per year that compounds over a long holding period. On income, FCOM currently yields 1.01% against 1.01% for SPY.

Holdings Overlap

9.9%overlap

FCOM and SPY share 22 holdings out of 568 unique holdings combined, representing a 9.9% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FCOMWeight in SPYDifference
META20.16%2.03%18.13%
GOOGL13.06%3.32%9.74%
GOOG8.66%2.66%6.00%
NFLXProProPro
VZProProPro
TProProPro
DISProProPro
TMUSProProPro
CMCSAProProPro
WBDProProPro
See all 10 holdings FCOM shares with SPY
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Frequently Asked Questions

Which is cheaper, FCOM or SPY?

FCOM has an expense ratio of 0.08% while SPY charges 0.09%. FCOM is the cheaper option. On a $10,000 investment, that is $1 per year of difference.

Which performed better, FCOM or SPY?

Over the past year FCOM returned +8.41% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (13 years), FCOM annualized +8.81% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, FCOM or SPY?

FCOM has been the more volatile fund at 17.1% annualized versus 15.3% for SPY. Worst drawdown: FCOM -46.8% vs SPY -56.5%.

Should I hold both FCOM and SPY?

FCOM and SPY have a monthly-return correlation of 0.82, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FCOM and SPY?

FCOM and SPY share 22 common holdings with a 9.9% weight overlap. Combined, they hold 568 unique securities.

Which pays a higher dividend, FCOM or SPY?

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

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