FLHK vs SPY

Quick Verdict

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

Lower Fees: FLHKHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricFLHKSPYWinner
Expense Ratio0.09%0.09%
AUM$13M$789.1B
Dividend Yield4.33%1.01%
Holdings72505
YTD Return+11.92%+14.47%
1Y Return+20.38%+21.96%
3Y Return (annualized)-1.32%+21.70%
5Y Return (annualized)+0.37%+13.30%
Volatility (annualized)26.1%15.3%
Max Drawdown-47.0%-56.5%
Fund FamilyFranklin Templeton Investments (US)State Street Investment Management
CategoryEquityEquity
InceptionNov 2, 2017Jan 22, 1993

FLHK vs SPY Performance

Franklin FTSE Hong Kong ETF (FLHK) is a ETF from Franklin Templeton Investments (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year FLHK returned +20.38% while SPY returned +21.96%. Year to date, FLHK is up 11.92% versus a gain of 14.47% for SPY.

Over three years, FLHK compounded at -1.32% per year against +21.70% for SPY; over five years the annualized figures are +0.37% and +13.30% respectively. Across the full 8-year window we track, SPY has the edge at +8.87% annualized vs -0.40%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FLHK has been the more volatile fund, with annualized monthly volatility of 26.1% 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 -47.0% for FLHK 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 0.31. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FLHK charges 0.09% per year while SPY charges 0.09%. On a $10,000 position that is $9 vs $9 annually, a gap of $0 per year that compounds over a long holding period. On income, FLHK currently yields 4.33% against 1.01% for SPY.

Frequently Asked Questions

Which is cheaper, FLHK or SPY?

FLHK has an expense ratio of 0.09% while SPY charges 0.09%. FLHK is the cheaper option. On a $10,000 investment, that is $0 per year of difference.

Which performed better, FLHK or SPY?

Over the past year FLHK returned +20.38% vs +21.96% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (8 years), FLHK annualized -0.40% vs +8.87% for SPY. Past performance does not guarantee future results.

Which is riskier, FLHK or SPY?

FLHK has been the more volatile fund at 26.1% annualized versus 15.3% for SPY. Worst drawdown: FLHK -47.0% vs SPY -56.5%.

Should I hold both FLHK and SPY?

FLHK and SPY have a monthly-return correlation of 0.31, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, FLHK or SPY?

FLHK yields 4.33% while SPY yields 1.01%, so FLHK currently pays the higher dividend yield.

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