FLQM vs SPY

FLQM vs SPY

Which is better, FLQM or SPY?

Mid Cap Blend against Large Cap Blend.

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.90. FLQM is less concentrated, with 11.3% of the fund in its ten largest positions against 38.0%.

Lower Fees: SPYHigher Returns: SPYLess Concentrated: FLQM

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

MetricFLQMSPY
Expense Ratio0.30%0.09%Best
AUM$1.6B$814.4B
Dividend Yield1.64%1.01%
Holdings207505
YTD Return+8.10%+13.78%Best
1Y Return+8.41%+21.44%Best
3Y Return (annualized)+12.12%+21.38%Best
5Y Return (annualized)+6.71%+12.80%Best
Volatility (annualized)16.7%15.8%Best
Max Drawdown-37.3%-34.1%Best
$10,000 over 5 years$13,836$18,262Best
Top 10 Weight11.3%Best38.0%
Fund FamilyFranklin Templeton Investments (US)State Street Investment Management
CategoryEquityEquity
StyleMid Cap BlendLarge Cap Blend
InceptionApr 26, 2017Jan 22, 1993

Volatility and max drawdown are measured over the window both funds cover: Apr 28, 2017 to Sep 3, 2026 (9.3 years).

FLQM vs SPY 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 9.3 years both funds cover.

FLQM vs SPY Performance

Franklin US Mid Cap Multifactor Index ETF (FLQM) is an ETF from Franklin Templeton Investments (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year FLQM returned +8.41% while SPY returned +21.44%. Year to date, FLQM is up 8.10% versus a gain of 13.78% for SPY.

Over three years, FLQM compounded at +12.12% per year against +21.38% for SPY; over five years the annualized figures are +6.71% and +12.80% respectively. Across the full 9-year window we track, SPY has the edge at +14.33% annualized vs +11.13%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FLQM has been the more volatile fund, with annualized monthly volatility of 16.7% compared with 15.8% 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 -37.3% for FLQM and -34.1% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.90. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

FLQM charges 0.30% per year while SPY charges 0.09%. On a $10,000 position that is $30 vs $9 annually, a gap of $21 per year that compounds over a long holding period. On income, FLQM currently yields 1.64% against 1.01% for SPY.

Holdings Overlap

FLQM already in SPY68.2%
SPY already in FLQM3.9%

68.2% of FLQM's money is in holdings SPY also owns. 3.9% of SPY's money is in holdings FLQM also owns.

The two portfolios partly overlap.

94 positions in common, counted across the 205 positions we hold weights for in FLQM and 504 in SPY, against full books of 207 and 505.

What only one of them owns

Our book lists 403 positions for SPY that do not appear in our book for FLQM (95.6% of the fund), and 105 for FLQM that do not appear in SPY (28.6%).

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.

Top Shared Holdings

StockWeight in FLQMWeight in SPYDifference
EXPEExpedia Group Inc (consumer Discretionary)1.28%0.05%1.23%
GRMNGarminltd.1.22%0.08%1.14%
ALLAllstate Corp.1.18%0.10%1.08%
PAYXPaychex, Inc.1.14%0.06%1.08%
PRUPrudential Financial Inc1.14%0.06%1.08%
WSMWilliams-sonoma Inc1.14%0.04%1.10%
CORCencora Inc1.06%0.09%0.97%
DALDl Co., Ltd.1.05%0.09%0.96%
FASTFastenal Co.1.05%0.09%0.96%
UALUnited Airlines Holdings Inc.1.07%0.06%1.01%

68.2% of FLQM is already inside SPY.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

FLQMSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, FLQM or SPY?

FLQM has an expense ratio of 0.30% while SPY charges 0.09%. SPY is the cheaper option, by $21 a year on a $10,000 investment.

Which performed better, FLQM or SPY?

Over the past year FLQM returned +8.41% vs +21.44% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (9 years), FLQM annualized +11.13% vs +14.33% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FLQM or SPY?

FLQM has been the more volatile fund at 16.7% annualized versus 15.8% for SPY. Worst drawdown: FLQM -37.3% vs SPY -34.1%.

Should I hold both FLQM and SPY?

FLQM and SPY have a monthly-return correlation of 0.90, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.

What is the holdings overlap between FLQM and SPY?

68.2% of FLQM's money is in holdings SPY also owns. 3.9% of SPY's is in holdings FLQM also owns. They hold 94 positions in common, counted across the 205 positions we hold weights for in FLQM and 504 in SPY.

Which pays a higher dividend, FLQM or SPY?

FLQM yields 1.64% while SPY yields 1.01%, so FLQM currently pays the higher dividend yield.

Is SPY better than FLQM?

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.90. FLQM is less concentrated, with 11.3% of the fund in its ten largest positions against 38.0%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.