FLTR vs SPY

FLTR vs SPY
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Quick Verdict

SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 505 holdings.

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricFLTRSPYWinner
Expense Ratio0.14%0.09%
AUM$2.9B$821.1B
Dividend Yield4.63%1.01%
Holdings454505
YTD Return+2.78%+14.24%
1Y Return+4.85%+21.71%
3Y Return (annualized)+5.93%+22.10%
5Y Return (annualized)+4.65%+13.21%
Volatility (annualized)13.2%15.3%
Max Drawdown-58.9%-56.5%
Fund FamilyVanEckState Street Investment Management
CategoryFixed IncomeEquity
InceptionApr 25, 2011Jan 22, 1993

FLTR vs SPY Performance

VanEck IG Floating Rate ETF (FLTR) is a ETF from VanEck and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year FLTR returned +4.85% while SPY returned +21.71%. Year to date, FLTR is up 2.78% versus a gain of 14.24% for SPY.

Over three years, FLTR compounded at +5.93% per year against +22.10% for SPY; over five years the annualized figures are +4.65% and +13.21% respectively. Across the full 15-year window we track, SPY has the edge at +8.86% annualized vs -2.86%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 13.2% for FLTR. 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 -58.9% for FLTR 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 0.24. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

FLTR charges 0.14% per year while SPY charges 0.09%. On a $10,000 position that is $14 vs $9 annually, a gap of $5 per year that compounds over a long holding period. On income, FLTR currently yields 4.63% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

FLTR and SPY share 0 holdings out of 757 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, FLTR or SPY?

FLTR has an expense ratio of 0.14% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $5 per year of difference.

Which performed better, FLTR or SPY?

Over the past year FLTR returned +4.85% vs +21.71% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (15 years), FLTR annualized -2.86% vs +8.86% for SPY. Past performance does not guarantee future results.

Which is riskier, FLTR or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 13.2% for FLTR. Worst drawdown: FLTR -58.9% vs SPY -56.5%.

Should I hold both FLTR and SPY?

FLTR and SPY have a monthly-return correlation of 0.24, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between FLTR and SPY?

FLTR and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 757 unique securities.

Which pays a higher dividend, FLTR or SPY?

FLTR yields 4.63% while SPY yields 1.01%, so FLTR currently pays the higher dividend yield.

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