FTCS vs QLTY
First Trust Capital Strength ETF vs GMO US Quality ETF
Which is better, FTCS or QLTY?
QLTY has been ahead.
QLTY has a lower expense ratio. QLTY led over 1Y, 3Y and the full window. FTCS is less concentrated, with 21.2% of the fund in its ten largest positions against 42.0%.
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
| Metric | FTCS | QLTY |
|---|---|---|
| Expense Ratio | 0.53% | 0.50%Best |
| AUM | $8.1B | $5.4B |
| Dividend Yield | 1.12% | 0.65% |
| Holdings | 52 | 47 |
| YTD Return | +14.44% | +15.01%Best |
| 1Y Return | +15.13% | +19.66%Best |
| 3Y Return (annualized) | +12.75% | +21.50%Best |
| 5Y Return (annualized) | +6.60% | - |
| Volatility (annualized) | 11.7%Tie | 11.7%Tie |
| Max Drawdown | -12.6%Best | -17.0% |
| $10,000 over 3 years | $14,341 | $17,936Best |
| Top 10 Weight | 21.2%Best | 42.0% |
| Fund Family | First Trust Portfolios (US) | GMO |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Jul 6, 2006 | Nov 13, 2023 |
Volatility and max drawdown, and the $10,000 over 3 years row, are measured over the window both funds cover: Nov 15, 2023 to Nov 13, 2026 (3 years).
FTCS vs QLTY 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 3 years both funds cover.
FTCS vs QLTY Performance
First Trust Capital Strength ETF (FTCS) is an ETF from First Trust Portfolios (US) and GMO US Quality ETF (QLTY) is an ETF from GMO. Over the past year FTCS returned +15.13% while QLTY returned +19.66%. Year to date, FTCS is up 14.44% versus a gain of 15.01% for QLTY.
Over three years, FTCS compounded at +12.75% per year against +21.50% for QLTY.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FTCS and QLTY have been equally volatile, both at 11.7% annualized.
The deepest peak-to-trough decline in our data was -12.6% for FTCS and -17.0% for QLTY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.51. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FTCS charges 0.53% per year while QLTY charges 0.50%. On a $10,000 position that is $53 vs $50 annually, a gap of $3 per year that compounds over a long holding period. On income, FTCS currently yields 1.12% against 0.65% for QLTY.
Holdings Overlap
17.9% of FTCS's money is in holdings QLTY also owns. 19.2% of QLTY's money is in holdings FTCS also owns.
QLTY and FTCS share little of their money.
9 positions in common, counted across the 50 positions we hold weights for in FTCS and 46 in QLTY, against full books of 52 and 47.
What only one of them owns
Measured across the 50 and 46 positions we hold weights for.
FTCS holds 40 positions QLTY does not, 80.0% of the fund.
Largest: LMT 2.25%, VRTX 2.16%, PPG 2.15%, VLTO 2.14%, GD 2.11%
Top Shared Holdings
| Stock | Weight in FTCS | Weight in QLTY | Difference |
|---|---|---|---|
| JNJJohnson & Johnson - Common | 2.07% | 4.30% | 2.23% |
| AAPLApple, Inc | 1.95% | 3.20% | 1.25% |
| MAMastercard Inc | 2.01% | 2.50% | 0.49% |
| VVisa Inc | 2.00% | 2.50% | 0.50% |
| PGProcter & Gamble Company | 1.97% | 2.10% | 0.13% |
| KOCoca Cola Co. | 1.96% | 1.70% | 0.26% |
| TJXTjx Cos., Inc. | 1.85% | 1.20% | 0.65% |
| HDHome Depot Inc/The | 2.05% | 0.90% | 1.15% |
| MCOMoody'S Corp. | 1.99% | 0.80% | 1.19% |
You are not choosing between two funds in isolation.
Whichever of FTCS and QLTY you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FTCS or QLTY?
FTCS has an expense ratio of 0.53% while QLTY charges 0.50%. QLTY is the cheaper option, by $3 a year on a $10,000 investment.
Which performed better, FTCS or QLTY?
Over the past year FTCS returned +15.13% vs +19.66% for QLTY, so QLTY leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FTCS or QLTY?
FTCS and QLTY have been equally volatile, both at 11.7% annualized. Worst drawdown: FTCS -12.6% vs QLTY -17.0%.
Should I hold both FTCS and QLTY?
FTCS and QLTY have a monthly-return correlation of 0.51, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between FTCS and QLTY?
19.2% of QLTY's money is in holdings FTCS also owns. 19.2% of QLTY's is in holdings FTCS also owns. They hold 9 positions in common, counted across the 50 positions we hold weights for in FTCS and 46 in QLTY.
Which pays a higher dividend, FTCS or QLTY?
FTCS yields 1.12% while QLTY yields 0.65%, so FTCS currently pays the higher dividend yield.
Is QLTY better than FTCS?
QLTY has a lower expense ratio. QLTY led over 1Y, 3Y and the full window. FTCS is less concentrated, with 21.2% of the fund in its ten largest positions against 42.0%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.