FTQI vs SPY

FTQI vs SPY

Which is better, FTQI or SPY?

Long-Short Strategy against Large Cap Blend.

SPY has a lower expense ratio. FTQI led over 1Y, SPY over 3Y, 5Y and the full window. SPY is less concentrated, with 38.0% of the fund in its ten largest positions against 40.4%.

Lower Fees: SPYHigher Returns: splitLess Concentrated: SPY

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

MetricFTQISPY
Expense Ratio0.75%0.09%Best
AUM$955M$814.4B
Dividend Yield11.30%1.01%
Holdings183505
YTD Return+14.91%Best+13.78%
1Y Return+22.72%Best+21.44%
3Y Return (annualized)+16.85%+21.38%Best
5Y Return (annualized)+11.84%+12.80%Best
Volatility (annualized)9.9%Best14.6%
Max Drawdown-20.4%Best-34.1%
$10,000 over 5 years$17,498$18,262Best
Top 10 Weight40.4%38.0%Best
Fund FamilyFirst Trust Portfolios (US)State Street Investment Management
CategoryAlternativeEquity
StyleLong-Short StrategyLarge Cap Blend
InceptionJan 6, 2014Jan 22, 1993

Volatility and max drawdown are measured over the window both funds cover: Jan 7, 2014 to Sep 3, 2026 (12.7 years).

FTQI 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 12.7 years both funds cover.

FTQI vs SPY Performance

First Trust Nasdaq BuyWrite Income ETF (FTQI) is an ETF from First Trust Portfolios (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year FTQI returned +22.72% while SPY returned +21.44%. Year to date, FTQI is up 14.91% versus a gain of 13.78% for SPY.

Over three years, FTQI compounded at +16.85% per year against +21.38% for SPY; over five years the annualized figures are +11.84% and +12.80% respectively. Across the full 13-year window we track, SPY has the edge at +12.70% annualized vs +5.20%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 14.6% compared with 9.9% for FTQI. 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 -20.4% for FTQI 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 0.84. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

FTQI charges 0.75% per year while SPY charges 0.09%. On a $10,000 position that is $75 vs $9 annually, a gap of $66 per year that compounds over a long holding period. On income, FTQI currently yields 11.30% against 1.01% for SPY.

Holdings Overlap

FTQI already in SPY75.0%
SPY already in FTQI49.4%

75.0% of FTQI's money is in holdings SPY also owns. 49.4% of SPY's money is in holdings FTQI also owns.

Most of FTQI is already inside SPY. Owning both mostly buys the same companies twice.

82 positions in common, counted across the 176 positions we hold weights for in FTQI and 504 in SPY, against full books of 183 and 505.

What only one of them owns

Our book lists 415 positions for SPY that do not appear in our book for FTQI (50.1% of the fund), and 80 for FTQI that do not appear in SPY (15.3%).

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 FTQIWeight in SPYDifference
AAPLApple, Inc8.39%6.83%1.56%
NVDANvidia Corp.5.83%7.71%1.88%
AMZNAmazon.Com Inc4.42%4.08%0.34%
AMDAdvanced Micro Devices Inc4.48%1.27%3.21%
GOOGLAlphabet Inc.Class A2.13%3.33%1.20%
AVGOBroadcom Inc2.23%2.97%0.74%
METAMeta Platform Inc 2.90%1.94%0.96%
GOOGAlphabet Inc. C2.13%2.67%0.54%
CSCOCisco Systems Inc. - Ordinary Shares3.43%0.72%2.71%
TSLATesla Motors Inc2.59%1.38%1.21%

75.0% of FTQI 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.

FTQISPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, FTQI or SPY?

FTQI has an expense ratio of 0.75% while SPY charges 0.09%. SPY is the cheaper option, by $66 a year on a $10,000 investment.

Which performed better, FTQI or SPY?

Over the past year FTQI returned +22.72% vs +21.44% for SPY, so FTQI leads on 1-year performance. Over the longest common window we track (13 years), FTQI annualized +5.20% vs +12.70% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, FTQI or SPY?

SPY has been the more volatile fund at 14.6% annualized versus 9.9% for FTQI. Worst drawdown: FTQI -20.4% vs SPY -34.1%.

Should I hold both FTQI and SPY?

FTQI and SPY have a monthly-return correlation of 0.84, 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 FTQI and SPY?

75.0% of FTQI's money is in holdings SPY also owns. 49.4% of SPY's is in holdings FTQI also owns. They hold 82 positions in common, counted across the 176 positions we hold weights for in FTQI and 504 in SPY.

Which pays a higher dividend, FTQI or SPY?

FTQI yields 11.30% while SPY yields 1.01%, so FTQI currently pays the higher dividend yield.

Is SPY better than FTQI?

SPY has a lower expense ratio. FTQI led over 1Y, SPY over 3Y, 5Y and the full window. SPY is less concentrated, with 38.0% of the fund in its ten largest positions against 40.4%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.