FVD vs SPY
First Trust Value Line Dividend Index Fund vs State Street SPDR S&P 500 ETF Trust
Quick Verdict
SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 505 holdings.
Side-by-Side Comparison
| Metric | FVD | SPY | Winner |
|---|---|---|---|
| Expense Ratio | 0.62% | 0.09% | |
| AUM | $8.3B | $821.1B | |
| Dividend Yield | 2.23% | 1.01% | |
| Holdings | 253 | 505 | |
| YTD Return | +11.52% | +14.24% | |
| 1Y Return | +13.30% | +21.71% | |
| 3Y Return (annualized) | +11.60% | +22.10% | |
| 5Y Return (annualized) | +6.49% | +13.21% | |
| Volatility (annualized) | 13.4% | 15.3% | |
| Max Drawdown | -54.1% | -56.5% | |
| Fund Family | First Trust Portfolios (US) | State Street Investment Management | |
| Category | Equity | Equity | |
| Inception | Aug 19, 2003 | Jan 22, 1993 |
FVD vs SPY Performance
First Trust Value Line Dividend Index Fund (FVD) is a ETF from First Trust Portfolios (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year FVD returned +13.30% while SPY returned +21.71%. Year to date, FVD is up 11.52% versus a gain of 14.24% for SPY.
Over three years, FVD compounded at +11.60% per year against +22.10% for SPY; over five years the annualized figures are +6.49% and +13.21% respectively. Across the full 21-year window we track, SPY has the edge at +8.86% annualized vs +7.11%. 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 13.4% for FVD. 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 -54.1% for FVD 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 0.87. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FVD charges 0.62% per year while SPY charges 0.09%. On a $10,000 position that is $62 vs $9 annually, a gap of $53 per year that compounds over a long holding period. On income, FVD currently yields 2.23% against 1.01% for SPY.
Holdings Overlap
FVD and SPY share 154 holdings out of 600 unique holdings combined, representing a 18.9% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, FVD or SPY?
FVD has an expense ratio of 0.62% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $53 per year of difference.
Which performed better, FVD or SPY?
Over the past year FVD returned +13.30% vs +21.71% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (21 years), FVD annualized +7.11% vs +8.86% for SPY. Past performance does not guarantee future results.
Which is riskier, FVD or SPY?
SPY has been the more volatile fund at 15.3% annualized versus 13.4% for FVD. Worst drawdown: FVD -54.1% vs SPY -56.5%.
Should I hold both FVD and SPY?
FVD and SPY have a monthly-return correlation of 0.87, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between FVD and SPY?
FVD and SPY share 154 common holdings with a 18.9% weight overlap. Combined, they hold 600 unique securities.
Which pays a higher dividend, FVD or SPY?
FVD yields 2.23% while SPY yields 1.01%, so FVD currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.