INCE vs PHDG

Quick Verdict

INCE has a lower expense ratio. INCE delivered stronger 1-year returns. PHDG offers more diversification with 494 holdings.

Lower Fees: INCEHigher Returns: INCEMore Diversified: PHDG

Side-by-Side Comparison

MetricINCEPHDGWinner
Expense Ratio0.29%0.39%
AUM$132M$61M
Dividend Yield4.82%1.68%
Holdings82514
YTD Return+15.94%+13.02%
1Y Return+26.30%+18.49%
3Y Return (annualized)+16.63%+9.60%
5Y Return (annualized)+10.93%+4.75%
Volatility (annualized)13.8%9.9%
Max Drawdown-34.1%-23.6%
Fund FamilyFranklin Templeton Investments (US)Invesco (US)
CategoryEquityEquity
InceptionSep 20, 2016Dec 5, 2012

INCE vs PHDG Performance

Franklin Income Equity Focus ETF (INCE) is a ETF from Franklin Templeton Investments (US) and Invesco S&P 500 Downside Hedged ETF (PHDG) is a ETF from Invesco (US). Over the past year INCE returned +26.30% while PHDG returned +18.49%. Year to date, INCE is up 15.94% versus a gain of 13.02% for PHDG.

Over three years, INCE compounded at +16.63% per year against +9.60% for PHDG; over five years the annualized figures are +10.93% and +4.75% respectively. Across the full 10-year window we track, INCE has the edge at +12.53% annualized vs +4.45%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

INCE has been the more volatile fund, with annualized monthly volatility of 13.8% compared with 9.9% for PHDG. 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 -34.1% for INCE and -23.6% for PHDG. 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 0.58. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

INCE charges 0.29% per year while PHDG charges 0.39%. On a $10,000 position that is $29 vs $39 annually, a gap of $10 per year that compounds over a long holding period. On income, INCE currently yields 4.82% against 1.68% for PHDG.

Holdings Overlap

9.1%overlap

INCE and PHDG share 37 holdings out of 504 unique holdings combined, representing a 9.1% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in INCEWeight in PHDGDifference
XOM3.97%0.68%3.29%
CVX3.47%0.38%3.09%
PEP3.06%0.23%2.83%
PGProProPro
VZProProPro
SOProProPro
LMTProProPro
JCIProProPro
JPM:USProProPro
RTXProProPro
See all 10 holdings INCE shares with PHDG
Exact weights in each fund and the difference, for every overlapping position.
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Frequently Asked Questions

Which is cheaper, INCE or PHDG?

INCE has an expense ratio of 0.29% while PHDG charges 0.39%. INCE is the cheaper option. On a $10,000 investment, that is $10 per year of difference.

Which performed better, INCE or PHDG?

Over the past year INCE returned +26.30% vs +18.49% for PHDG, so INCE leads on 1-year performance. Over the longest common window we track (10 years), INCE annualized +12.53% vs +4.45% for PHDG. Past performance does not guarantee future results.

Which is riskier, INCE or PHDG?

INCE has been the more volatile fund at 13.8% annualized versus 9.9% for PHDG. Worst drawdown: INCE -34.1% vs PHDG -23.6%.

Should I hold both INCE and PHDG?

INCE and PHDG have a monthly-return correlation of 0.58, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between INCE and PHDG?

INCE and PHDG share 37 common holdings with a 9.1% weight overlap. Combined, they hold 504 unique securities.

Which pays a higher dividend, INCE or PHDG?

INCE yields 4.82% while PHDG yields 1.68%, so INCE currently pays the higher dividend yield.

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