LCAP vs SPY
Principal Capital Appreciation Select ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, LCAP or SPY?
Nearly the same fund. SPY costs less.
SPY has a lower expense ratio. SPY led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.96. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 43.3%.
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 | LCAP | SPY |
|---|---|---|
| Expense Ratio | 0.29% | 0.09%Best |
| AUM | $1.9B | $804.7B |
| Dividend Yield | 0.09% | 0.98% |
| Holdings | 56 | 505 |
| YTD Return | +14.17%Best | +13.82% |
| 1Y Return | +16.92% | +16.96%Best |
| 3Y Return (annualized) | - | +22.97% |
| 5Y Return (annualized) | - | +13.73% |
| Volatility (annualized) | 10.5%Best | 11.9% |
| Max Drawdown | -11.3%Best | -12.7% |
| $10,000 over 1.5 years | $13,588 | $13,826Best |
| Top 10 Weight | 43.3% | 37.8%Best |
| Fund Family | Principal Funds | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Mar 25, 2025 | Jan 22, 1993 |
Volatility and max drawdown, and the $10,000 over 1.5 years row, are measured over the window both funds cover: Mar 26, 2025 to Sep 21, 2026 (1.5 years).
LCAP 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 1.5 years both funds cover.
LCAP vs SPY Performance
Principal Capital Appreciation Select ETF (LCAP) is an ETF from Principal Funds and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year LCAP returned +16.92% while SPY returned +16.96%. Year to date, LCAP is up 14.17% versus a gain of 13.82% for SPY.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 11.9% compared with 10.5% for LCAP. 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 -11.3% for LCAP and -12.7% 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 0.96. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
LCAP charges 0.29% per year while SPY charges 0.09%. On a $10,000 position that is $29 vs $9 annually, a gap of $20 per year that compounds over a long holding period. On income, LCAP currently yields 0.09% against 0.98% for SPY.
Holdings Overlap
90.6% of LCAP's money is in holdings SPY also owns. 51.7% of SPY's money is in holdings LCAP also owns.
Most of LCAP is already inside SPY. Owning both mostly buys the same companies twice.
47 positions in common, counted across the 56 positions we hold weights for in LCAP and 504 in SPY, against full books of 56 and 505.
What only one of them owns
Our book lists 450 positions for SPY that do not appear in our book for LCAP (47.7% of the fund), and 6 for LCAP that do not appear in SPY (5.6%).
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
| Stock | Weight in LCAP | Weight in SPY | Difference |
|---|---|---|---|
| NVDANvidia Corp | 7.59% | 8.01% | 0.42% |
| AAPLApple, Inc | 6.41% | 7.26% | 0.85% |
| MSFTMicrosoft Corp | 5.21% | 5.66% | 0.45% |
| AMZNAmazon.Com Inc | 4.48% | 3.79% | 0.69% |
| GOOGLAlphabet Inc,class A | 5.06% | 2.99% | 2.07% |
| AVGOBroadcom Inc | 3.07% | 2.66% | 0.41% |
| JPMJpmorgan Chase | 3.03% | 1.45% | 1.58% |
| VVisa Inc Class A | 3.34% | 0.94% | 2.40% |
| LLYEli Lilly & Co. | 2.41% | 1.40% | 1.01% |
| METAMeta Platforms Inc | 1.71% | 1.93% | 0.22% |
90.6% of LCAP 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.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, LCAP or SPY?
LCAP has an expense ratio of 0.29% while SPY charges 0.09%. SPY is the cheaper option, by $20 a year on a $10,000 investment.
Which performed better, LCAP or SPY?
Over the past year LCAP returned +16.92% vs +16.96% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (2 years), LCAP annualized +22.68% vs +24.11% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LCAP or SPY?
SPY has been the more volatile fund at 11.9% annualized versus 10.5% for LCAP. Worst drawdown: LCAP -11.3% vs SPY -12.7%.
Should I hold both LCAP and SPY?
LCAP and SPY have a monthly-return correlation of 0.96, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between LCAP and SPY?
90.6% of LCAP's money is in holdings SPY also owns. 51.7% of SPY's is in holdings LCAP also owns. They hold 47 positions in common, counted across the 56 positions we hold weights for in LCAP and 504 in SPY.
Which pays a higher dividend, LCAP or SPY?
LCAP yields 0.09% while SPY yields 0.98%, so SPY currently pays the higher dividend yield.
Is SPY better than LCAP?
SPY has a lower expense ratio. SPY led over 1Y and the full window. The two have moved almost in lockstep, correlation 0.96. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 43.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.