MFDX vs SPY
PIMCO RAFI Dynamic Multi-Factor International Equity ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, MFDX or SPY?
Each has led over a different period.
SPY has a lower expense ratio. MFDX led over 1Y, SPY over 3Y, 5Y and the full window.
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 | MFDX | SPY |
|---|---|---|
| Expense Ratio | 0.39% | 0.09%Best |
| AUM | $466M | $804.7B |
| Dividend Yield | 2.84% | 0.98% |
| Holdings | 1,300 | 505 |
| YTD Return | +10.84% | +11.52%Best |
| 1Y Return | +17.99%Best | +17.48% |
| 3Y Return (annualized) | +18.60% | +20.62%Best |
| 5Y Return (annualized) | +10.32% | +12.73%Best |
| Volatility (annualized) | 14.9%Best | 16.2% |
| Max Drawdown | -39.1% | -34.1%Best |
| $10,000 over 5 years | $16,341 | $18,205Best |
| Fund Family | PIMCO (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Aug 31, 2017 | Jan 22, 1993 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Sep 6, 2017 to Sep 10, 2026 (9 years).
MFDX 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 9 years both funds cover.
MFDX vs SPY Performance
PIMCO RAFI Dynamic Multi-Factor International Equity ETF (MFDX) is an ETF from PIMCO (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year MFDX returned +17.99% while SPY returned +17.48%. Year to date, MFDX is up 10.84% versus a gain of 11.52% for SPY.
Over three years, MFDX compounded at +18.60% per year against +20.62% for SPY; over five years the annualized figures are +10.32% and +12.73% respectively. Across the full 9-year window we track, SPY has the edge at +14.19% annualized vs +7.96%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 16.2% compared with 14.9% for MFDX. 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 -39.1% for MFDX 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 0.81. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
MFDX charges 0.39% per year while SPY charges 0.09%. On a $10,000 position that is $39 vs $9 annually, a gap of $30 per year that compounds over a long holding period. On income, MFDX currently yields 2.84% against 0.98% for SPY.
Holdings Overlap
At least 0.2% of SPY's money is in holdings MFDX also owns.
Stated as a floor: for MFDX, our book for it covers 79.6% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
We cannot see either book well enough to say how much of this pair is duplicated.
2 positions in common, counted across the 950 positions we hold weights for in MFDX and 504 in SPY, against full books of 1,300 and 505.
You are not choosing between two funds in isolation.
Whichever of MFDX and SPY 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, MFDX or SPY?
MFDX has an expense ratio of 0.39% while SPY charges 0.09%. SPY is the cheaper option, by $30 a year on a $10,000 investment.
Which performed better, MFDX or SPY?
Over the past year MFDX returned +17.99% vs +17.48% for SPY, so MFDX leads on 1-year performance. Over the longest common window we track (9 years), MFDX annualized +7.96% vs +14.19% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, MFDX or SPY?
SPY has been the more volatile fund at 16.2% annualized versus 14.9% for MFDX. Worst drawdown: MFDX -39.1% vs SPY -34.1%.
Should I hold both MFDX and SPY?
MFDX and SPY have a monthly-return correlation of 0.81, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, MFDX or SPY?
MFDX yields 2.84% while SPY yields 0.98%, so MFDX currently pays the higher dividend yield.
Is SPY better than MFDX?
SPY has a lower expense ratio. MFDX led over 1Y, SPY over 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.