PFRL vs SPY
PGIM Floating Rate Income ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, PFRL or SPY?
Long Term High Quality against Large Cap Blend.
SPY has a lower expense ratio. SPY led over 1Y, 3Y 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 | PFRL | SPY |
|---|---|---|
| Expense Ratio | 0.72% | 0.09%Best |
| AUM | $126M | $804.7B |
| Dividend Yield | 7.46% | 0.98% |
| Holdings | 473 | 505 |
| YTD Return | +4.17% | +11.52%Best |
| 1Y Return | +5.62% | +17.48%Best |
| 3Y Return (annualized) | +7.72% | +20.62%Best |
| 5Y Return (annualized) | - | +12.73% |
| Volatility (annualized) | 3.5%Best | 15.3% |
| Max Drawdown | -8.8%Best | -18.8% |
| $10,000 over 4.3 years | $13,939 | $20,390Best |
| Fund Family | PGIM Investments | State Street Investment Management |
| Category | Fixed Income | Equity |
| Style | Long Term High Quality | Large Cap Blend |
| Inception | May 17, 2022 | Jan 22, 1993 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 4.3 years row, are measured over the window both funds cover: May 24, 2022 to Sep 10, 2026 (4.3 years).
PFRL 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 4.3 years both funds cover.
PFRL vs SPY Performance
PGIM Floating Rate Income ETF (PFRL) is an ETF from PGIM Investments and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year PFRL returned +5.62% while SPY returned +17.48%. Year to date, PFRL is up 4.17% versus a gain of 11.52% for SPY.
Over three years, PFRL compounded at +7.72% per year against +20.62% for SPY. Across the full 4-year window we track, SPY has the edge at +18.02% annualized vs +8.03%.
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 3.5% for PFRL. 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 -8.8% for PFRL and -18.8% 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 0.73. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
PFRL charges 0.72% per year while SPY charges 0.09%. On a $10,000 position that is $72 vs $9 annually, a gap of $63 per year that compounds over a long holding period. On income, PFRL currently yields 7.46% against 0.98% for SPY.
Holdings Overlap
At least 0.3% of SPY's money is in holdings PFRL also owns.
Stated as a floor: for PFRL, our book for it covers 8.9% 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.
1 positions in common, counted across the 35 positions we hold weights for in PFRL and 504 in SPY, against full books of 473 and 505.
Top Shared Holdings
| Stock | Weight in PFRL | Weight in SPY | Difference |
|---|---|---|---|
| CCitigroup Inc 6.875 11/73 6.88 2173-11-15 | 0.12% | 0.35% | 0.23% |
You are not choosing between two funds in isolation.
Whichever of PFRL 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, PFRL or SPY?
PFRL has an expense ratio of 0.72% while SPY charges 0.09%. SPY is the cheaper option, by $63 a year on a $10,000 investment.
Which performed better, PFRL or SPY?
Over the past year PFRL returned +5.62% vs +17.48% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (4 years), PFRL annualized +8.03% vs +18.02% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, PFRL or SPY?
SPY has been the more volatile fund at 15.3% annualized versus 3.5% for PFRL. Worst drawdown: PFRL -8.8% vs SPY -18.8%.
Should I hold both PFRL and SPY?
PFRL and SPY have a monthly-return correlation of 0.73, 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, PFRL or SPY?
PFRL yields 7.46% while SPY yields 0.98%, so PFRL currently pays the higher dividend yield.
Is SPY better than PFRL?
SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.