PGF vs SPY

PGF vs SPY

Which is better, PGF or SPY?

Preferred Stock against Large Cap Blend.

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window.

Lower Fees: SPYHigher Returns: SPY

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

MetricPGFSPY
Expense Ratio0.55%0.09%Best
AUM$659M$814.4B
Dividend Yield6.42%1.01%
Holdings102505
YTD Return-3.03%+13.34%Best
1Y Return-2.80%+19.97%Best
3Y Return (annualized)+4.24%+21.20%Best
5Y Return (annualized)-1.28%+12.81%Best
Volatility (annualized)17.7%15.4%Best
Max Drawdown-79.2%-56.5%Best
$10,000 over 5 years$9,376$18,270Best
Fund FamilyInvesco (US)State Street Investment Management
CategoryAllocation/BalancedEquity
StylePreferred StockLarge Cap Blend
InceptionDec 1, 2006Jan 22, 1993

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown are measured over the window both funds cover: Dec 1, 2006 to Sep 4, 2026 (19.8 years).

PGF 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 19.8 years both funds cover.

PGF vs SPY Performance

Invesco Financial Preferred ETF (PGF) is an ETF from Invesco (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year PGF returned -2.80% while SPY returned +19.97%. Year to date, PGF is down 3.03% versus a gain of 13.34% for SPY.

Over three years, PGF compounded at +4.24% per year against +21.20% for SPY; over five years the annualized figures are -1.28% and +12.81% respectively. Across the full 20-year window we track, SPY has the edge at +9.41% annualized vs -1.60%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

PGF has been the more volatile fund, with annualized monthly volatility of 17.7% compared with 15.4% for SPY. 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 -79.2% for PGF and -56.5% 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 0.52. They move together some of the time, and apart the rest.

Fees and Cost Over Time

PGF charges 0.55% per year while SPY charges 0.09%. On a $10,000 position that is $55 vs $9 annually, a gap of $46 per year that compounds over a long holding period. On income, PGF currently yields 6.42% against 1.01% for SPY.

Holdings Overlap

SPY already in PGF2.3%

At least 2.3% of SPY's money is in holdings PGF also owns.

Stated as a floor: for PGF, our book for it covers 93.4% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

SPY and PGF share little of their money.

12 positions in common, counted across the 93 positions we hold weights for in PGF and 504 in SPY, against full books of 102 and 505.

Top Shared Holdings

StockWeight in PGFWeight in SPYDifference
BACBank of America Corp.: Financials2.06%0.62%1.44%
CCitigroup Inc.1.53%0.35%1.18%
ALLAllstate Corp.1.74%0.10%1.64%
MSMorgan Stanley1.31%0.39%0.92%
SCHWSchwab Strategic T1.41%0.26%1.15%
MTBM&T Bank Corp1.52%0.06%1.46%
SYFSynchrony Financial1.13%0.04%1.09%
BKBank Of New York Mellon Corp0.97%0.16%0.81%
USBUS Bancorp0.96%0.15%0.81%
FITBFifth Third Bancorp0.80%0.08%0.72%

You are not choosing between two funds in isolation.

Whichever of PGF and SPY you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

PGFSPY

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, PGF or SPY?

PGF has an expense ratio of 0.55% while SPY charges 0.09%. SPY is the cheaper option, by $46 a year on a $10,000 investment.

Which performed better, PGF or SPY?

Over the past year PGF returned -2.80% vs +19.97% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (20 years), PGF annualized -1.60% vs +9.41% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, PGF or SPY?

PGF has been the more volatile fund at 17.7% annualized versus 15.4% for SPY. Worst drawdown: PGF -79.2% vs SPY -56.5%.

Should I hold both PGF and SPY?

PGF and SPY have a monthly-return correlation of 0.52, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

What is the holdings overlap between PGF and SPY?

At least 2.3% of SPY's money is in holdings PGF also owns. Our book for PGF is partial, so the real figure is this or higher. They hold 12 positions in common, counted across the 93 positions we hold weights for in PGF and 504 in SPY.

Which pays a higher dividend, PGF or SPY?

PGF yields 6.42% while SPY yields 1.01%, so PGF currently pays the higher dividend yield.

Is SPY better than PGF?

SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.