RFDA vs SPY

Quick Verdict

SPY has a lower expense ratio. RFDA delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.

Lower Fees: SPYHigher Returns: RFDAMore Diversified: SPY

Side-by-Side Comparison

MetricRFDASPYWinner
Expense Ratio0.52%0.09%
AUM$89M$789.1B
Dividend Yield1.79%1.01%
Holdings79505
YTD Return+16.12%+13.79%
1Y Return+25.69%+23.66%
3Y Return (annualized)+19.05%+21.40%
5Y Return (annualized)+13.07%+13.37%
Volatility (annualized)15.2%15.3%
Max Drawdown-34.8%-56.5%
Fund FamilyALPS AdvisorsState Street Investment Management
CategoryEquityEquity
InceptionJun 6, 2016Jan 22, 1993

RFDA vs SPY Performance

ALPS Dynamic US Dividend Advantage ETF (RFDA) is a ETF from ALPS Advisors and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year RFDA returned +25.69% while SPY returned +23.66%. Year to date, RFDA is up 16.12% versus a gain of 13.79% for SPY.

Over three years, RFDA compounded at +19.05% per year against +21.40% for SPY; over five years the annualized figures are +13.07% and +13.37% respectively. Across the full 10-year window we track, RFDA has the edge at +12.48% annualized vs +8.85%. 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 15.2% for RFDA. 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 -34.8% for RFDA and -56.5% for SPY. 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 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

RFDA charges 0.52% per year while SPY charges 0.09%. On a $10,000 position that is $52 vs $9 annually, a gap of $43 per year that compounds over a long holding period. On income, RFDA currently yields 1.79% against 1.01% for SPY.

Holdings Overlap

22.5%overlap

RFDA and SPY share 61 holdings out of 520 unique holdings combined, representing a 22.5% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in RFDAWeight in SPYDifference
NVDA2.60%7.31%4.71%
AAPL2.04%7.09%5.05%
MSFT1.96%4.43%2.47%
JPM:USProProPro
GOOGProProPro
JNJProProPro
UNHProProPro
CProProPro
XOMProProPro
COPProProPro
See all 10 holdings RFDA shares with SPY
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Frequently Asked Questions

Which is cheaper, RFDA or SPY?

RFDA has an expense ratio of 0.52% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $43 per year of difference.

Which performed better, RFDA or SPY?

Over the past year RFDA returned +25.69% vs +23.66% for SPY, so RFDA leads on 1-year performance. Over the longest common window we track (10 years), RFDA annualized +12.48% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, RFDA or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 15.2% for RFDA. Worst drawdown: RFDA -34.8% vs SPY -56.5%.

Should I hold both RFDA and SPY?

RFDA and SPY have a monthly-return correlation of 0.95, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between RFDA and SPY?

RFDA and SPY share 61 common holdings with a 22.5% weight overlap. Combined, they hold 520 unique securities.

Which pays a higher dividend, RFDA or SPY?

RFDA yields 1.79% while SPY yields 1.01%, so RFDA currently pays the higher dividend yield.

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