RODE vs SPY

Quick Verdict

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

Lower Fees: SPYHigher Returns: SPYMore Diversified: SPY

Side-by-Side Comparison

MetricRODESPYWinner
Expense Ratio0.29%0.09%
AUM$17M$789.1B
Dividend Yield6.06%1.01%
Holdings317505
YTD Return+0.73%+13.79%
1Y Return-0.70%+23.66%
3Y Return (annualized)+7.26%+21.40%
5Y Return (annualized)+7.23%+13.37%
Volatility (annualized)15.4%15.3%
Max Drawdown-36.7%-56.5%
Fund FamilyHartford FundsState Street Investment Management
CategoryEquityEquity
InceptionMay 10, 2017Jan 22, 1993

RODE vs SPY Performance

Hartford Multifactor Diversified International ETF (RODE) is a ETF from Hartford Funds and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year RODE returned -0.70% while SPY returned +23.66%. Year to date, RODE is up 0.73% versus a gain of 13.79% for SPY.

Over three years, RODE compounded at +7.26% per year against +21.40% for SPY; over five years the annualized figures are +7.23% and +13.37% respectively. Across the full 8-year window we track, SPY has the edge at +8.85% annualized vs +4.60%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

RODE has been the more volatile fund, with annualized monthly volatility of 15.4% compared with 15.3% 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 -36.7% for RODE 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 0.77. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

RODE 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, RODE currently yields 6.06% against 1.01% for SPY.

Frequently Asked Questions

Which is cheaper, RODE or SPY?

RODE has an expense ratio of 0.29% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $20 per year of difference.

Which performed better, RODE or SPY?

Over the past year RODE returned -0.70% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (8 years), RODE annualized +4.60% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, RODE or SPY?

RODE has been the more volatile fund at 15.4% annualized versus 15.3% for SPY. Worst drawdown: RODE -36.7% vs SPY -56.5%.

Should I hold both RODE and SPY?

RODE and SPY have a monthly-return correlation of 0.77, so combining them can provide real diversification depending on your allocation goals.

Which pays a higher dividend, RODE or SPY?

RODE yields 6.06% while SPY yields 1.01%, so RODE currently pays the higher dividend yield.

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