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

MetricRTAISPYWinner
Expense Ratio4.59%0.09%
AUM$18M$789.1B
Dividend Yield4.93%1.01%
Holdings13505
YTD Return-0.94%+13.79%
1Y Return+5.14%+23.66%
3Y Return (annualized)+5.90%+21.40%
5Y Return (annualized)-2.05%+13.37%
Volatility (annualized)13.7%15.3%
Max Drawdown-34.3%-56.5%
Fund FamilyRareview CapitalState Street Investment Management
CategoryFixed IncomeEquity
InceptionOct 21, 2020Jan 22, 1993

RTAI vs SPY Performance

Rareview Tax Advantaged Income ETF (RTAI) is a ETF from Rareview Capital and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year RTAI returned +5.14% while SPY returned +23.66%. Year to date, RTAI is down 0.94% versus a gain of 13.79% for SPY.

Over three years, RTAI compounded at +5.90% per year against +21.40% for SPY; over five years the annualized figures are -2.05% and +13.37% respectively. Across the full 6-year window we track, SPY has the edge at +8.85% annualized vs +0.93%. 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 13.7% for RTAI. 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 -34.3% for RTAI 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 0.68. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

RTAI charges 4.59% per year while SPY charges 0.09%. On a $10,000 position that is $459 vs $9 annually, a gap of $450 per year that compounds over a long holding period. On income, RTAI currently yields 4.93% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

RTAI and SPY share 0 holdings out of 513 unique holdings combined, representing a 0.0% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Frequently Asked Questions

Which is cheaper, RTAI or SPY?

RTAI has an expense ratio of 4.59% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $450 per year of difference.

Which performed better, RTAI or SPY?

Over the past year RTAI returned +5.14% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (6 years), RTAI annualized +0.93% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, RTAI or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 13.7% for RTAI. Worst drawdown: RTAI -34.3% vs SPY -56.5%.

Should I hold both RTAI and SPY?

RTAI and SPY have a monthly-return correlation of 0.68, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between RTAI and SPY?

RTAI and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 513 unique securities.

Which pays a higher dividend, RTAI or SPY?

RTAI yields 4.93% while SPY yields 1.01%, so RTAI currently pays the higher dividend yield.

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