SFLO vs SPY

Quick Verdict

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

Lower Fees: SPYHigher Returns: SFLOMore Diversified: SPY

Side-by-Side Comparison

MetricSFLOSPYWinner
Expense Ratio0.49%0.09%
AUM$644M$789.1B
Dividend Yield0.79%1.01%
Holdings201505
YTD Return+31.39%+13.68%
1Y Return+41.18%+21.53%
3Y Return (annualized)-+21.44%
5Y Return (annualized)-+13.18%
Volatility (annualized)16.6%15.3%
Max Drawdown-26.6%-56.5%
Fund FamilyVictory Capital Management Inc.State Street Investment Management
CategoryEquityEquity
InceptionDec 21, 2023Jan 22, 1993

SFLO vs SPY Performance

VictoryShares Small Cap Free Cash Flow ETF (SFLO) is a ETF from Victory Capital Management Inc. and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year SFLO returned +41.18% while SPY returned +21.53%. Year to date, SFLO is up 31.39% versus a gain of 13.68% for SPY.

Risk: Volatility and Drawdowns

SFLO has been the more volatile fund, with annualized monthly volatility of 16.6% 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 -26.6% for SFLO 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 0.62. They move independently enough that combining them can meaningfully diversify a portfolio.

Fees and Cost Over Time

SFLO charges 0.49% per year while SPY charges 0.09%. On a $10,000 position that is $49 vs $9 annually, a gap of $40 per year that compounds over a long holding period. On income, SFLO currently yields 0.79% against 1.01% for SPY.

Holdings Overlap

0.0%overlap

SFLO and SPY share 0 holdings out of 702 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, SFLO or SPY?

SFLO has an expense ratio of 0.49% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $40 per year of difference.

Which performed better, SFLO or SPY?

Over the past year SFLO returned +41.18% vs +21.53% for SPY, so SFLO leads on 1-year performance. Over the longest common window we track (3 years), SFLO annualized +18.50% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, SFLO or SPY?

SFLO has been the more volatile fund at 16.6% annualized versus 15.3% for SPY. Worst drawdown: SFLO -26.6% vs SPY -56.5%.

Should I hold both SFLO and SPY?

SFLO and SPY have a monthly-return correlation of 0.62, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SFLO and SPY?

SFLO and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 702 unique securities.

Which pays a higher dividend, SFLO or SPY?

SFLO yields 0.79% while SPY yields 1.01%, so SPY currently pays the higher dividend yield.

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