SPY vs SQMX
State Street SPDR S&P 500 ETF Trust vs FT Vest US Equity Quarterly Max Buffer ETF
Which is better, SPY or SQMX?
Large Cap Blend against Multi Alternative.
SPY has a lower expense ratio. SPY led over 1Y and the full window.
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
| Metric | SPY | SQMX |
|---|---|---|
| Expense Ratio | 0.09%Best | 0.85% |
| AUM | $804.7B | $55M |
| Dividend Yield | 0.98% | 0.00% |
| Holdings | 505 | 10 |
| YTD Return | +12.09%Best | +4.09% |
| 1Y Return | +16.29%Best | +7.12% |
| 3Y Return (annualized) | +21.20% | - |
| 5Y Return (annualized) | +13.37% | - |
| Volatility (annualized) | 12.7% | 2.9%Best |
| Max Drawdown | -18.8% | -7.4%Best |
| $10,000 over 1.7 years | $12,957Best | $11,249 |
| Fund Family | State Street Investment Management | First Trust Portfolios (US) |
| Category | Equity | Alternative |
| Style | Large Cap Blend | Multi Alternative |
| Inception | Jan 22, 1993 | Dec 20, 2024 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 1.7 years row, are measured over the window both funds cover: Dec 23, 2024 to Sep 18, 2026 (1.7 years).
SPY vs SQMX 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 1.7 years both funds cover.
SPY vs SQMX Performance
State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management and FT Vest US Equity Quarterly Max Buffer ETF (SQMX) is an ETF from First Trust Portfolios (US). Over the past year SPY returned +16.29% while SQMX returned +7.12%. Year to date, SPY is up 12.09% versus a gain of 4.09% for SQMX.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 12.7% compared with 2.9% for SQMX. 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 -18.8% for SPY and -7.4% for SQMX. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.89. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SPY charges 0.09% per year while SQMX charges 0.85%. On a $10,000 position that is $9 vs $85 annually, a gap of $76 per year that compounds over a long holding period. On income, SPY currently yields 0.98% against 0.00% for SQMX.
You are not choosing between two funds in isolation.
Whichever of SPY and SQMX you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, SPY or SQMX?
SPY has an expense ratio of 0.09% while SQMX charges 0.85%. SPY is the cheaper option, by $76 a year on a $10,000 investment.
Which performed better, SPY or SQMX?
Over the past year SPY returned +16.29% vs +7.12% for SQMX, so SPY leads on 1-year performance. Over the longest common window we track (2 years), SPY annualized +16.46% vs +7.17% for SQMX. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SPY or SQMX?
SPY has been the more volatile fund at 12.7% annualized versus 2.9% for SQMX. Worst drawdown: SPY -18.8% vs SQMX -7.4%.
Should I hold both SPY and SQMX?
SPY and SQMX have a monthly-return correlation of 0.89, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, SPY or SQMX?
SPY yields 0.98% while SQMX yields 0.00%, so SPY currently pays the higher dividend yield.
Is SQMX better than SPY?
SPY has a lower expense ratio. SPY led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.