SPY vs TMFC
State Street SPDR S&P 500 ETF Trust vs Motley Fool 100 Index ETF
Which is better, SPY or TMFC?
Large Cap Blend against Large Cap Growth.
SPY has a lower expense ratio. SPY led over 1Y, TMFC over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.94. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 58.9%.
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 | TMFC |
|---|---|---|
| Expense Ratio | 0.09%Best | 0.50% |
| AUM | $804.7B | $2.1B |
| Dividend Yield | 0.98% | 0.11% |
| Holdings | 505 | 104 |
| YTD Return | +12.22%Best | +11.14% |
| 1Y Return | +16.97%Best | +14.23% |
| 3Y Return (annualized) | +21.16% | +25.06%Best |
| 5Y Return (annualized) | +13.00% | +14.13%Best |
| Volatility (annualized) | 16.4%Best | 18.7% |
| Max Drawdown | -34.1% | -33.1%Best |
| $10,000 over 5 years | $18,424 | $19,364Best |
| Top 10 Weight | 37.8%Best | 58.9% |
| Fund Family | State Street Investment Management | Motley Fool Asset Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Growth |
| Inception | Jan 22, 1993 | Jan 29, 2018 |
Volatility and max drawdown are measured over the window both funds cover: Jan 30, 2018 to Sep 17, 2026 (8.6 years).
SPY vs TMFC 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 8.6 years both funds cover.
SPY vs TMFC Performance
State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management and Motley Fool 100 Index ETF (TMFC) is an ETF from Motley Fool Asset Management. Over the past year SPY returned +16.97% while TMFC returned +14.23%. Year to date, SPY is up 12.22% versus a gain of 11.14% for TMFC.
Over three years, SPY compounded at +21.16% per year against +25.06% for TMFC; over five years the annualized figures are +13.00% and +14.13% respectively. Across the full 9-year window we track, TMFC has the edge at +17.80% annualized vs +13.20%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
TMFC has been the more volatile fund, with annualized monthly volatility of 18.7% compared with 16.4% 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 -34.1% for SPY and -33.1% for TMFC. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.94. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
SPY charges 0.09% per year while TMFC charges 0.50%. On a $10,000 position that is $9 vs $50 annually, a gap of $41 per year that compounds over a long holding period. On income, SPY currently yields 0.98% against 0.11% for TMFC.
Holdings Overlap
53.0% of SPY's money is in holdings TMFC also owns. 98.5% of TMFC's money is in holdings SPY also owns.
Most of TMFC is already inside SPY. Owning both mostly buys the same companies twice.
91 positions in common, counted across the 504 positions we hold weights for in SPY and 101 in TMFC, against full books of 505 and 104.
What only one of them owns
Measured across the 504 and 101 positions we hold weights for.
SPY holds 406 positions TMFC does not, 46.4% of the fund.
Largest: GOOGL 2.99%, MU 1.60%, LLY 1.40%, XOM 1.04%, JNJ 0.99%
Top Shared Holdings
| Stock | Weight in SPY | Weight in TMFC | Difference |
|---|---|---|---|
| NVDANvidia Corp | 8.01% | 11.13% | 3.12% |
| AAPLApple, Inc | 7.26% | 9.74% | 2.48% |
| MSFTMicrosoft Corp | 5.66% | 7.78% | 2.12% |
| GOOGAlphabet Inc | 2.39% | 8.33% | 5.94% |
| AMZNAmazon.Com Inc | 3.79% | 5.60% | 1.81% |
| AVGOBroadcom Inc | 2.66% | 3.69% | 1.03% |
| BRK.BBerkshire Hathaway Inc Brk/B Us Equity | 1.40% | 3.74% | 2.34% |
| JPMJpmorgan Chase | 1.45% | 3.31% | 1.86% |
| METAMeta Platforms Inc | 1.93% | 2.24% | 0.31% |
| AMDAdvanced Micro Devices, Inc | 1.14% | 2.63% | 1.49% |
98.5% of TMFC is already inside SPY.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
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Frequently Asked Questions
Which is cheaper, SPY or TMFC?
SPY has an expense ratio of 0.09% while TMFC charges 0.50%. SPY is the cheaper option, by $41 a year on a $10,000 investment.
Which performed better, SPY or TMFC?
Over the past year SPY returned +16.97% vs +14.23% for TMFC, so SPY leads on 1-year performance. Over the longest common window we track (9 years), SPY annualized +13.20% vs +17.80% for TMFC. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, SPY or TMFC?
TMFC has been the more volatile fund at 18.7% annualized versus 16.4% for SPY. Worst drawdown: SPY -34.1% vs TMFC -33.1%.
Should I hold both SPY and TMFC?
SPY and TMFC have a monthly-return correlation of 0.94, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between SPY and TMFC?
98.5% of TMFC's money is in holdings SPY also owns. 98.5% of TMFC's is in holdings SPY also owns. They hold 91 positions in common, counted across the 504 positions we hold weights for in SPY and 101 in TMFC.
Which pays a higher dividend, SPY or TMFC?
SPY yields 0.98% while TMFC yields 0.11%, so SPY currently pays the higher dividend yield.
Is TMFC better than SPY?
SPY has a lower expense ratio. SPY led over 1Y, TMFC over 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.94. SPY is less concentrated, with 37.8% of the fund in its ten largest positions against 58.9%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.