FTCS 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

MetricFTCSSPYWinner
Expense Ratio0.52%0.09%
AUM$7.8B$789.1B
Dividend Yield1.11%1.01%
Holdings51505
YTD Return+8.92%+13.79%
1Y Return+11.00%+23.66%
3Y Return (annualized)+11.02%+21.40%
5Y Return (annualized)+6.38%+13.37%
Volatility (annualized)15.6%15.3%
Max Drawdown-54.1%-56.5%
Fund FamilyFirst Trust Portfolios (US)State Street Investment Management
CategoryEquityEquity
InceptionJul 6, 2006Jan 22, 1993

FTCS vs SPY Performance

First Trust Capital Strength ETF (FTCS) is a ETF from First Trust Portfolios (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year FTCS returned +11.00% while SPY returned +23.66%. Year to date, FTCS is up 8.92% versus a gain of 13.79% for SPY.

Over three years, FTCS compounded at +11.02% per year against +21.40% for SPY; over five years the annualized figures are +6.38% and +13.37% respectively. Across the full 20-year window we track, SPY has the edge at +8.85% annualized vs +8.75%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

FTCS has been the more volatile fund, with annualized monthly volatility of 15.6% 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 -54.1% for FTCS 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 0.91. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

FTCS charges 0.52% per year while SPY charges 0.09%. On a $10,000 position that is $52 vs $9 annually, a gap of $43 per year that compounds over a long holding period. On income, FTCS currently yields 1.11% against 1.01% for SPY.

Holdings Overlap

17.6%overlap

FTCS and SPY share 50 holdings out of 503 unique holdings combined, representing a 17.6% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in FTCSWeight in SPYDifference
AAPL2.28%7.09%4.81%
MSFT1.78%4.43%2.65%
GOOGL2.08%3.32%1.24%
CSCOProProPro
JNJProProPro
VProProPro
KOProProPro
MAProProPro
MRKProProPro
MNSTProProPro
See all 10 holdings FTCS shares with SPY
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Frequently Asked Questions

Which is cheaper, FTCS or SPY?

FTCS has an expense ratio of 0.52% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $43 per year of difference.

Which performed better, FTCS or SPY?

Over the past year FTCS returned +11.00% vs +23.66% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (20 years), FTCS annualized +8.75% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, FTCS or SPY?

FTCS has been the more volatile fund at 15.6% annualized versus 15.3% for SPY. Worst drawdown: FTCS -54.1% vs SPY -56.5%.

Should I hold both FTCS and SPY?

FTCS and SPY have a monthly-return correlation of 0.91, so they move almost identically. Holding both adds little diversification - most investors pick one, usually on fees or the specific index tracked.

What is the holdings overlap between FTCS and SPY?

FTCS and SPY share 50 common holdings with a 17.6% weight overlap. Combined, they hold 503 unique securities.

Which pays a higher dividend, FTCS or SPY?

FTCS yields 1.11% while SPY yields 1.01%, so FTCS currently pays the higher dividend yield.

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