MCDS vs SPY

Quick Verdict

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

Lower Fees: SPYHigher Returns: MCDSMore Diversified: SPY

Side-by-Side Comparison

MetricMCDSSPYWinner
Expense Ratio0.35%0.09%
AUM$8M$789.1B
Dividend Yield1.28%1.01%
Holdings189505
YTD Return+17.72%+13.79%
1Y Return+24.68%+23.66%
3Y Return (annualized)-+21.40%
5Y Return (annualized)-+13.37%
Volatility (annualized)13.0%15.3%
Max Drawdown-22.5%-56.5%
Fund FamilyJ.P. Morgan Asset ManagementState Street Investment Management
CategoryEquityEquity
InceptionAug 7, 2024Jan 22, 1993

MCDS vs SPY Performance

JPMorgan Fundamental Data Science Mid Core ETF (MCDS) is a ETF from J.P. Morgan Asset Management and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year MCDS returned +24.68% while SPY returned +23.66%. Year to date, MCDS is up 17.72% versus a gain of 13.79% for SPY.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 13.0% for MCDS. 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 -22.5% for MCDS 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 0.80. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

MCDS charges 0.35% per year while SPY charges 0.09%. On a $10,000 position that is $35 vs $9 annually, a gap of $26 per year that compounds over a long holding period. On income, MCDS currently yields 1.28% against 1.01% for SPY.

Holdings Overlap

7.9%overlap

MCDS and SPY share 117 holdings out of 572 unique holdings combined, representing a 7.9% weight overlap.

Moderate overlap means holding both could provide meaningful diversification benefits.

Top Shared Holdings

StockWeight in MCDSWeight in SPYDifference
WDC2.31%0.31%2.00%
HWM1.49%0.17%1.32%
PWR1.31%0.16%1.15%
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Frequently Asked Questions

Which is cheaper, MCDS or SPY?

MCDS has an expense ratio of 0.35% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $26 per year of difference.

Which performed better, MCDS or SPY?

Over the past year MCDS returned +24.68% vs +23.66% for SPY, so MCDS leads on 1-year performance. Over the longest common window we track (2 years), MCDS annualized +17.92% vs +8.85% for SPY. Past performance does not guarantee future results.

Which is riskier, MCDS or SPY?

SPY has been the more volatile fund at 15.3% annualized versus 13.0% for MCDS. Worst drawdown: MCDS -22.5% vs SPY -56.5%.

Should I hold both MCDS and SPY?

MCDS and SPY have a monthly-return correlation of 0.80, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between MCDS and SPY?

MCDS and SPY share 117 common holdings with a 7.9% weight overlap. Combined, they hold 572 unique securities.

Which pays a higher dividend, MCDS or SPY?

MCDS yields 1.28% while SPY yields 1.01%, so MCDS currently pays the higher dividend yield.

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