SPY vs TDSC

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

MetricSPYTDSCWinner
Expense Ratio0.09%0.90%
AUM$789.1B$101M
Dividend Yield1.01%1.61%
Holdings50511
YTD Return+13.28%+11.14%
1Y Return+23.94%+17.75%
3Y Return (annualized)+21.07%+10.31%
5Y Return (annualized)+13.27%+2.59%
Volatility (annualized)15.3%9.5%
Max Drawdown-56.5%-21.5%
Fund FamilyState Street Investment ManagementThe Cabana Group, LLC
CategoryEquityAllocation/Balanced
InceptionJan 22, 1993Sep 16, 2020

SPY vs TDSC Performance

State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management and ETC Cabana Target Drawdown 10 ETF (TDSC) is a ETF from The Cabana Group, LLC. Over the past year SPY returned +23.94% while TDSC returned +17.75%. Year to date, SPY is up 13.28% versus a gain of 11.14% for TDSC.

Over three years, SPY compounded at +21.07% per year against +10.31% for TDSC; over five years the annualized figures are +13.27% and +2.59% respectively. Across the full 6-year window we track, SPY has the edge at +8.84% annualized vs +3.96%. Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 9.5% for TDSC. 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 -56.5% for SPY and -21.5% for TDSC. 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 0.72. They usually move together, but the gap leaves some room for diversification.

Fees and Cost Over Time

SPY charges 0.09% per year while TDSC charges 0.90%. On a $10,000 position that is $9 vs $90 annually, a gap of $81 per year that compounds over a long holding period. On income, SPY currently yields 1.01% against 1.61% for TDSC.

Holdings Overlap

0.0%overlap

SPY and TDSC share 0 holdings out of 513 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, SPY or TDSC?

SPY has an expense ratio of 0.09% while TDSC charges 0.90%. SPY is the cheaper option. On a $10,000 investment, that is $81 per year of difference.

Which performed better, SPY or TDSC?

Over the past year SPY returned +23.94% vs +17.75% for TDSC, so SPY leads on 1-year performance. Over the longest common window we track (6 years), SPY annualized +8.84% vs +3.96% for TDSC. Past performance does not guarantee future results.

Which is riskier, SPY or TDSC?

SPY has been the more volatile fund at 15.3% annualized versus 9.5% for TDSC. Worst drawdown: SPY -56.5% vs TDSC -21.5%.

Should I hold both SPY and TDSC?

SPY and TDSC have a monthly-return correlation of 0.72, so combining them can provide real diversification depending on your allocation goals.

What is the holdings overlap between SPY and TDSC?

SPY and TDSC share 0 common holdings with a 0.0% weight overlap. Combined, they hold 513 unique securities.

Which pays a higher dividend, SPY or TDSC?

SPY yields 1.01% while TDSC yields 1.61%, so TDSC currently pays the higher dividend yield.

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