ACLC vs USMC

ACLC vs USMC

Which is better, ACLC or USMC?

Nearly the same fund. USMC costs less.

USMC has a lower expense ratio. USMC led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. ACLC is less concentrated, with 38.7% of the fund in its ten largest positions against 55.3%.

Lower Fees: USMCHigher Returns: USMCLess Concentrated: ACLC

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

MetricACLCUSMC
Expense Ratio0.39%0.12%Best
AUM$336M$5.2B
Dividend Yield0.56%0.74%
Holdings10158
YTD Return+10.23%+13.98%Best
1Y Return+13.17%+14.91%Best
3Y Return (annualized)+17.50%+22.22%Best
5Y Return (annualized)+9.85%+14.81%Best
Volatility (annualized)15.9%15.1%Best
Max Drawdown-26.4%-24.1%Best
$10,000 over 5 years$15,996$19,948Best
Top 10 Weight38.7%Best55.3%
Fund FamilyAmerican Century InvestmentsPrincipal Funds
CategoryEquityEquity
StyleLarge Cap BlendLarge Cap Blend
InceptionJul 15, 2020Oct 11, 2017

Volatility and max drawdown are measured over the window both funds cover: Jul 15, 2020 to Oct 14, 2026 (6.2 years).

ACLC vs USMC 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 6.2 years both funds cover.

Compare ACLC against instead:ACLC vs SPYACLC vs QQQACLC vs VOOACLC vs VTIUSMC against:USMC vs VXUS

ACLC vs USMC Performance

American Century Large Cap Equity ETF (ACLC) is an ETF from American Century Investments and Principal U.S. Mega-Cap ETF (USMC) is an ETF from Principal Funds. Over the past year ACLC returned +13.17% while USMC returned +14.91%. Year to date, ACLC is up 10.23% versus a gain of 13.98% for USMC.

Over three years, ACLC compounded at +17.50% per year against +22.22% for USMC; over five years the annualized figures are +9.85% and +14.81% respectively. Across the full 6-year window we track, USMC has the edge at +16.90% annualized vs +13.81%.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

ACLC has been the more volatile fund, with annualized monthly volatility of 15.9% compared with 15.1% for USMC. 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 -26.4% for ACLC and -24.1% for USMC. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.97. They move almost in lockstep, so holding both mostly duplicates the same exposure.

Fees and Cost Over Time

ACLC charges 0.39% per year while USMC charges 0.12%. On a $10,000 position that is $39 vs $12 annually, a gap of $27 per year that compounds over a long holding period. On income, ACLC currently yields 0.56% against 0.74% for USMC.

Holdings Overlap

ACLC already in USMC47.5%
USMC already in ACLC81.6%

47.5% of ACLC's money is in holdings USMC also owns. 81.6% of USMC's money is in holdings ACLC also owns.

Most of USMC is already inside ACLC. Owning both mostly buys the same companies twice.

19 positions in common, counted across the 100 positions we hold weights for in ACLC and 27 in USMC, against full books of 101 and 58.

What only one of them owns

Our book lists 8 positions for USMC that do not appear in our book for ACLC (18.4% of the fund), and 79 for ACLC that do not appear in USMC (51.0%).

Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.

Top Shared Holdings

StockWeight in ACLCWeight in USMCDifference
NVDANvidia Corp.8.10%7.99%0.11%
AAPLApple, Inc4.75%7.40%2.65%
GOOGLAlphabet Inc Cap Stk Cl A6.53%5.33%1.20%
MSFTMicrosoft Corp 4.100 Feb 06 375.54%5.55%0.01%
MUMicron Technology, Inc.2.06%7.18%5.12%
AVGOBroadcom Inc3.27%4.44%1.17%
AMZNAmazon.Com Inc3.41%3.77%0.36%
JPMJpmorgan Chase1.54%4.65%3.11%
MAMastercard Inc1.50%4.32%2.82%
METAMeta Platform Inc1.52%3.92%2.40%

81.6% of USMC is already inside ACLC.

You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.

ACLCUSMC

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Frequently Asked Questions

Which is cheaper, ACLC or USMC?

ACLC has an expense ratio of 0.39% while USMC charges 0.12%. USMC is the cheaper option, by $27 a year on a $10,000 investment.

Which performed better, ACLC or USMC?

Over the past year ACLC returned +13.17% vs +14.91% for USMC, so USMC leads on 1-year performance. Over the longest common window we track (6 years), ACLC annualized +13.81% vs +16.90% for USMC. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, ACLC or USMC?

ACLC has been the more volatile fund at 15.9% annualized versus 15.1% for USMC. Worst drawdown: ACLC -26.4% vs USMC -24.1%.

Should I hold both ACLC and USMC?

ACLC and USMC have a monthly-return correlation of 0.97, 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 ACLC and USMC?

81.6% of USMC's money is in holdings ACLC also owns. 81.6% of USMC's is in holdings ACLC also owns. They hold 19 positions in common, counted across the 100 positions we hold weights for in ACLC and 27 in USMC.

Which pays a higher dividend, ACLC or USMC?

ACLC yields 0.56% while USMC yields 0.74%, so USMC currently pays the higher dividend yield.

Is USMC better than ACLC?

USMC has a lower expense ratio. USMC led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.97. ACLC is less concentrated, with 38.7% of the fund in its ten largest positions against 55.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.