ALAI vs USMC
Alger AI Enablers & Adopters ETF vs Principal U.S. Mega-Cap ETF
Which is better, ALAI or USMC?
ALAI has been ahead.
USMC has a lower expense ratio. ALAI led over 1Y and the full window.
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 | ALAI | USMC |
|---|---|---|
| Expense Ratio | 0.58% | 0.12%Best |
| AUM | $1.6B | $5.2B |
| Dividend Yield | 1.16% | 0.74% |
| Holdings | 72 | 58 |
| YTD Return | +23.19%Best | +13.98% |
| 1Y Return | +22.58%Best | +14.91% |
| 3Y Return (annualized) | - | +22.22% |
| 5Y Return (annualized) | - | +14.81% |
| Volatility (annualized) | 25.4% | 11.7%Best |
| Max Drawdown | -29.4% | -19.1%Best |
| $10,000 over 2.5 years | $22,583Best | $15,516 |
| Fund Family | Alger | Principal Funds |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Apr 4, 2024 | Oct 11, 2017 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown, and the $10,000 over 2.5 years row, are measured over the window both funds cover: Apr 5, 2024 to Oct 14, 2026 (2.5 years).
ALAI 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 2.5 years both funds cover.
ALAI vs USMC Performance
Alger AI Enablers & Adopters ETF (ALAI) is an ETF from Alger and Principal U.S. Mega-Cap ETF (USMC) is an ETF from Principal Funds. Over the past year ALAI returned +22.58% while USMC returned +14.91%. Year to date, ALAI is up 23.19% versus a gain of 13.98% for USMC.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
ALAI has been the more volatile fund, with annualized monthly volatility of 25.4% compared with 11.7% 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 -29.4% for ALAI and -19.1% 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 0.89. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
ALAI charges 0.58% per year while USMC charges 0.12%. On a $10,000 position that is $58 vs $12 annually, a gap of $46 per year that compounds over a long holding period. On income, ALAI currently yields 1.16% against 0.74% for USMC.
Holdings Overlap
We hold position weights for 1 holding in ALAI and 27 in USMC, totalling 2.2% and 100.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 1 positions we hold weights for in ALAI and 27 in USMC, against full books of 72 and 58.
You are not choosing between two funds in isolation.
Whichever of ALAI and USMC you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, ALAI or USMC?
ALAI has an expense ratio of 0.58% while USMC charges 0.12%. USMC is the cheaper option, by $46 a year on a $10,000 investment.
Which performed better, ALAI or USMC?
Over the past year ALAI returned +22.58% vs +14.91% for USMC, so ALAI leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, ALAI or USMC?
ALAI has been the more volatile fund at 25.4% annualized versus 11.7% for USMC. Worst drawdown: ALAI -29.4% vs USMC -19.1%.
Should I hold both ALAI and USMC?
ALAI and USMC have a monthly-return correlation of 0.89, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, ALAI or USMC?
ALAI yields 1.16% while USMC yields 0.74%, so ALAI currently pays the higher dividend yield.
Is USMC better than ALAI?
USMC has a lower expense ratio. ALAI led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.