FSKAX vs SPY
Fidelity Total Market Index Fund vs State Street SPDR S&P 500 ETF Trust
Which is better, FSKAX or SPY?
Nearly the same fund. FSKAX costs less.
FSKAX has a lower expense ratio. FSKAX led over 1Y and 3Y, SPY over 5Y and the full window. The two have moved almost in lockstep, correlation 0.99. FSKAX is less concentrated, with 33.4% of the fund in its ten largest positions against 38.2%.
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 | FSKAX | SPY |
|---|---|---|
| Expense Ratio | 0.02%Best | 0.09% |
| AUM | $99.4B | $823.2B |
| Dividend Yield | 0.93% | 0.99% |
| Holdings | 3,773 | 1,515 |
| YTD Price Return | +14.26%Best | +12.65% |
| 1Y Price Return | +16.68%Best | +16.21% |
| 3Y Price Return (annualized) | +21.06%Best | +20.89% |
| 5Y Price Return (annualized) | +10.74% | +11.71%Best |
| Volatility (annualized) | 15.8% | 15.6%Best |
| Max Drawdown | -26.0% | -25.4%Best |
| $10,000 over 5 years | $16,654 | $17,396Best |
| Top 10 Weight | 33.4%Best | 38.2% |
| Fund Family | Fidelity Investments (US) | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Sep 8, 2011 | Jan 22, 1993 |
Returns are price returns and exclude distributions, because our data feed carries no adjusted close for FSKAX. Both funds are measured the same way, so the comparison holds. FSKAX yields 0.93% and SPY 0.99% on top.
Volatility and max drawdown are measured over the window both funds cover: Oct 15, 2021 to Oct 13, 2026 (5 years).
FSKAX vs SPY 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 5 years both funds cover. Prices exclude distributions, on both funds alike.
FSKAX vs SPY Performance
Fidelity Total Market Index Fund (FSKAX) is a mutual fund from Fidelity Investments (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year FSKAX returned +16.68% while SPY returned +16.21%. Year to date, FSKAX is up 14.26% versus a gain of 12.65% for SPY.
Over three years, FSKAX compounded at +21.06% per year against +20.89% for SPY; over five years the annualized figures are +10.74% and +11.71% respectively.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FSKAX has been the more volatile fund, with annualized monthly volatility of 15.8% compared with 15.6% 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 -26.0% for FSKAX and -25.4% for SPY. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.99. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
FSKAX charges 0.02% per year while SPY charges 0.09%. On a $10,000 position that is $2 vs $9 annually, a gap of $7 per year that compounds over a long holding period. On income, FSKAX currently yields 0.93% against 0.99% for SPY.
Structure and taxes
FSKAX is a mutual fund and SPY is an ETF. A mutual fund prices once a day at net asset value and may carry a purchase minimum. An ETF trades through the day at whatever the market pays for it.
In a taxable account the difference that usually matters is distributions. An ETF can meet redemptions in kind, so it rarely has to sell holdings and rarely passes a capital gain to the people who held it; a mutual fund that sells holdings to meet redemptions can distribute a realised gain at year end to everyone still in the fund, whether or not they sold anything themselves. In a tax-deferred account that difference largely disappears. Both are descriptions of how the two wrappers work, not a recommendation.
Tax-loss harvesting works on either wrapper.
Holdings Overlap
87.9% of FSKAX's money is in holdings SPY also owns. 98.7% of SPY's money is in holdings FSKAX also owns.
Most of SPY is already inside FSKAX. Owning both mostly buys the same companies twice.
490 positions in common, counted across the 2,497 positions we hold weights for in FSKAX and 504 in SPY, against full books of 3,773 and 1,515.
What only one of them owns
Our book lists 8 positions for SPY that do not appear in our book for FSKAX (0.5% of the fund), and 698 for FSKAX that do not appear in SPY (10.2%).
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
| Stock | Weight in FSKAX | Weight in SPY | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 6.70% | 7.78% | 1.08% |
| AAPLApple, Inc | 6.25% | 7.45% | 1.20% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 4.76% | 5.71% | 0.95% |
| AMZNAmazon.Com Inc | 3.66% | 3.78% | 0.12% |
| GOOGLAlphabet Inc Cap Stk Cl A | 2.88% | 3.12% | 0.24% |
| AVGOBroadcom Inc | 2.54% | 2.48% | 0.06% |
| GOOGAlphabet Inc Class C | 2.32% | 2.49% | 0.17% |
| METAMeta Platform Inc | 1.69% | 2.22% | 0.53% |
| MUMicron Technology, Inc. | 1.28% | 1.59% | 0.31% |
| TSLATesla Motors Inc | 1.21% | 1.54% | 0.33% |
98.7% of SPY is already inside FSKAX.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FSKAX or SPY?
FSKAX has an expense ratio of 0.02% while SPY charges 0.09%. FSKAX is the cheaper option, by $7 a year on a $10,000 investment.
Which performed better, FSKAX or SPY?
Over the past year FSKAX returned +16.68% vs +16.21% for SPY, so FSKAX leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FSKAX or SPY?
FSKAX has been the more volatile fund at 15.8% annualized versus 15.6% for SPY. Worst drawdown: FSKAX -26.0% vs SPY -25.4%.
Should I hold both FSKAX and SPY?
FSKAX and SPY have a monthly-return correlation of 0.99, 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 FSKAX and SPY?
98.7% of SPY's money is in holdings FSKAX also owns. 98.7% of SPY's is in holdings FSKAX also owns. They hold 490 positions in common, counted across the 2,497 positions we hold weights for in FSKAX and 504 in SPY.
Which pays a higher dividend, FSKAX or SPY?
FSKAX yields 0.93% while SPY yields 0.99%, so SPY currently pays the higher dividend yield.
Is it better to hold FSKAX or SPY in a taxable account?
SPY is an ETF and FSKAX is a mutual fund. An ETF can meet redemptions in kind, so it rarely distributes a capital gain to the people holding it. A mutual fund that sells holdings to meet redemptions can pass a realised gain to every holder at year end. In a tax-deferred account that difference largely disappears. This is information, not a recommendation.
Is SPY better than FSKAX?
FSKAX has a lower expense ratio. FSKAX led over 1Y and 3Y, SPY over 5Y and the full window. The two have moved almost in lockstep, correlation 0.99. FSKAX is less concentrated, with 33.4% of the fund in its ten largest positions against 38.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.