HCMT vs SPY
Direxion HCM Tactical Enhanced US ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, HCMT or SPY?
SPY has been ahead.
SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. SPY is less concentrated, with 38.2% of the fund in its ten largest positions against 47.2%.
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 | HCMT | SPY |
|---|---|---|
| Expense Ratio | 1.18% | 0.09%Best |
| AUM | $629M | $823.2B |
| Dividend Yield | 0.47% | 0.99% |
| Holdings | 1,018 | 1,515 |
| YTD Return | +9.63% | +13.53%Best |
| 1Y Return | +14.08% | +17.47%Best |
| 3Y Return (annualized) | +20.78% | +22.36%Best |
| 5Y Return (annualized) | - | +13.21% |
| Volatility (annualized) | 24.1% | 12.5%Best |
| Max Drawdown | -36.3% | -18.8%Best |
| $10,000 over 3.3 years | $17,267 | $18,302Best |
| Top 10 Weight | 47.2% | 38.2%Best |
| Fund Family | Direxion Shares ETF Trust | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Jun 22, 2023 | Jan 22, 1993 |
Volatility and max drawdown, and the $10,000 over 3.3 years row, are measured over the window both funds cover: Jun 22, 2023 to Oct 14, 2026 (3.3 years).
HCMT 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 3.3 years both funds cover.
HCMT vs SPY Performance
Direxion HCM Tactical Enhanced US ETF (HCMT) is an ETF from Direxion Shares ETF Trust and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year HCMT returned +14.08% while SPY returned +17.47%. Year to date, HCMT is up 9.63% versus a gain of 13.53% for SPY.
Over three years, HCMT compounded at +20.78% per year against +22.36% for SPY.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
HCMT has been the more volatile fund, with annualized monthly volatility of 24.1% compared with 12.5% 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 -36.3% for HCMT and -18.8% 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 0.83. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
HCMT charges 1.18% per year while SPY charges 0.09%. On a $10,000 position that is $118 vs $9 annually, a gap of $109 per year that compounds over a long holding period. On income, HCMT currently yields 0.47% against 0.99% for SPY.
Holdings Overlap
75.8% of HCMT's money is in holdings SPY also owns. 94.1% of SPY's money is in holdings HCMT also owns.
Most of SPY is already inside HCMT. Owning both mostly buys the same companies twice.
474 positions in common, counted across the 506 positions we hold weights for in HCMT and 504 in SPY, against full books of 1,018 and 1,515.
What only one of them owns
Our book lists 25 positions for SPY that do not appear in our book for HCMT (5.3% of the fund), and 11 for HCMT that do not appear in SPY (22.5%).
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 HCMT | Weight in SPY | Difference |
|---|---|---|---|
| NVDANvidia Corp. | 6.26% | 7.78% | 1.52% |
| AAPLApple, Inc | 5.99% | 7.45% | 1.46% |
| MSFTMicrosoft Corp 4.100 Feb 06 37 | 4.60% | 5.71% | 1.11% |
| AMZNAmazon.Com Inc | 3.04% | 3.78% | 0.74% |
| GOOGLAlphabet Inc Cap Stk Cl A | 2.51% | 3.12% | 0.61% |
| GOOGAlphabet Inc Class C | 2.00% | 2.49% | 0.49% |
| AVGOBroadcom Inc | 2.00% | 2.48% | 0.48% |
| MUMicron Technology, Inc. | 1.28% | 1.59% | 0.31% |
| TSLATesla Motors Inc | 1.24% | 1.54% | 0.30% |
| JPMJpmorgan Chase | 1.15% | 1.43% | 0.28% |
94.1% of SPY is already inside HCMT.
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, HCMT or SPY?
HCMT has an expense ratio of 1.18% while SPY charges 0.09%. SPY is the cheaper option, by $109 a year on a $10,000 investment.
Which performed better, HCMT or SPY?
Over the past year HCMT returned +14.08% vs +17.47% for SPY, so SPY leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HCMT or SPY?
HCMT has been the more volatile fund at 24.1% annualized versus 12.5% for SPY. Worst drawdown: HCMT -36.3% vs SPY -18.8%.
Should I hold both HCMT and SPY?
HCMT and SPY have a monthly-return correlation of 0.83, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
What is the holdings overlap between HCMT and SPY?
94.1% of SPY's money is in holdings HCMT also owns. 94.1% of SPY's is in holdings HCMT also owns. They hold 474 positions in common, counted across the 506 positions we hold weights for in HCMT and 504 in SPY.
Which pays a higher dividend, HCMT or SPY?
HCMT yields 0.47% while SPY yields 0.99%, so SPY currently pays the higher dividend yield.
Is SPY better than HCMT?
SPY has a lower expense ratio. SPY led over 1Y, 3Y and the full window. SPY is less concentrated, with 38.2% of the fund in its ten largest positions against 47.2%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.