HCOW vs XLF
Amplify COWS Covered Call ETF vs State Street Financial Select Sector SPDR ETF
Which is better, HCOW or XLF?
Each has led over a different period.
XLF has a lower expense ratio. HCOW led over 1Y, XLF over 3Y and the full window. HCOW is less concentrated, with 41.6% of the fund in its ten largest positions against 57.3%.
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 | HCOW | XLF |
|---|---|---|
| Expense Ratio | 0.65% | 0.08%Best |
| AUM | $17M | $51.8B |
| Dividend Yield | 13.09% | 1.55% |
| Holdings | 86 | 160 |
| YTD Return | +9.98%Best | +1.85% |
| 1Y Return | +16.40%Best | +5.45% |
| 3Y Return (annualized) | +11.02% | +19.95%Best |
| 5Y Return (annualized) | - | +8.80% |
| Volatility (annualized) | 15.3% | 14.8%Best |
| Max Drawdown | -24.1% | -15.5%Best |
| $10,000 over 3.1 years | $13,609 | $16,876Best |
| Top 10 Weight | 41.6%Best | 57.3% |
| Fund Family | Amplify ETFs | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Value | Large Cap Value |
| Inception | Sep 20, 2023 | Dec 16, 1998 |
Volatility and max drawdown, and the $10,000 over 3.1 years row, are measured over the window both funds cover: Sep 20, 2023 to Oct 15, 2026 (3.1 years).
HCOW vs XLF 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 3.1 years both funds cover.
HCOW vs XLF Performance
Amplify COWS Covered Call ETF (HCOW) is an ETF from Amplify ETFs and State Street Financial Select Sector SPDR ETF (XLF) is an ETF from State Street Investment Management. Over the past year HCOW returned +16.40% while XLF returned +5.45%. Year to date, HCOW is up 9.98% versus a gain of 1.85% for XLF.
Over three years, HCOW compounded at +11.02% per year against +19.95% for XLF.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
HCOW has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 14.8% for XLF. 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 -24.1% for HCOW and -15.5% for XLF. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.75. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
HCOW charges 0.65% per year while XLF charges 0.08%. On a $10,000 position that is $65 vs $8 annually, a gap of $57 per year that compounds over a long holding period. On income, HCOW currently yields 13.09% against 1.55% for XLF.
Holdings Overlap
15.4% of HCOW's money is in holdings XLF also owns. 5.5% of XLF's money is in holdings HCOW also owns.
HCOW and XLF share little of their money.
7 positions in common, counted across the 31 positions we hold weights for in HCOW and 77 in XLF, against full books of 86 and 160.
What only one of them owns
Our book lists 69 positions for XLF that do not appear in our book for HCOW (94.0% of the fund), and 24 for HCOW that do not appear in XLF (84.8%).
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 HCOW | Weight in XLF | Difference |
|---|---|---|---|
| BKBank Of New York Mellon Corp | 2.09% | 1.38% | 0.71% |
| ICEIntercontinental Exchange Grp Usd0.01 | 2.28% | 1.10% | 1.18% |
| MMCMarsh & Mclennan Cos Inc Common Stock Usd 1 | 2.29% | 1.06% | 1.23% |
| AJGArthur J Gallagher & Co. | 2.24% | 0.76% | 1.48% |
| APOAthene (Ath) / Apollo Global Management (Apo) | 2.06% | 0.74% | 1.32% |
| RJFRaymond James Financial Inc. | 2.15% | 0.37% | 1.78% |
| FDSFactset Research Systems Inc. | 2.34% | 0.12% | 2.22% |
You are not choosing between two funds in isolation.
Whichever of HCOW and XLF 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, HCOW or XLF?
HCOW has an expense ratio of 0.65% while XLF charges 0.08%. XLF is the cheaper option, by $57 a year on a $10,000 investment.
Which performed better, HCOW or XLF?
Over the past year HCOW returned +16.40% vs +5.45% for XLF, so HCOW leads on 1-year performance. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, HCOW or XLF?
HCOW has been the more volatile fund at 15.3% annualized versus 14.8% for XLF. Worst drawdown: HCOW -24.1% vs XLF -15.5%.
Should I hold both HCOW and XLF?
HCOW and XLF have a monthly-return correlation of 0.75, 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 HCOW and XLF?
15.4% of HCOW's money is in holdings XLF also owns. 5.5% of XLF's is in holdings HCOW also owns. They hold 7 positions in common, counted across the 31 positions we hold weights for in HCOW and 77 in XLF.
Which pays a higher dividend, HCOW or XLF?
HCOW yields 13.09% while XLF yields 1.55%, so HCOW currently pays the higher dividend yield.
Is XLF better than HCOW?
XLF has a lower expense ratio. HCOW led over 1Y, XLF over 3Y and the full window. HCOW is less concentrated, with 41.6% of the fund in its ten largest positions against 57.3%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.