LCOW vs SPY
Pacer S&P 500 Quality FCF Aristocrats ETF vs State Street SPDR S&P 500 ETF Trust
Which is better, LCOW or SPY?
Nearly the same fund. SPY costs less.
SPY has a lower expense ratio. LCOW led over 1Y, SPY over the full window. The two have moved almost in lockstep, correlation 0.96. SPY is less concentrated, with 38.2% of the fund in its ten largest positions against 49.0%.
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 | LCOW | SPY |
|---|---|---|
| Expense Ratio | 0.49% | 0.09%Best |
| AUM | $27M | $823.2B |
| Dividend Yield | 0.65% | 0.99% |
| Holdings | 202 | 1,515 |
| YTD Return | +14.27%Best | +13.53% |
| 1Y Return | +17.75%Best | +17.47% |
| 3Y Return (annualized) | - | +22.36% |
| 5Y Return (annualized) | - | +13.21% |
| Volatility (annualized) | 10.6%Best | 11.6% |
| Max Drawdown | -10.6% | -8.9%Best |
| $10,000 over 1.4 years | $13,563 | $13,822Best |
| Top 10 Weight | 49.0% | 38.2%Best |
| Fund Family | Pacer ETFs | State Street Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | May 6, 2025 | Jan 22, 1993 |
Volatility and max drawdown, and the $10,000 over 1.4 years row, are measured over the window both funds cover: May 7, 2025 to Oct 14, 2026 (1.4 years).
LCOW 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 1.4 years both funds cover.
LCOW vs SPY Performance
Pacer S&P 500 Quality FCF Aristocrats ETF (LCOW) is an ETF from Pacer ETFs and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year LCOW returned +17.75% while SPY returned +17.47%. Year to date, LCOW is up 14.27% versus a gain of 13.53% for SPY.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 11.6% compared with 10.6% for LCOW. 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 -10.6% for LCOW and -8.9% 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 0.96. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
LCOW charges 0.49% per year while SPY charges 0.09%. On a $10,000 position that is $49 vs $9 annually, a gap of $40 per year that compounds over a long holding period. On income, LCOW currently yields 0.65% against 0.99% for SPY.
Holdings Overlap
99.3% of LCOW's money is in holdings SPY also owns. 43.0% of SPY's money is in holdings LCOW also owns.
Most of LCOW is already inside SPY. Owning both mostly buys the same companies twice.
97 positions in common, counted across the 98 positions we hold weights for in LCOW and 504 in SPY, against full books of 202 and 1,515.
What only one of them owns
Our book lists 399 positions for SPY that do not appear in our book for LCOW (56.1% of the fund), and 1 for LCOW that do not appear in SPY (0.6%).
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 LCOW | Weight in SPY | Difference |
|---|---|---|---|
| NVDANvidia Corp | 5.52% | 7.78% | 2.26% |
| AAPLApple, Inc | 5.55% | 7.45% | 1.90% |
| MSFTMicrosoft Corp | 5.96% | 5.71% | 0.25% |
| METAMeta Platforms Inc | 5.15% | 2.22% | 2.93% |
| GOOGAlphabet Inc. C | 4.63% | 2.49% | 2.14% |
| AVGOBroadcom Inc | 4.26% | 2.48% | 1.78% |
| VVisa Inc Class A | 5.07% | 0.95% | 4.12% |
| ABBVAbbvie Inc. | 4.78% | 0.70% | 4.08% |
| MAMastercard Inc | 4.72% | 0.71% | 4.01% |
| JNJJohnson & Johnson - Common | 3.34% | 0.98% | 2.36% |
99.3% of LCOW is already inside SPY.
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, LCOW or SPY?
LCOW has an expense ratio of 0.49% while SPY charges 0.09%. SPY is the cheaper option, by $40 a year on a $10,000 investment.
Which performed better, LCOW or SPY?
Over the past year LCOW returned +17.75% vs +17.47% for SPY, so LCOW leads on 1-year performance. Over the longest common window we track (1 years), LCOW annualized +24.32% vs +26.01% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, LCOW or SPY?
SPY has been the more volatile fund at 11.6% annualized versus 10.6% for LCOW. Worst drawdown: LCOW -10.6% vs SPY -8.9%.
Should I hold both LCOW and SPY?
LCOW and SPY have a monthly-return correlation of 0.96, 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 LCOW and SPY?
99.3% of LCOW's money is in holdings SPY also owns. 43.0% of SPY's is in holdings LCOW also owns. They hold 97 positions in common, counted across the 98 positions we hold weights for in LCOW and 504 in SPY.
Which pays a higher dividend, LCOW or SPY?
LCOW yields 0.65% while SPY yields 0.99%, so SPY currently pays the higher dividend yield.
Is SPY better than LCOW?
SPY has a lower expense ratio. LCOW led over 1Y, SPY over the full window. The two have moved almost in lockstep, correlation 0.96. SPY is less concentrated, with 38.2% of the fund in its ten largest positions against 49.0%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.