MDIV vs SPY
First Trust Multi-Asset Diversified Income Index Fund vs State Street SPDR S&P 500 ETF Trust
Which is better, MDIV or SPY?
Equity-oriented Balanced against Large Cap Blend.
SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y 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 | MDIV | SPY |
|---|---|---|
| Expense Ratio | 0.75% | 0.09%Best |
| AUM | $411M | $823.2B |
| Dividend Yield | 7.05% | 0.99% |
| Holdings | 248 | 1,515 |
| YTD Return | +6.20% | +13.53%Best |
| 1Y Return | +7.54% | +17.47%Best |
| 3Y Return (annualized) | +9.65% | +22.36%Best |
| 5Y Return (annualized) | +5.39% | +13.21%Best |
| Volatility (annualized) | 13.5%Best | 14.1% |
| Max Drawdown | -57.0% | -34.1%Best |
| $10,000 over 5 years | $13,002 | $18,596Best |
| Fund Family | First Trust Portfolios (US) | State Street Investment Management |
| Category | Allocation/Balanced | Equity |
| Style | Equity-oriented Balanced | Large Cap Blend |
| Inception | Aug 13, 2012 | Jan 22, 1993 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Aug 14, 2012 to Oct 14, 2026 (14.2 years).
MDIV 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 is available from the range buttons; it is not the opening view here because over the whole period one of these two funds moves so much further than the other that its line would sit flat on the axis.
MDIV vs SPY Performance
First Trust Multi-Asset Diversified Income Index Fund (MDIV) is an ETF from First Trust Portfolios (US) and State Street SPDR S&P 500 ETF Trust (SPY) is an ETF from State Street Investment Management. Over the past year MDIV returned +7.54% while SPY returned +17.47%. Year to date, MDIV is up 6.20% versus a gain of 13.53% for SPY.
Over three years, MDIV compounded at +9.65% per year against +22.36% for SPY; over five years the annualized figures are +5.39% and +13.21% respectively. Across the full 14-year window we track, SPY has the edge at +13.35% annualized vs +0.83%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 13.5% for MDIV. 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 -57.0% for MDIV and -34.1% 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 0.77. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
MDIV charges 0.75% per year while SPY charges 0.09%. On a $10,000 position that is $75 vs $9 annually, a gap of $66 per year that compounds over a long holding period. On income, MDIV currently yields 7.05% against 0.99% for SPY.
Holdings Overlap
At least 3.5% of SPY's money is in holdings MDIV also owns.
Stated as a floor: for MDIV, our book for it covers 86.1% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.
SPY and MDIV share little of their money.
33 positions in common, counted across the 107 positions we hold weights for in MDIV and 504 in SPY, against full books of 248 and 1,515.
Top Shared Holdings
| Stock | Weight in MDIV | Weight in SPY | Difference |
|---|---|---|---|
| CVXChevron Corp | 0.36% | 0.60% | 0.24% |
| PFEPfizer, Inc. | 0.67% | 0.24% | 0.43% |
| VICIVici Properties Inc | 0.86% | 0.04% | 0.82% |
| VZVerizon Communications, Inc. | 0.55% | 0.33% | 0.22% |
| MOAltria Group Inc. | 0.61% | 0.18% | 0.43% |
| TAT&T Inc. | 0.45% | 0.28% | 0.17% |
| AMTAmerican Tower Corporation | 0.53% | 0.13% | 0.40% |
| PEPPepsi Co Inc | 0.37% | 0.28% | 0.09% |
| EXRExtra Space Storage Inc. | 0.59% | 0.04% | 0.55% |
| KIMKimco Realty Corp. | 0.55% | 0.02% | 0.53% |
You are not choosing between two funds in isolation.
Whichever of MDIV and SPY 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, MDIV or SPY?
MDIV has an expense ratio of 0.75% while SPY charges 0.09%. SPY is the cheaper option, by $66 a year on a $10,000 investment.
Which performed better, MDIV or SPY?
Over the past year MDIV returned +7.54% vs +17.47% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (14 years), MDIV annualized +0.83% vs +13.35% for SPY. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, MDIV or SPY?
SPY has been the more volatile fund at 14.1% annualized versus 13.5% for MDIV. Worst drawdown: MDIV -57.0% vs SPY -34.1%.
Should I hold both MDIV and SPY?
MDIV and SPY have a monthly-return correlation of 0.77, 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 MDIV and SPY?
At least 3.5% of SPY's money is in holdings MDIV also owns. Our book for MDIV is partial, so the real figure is this or higher. They hold 33 positions in common, counted across the 107 positions we hold weights for in MDIV and 504 in SPY.
Which pays a higher dividend, MDIV or SPY?
MDIV yields 7.05% while SPY yields 0.99%, so MDIV currently pays the higher dividend yield.
Is SPY better than MDIV?
SPY has a lower expense ratio. SPY led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.