FTA vs. SPY

Last updated Jun 23, 2026

FTA (First Trust Large Cap Value AlphaDEX Fund) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - FTA is a Large Cap Value Equities fund tracking the NASDAQ AlphaDEX Large Cap Value Index, while SPY is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, FTA returned 11.55%/yr vs 15.70%/yr for SPY. Their correlation of 0.81 suggests significant overlap in exposure. FTA charges 0.60%/yr vs 0.09%/yr for SPY.

Performance

FTA vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Large Cap Value AlphaDEX Fund (FTA) and State Street SPDR S&P 500 ETF (SPY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FTA achieves a 11.25% return, which is significantly higher than SPY's 9.74% return. Over the past 10 years, FTA has underperformed SPY with an annualized return of 11.55%, while SPY has yielded a comparatively higher 15.70% annualized return.

FTA

• 1D: 0.49%
• 1M: 0.56%
• YTD: 11.25%
• 6M: 10.55%
• 1Y: 25.74%
• 3Y*: 16.10%
• 5Y*: 10.11%
• 10Y*: 11.55%

SPY

• 1D: -0.31%
• 1M: 0.09%
• YTD: 9.74%
• 6M: 9.27%
• 1Y: 26.65%
• 3Y*: 21.27%
• 5Y*: 13.51%
• 10Y*: 15.70%

*Multi-year figures are annualized to reflect compound growth (CAGR)

FTA vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FTA First Trust Large Cap Value AlphaDEX Fund	11.25%	14.94%	10.13%	10.08%	-3.73%	29.32%	-0.38%	24.73%	-13.63%	18.47%
SPY State Street SPDR S&P 500 ETF	9.74%	17.72%	24.89%	26.18%	-18.18%	28.73%	18.33%	31.22%	-4.57%	21.71%

Correlation

The correlation between FTA and SPY is 0.48, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.48
Correlation (3Y) Calculated over the trailing 3-year period	0.59
Correlation (5Y) Calculated over the trailing 5-year period	0.73
Correlation (10Y) Calculated over the trailing 10-year period	0.76
Correlation (All Time) Calculated using the full available price history since May 11, 2007	0.81

Over the past year, the correlation between FTA and SPY has dropped to 0.48 - well below their long-term average of 0.81, suggesting their price drivers have been diverging.

FTA vs. SPY - Sectors Allocation Comparison

Sectors	FTA	SPY
Financial Services	21.9%	11.1%
Utilities	10.8%	2.1%
Energy	9.8%	3.1%
Healthcare	9.7%	8.3%
Consumer Cyclical	9.0%	9.9%
Technology	8.8%	39.0%
Industrials	8.5%	7.8%
Real Estate	6.6%	1.8%
Consumer Defensive	6.4%	4.5%
Communication Services	5.0%	10.6%
Basic Materials	3.4%	1.7%

Return for Risk

FTA vs. SPY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

FTA

FTA Risk / Return Rank: 77
FTA Sharpe Ratio Rank: 71
FTA Sortino Ratio Rank: 76
FTA Omega Ratio Rank: 66
FTA Calmar Ratio Rank: 88
FTA Martin Ratio Rank: 82

SPY

SPY Risk / Return Rank: 68
SPY Sharpe Ratio Rank: 69
SPY Sortino Ratio Rank: 66
SPY Omega Ratio Rank: 68
SPY Calmar Ratio Rank: 63
SPY Martin Ratio Rank: 74

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

FTA vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Large Cap Value AlphaDEX Fund (FTA) and State Street SPDR S&P 500 ETF (SPY). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	FTA	SPY	Difference
Sharpe ratio: Return per unit of total volatility	2.21	2.16	+0.05
Sortino ratio: Return per unit of downside risk	3.24	2.91	+0.33
Omega ratio: Gain probability vs. loss probability	1.38	1.39	-0.01
Calmar ratio: Return relative to maximum drawdown	5.03	3.01	+2.02
Martin ratio: Return relative to average drawdown	15.86	13.54	+2.32

FTA vs. SPY - Sharpe Ratio Comparison

The current FTA Sharpe Ratio is 2.21, which is comparable to the SPY Sharpe Ratio of 2.16. The chart below compares the historical Sharpe Ratios of FTA and SPY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

FTA vs. SPY - Drawdown Comparison

The maximum FTA drawdown since its inception was -62.45%, which is greater than SPY's maximum drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for FTA and SPY.

Drawdown Indicators

	FTA	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-62.45%	-55.19%	-7.26%
Max Drawdown (1Y) Largest decline over 1 year	-5.13%	-8.88%	+3.75%
Max Drawdown (3Y) Largest decline over 3 years	-18.73%	-18.76%	+0.03%
Max Drawdown (5Y) Largest decline over 5 years	-19.80%	-24.50%	+4.70%
Max Drawdown (10Y) Largest decline over 10 years	-44.97%	-33.72%	-11.25%
Current Drawdown Current decline from peak	-2.01%	-1.75%	-0.26%
Average Drawdown Average peak-to-trough decline	-9.01%	-9.04%	+0.03%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.63%	1.97%	-0.34%

Volatility

FTA vs. SPY - Volatility Comparison

The current volatility for First Trust Large Cap Value AlphaDEX Fund (FTA) is 3.34%, while State Street SPDR S&P 500 ETF (SPY) has a volatility of 4.64%. This indicates that FTA experiences smaller price fluctuations and is considered to be less risky than SPY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FTA	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.34%	4.64%	-1.30%
Volatility (6M) Calculated over the trailing 6-month period	7.66%	9.75%	-2.09%
Volatility (1Y) Calculated over the trailing 1-year period	11.74%	12.43%	-0.69%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.25%	17.14%	-0.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.97%	17.99%	+1.98%

FTA vs. SPY - Expense Ratio Comparison

FTA has a 0.60% expense ratio, which is higher than SPY's 0.09% expense ratio.

Dividends

FTA vs. SPY - Dividend Comparison

FTA's dividend yield for the trailing twelve months is around 1.67%, more than SPY's 1.01% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FTA First Trust Large Cap Value AlphaDEX Fund	1.67%	1.89%	2.02%	2.10%	2.15%	1.54%	2.03%	1.88%	2.28%	1.53%	1.56%	2.05%
SPY State Street SPDR S&P 500 ETF	1.01%	1.07%	1.21%	1.40%	1.65%	1.20%	1.52%	1.75%	2.04%	1.80%	2.03%	2.06%

Frequently Asked Questions

Can I hold both FTA and SPY in my portfolio?

FTA and SPY have a correlation of 0.48, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FTA or SPY?

SPY has higher volatility (4.64%) compared to FTA (3.34%). In terms of maximum drawdown, FTA dropped -62.45% vs SPY's -55.19%.

Which ETF is better, FTA or SPY?

On 10-year performance, SPY leads with 15.70% vs 11.55% for FTA. On fees, SPY is cheaper at 0.09% per year. On volatility, FTA has been the lower-risk option at 3.34%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FTA or SPY?

Over the 10-year period, SPY has performed better with a 15.70% return vs 11.55%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FTA or SPY?

SPY is cheaper with a 0.09% expense ratio, compared with 0.60% for FTA.

Which ETF pays a higher dividend yield, FTA or SPY?

FTA has the higher dividend yield at 1.67%, compared with 1.01% for SPY.

What is the main difference between FTA and SPY?

FTA is categorized as Large Cap Value Equities, while SPY is S&P 500. FTA tracks NASDAQ AlphaDEX Large Cap Value Index, while SPY tracks S&P 500 Index. They also come from different issuers: First Trust and State Street. Their fees differ too: 0.60% for FTA and 0.09% for SPY.

Which has better risk-adjusted returns?

FTA currently has the higher Sharpe Ratio (2.21 vs 2.16), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.