VCGAX vs. SPY

Last updated Jun 23, 2026

VCGAX (VALIC Company I Systematic Core Fund) and SPY (State Street SPDR S&P 500 ETF) are both funds - VCGAX is a Large Cap Blend Equities fund managed by VALIC, while SPY is a S&P 500 fund tracking the S&P 500 Index. Over the past 10 years, VCGAX returned 13.45%/yr vs 15.70%/yr for SPY. With a 0.96 correlation, they move nearly in lockstep. VCGAX charges 0.63%/yr vs 0.09%/yr for SPY.

Performance

VCGAX vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in VALIC Company I Systematic Core Fund (VCGAX) 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, VCGAX achieves a 5.96% return, which is significantly lower than SPY's 9.74% return. Over the past 10 years, VCGAX has underperformed SPY with an annualized return of 13.45%, while SPY has yielded a comparatively higher 15.70% annualized return.

VCGAX

• 1D: 0.82%
• 1M: -0.16%
• YTD: 5.96%
• 6M: 5.08%
• 1Y: 20.69%
• 3Y*: 16.04%
• 5Y*: 10.22%
• 10Y*: 13.45%

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)

VCGAX vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VCGAX VALIC Company I Systematic Core Fund	5.96%	9.41%	23.14%	23.94%	-18.71%	26.34%	24.07%	30.50%	-8.98%	21.09%
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 VCGAX and SPY is 0.94, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.94
Correlation (3Y) Calculated over the trailing 3-year period	0.97
Correlation (5Y) Calculated over the trailing 5-year period	0.98
Correlation (10Y) Calculated over the trailing 10-year period	0.98
Correlation (All Time) Calculated using the full available price history since Mar 7, 1997	0.96

The correlation between VCGAX and SPY has been stable across timeframes, ranging from 0.94 to 0.98 - a consistent structural relationship.

Return for Risk

VCGAX vs. SPY — Risk / Return Rank

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

VCGAX

VCGAX Risk / Return Rank: 41
VCGAX Sharpe Ratio Rank: 42
VCGAX Sortino Ratio Rank: 42
VCGAX Omega Ratio Rank: 39
VCGAX Calmar Ratio Rank: 36
VCGAX Martin Ratio Rank: 47

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.

VCGAX vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for VALIC Company I Systematic Core Fund (VCGAX) 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.

	VCGAX	SPY	Difference
Sharpe ratio: Return per unit of total volatility	1.75	2.16	-0.41
Sortino ratio: Return per unit of downside risk	2.51	2.91	-0.40
Omega ratio: Gain probability vs. loss probability	1.31	1.39	-0.08
Calmar ratio: Return relative to maximum drawdown	2.17	3.01	-0.85
Martin ratio: Return relative to average drawdown	9.23	13.54	-4.30

VCGAX vs. SPY - Sharpe Ratio Comparison

The current VCGAX Sharpe Ratio is 1.75, which is comparable to the SPY Sharpe Ratio of 2.16. The chart below compares the historical Sharpe Ratios of VCGAX 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

VCGAX vs. SPY - Drawdown Comparison

The maximum VCGAX drawdown since its inception was -71.37%, which is greater than SPY's maximum drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for VCGAX and SPY.

Drawdown Indicators

	VCGAX	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-71.37%	-55.19%	-16.18%
Max Drawdown (1Y) Largest decline over 1 year	-9.55%	-8.88%	-0.67%
Max Drawdown (3Y) Largest decline over 3 years	-22.35%	-18.76%	-3.59%
Max Drawdown (5Y) Largest decline over 5 years	-24.90%	-24.50%	-0.40%
Max Drawdown (10Y) Largest decline over 10 years	-34.41%	-33.72%	-0.69%
Current Drawdown Current decline from peak	-1.21%	-1.75%	+0.54%
Average Drawdown Average peak-to-trough decline	-25.21%	-9.04%	-16.17%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.23%	1.97%	+0.26%

Volatility

VCGAX vs. SPY - Volatility Comparison

The current volatility for VALIC Company I Systematic Core Fund (VCGAX) is 3.91%, while State Street SPDR S&P 500 ETF (SPY) has a volatility of 4.64%. This indicates that VCGAX 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

	VCGAX	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.91%	4.64%	-0.73%
Volatility (6M) Calculated over the trailing 6-month period	9.37%	9.75%	-0.38%
Volatility (1Y) Calculated over the trailing 1-year period	11.82%	12.43%	-0.61%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.97%	17.14%	-0.17%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.41%	17.99%	+0.42%

VCGAX vs. SPY - Expense Ratio Comparison

VCGAX has a 0.63% expense ratio, which is higher than SPY's 0.09% expense ratio.

Dividends

VCGAX vs. SPY - Dividend Comparison

VCGAX's dividend yield for the trailing twelve months is around 6.40%, more than SPY's 1.01% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
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%
VCGAX VALIC Company I Systematic Core Fund	6.40%	0.00%	1.69%	4.83%	0.79%	9.20%	10.09%	10.41%	1.01%	3.82%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VCGAX and SPY in my portfolio?

With a correlation of 0.94, VCGAX and SPY move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, VCGAX or SPY?

SPY has higher volatility (4.64%) compared to VCGAX (3.91%). In terms of maximum drawdown, VCGAX dropped -71.37% vs SPY's -55.19%.

Which has better risk-adjusted returns?

SPY currently has the higher Sharpe Ratio (2.16 vs 1.75), 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.