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FAAR vs SPBC

First Trust Alternative Absolute Return Strategy ETF vs Simplify US Equity PLUS Bitcoin Strategy ETF

FAAR

First Trust Alternative Absolute Return Strategy ETF

Annual cost

0.98%

Fund size

$176M

SPBC

Simplify US Equity PLUS Bitcoin Strategy ETF

Annual cost

0.54%

Fund size

$45M

Key differences

Both FAAR and SPBC are alternative ETFs. FAAR charges 0.98% a year and SPBC 0.54%. The main difference: FAAR follows a long short strategy; SPBC uses multi strategy.

  • FAAR follows a long short strategy; SPBC uses multi strategy.
  • SPBC costs 0.44% less per year.
  • FAAR is much larger than SPBC. Larger funds are usually more liquid and less likely to close.
  • Over the last three years, SPBC has delivered higher annualized returns.
  • FAAR has a longer track record, which may reduce uncertainty around long-term behavior.

Side-by-side comparison

FAARSPBC
Annual cost (TER)0.98%0.54%
Fund size (AUM)$176M$45M
Since20162021
Dividend yield9.19%0.82%
Asset classalternativealternative
Regionnorth americanorth america
Strategylong shortmulti strategy
CAGR 1Y+33.2%+17.8%
CAGR 3Y+11.1%+27.7%
CAGR 5Y+7.4%+15.7%
Sharpe 3Y0.671.27
Volatility 1Y13.49%14.86%
Max drawdown-18.03%-33.81%

Beyond the comparison: Beacon helps you build, track, and project a portfolio with the ETFs you pick.

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