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TCAF vs SPY will be a fascinating battle to watch play out over time. Need more time = 5 years. TCAF 15.74% avg annual return vs 16.56% SPY from inception 6/14/2023 thru March 31. TCAF higher ER which compounds over time. Other metrics in the same ballpark thus far.
I agree with you and I've been tracking their progress along with the addition of CGDV and QLTY into the mix. Why? I felt the addition of one or the other would add to my overall portfolio balance but I couldn't choose which one. I started positions in all 3 and here is the total return to date using the TCAF starting date.
CGDV 47.37% TCAF 39.24% SPY 39.97%
Since QLTY did not begin trading until 11/30/23 (QLTY inception) here are those total return figures.
CGDV 42.02 QLTY 33.27 TCAF 32.84 SPY 35.94
I agree that a longer time period is needed for fair judgment.
I track these ETFs and their top 10 holdings. Overall I found CGDV and its stock picking process to have an edge over SPY, for example. Also my prior experience with American funds helped to better understand their stock picking process and multiple manager approach.
According to M* the top 4 positions in both TCAF and VOO are the same companies. . Seems like the results are likely to be similar. We have been building a position in CGDV. so far so good but a short track record.
It's hard to argue with CGDV's results. Upside capture ratio is 99%, while the downside is only 81%. It is our largest single ETF or OEF. Do have a small position in TCAF, but do not own any of the "quality factor" funds.
I agree with you and I've been tracking their progress along with the addition of CGDV and QLTY into the mix. Why? I felt the addition of one or the other would add to my overall portfolio balance but I couldn't choose which one. I started positions in all 3 and here is the total return to date using the TCAF starting date.
CGDV 47.37% TCAF 39.24% SPY 39.97%
Since QLTY did not begin trading until 11/30/23 (QLTY inception) here are those total return figures.
CGDV 42.02 QLTY 33.27 TCAF 32.84 SPY 35.94
I agree that a longer time period is needed for fair judgment.
I have not yet found a compelling reason to switch to it (much less any of the others) from JQUA, which has not been mentioned here for some reason, at least on a skim, but the last year or so of outperformance might make me reconsider.
Coincidently, I just ran a portfolio backtest for several quality funds. GQETX, SPHQ, JQUA, and QUAL were included in the backtest. VFIAX was added as a benchmark.
Note: GQETX has a $1M minimum initial investment. QLTY has the same portfolio managers who implement a similar strategy but foreign equities are excluded (GQETX: 24.6% foreign as of 5-31-2025).
@davidrmoran, I held JQUA in a roth at the inception of QLTY. I sold it roughly one and half years later and added the funds to CGDV. Why? It couldn't keep up with the others. The total return of JQUA since QLTY began trading is 31.23%. Not a major difference from the other 3 (CGDV, TCAF, QLTY) but it was never my intent to keep them all.
Adding in JQUA here is the total return to date (7/11/2025) using the TCAF starting date.
CGDV 50.22% TCAF 39.78% SPY 40.68% JQUA 35.59%
I will fool around with @Observant1 testfpl.io and see what I may be missing.
Comments
CGDV 47.37%
TCAF 39.24%
SPY 39.97%
Since QLTY did not begin trading until 11/30/23 (QLTY inception) here are those total return figures.
CGDV 42.02
QLTY 33.27
TCAF 32.84
SPY 35.94
I agree that a longer time period is needed for fair judgment.
GQETX, SPHQ, JQUA, and QUAL were included in the backtest.
VFIAX was added as a benchmark.
Note: GQETX has a $1M minimum initial investment.
QLTY has the same portfolio managers who implement a similar strategy
but foreign equities are excluded (GQETX: 24.6% foreign as of 5-31-2025).
https://testfol.io/?s=4lRBE0FPqc1
The total return of JQUA since QLTY began trading is 31.23%. Not a major difference from the other 3 (CGDV, TCAF, QLTY) but it was never my intent to keep them all.
Adding in JQUA here is the total return to date (7/11/2025) using the TCAF starting date.
CGDV 50.22%
TCAF 39.78%
SPY 40.68%
JQUA 35.59%
I will fool around with @Observant1 testfpl.io and see what I may be missing.