This study evaluated the growth and cost efficiency of tilapia (Oreochromis niloticus) and milkfish (Chanos chanos) fed three feed types used in cage farming in Taal Lake, Batangas, Philippines to serve as baseline information for cage aquaculture regulations. O. niloticus and C. chanos were reared in net cages fed three feed treatments: extruded floating feed (EFF), slow-sinking feed (SSF), and sinking feed (SF). Growth performance, feed conversion ratio (FCR), yield, and cost efficiency were compared at harvest. Results of the study showed that EFF had significantly higher mean weight gain, absolute growth and specific growth rate, biomass harvest, percentage good size fish, and FCR than SF in both O. niloticus and C. chanos (P<0.05), but had no significant difference with SSF in terms of growth parameters (P>0.05). FCR and biomass harvest were significantly higher in EFF than SF in O. niloticus (P<0.05) but were not statistically different in C. chanos (P>0.05). Survival rate was not significantly different among feed types (P>0.05) in both species. Net profit was significantly higher in EFF than the other feed types (P<0.05). At the same volume of fish production in the lake, the use of extruded floating feeds in cages lessened the feed cost by 17.91-29.44% for higher net returns and decreased feeds use by 19.64-30.0%, which could minimize negative impacts on the lake water environment. The results of the study revealed the comparative advantage of floating feeds over slow-sinking feeds and sinking feeds and is therefore recommended as the ideal feed type for cage farming in the lake.