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We report our studies of circularly polarized vertical aligned (CP-VA) mode on color filter liquid-crystal-on-silicon microdisplay . Three-dimensional optical modeling was established to analyze and optimize the fringing field effect in small color pixels. Compared with linearly polarized vertical aligned (LP-VA) mode, the optical reflectance was greatly improved. The conclusion was different with the results from other researchers, who analyze the CP-VA mode by two-dimensional method, the disclination could only be minimized, while not be eliminated.