IFED vs. SPY

Last updated Jun 23, 2026

IFED (ETRACS IFED Invest with the Fed TR Index ETN) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - IFED is a Leveraged Equities fund tracking the IFED Large-Cap US Equity Index - Benchmark TR Gross, while SPY is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 3 years, IFED returned 16.56%/yr vs 21.27%/yr for SPY. Their correlation of 0.82 suggests significant overlap in exposure. IFED charges 0.45%/yr vs 0.09%/yr for SPY.

Performance

IFED vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ETRACS IFED Invest with the Fed TR Index ETN (IFED) 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, IFED achieves a -3.02% return, which is significantly lower than SPY's 9.74% return.

IFED

• 1D: 0.11%
• 1M: 2.53%
• YTD: -3.02%
• 6M: -4.18%
• 1Y: 3.33%
• 3Y*: 16.56%
• 5Y*: —
• 10Y*: —

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)

IFED vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
IFED ETRACS IFED Invest with the Fed TR Index ETN	-3.02%	15.02%	23.04%	20.78%	-1.46%	8.46%
SPY State Street SPDR S&P 500 ETF	9.74%	17.72%	24.89%	26.18%	-18.18%	7.65%

Correlation

The correlation between IFED and SPY is 0.64, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.64
Correlation (3Y) Calculated over the trailing 3-year period	0.76
Correlation (All Time) Calculated using the full available price history since Sep 15, 2021	0.82

The correlation between IFED and SPY shifts across timeframes, from 0.64 (1 year) to 0.82 (all time), reflecting how their relationship changes across market environments.

Return for Risk

IFED vs. SPY — Risk / Return Rank

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

IFED

IFED Risk / Return Rank: 11
IFED Sharpe Ratio Rank: 11
IFED Sortino Ratio Rank: 11
IFED Omega Ratio Rank: 10
IFED Calmar Ratio Rank: 11
IFED Martin Ratio Rank: 11

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.

IFED vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ETRACS IFED Invest with the Fed TR Index ETN (IFED) 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.

	IFED	SPY	Difference
Sharpe ratio: Return per unit of total volatility	0.20	2.16	-1.96
Sortino ratio: Return per unit of downside risk	0.41	2.91	-2.50
Omega ratio: Gain probability vs. loss probability	1.05	1.39	-0.34
Calmar ratio: Return relative to maximum drawdown	0.23	3.01	-2.78
Martin ratio: Return relative to average drawdown	0.57	13.54	-12.97

IFED vs. SPY - Sharpe Ratio Comparison

The current IFED Sharpe Ratio is 0.20, which is lower than the SPY Sharpe Ratio of 2.16. The chart below compares the historical Sharpe Ratios of IFED 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

IFED vs. SPY - Drawdown Comparison

The maximum IFED drawdown since its inception was -22.36%, smaller than the maximum SPY drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for IFED and SPY.

Drawdown Indicators

	IFED	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-22.36%	-55.19%	+32.83%
Max Drawdown (1Y) Largest decline over 1 year	-14.65%	-8.88%	-5.77%
Max Drawdown (3Y) Largest decline over 3 years	-22.36%	-18.76%	-3.60%
Max Drawdown (5Y) Largest decline over 5 years	—	-24.50%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-33.72%	—
Current Drawdown Current decline from peak	-5.00%	-1.75%	-3.25%
Average Drawdown Average peak-to-trough decline	-5.83%	-9.04%	+3.21%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.87%	1.97%	+3.90%

Volatility

IFED vs. SPY - Volatility Comparison

ETRACS IFED Invest with the Fed TR Index ETN (IFED) has a higher volatility of 6.74% compared to State Street SPDR S&P 500 ETF (SPY) at 4.64%. This indicates that IFED's price experiences larger fluctuations and is considered to be riskier than SPY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IFED	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.74%	4.64%	+2.10%
Volatility (6M) Calculated over the trailing 6-month period	13.82%	9.75%	+4.07%
Volatility (1Y) Calculated over the trailing 1-year period	16.87%	12.43%	+4.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.92%	17.14%	+2.78%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.92%	17.99%	+1.93%

IFED vs. SPY - Expense Ratio Comparison

IFED has a 0.45% expense ratio, which is higher than SPY's 0.09% expense ratio.

Dividends

IFED vs. SPY - Dividend Comparison

IFED has not paid dividends to shareholders, while SPY's dividend yield for the trailing twelve months is around 1.01%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IFED ETRACS IFED Invest with the Fed TR Index ETN	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
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%

Frequently Asked Questions

Can I hold both IFED and SPY in my portfolio?

IFED and SPY have a correlation of 0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IFED or SPY?

IFED has higher volatility (6.74%) compared to SPY (4.64%). In terms of maximum drawdown, IFED dropped -22.36% vs SPY's -55.19%.

Which ETF is better, IFED or SPY?

On 3-year performance, SPY leads with 21.27% vs 16.56% for IFED. On fees, SPY is cheaper at 0.09% per year. On volatility, SPY has been the lower-risk option at 4.64%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IFED or SPY?

Over the 3-year period, SPY has performed better with a 21.27% return vs 16.56%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IFED or SPY?

SPY is cheaper with a 0.09% expense ratio, compared with 0.45% for IFED.

Which ETF pays a higher dividend yield, IFED or SPY?

SPY has the higher dividend yield at 1.01%, compared with 0.00% for IFED.

What is the main difference between IFED and SPY?

IFED is categorized as Leveraged Equities, while SPY is S&P 500. IFED tracks IFED Large-Cap US Equity Index - Benchmark TR Gross, while SPY tracks S&P 500 Index. They also come from different issuers: UBS and State Street. Their fees differ too: 0.45% for IFED and 0.09% for SPY.

Which has better risk-adjusted returns?

SPY currently has the higher Sharpe Ratio (2.16 vs 0.20), 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.