IWMI vs. SPY

Last updated Jun 24, 2026

IWMI (NEOS Russell 2000 High Income ETF) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - IWMI is a Derivative Income fund actively managed by Neos, while SPY is a S&P 500 fund tracking the S&P 500 Index. IWMI is actively managed, while SPY is passively managed. Over the past year, IWMI returned 35.89% vs 23.59% for SPY. A 0.80 correlation means they provide meaningful diversification when combined. IWMI charges 0.68%/yr vs 0.09%/yr for SPY.

Performance

IWMI vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in NEOS Russell 2000 High Income ETF (IWMI) 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, IWMI achieves a 16.33% return, which is significantly higher than SPY's 8.15% return.

IWMI

• 1D: -0.73%
• 1M: 3.68%
• YTD: 16.33%
• 6M: 14.17%
• 1Y: 35.89%
• 3Y*: —
• 5Y*: —
• 10Y*: —

SPY

• 1D: -1.45%
• 1M: -1.36%
• YTD: 8.15%
• 6M: 7.20%
• 1Y: 23.59%
• 3Y*: 20.68%
• 5Y*: 13.05%
• 10Y*: 15.53%

*Multi-year figures are annualized to reflect compound growth (CAGR)

IWMI vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024
IWMI NEOS Russell 2000 High Income ETF	16.33%	14.97%	6.58%
SPY State Street SPDR S&P 500 ETF	8.15%	17.72%	8.68%

Correlation

The correlation between IWMI and SPY is 0.81, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.81
Correlation (All Time) Calculated using the full available price history since Jun 25, 2024	0.80

The correlation between IWMI and SPY has been stable across timeframes, ranging from 0.80 to 0.81 - a consistent structural relationship.

IWMI vs. SPY - Sectors Allocation Comparison

Sectors	IWMI	SPY
Industrials	17.7%	7.8%
Technology	17.0%	39.0%
Healthcare	16.5%	8.3%
Financial Services	15.7%	11.1%
Consumer Cyclical	8.4%	9.9%
Real Estate	6.1%	1.8%
Energy	6.1%	3.1%
Basic Materials	4.8%	1.7%
Utilities	2.9%	2.1%
Communication Services	2.4%	10.6%
Consumer Defensive	2.4%	4.5%

Return for Risk

IWMI vs. SPY — Risk / Return Rank

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

IWMI

IWMI Risk / Return Rank: 79
IWMI Sharpe Ratio Rank: 77
IWMI Sortino Ratio Rank: 76
IWMI Omega Ratio Rank: 72
IWMI Calmar Ratio Rank: 83
IWMI Martin Ratio Rank: 87

SPY

SPY Risk / Return Rank: 59
SPY Sharpe Ratio Rank: 58
SPY Sortino Ratio Rank: 56
SPY Omega Ratio Rank: 57
SPY Calmar Ratio Rank: 56
SPY Martin Ratio Rank: 67

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.

IWMI vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for NEOS Russell 2000 High Income ETF (IWMI) 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.

	IWMI	SPY	Difference
Sharpe ratio: Return per unit of total volatility	2.34	1.90	+0.44
Sortino ratio: Return per unit of downside risk	3.23	2.58	+0.65
Omega ratio: Gain probability vs. loss probability	1.40	1.34	+0.06
Calmar ratio: Return relative to maximum drawdown	4.29	2.67	+1.62
Martin ratio: Return relative to average drawdown	17.68	11.92	+5.76

IWMI vs. SPY - Sharpe Ratio Comparison

The current IWMI Sharpe Ratio is 2.34, which is comparable to the SPY Sharpe Ratio of 1.90. The chart below compares the historical Sharpe Ratios of IWMI 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

IWMI vs. SPY - Drawdown Comparison

The maximum IWMI drawdown since its inception was -23.88%, smaller than the maximum SPY drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for IWMI and SPY.

Drawdown Indicators

	IWMI	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-23.88%	-55.19%	+31.31%
Max Drawdown (1Y) Largest decline over 1 year	-8.40%	-8.88%	+0.48%
Max Drawdown (3Y) Largest decline over 3 years	—	-18.76%	—
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	-0.73%	-3.17%	+2.44%
Average Drawdown Average peak-to-trough decline	-4.03%	-9.04%	+5.01%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.04%	1.98%	+0.06%

Volatility

IWMI vs. SPY - Volatility Comparison

NEOS Russell 2000 High Income ETF (IWMI) has a higher volatility of 5.22% compared to State Street SPDR S&P 500 ETF (SPY) at 4.87%. This indicates that IWMI'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

	IWMI	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.22%	4.87%	+0.35%
Volatility (6M) Calculated over the trailing 6-month period	11.45%	9.85%	+1.60%
Volatility (1Y) Calculated over the trailing 1-year period	15.41%	12.50%	+2.91%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.95%	17.15%	+0.80%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.95%	17.95%	0.00%

IWMI vs. SPY - Expense Ratio Comparison

IWMI has a 0.68% expense ratio, which is higher than SPY's 0.09% expense ratio.

Dividends

IWMI vs. SPY - Dividend Comparison

IWMI's dividend yield for the trailing twelve months is around 14.53%, more than SPY's 1.03% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IWMI NEOS Russell 2000 High Income ETF	14.53%	14.05%	8.78%	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	1.03%	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 IWMI and SPY in my portfolio?

IWMI and SPY have a correlation of 0.81, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IWMI or SPY?

IWMI has higher volatility (5.22%) compared to SPY (4.87%). In terms of maximum drawdown, IWMI dropped -23.88% vs SPY's -55.19%.

Which ETF is better, IWMI or SPY?

On 1-year performance, IWMI leads with 35.89% vs 23.59% for SPY. On fees, SPY is cheaper at 0.09% per year. On volatility, SPY has been the lower-risk option at 4.87%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IWMI or SPY?

Over the 1-year period, IWMI has performed better with a 35.89% return vs 23.59%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IWMI or SPY?

SPY is cheaper with a 0.09% expense ratio, compared with 0.68% for IWMI.

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

IWMI has the higher dividend yield at 14.53%, compared with 1.03% for SPY.

What is the main difference between IWMI and SPY?

IWMI is categorized as Derivative Income, while SPY is S&P 500. They also come from different issuers: Neos and State Street. Their fees differ too: 0.68% for IWMI and 0.09% for SPY.

Which has better risk-adjusted returns?

IWMI currently has the higher Sharpe Ratio (2.34 vs 1.90), 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.