MDYG vs. IWO

Last updated Jun 5, 2026

MDYG (SPDR S&P 400 Mid Cap Growth ETF) and IWO (iShares Russell 2000 Growth ETF) are both exchange-traded funds - MDYG is a Mid Cap Growth Equities fund tracking the S&P MidCap 400 Growth Index, while IWO is a Small Cap Growth Equities fund tracking the Russell 2000 Growth Index. Both are passively managed. Over the past 10 years, MDYG returned 11.58%/yr vs 11.28%/yr for IWO. Their correlation of 0.89 suggests significant overlap in exposure. MDYG charges 0.15%/yr vs 0.24%/yr for IWO.

Performance

MDYG vs. IWO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P 400 Mid Cap Growth ETF (MDYG) and iShares Russell 2000 Growth ETF (IWO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with MDYG having a 19.44% return and IWO slightly lower at 18.58%. Both investments have delivered pretty close results over the past 10 years, with MDYG having a 11.58% annualized return and IWO not far behind at 11.28%.

MDYG

• 1D: 0.27%
• 1M: 4.57%
• YTD: 19.44%
• 6M: 18.73%
• 1Y: 30.20%
• 3Y*: 18.49%
• 5Y*: 8.66%
• 10Y*: 11.58%

IWO

• 1D: 1.57%
• 1M: 3.99%
• YTD: 18.58%
• 6M: 15.22%
• 1Y: 39.51%
• 3Y*: 19.07%
• 5Y*: 5.89%
• 10Y*: 11.28%

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

MDYG vs. IWO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MDYG SPDR S&P 400 Mid Cap Growth ETF	19.44%	7.22%	15.84%	17.30%	-18.92%	18.46%	22.57%	26.10%	-10.46%	19.61%
IWO iShares Russell 2000 Growth ETF	18.58%	12.90%	15.04%	18.51%	-26.27%	2.54%	34.68%	28.48%	-9.43%	22.25%

Correlation

The correlation between MDYG and IWO is 0.89, 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	0.89
Correlation (3Y) Calculated over the trailing 3-year period	0.91
Correlation (5Y) Calculated over the trailing 5-year period	0.93
Correlation (10Y) Calculated over the trailing 10-year period	0.93
Correlation (All Time) Calculated using the full available price history since Nov 16, 2005	0.89

The correlation between MDYG and IWO has been stable across timeframes, ranging from 0.89 to 0.93 - a consistent structural relationship.

MDYG vs. IWO - Sectors Allocation Comparison

Sectors	MDYG	IWO
Industrials	30.9%	23.1%
Technology	21.5%	23.6%
Healthcare	13.7%	22.4%
Consumer Cyclical	8.1%	7.7%
Financial Services	7.1%	8.2%
Real Estate	5.6%	2.1%
Energy	3.7%	3.5%
Basic Materials	3.7%	4.2%
Consumer Defensive	2.1%	2.6%
Utilities	2.0%	0.7%
Communication Services	1.5%	2.2%

Return for Risk

MDYG vs. IWO — Risk / Return Rank

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

MDYG

MDYG Risk / Return Rank: 58
MDYG Sharpe Ratio Rank: 53
MDYG Sortino Ratio Rank: 54
MDYG Omega Ratio Rank: 51
MDYG Calmar Ratio Rank: 63
MDYG Martin Ratio Rank: 68

IWO

IWO Risk / Return Rank: 54
IWO Sharpe Ratio Rank: 56
IWO Sortino Ratio Rank: 54
IWO Omega Ratio Rank: 50
IWO Calmar Ratio Rank: 55
IWO Martin Ratio Rank: 56

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.

MDYG vs. IWO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P 400 Mid Cap Growth ETF (MDYG) and iShares Russell 2000 Growth ETF (IWO). 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.

	MDYG	IWO	Difference
Sharpe ratio: Return per unit of total volatility	1.78	1.86	-0.08
Sortino ratio: Return per unit of downside risk	2.56	2.55	+0.01
Omega ratio: Gain probability vs. loss probability	1.31	1.30	+0.01
Calmar ratio: Return relative to maximum drawdown	3.06	2.67	+0.39
Martin ratio: Return relative to average drawdown	12.24	9.58	+2.66
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MDYG vs. IWO - Sharpe Ratio Comparison

The current MDYG Sharpe Ratio is 1.78, which is comparable to the IWO Sharpe Ratio of 1.86. The chart below compares the historical Sharpe Ratios of MDYG and IWO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	MDYG	IWO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.78	1.86	-0.08
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.42	0.24	+0.18
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.55	0.47	+0.08
Sharpe Ratio (All Time) Calculated using the full available price history	0.48	0.29	+0.20

Drawdowns

MDYG vs. IWO - Drawdown Comparison

The maximum MDYG drawdown since its inception was -58.44%, roughly equal to the maximum IWO drawdown of -60.11%. Use the drawdown chart below to compare losses from any high point for MDYG and IWO.

Drawdown Indicators

	MDYG	IWO	Difference
Max Drawdown Largest peak-to-trough decline	-58.44%	-60.11%	+1.67%
Max Drawdown (1Y) Largest decline over 1 year	-9.91%	-14.87%	+4.96%
Max Drawdown (3Y) Largest decline over 3 years	-25.45%	-28.57%	+3.12%
Max Drawdown (5Y) Largest decline over 5 years	-29.26%	-40.51%	+11.25%
Max Drawdown (10Y) Largest decline over 10 years	-39.27%	-42.02%	+2.75%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-8.03%	-16.70%	+8.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.47%	4.14%	-1.67%

Volatility

MDYG vs. IWO - Volatility Comparison

The current volatility for SPDR S&P 400 Mid Cap Growth ETF (MDYG) is 5.08%, while iShares Russell 2000 Growth ETF (IWO) has a volatility of 6.54%. This indicates that MDYG experiences smaller price fluctuations and is considered to be less risky than IWO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MDYG	IWO	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.08%	6.54%	-1.46%
Volatility (6M) Calculated over the trailing 6-month period	13.21%	15.72%	-2.51%
Volatility (1Y) Calculated over the trailing 1-year period	17.01%	21.33%	-4.32%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.62%	24.49%	-3.87%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.05%	24.13%	-3.08%

MDYG vs. IWO - Expense Ratio Comparison

MDYG has a 0.15% expense ratio, which is lower than IWO's 0.24% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

MDYG vs. IWO - Dividend Comparison

MDYG's dividend yield for the trailing twelve months is around 0.61%, more than IWO's 0.39% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IWO iShares Russell 2000 Growth ETF	0.39%	0.56%	0.80%	0.73%	0.73%	0.32%	0.44%	0.71%	0.76%	0.73%	0.97%	0.89%
MDYG SPDR S&P 400 Mid Cap Growth ETF	0.61%	0.75%	0.87%	1.20%	1.16%	0.69%	0.71%	1.21%	1.36%	2.23%	1.25%	2.51%

Frequently Asked Questions

Can I hold both MDYG and IWO in my portfolio?

MDYG and IWO have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MDYG or IWO?

IWO has higher volatility (6.54%) compared to MDYG (5.08%). In terms of maximum drawdown, MDYG dropped -58.44% vs IWO's -60.11%.

Which ETF is better, MDYG or IWO?

On 10-year performance, MDYG leads with 11.58% vs 11.28% for IWO. On fees, MDYG is cheaper at 0.15% per year. On volatility, MDYG has been the lower-risk option at 5.08%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, MDYG or IWO?

Over the 10-year period, MDYG has performed better with a 11.58% return vs 11.28%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, MDYG or IWO?

MDYG is cheaper with a 0.15% expense ratio, compared with 0.24% for IWO.

Which ETF pays a higher dividend yield, MDYG or IWO?

MDYG has the higher dividend yield at 0.61%, compared with 0.39% for IWO.

What is the main difference between MDYG and IWO?

MDYG is categorized as Mid Cap Growth Equities, while IWO is Small Cap Growth Equities. MDYG tracks S&P MidCap 400 Growth Index, while IWO tracks Russell 2000 Growth Index. They also come from different issuers: State Street and iShares. Their fees differ too: 0.15% for MDYG and 0.24% for IWO.

Which has better risk-adjusted returns?

IWO currently has the higher Sharpe Ratio (1.86 vs 1.78), 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.