PYPY vs. SQY

Last updated Jun 4, 2026

PYPY (Yieldmax PYPL Option Income Strategy ETF) and SQY (YieldMax SQ Option Income Strategy ETF) are both Derivative Income funds from YieldMax. Both are actively managed. Over the past year, PYPY returned -39.20% vs -0.20% for SQY. A 0.53 correlation means they provide meaningful diversification when combined. Both charge a 1.01% expense ratio.

Performance

PYPY vs. SQY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Yieldmax PYPL Option Income Strategy ETF (PYPY) and YieldMax SQ Option Income Strategy ETF (SQY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PYPY achieves a -23.28% return, which is significantly lower than SQY's -1.01% return.

PYPY

• 1D: -3.78%
• 1M: -12.23%
• YTD: -23.28%
• 6M: -25.27%
• 1Y: -39.20%
• 3Y*: —
• 5Y*: —
• 10Y*: —

SQY

• 1D: -5.22%
• 1M: -4.39%
• YTD: -1.01%
• 6M: 6.08%
• 1Y: -0.20%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

PYPY vs. SQY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
PYPY Yieldmax PYPL Option Income Strategy ETF	-23.28%	-30.17%	43.88%	6.91%
SQY YieldMax SQ Option Income Strategy ETF	-1.01%	-29.43%	21.72%	44.45%

Correlation

The correlation between PYPY and SQY is 0.57, 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	0.57
Correlation (All Time) Calculated using the full available price history since Oct 12, 2023	0.53

The correlation between PYPY and SQY has been stable across timeframes, ranging from 0.53 to 0.57 - a consistent structural relationship.

Return for Risk

PYPY vs. SQY — Risk / Return Rank

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

PYPY

PYPY Risk / Return Rank: 1
PYPY Sharpe Ratio Rank: 1
PYPY Sortino Ratio Rank: 1
PYPY Omega Ratio Rank: 1
PYPY Calmar Ratio Rank: 2
PYPY Martin Ratio Rank: 1

SQY

SQY Risk / Return Rank: 9
SQY Sharpe Ratio Rank: 8
SQY Sortino Ratio Rank: 9
SQY Omega Ratio Rank: 10
SQY Calmar Ratio Rank: 9
SQY Martin Ratio Rank: 9

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.

PYPY vs. SQY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Yieldmax PYPL Option Income Strategy ETF (PYPY) and YieldMax SQ Option Income Strategy ETF (SQY). 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.

	PYPY	SQY	Difference
Sharpe ratio: Return per unit of total volatility	-1.15	-0.01	-1.15
Sortino ratio: Return per unit of downside risk	-1.50	0.26	-1.76
Omega ratio: Gain probability vs. loss probability	0.78	1.03	-0.26
Calmar ratio: Return relative to maximum drawdown	-0.83	-0.01	-0.83
Martin ratio: Return relative to average drawdown	-1.48	-0.01	-1.47
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PYPY vs. SQY - Sharpe Ratio Comparison

The current PYPY Sharpe Ratio is -1.15, which is lower than the SQY Sharpe Ratio of -0.01. The chart below compares the historical Sharpe Ratios of PYPY and SQY, 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

	PYPY	SQY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.15	-0.01	-1.15
Sharpe Ratio (All Time) Calculated using the full available price history	-0.23	0.19	-0.43

Drawdowns

PYPY vs. SQY - Drawdown Comparison

The maximum PYPY drawdown since its inception was -53.64%, roughly equal to the maximum SQY drawdown of -52.30%. Use the drawdown chart below to compare losses from any high point for PYPY and SQY.

Drawdown Indicators

	PYPY	SQY	Difference
Max Drawdown Largest peak-to-trough decline	-53.64%	-52.30%	-1.34%
Max Drawdown (1Y) Largest decline over 1 year	-47.14%	-37.72%	-9.42%
Current Drawdown Current decline from peak	-49.18%	-37.84%	-11.34%
Average Drawdown Average peak-to-trough decline	-16.16%	-21.82%	+5.66%
Ulcer Index Depth and duration of drawdowns from previous peaks	26.44%	17.18%	+9.26%

Volatility

PYPY vs. SQY - Volatility Comparison

The current volatility for Yieldmax PYPL Option Income Strategy ETF (PYPY) is 7.83%, while YieldMax SQ Option Income Strategy ETF (SQY) has a volatility of 10.82%. This indicates that PYPY experiences smaller price fluctuations and is considered to be less risky than SQY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PYPY	SQY	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.83%	10.82%	-2.99%
Volatility (6M) Calculated over the trailing 6-month period	28.63%	31.08%	-2.45%
Volatility (1Y) Calculated over the trailing 1-year period	34.15%	38.83%	-4.68%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	31.10%	42.20%	-11.10%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	31.10%	42.20%	-11.10%

PYPY vs. SQY - Expense Ratio Comparison

Both PYPY and SQY have an expense ratio of 1.01%.

Dividends

PYPY vs. SQY - Dividend Comparison

PYPY's dividend yield for the trailing twelve months is around 69.43%, less than SQY's 109.42% yield.

Position	TTM	2025	2024	2023
PYPY Yieldmax PYPL Option Income Strategy ETF	69.43%	64.68%	48.65%	5.70%
SQY YieldMax SQ Option Income Strategy ETF	109.42%	95.35%	62.54%	9.85%

Frequently Asked Questions

Can I hold both PYPY and SQY in my portfolio?

PYPY and SQY have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PYPY or SQY?

SQY has higher volatility (10.82%) compared to PYPY (7.83%). In terms of maximum drawdown, PYPY dropped -53.64% vs SQY's -52.30%.

Which ETF is better, PYPY or SQY?

On 1-year performance, SQY leads with -0.20% vs -39.20% for PYPY. Both ETFs have the same 1.01% expense ratio. On volatility, PYPY has been the lower-risk option at 7.83%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PYPY or SQY?

Over the 1-year period, SQY has performed better with a -0.20% return vs -39.20%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PYPY or SQY?

PYPY and SQY have the same expense ratio: 1.01% per year.

Which ETF pays a higher dividend yield, PYPY or SQY?

SQY has the higher dividend yield at 109.42%, compared with 69.43% for PYPY.

Which has better risk-adjusted returns?

SQY currently has the higher Sharpe Ratio (-0.01 vs -1.15), 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.