RDTY vs. IWM

Last updated Aug 2, 2026

RDTY (YieldMax™ R2000 0DTE Covered Call Strategy ETF) and IWM (iShares Russell 2000 ETF) are both exchange-traded funds - RDTY is a Derivative Income fund actively managed by YieldMax, while IWM is a Small Cap Blend Equities fund tracking the Russell 2000 Index. RDTY is actively managed, while IWM is passively managed. Over the past year, RDTY returned 28.17% vs 36.90% for IWM. Their correlation of 0.91 means they have usually moved in the same direction. RDTY charges 1.01%/yr vs 0.19%/yr for IWM.

Performance

RDTY vs. IWM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in YieldMax™ R2000 0DTE Covered Call Strategy ETF (RDTY) and iShares Russell 2000 ETF (IWM). 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 RDTY having a 19.53% return and IWM slightly lower at 18.79%.

RDTY

• 1D: -0.05%
• 1M: 0.68%
• 6M: 14.55%
• YTD: 19.53%
• 1Y: 28.17%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 22.30%

IWM

• 1D: -0.48%
• 1M: -2.14%
• 6M: 12.62%
• YTD: 18.79%
• 1Y: 36.90%
• 3Y*: 15.11%
• 5Y*: 6.99%
• 10Y*: 10.70%
• ALL TIME*: 8.73%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
IWM iShares Russell 2000 ETF	$6.67B	$6.32B	$7.45B
RDTY YieldMax™ R2000 0DTE Covered Call Strategy ETF	$700.89K	$632.96K	$419.42K

RDTY vs. IWM - Yearly Performance Comparison

	2026 (YTD)	2025
RDTY YieldMax™ R2000 0DTE Covered Call Strategy ETF	19.53%	10.93%
IWM iShares Russell 2000 ETF	18.79%	19.41%

Correlation

The correlation between RDTY and IWM is 0.91, meaning they have usually moved in the same direction, including during past declines.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.91
Correlation (All Time) Calculated using the full available price history since Mar 6, 2025	0.91

The correlation between RDTY and IWM has been stable across timeframes, ranging from 0.91 to 0.91 - a consistent structural relationship.

RDTY vs. IWM - Sectors Allocation Comparison

Sectors	RDTY	IWM
Healthcare	20.2%	20.0%
Financial Services	17.7%	18.3%
Technology	14.8%	13.6%
Industrials	14.1%	13.7%
Consumer Cyclical	9.2%	9.2%
Real Estate	6.7%	7.0%
Energy	5.4%	5.6%
Basic Materials	4.4%	4.5%
Utilities	2.7%	2.9%
Consumer Defensive	2.6%	2.8%
Communication Services	2.2%	2.0%

Return for Risk

RDTY vs. IWM — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

RDTY

RDTY Risk / Return Rank: 67
RDTY Sharpe Ratio Rank: 63
RDTY Sortino Ratio Rank: 63
RDTY Omega Ratio Rank: 57
RDTY Calmar Ratio Rank: 78
RDTY Martin Ratio Rank: 75

IWM

IWM Risk / Return Rank: 79
IWM Sharpe Ratio Rank: 78
IWM Sortino Ratio Rank: 78
IWM Omega Ratio Rank: 72
IWM Calmar Ratio Rank: 83
IWM Martin Ratio Rank: 83

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

RDTY vs. IWM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for YieldMax™ R2000 0DTE Covered Call Strategy ETF (RDTY) and iShares Russell 2000 ETF (IWM). 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.

	RDTY	IWM	Difference
Sharpe ratio: Return per unit of total volatility	1.47	1.77	-0.30
Sortino ratio: Return per unit of downside risk	2.09	2.51	-0.43
Omega ratio: Gain probability vs. loss probability	1.25	1.30	-0.04
Calmar ratio: Return relative to maximum drawdown	2.77	3.11	-0.33
Martin ratio: Return relative to average drawdown	9.43	11.02	-1.59

RDTY vs. IWM - Sharpe Ratio Comparison

The current RDTY Sharpe Ratio is 1.47, which is comparable to the IWM Sharpe Ratio of 1.77. The chart below compares the historical Sharpe Ratios of RDTY and IWM, 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

RDTY vs. IWM - Drawdown Comparison

The maximum RDTY drawdown since its inception was -17.31%, smaller than the maximum IWM drawdown of -59.05%. Use the drawdown chart below to compare losses from any high point for RDTY and IWM.

Drawdown Indicators

	RDTY	IWM	Difference
Max Drawdown Largest peak-to-trough decline	-17.31%	-59.05%	+41.74%
Max Drawdown (1Y) Largest decline over 1 year	-9.20%	-11.03%	+1.83%
Max Drawdown (3Y) Largest decline over 3 years	—	-27.50%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-31.91%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-41.13%	—
Current Drawdown Current decline from peak	-0.85%	-3.08%	+2.23%
Average Drawdown Average peak-to-trough decline	-2.53%	-10.71%	+8.18%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.71%	3.11%	-0.40%

Volatility

RDTY vs. IWM - Volatility Comparison

YieldMax™ R2000 0DTE Covered Call Strategy ETF (RDTY) has a higher volatility of 4.26% compared to iShares Russell 2000 ETF (IWM) at 3.82%. This indicates that RDTY's price experiences larger fluctuations and is considered to be riskier than IWM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RDTY	IWM	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.26%	3.82%	+0.44%
Volatility (6M) Calculated over the trailing 6-month period	13.25%	14.12%	-0.87%
Volatility (1Y) Calculated over the trailing 1-year period	17.43%	19.41%	-1.98%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.52%	22.48%	-0.96%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.52%	23.01%	-1.49%

RDTY vs. IWM - Expense Ratio Comparison

RDTY has a 1.01% expense ratio, which is higher than IWM's 0.19% expense ratio.

Dividends

RDTY vs. IWM - Dividend Comparison

RDTY's dividend yield for the trailing twelve months is around 43.20%, more than IWM's 0.91% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IWM iShares Russell 2000 ETF	0.91%	1.04%	1.15%	1.35%	1.48%	0.94%	1.04%	1.26%	1.40%	1.26%	1.38%	1.54%
RDTY YieldMax™ R2000 0DTE Covered Call Strategy ETF	43.20%	36.75%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both RDTY and IWM in my portfolio?

With a correlation of 0.91, RDTY and IWM move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, RDTY or IWM?

RDTY has higher volatility (4.26%) compared to IWM (3.82%). In terms of maximum drawdown, RDTY dropped -17.31% vs IWM's -59.05%.

Which ETF is better, RDTY or IWM?

On 1-year performance, IWM leads with 36.90% vs 28.17% for RDTY. On fees, IWM is cheaper at 0.19% per year. On volatility, IWM has been the lower-risk option at 3.82%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, RDTY or IWM?

Over the 1-year period, IWM has performed better with a 36.90% return vs 28.17%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, RDTY or IWM?

IWM is cheaper with a 0.19% expense ratio, compared with 1.01% for RDTY.

Which ETF pays a higher dividend yield, RDTY or IWM?

RDTY has the higher dividend yield at 43.20%, compared with 0.91% for IWM.

What is the main difference between RDTY and IWM?

RDTY is categorized as Derivative Income, while IWM is Small Cap Blend Equities. They also come from different issuers: YieldMax and iShares. Their fees differ too: 1.01% for RDTY and 0.19% for IWM.

Which has better risk-adjusted returns?

IWM currently has the higher Sharpe Ratio (1.77 vs 1.47), 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.