SDTY vs. PAPI

Last updated Jun 4, 2026

SDTY (YieldMax S&P 500 0DTE Covered Call Strategy ETF) and PAPI (Parametric Equity Premium Income ETF) are both Derivative Income funds. Both are actively managed. Over the past year, SDTY returned 25.63% vs 12.39% for PAPI. At a 0.37 correlation, their price movements are largely independent. SDTY charges 1.01%/yr vs 0.29%/yr for PAPI.

Performance

SDTY vs. PAPI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in YieldMax S&P 500 0DTE Covered Call Strategy ETF (SDTY) and Parametric Equity Premium Income ETF (PAPI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SDTY achieves a 8.45% return, which is significantly higher than PAPI's 5.81% return.

SDTY

• 1D: -0.51%
• 1M: 4.38%
• YTD: 8.45%
• 6M: 8.89%
• 1Y: 25.63%
• 3Y*: —
• 5Y*: —
• 10Y*: —

PAPI

• 1D: -0.26%
• 1M: 0.28%
• YTD: 5.81%
• 6M: 5.78%
• 1Y: 12.39%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

SDTY vs. PAPI - Yearly Performance Comparison

	2026 (YTD)	2025
SDTY YieldMax S&P 500 0DTE Covered Call Strategy ETF	8.45%	9.83%
PAPI Parametric Equity Premium Income ETF	5.81%	4.34%

Correlation

The correlation between SDTY and PAPI is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.26
Correlation (All Time) Calculated using the full available price history since Feb 7, 2025	0.37

The correlation between SDTY and PAPI shifts across timeframes, from 0.26 (1 year) to 0.37 (all time), reflecting how their relationship changes across market environments.

SDTY vs. PAPI - Sectors Allocation Comparison

Sectors	SDTY	PAPI
Technology	35.6%	12.5%
Financial Services	11.8%	9.9%
Communication Services	11.2%	5.4%
Consumer Cyclical	10.1%	12.1%
Healthcare	8.5%	10.7%
Industrials	8.3%	9.9%
Consumer Defensive	4.9%	10.1%
Energy	3.5%	11.6%
Utilities	2.4%	10.1%
Real Estate	1.9%	-
Basic Materials	1.8%	7.8%

Return for Risk

SDTY vs. PAPI — Risk / Return Rank

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

SDTY

SDTY Risk / Return Rank: 70
SDTY Sharpe Ratio Rank: 71
SDTY Sortino Ratio Rank: 70
SDTY Omega Ratio Rank: 72
SDTY Calmar Ratio Rank: 64
SDTY Martin Ratio Rank: 72

PAPI

PAPI Risk / Return Rank: 33
PAPI Sharpe Ratio Rank: 32
PAPI Sortino Ratio Rank: 34
PAPI Omega Ratio Rank: 30
PAPI Calmar Ratio Rank: 37
PAPI Martin Ratio Rank: 33

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.

SDTY vs. PAPI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for YieldMax S&P 500 0DTE Covered Call Strategy ETF (SDTY) and Parametric Equity Premium Income ETF (PAPI). 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.

	SDTY	PAPI	Difference
Sharpe ratio: Return per unit of total volatility	2.34	1.19	+1.15
Sortino ratio: Return per unit of downside risk	3.21	1.82	+1.39
Omega ratio: Gain probability vs. loss probability	1.43	1.21	+0.23
Calmar ratio: Return relative to maximum drawdown	3.21	1.81	+1.40
Martin ratio: Return relative to average drawdown	13.58	4.90	+8.68
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SDTY vs. PAPI - Sharpe Ratio Comparison

The current SDTY Sharpe Ratio is 2.34, which is higher than the PAPI Sharpe Ratio of 1.19. The chart below compares the historical Sharpe Ratios of SDTY and PAPI, 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

	SDTY	PAPI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.34	1.19	+1.15
Sharpe Ratio (All Time) Calculated using the full available price history	0.85	0.88	-0.03

Drawdowns

SDTY vs. PAPI - Drawdown Comparison

The maximum SDTY drawdown since its inception was -18.63%, which is greater than PAPI's maximum drawdown of -14.27%. Use the drawdown chart below to compare losses from any high point for SDTY and PAPI.

Drawdown Indicators

	SDTY	PAPI	Difference
Max Drawdown Largest peak-to-trough decline	-18.63%	-14.27%	-4.36%
Max Drawdown (1Y) Largest decline over 1 year	-8.02%	-6.86%	-1.16%
Current Drawdown Current decline from peak	-0.62%	-5.06%	+4.44%
Average Drawdown Average peak-to-trough decline	-3.02%	-2.73%	-0.29%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.89%	2.53%	-0.64%

Volatility

SDTY vs. PAPI - Volatility Comparison

YieldMax S&P 500 0DTE Covered Call Strategy ETF (SDTY) has a higher volatility of 2.58% compared to Parametric Equity Premium Income ETF (PAPI) at 2.23%. This indicates that SDTY's price experiences larger fluctuations and is considered to be riskier than PAPI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SDTY	PAPI	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.58%	2.23%	+0.35%
Volatility (6M) Calculated over the trailing 6-month period	8.39%	7.00%	+1.39%
Volatility (1Y) Calculated over the trailing 1-year period	11.00%	10.55%	+0.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.79%	11.76%	+5.03%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.79%	11.76%	+5.03%

SDTY vs. PAPI - Expense Ratio Comparison

SDTY has a 1.01% expense ratio, which is higher than PAPI's 0.29% expense ratio.

Dividends

SDTY vs. PAPI - Dividend Comparison

SDTY's dividend yield for the trailing twelve months is around 25.97%, more than PAPI's 7.62% yield.

Position	TTM	2025	2024	2023
PAPI Parametric Equity Premium Income ETF	7.62%	7.59%	7.07%	1.45%
SDTY YieldMax S&P 500 0DTE Covered Call Strategy ETF	25.97%	22.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both SDTY and PAPI in my portfolio?

SDTY and PAPI have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SDTY or PAPI?

SDTY has higher volatility (2.58%) compared to PAPI (2.23%). In terms of maximum drawdown, SDTY dropped -18.63% vs PAPI's -14.27%.

Which ETF is better, SDTY or PAPI?

On 1-year performance, SDTY leads with 25.63% vs 12.39% for PAPI. On fees, PAPI is cheaper at 0.29% per year. On volatility, PAPI has been the lower-risk option at 2.23%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SDTY or PAPI?

Over the 1-year period, SDTY has performed better with a 25.63% return vs 12.39%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SDTY or PAPI?

PAPI is cheaper with a 0.29% expense ratio, compared with 1.01% for SDTY.

Which ETF pays a higher dividend yield, SDTY or PAPI?

SDTY has the higher dividend yield at 25.97%, compared with 7.62% for PAPI.

What is the main difference between SDTY and PAPI?

They also come from different issuers: YieldMax and Morgan Stanley. Their fees differ too: 1.01% for SDTY and 0.29% for PAPI.

Which has better risk-adjusted returns?

SDTY currently has the higher Sharpe Ratio (2.34 vs 1.19), 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.