SMST vs. SPYT

Last updated Jun 3, 2026

SMST (Defiance Daily Target 2X Short MSTR ETF) and SPYT (Defiance S&P 500 Income Target ETF) are both exchange-traded funds - SMST is a Inverse Equities fund actively managed by Defiance, while SPYT is a Derivative Income fund actively managed by Defiance. Both are actively managed. Over the past year, SMST returned 40.09% vs 24.84% for SPYT. At a correlation of -0.46, they often move in opposite directions. SMST charges 1.29%/yr vs 0.87%/yr for SPYT.

Performance

SMST vs. SPYT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Defiance Daily Target 2X Short MSTR ETF (SMST) and Defiance S&P 500 Income Target ETF (SPYT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SMST achieves a -55.68% return, which is significantly lower than SPYT's 10.44% return.

SMST

• 1D: 17.75%
• 1M: 49.84%
• YTD: -55.68%
• 6M: -41.65%
• 1Y: 40.09%
• 3Y*: —
• 5Y*: —
• 10Y*: —

SPYT

• 1D: 0.11%
• 1M: 4.39%
• YTD: 10.44%
• 6M: 10.75%
• 1Y: 24.84%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

SMST vs. SPYT - Yearly Performance Comparison

	2026 (YTD)	2025	2024
SMST Defiance Daily Target 2X Short MSTR ETF	-55.68%	-44.36%	-90.90%
SPYT Defiance S&P 500 Income Target ETF	10.44%	12.41%	4.21%

Correlation

The correlation between SMST and SPYT is -0.46, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.46
Correlation (All Time) Calculated using the full available price history since Aug 22, 2024	-0.46

Return for Risk

SMST vs. SPYT — Risk / Return Rank

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

SMST

SMST Risk / Return Rank: 18
SMST Sharpe Ratio Rank: 13
SMST Sortino Ratio Rank: 25
SMST Omega Ratio Rank: 26
SMST Calmar Ratio Rank: 14
SMST Martin Ratio Rank: 13

SPYT

SPYT Risk / Return Rank: 71
SPYT Sharpe Ratio Rank: 69
SPYT Sortino Ratio Rank: 68
SPYT Omega Ratio Rank: 76
SPYT Calmar Ratio Rank: 63
SPYT Martin Ratio Rank: 77

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.

SMST vs. SPYT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Defiance Daily Target 2X Short MSTR ETF (SMST) and Defiance S&P 500 Income Target ETF (SPYT). 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.

	SMST	SPYT	Difference
Sharpe ratio Return per unit of total volatility	0.29	2.30	-2.02
Sortino ratio Return per unit of downside risk	1.40	3.16	-1.76
Omega ratio Gain probability vs. loss probability	1.18	1.46	-0.28
Calmar ratio Return relative to maximum drawdown	0.44	3.20	-2.76
Martin ratio Return relative to average drawdown	0.93	14.93	-14.00
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SMST vs. SPYT - Sharpe Ratio Comparison

The current SMST Sharpe Ratio is 0.29, which is lower than the SPYT Sharpe Ratio of 2.30. The chart below compares the historical Sharpe Ratios of SMST and SPYT, 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

	SMST	SPYT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.29	2.30	-2.02
Sharpe Ratio (All Time) Calculated using the full available price history	-0.53	1.11	-1.64

Drawdowns

SMST vs. SPYT - Drawdown Comparison

The maximum SMST drawdown since its inception was -99.25%, which is greater than SPYT's maximum drawdown of -18.25%. Use the drawdown chart below to compare losses from any high point for SMST and SPYT.

Drawdown Indicators

	SMST	SPYT	Difference
Max Drawdown Largest peak-to-trough decline	-99.25%	-18.25%	-81.00%
Max Drawdown (1Y) Largest decline over 1 year	-85.39%	-8.00%	-77.39%
Current Drawdown Current decline from peak	-98.26%	0.00%	-98.26%
Average Drawdown Average peak-to-trough decline	-90.65%	-2.00%	-88.65%
Ulcer Index Depth and duration of drawdowns from previous peaks	40.51%	1.72%	+38.79%

Volatility

SMST vs. SPYT - Volatility Comparison

Defiance Daily Target 2X Short MSTR ETF (SMST) has a higher volatility of 37.28% compared to Defiance S&P 500 Income Target ETF (SPYT) at 2.40%. This indicates that SMST's price experiences larger fluctuations and is considered to be riskier than SPYT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SMST	SPYT	Difference
Volatility (1M) Calculated over the trailing 1-month period	37.28%	2.40%	+34.88%
Volatility (6M) Calculated over the trailing 6-month period	125.90%	8.30%	+117.60%
Volatility (1Y) Calculated over the trailing 1-year period	140.31%	10.85%	+129.46%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	166.64%	14.81%	+151.83%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	166.64%	14.81%	+151.83%

SMST vs. SPYT - Expense Ratio Comparison

SMST has a 1.29% expense ratio, which is higher than SPYT's 0.87% expense ratio.

Dividends

SMST vs. SPYT - Dividend Comparison

SMST has not paid dividends to shareholders, while SPYT's dividend yield for the trailing twelve months is around 20.59%.

Position	TTM	2025	2024
SMST Defiance Daily Target 2X Short MSTR ETF	0.00%	0.00%	0.00%
SPYT Defiance S&P 500 Income Target ETF	20.59%	21.40%	17.37%

Frequently Asked Questions

Can I hold both SMST and SPYT in my portfolio?

SMST and SPYT have a correlation of -0.46, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SMST or SPYT?

SMST has higher volatility (37.28%) compared to SPYT (2.40%). In terms of maximum drawdown, SMST dropped -99.25% vs SPYT's -18.25%.

Which ETF is better, SMST or SPYT?

On 1-year performance, SMST leads with 40.09% vs 24.84% for SPYT. On fees, SPYT is cheaper at 0.87% per year. On volatility, SPYT has been the lower-risk option at 2.40%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SMST or SPYT?

Over the 1-year period, SMST has performed better with a 40.09% return vs 24.84%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SMST or SPYT?

SPYT is cheaper with a 0.87% expense ratio, compared with 1.29% for SMST.

Which ETF pays a higher dividend yield, SMST or SPYT?

SPYT has the higher dividend yield at 20.59%, compared with 0.00% for SMST.

What is the main difference between SMST and SPYT?

SMST is categorized as Inverse Equities, while SPYT is Derivative Income. Their fees differ too: 1.29% for SMST and 0.87% for SPYT.

Which has better risk-adjusted returns?

SPYT currently has the higher Sharpe Ratio (2.30 vs 0.29), 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.