SPY vs. IWMI

Last updated Jun 21, 2026

SPY (State Street SPDR S&P 500 ETF) and IWMI (NEOS Russell 2000 High Income ETF) are both exchange-traded funds - SPY is a S&P 500 fund tracking the S&P 500 Index, while IWMI is a Derivative Income fund actively managed by Neos. SPY is passively managed, while IWMI is actively managed. Over the past year, SPY returned 27.05% vs 37.32% for IWMI. A 0.80 correlation means they provide meaningful diversification when combined. SPY charges 0.09%/yr vs 0.68%/yr for IWMI.

Performance

SPY vs. IWMI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in State Street SPDR S&P 500 ETF (SPY) and NEOS Russell 2000 High Income ETF (IWMI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SPY achieves a 10.09% return, which is significantly lower than IWMI's 16.41% return.

SPY

• 1D: 1.04%
• 1M: 0.41%
• YTD: 10.09%
• 6M: 10.30%
• 1Y: 27.05%
• 3Y*: 20.82%
• 5Y*: 14.00%
• 10Y*: 15.48%

IWMI

• 1D: 1.72%
• 1M: 3.75%
• YTD: 16.41%
• 6M: 14.83%
• 1Y: 37.32%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

SPY vs. IWMI - Yearly Performance Comparison

	2026 (YTD)	2025	2024
SPY State Street SPDR S&P 500 ETF	10.09%	17.72%	8.68%
IWMI NEOS Russell 2000 High Income ETF	16.41%	14.97%	6.58%

Correlation

The correlation between SPY and IWMI is 0.81, 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	0.81
Correlation (All Time) Calculated using the full available price history since Jun 25, 2024	0.80

The correlation between SPY and IWMI has been stable across timeframes, ranging from 0.80 to 0.81 - a consistent structural relationship.

SPY vs. IWMI - Sectors Allocation Comparison

Sectors	SPY	IWMI
Technology	39.0%	17.0%
Financial Services	11.1%	15.7%
Communication Services	10.6%	2.4%
Consumer Cyclical	9.9%	8.4%
Healthcare	8.3%	16.5%
Industrials	7.8%	17.7%
Consumer Defensive	4.5%	2.4%
Energy	3.1%	6.1%
Utilities	2.1%	2.9%
Real Estate	1.8%	6.1%
Basic Materials	1.7%	4.8%

Return for Risk

SPY vs. IWMI — Risk / Return Rank

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

SPY

SPY Risk / Return Rank: 70
SPY Sharpe Ratio Rank: 71
SPY Sortino Ratio Rank: 68
SPY Omega Ratio Rank: 70
SPY Calmar Ratio Rank: 64
SPY Martin Ratio Rank: 76

IWMI

IWMI Risk / Return Rank: 82
IWMI Sharpe Ratio Rank: 80
IWMI Sortino Ratio Rank: 80
IWMI Omega Ratio Rank: 76
IWMI Calmar Ratio Rank: 85
IWMI Martin Ratio Rank: 88

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.

SPY vs. IWMI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for State Street SPDR S&P 500 ETF (SPY) and NEOS Russell 2000 High Income ETF (IWMI). 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.

	SPY	IWMI	Difference
Sharpe ratio: Return per unit of total volatility	2.17	2.42	-0.25
Sortino ratio: Return per unit of downside risk	2.92	3.33	-0.40
Omega ratio: Gain probability vs. loss probability	1.39	1.42	-0.03
Calmar ratio: Return relative to maximum drawdown	3.02	4.43	-1.40
Martin ratio: Return relative to average drawdown	13.61	18.24	-4.63

SPY vs. IWMI - Sharpe Ratio Comparison

The current SPY Sharpe Ratio is 2.17, which is comparable to the IWMI Sharpe Ratio of 2.42. The chart below compares the historical Sharpe Ratios of SPY and IWMI, 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

SPY vs. IWMI - Drawdown Comparison

The maximum SPY drawdown since its inception was -55.19%, which is greater than IWMI's maximum drawdown of -23.88%. Use the drawdown chart below to compare losses from any high point for SPY and IWMI.

Drawdown Indicators

	SPY	IWMI	Difference
Max Drawdown Largest peak-to-trough decline	-55.19%	-23.88%	-31.31%
Max Drawdown (1Y) Largest decline over 1 year	-8.88%	-8.40%	-0.48%
Max Drawdown (3Y) Largest decline over 3 years	-18.76%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-24.50%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-33.72%	—	—
Current Drawdown Current decline from peak	-1.44%	0.00%	-1.44%
Average Drawdown Average peak-to-trough decline	-9.04%	-4.04%	-5.00%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.97%	2.03%	-0.06%

Volatility

SPY vs. IWMI - Volatility Comparison

The current volatility for State Street SPDR S&P 500 ETF (SPY) is 4.73%, while NEOS Russell 2000 High Income ETF (IWMI) has a volatility of 5.41%. This indicates that SPY experiences smaller price fluctuations and is considered to be less risky than IWMI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SPY	IWMI	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.73%	5.41%	-0.68%
Volatility (6M) Calculated over the trailing 6-month period	9.81%	11.46%	-1.65%
Volatility (1Y) Calculated over the trailing 1-year period	12.41%	15.38%	-2.97%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.15%	17.97%	-0.82%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.98%	17.97%	+0.01%

SPY vs. IWMI - Expense Ratio Comparison

SPY has a 0.09% expense ratio, which is lower than IWMI's 0.68% expense ratio.

Dividends

SPY vs. IWMI - Dividend Comparison

SPY's dividend yield for the trailing twelve months is around 1.24%, less than IWMI's 14.51% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IWMI NEOS Russell 2000 High Income ETF	14.51%	14.05%	8.78%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
SPY State Street SPDR S&P 500 ETF	1.01%	1.07%	1.21%	1.40%	1.65%	1.20%	1.52%	1.75%	2.04%	1.80%	2.03%	2.06%

Frequently Asked Questions

Can I hold both SPY and IWMI in my portfolio?

SPY and IWMI have a correlation of 0.81, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SPY or IWMI?

IWMI has higher volatility (5.41%) compared to SPY (4.73%). In terms of maximum drawdown, SPY dropped -55.19% vs IWMI's -23.88%.

Which ETF is better, SPY or IWMI?

On 1-year performance, IWMI leads with 37.32% vs 27.05% for SPY. On fees, SPY is cheaper at 0.09% per year. On volatility, SPY has been the lower-risk option at 4.73%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SPY or IWMI?

Over the 1-year period, IWMI has performed better with a 37.32% return vs 27.05%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SPY or IWMI?

SPY is cheaper with a 0.09% expense ratio, compared with 0.68% for IWMI.

Which ETF pays a higher dividend yield, SPY or IWMI?

IWMI has the higher dividend yield at 14.51%, compared with 1.01% for SPY.

What is the main difference between SPY and IWMI?

SPY is categorized as S&P 500, while IWMI is Derivative Income. They also come from different issuers: State Street and Neos. Their fees differ too: 0.09% for SPY and 0.68% for IWMI.

Which has better risk-adjusted returns?

IWMI currently has the higher Sharpe Ratio (2.42 vs 2.17), 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.