TBUX vs. SPY

Last updated Jun 4, 2026

TBUX (T. Rowe Price Ultra Short-Term Bond ETF) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - TBUX is a Ultrashort Bond fund actively managed by T. Rowe Price, while SPY is a S&P 500 fund tracking the S&P 500 Index. TBUX is actively managed, while SPY is passively managed. Over the past 3 years, TBUX returned 5.85%/yr vs 22.35%/yr for SPY. At a 0.10 correlation, their price movements are largely independent. TBUX charges 0.17%/yr vs 0.09%/yr for SPY.

Performance

TBUX vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in T. Rowe Price Ultra Short-Term Bond ETF (TBUX) and State Street SPDR S&P 500 ETF (SPY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TBUX achieves a 1.65% return, which is significantly lower than SPY's 10.91% return.

TBUX

• 1D: -0.04%
• 1M: 0.41%
• YTD: 1.65%
• 6M: 2.09%
• 1Y: 4.77%
• 3Y*: 5.85%
• 5Y*: —
• 10Y*: —

SPY

• 1D: -0.70%
• 1M: 5.05%
• YTD: 10.91%
• 6M: 10.91%
• 1Y: 27.98%
• 3Y*: 22.35%
• 5Y*: 13.83%
• 10Y*: 15.49%

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

TBUX vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
TBUX T. Rowe Price Ultra Short-Term Bond ETF	1.65%	5.37%	6.38%	6.39%	-0.13%	-0.22%
SPY State Street SPDR S&P 500 ETF	10.91%	17.72%	24.89%	26.18%	-18.18%	9.71%

Correlation

The correlation between TBUX and SPY is 0.17, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.17
Correlation (3Y) Calculated over the trailing 3-year period	0.09
Correlation (All Time) Calculated using the full available price history since Sep 30, 2021	0.10

TBUX vs. SPY - Sectors Allocation Comparison

Sectors	TBUX	SPY
Technology	52.7%	35.9%
Communication Services	15.2%	11.3%
Consumer Cyclical	14.3%	10.3%
Consumer Defensive	5.5%	4.8%
Healthcare	5.0%	8.4%
Industrials	3.5%	7.8%
Basic Materials	1.3%	1.8%
Utilities	1.2%	2.4%
Energy	0.6%	3.6%
Financial Services	0.5%	11.8%
Real Estate	0.2%	1.9%

Return for Risk

TBUX vs. SPY — Risk / Return Rank

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

TBUX

TBUX Risk / Return Rank: 99
TBUX Sharpe Ratio Rank: 99
TBUX Sortino Ratio Rank: 99
TBUX Omega Ratio Rank: 99
TBUX Calmar Ratio Rank: 99
TBUX Martin Ratio Rank: 99

SPY

SPY Risk / Return Rank: 70
SPY Sharpe Ratio Rank: 71
SPY Sortino Ratio Rank: 69
SPY Omega Ratio Rank: 70
SPY Calmar Ratio Rank: 62
SPY Martin Ratio Rank: 75

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.

TBUX vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for T. Rowe Price Ultra Short-Term Bond ETF (TBUX) and State Street SPDR S&P 500 ETF (SPY). 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.

	TBUX	SPY	Difference
Sharpe ratio: Return per unit of total volatility	7.13	2.38	+4.75
Sortino ratio: Return per unit of downside risk	14.36	3.24	+11.12
Omega ratio: Gain probability vs. loss probability	3.08	1.43	+1.65
Calmar ratio: Return relative to maximum drawdown	39.71	3.16	+36.55
Martin ratio: Return relative to average drawdown	170.19	14.72	+155.48
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TBUX vs. SPY - Sharpe Ratio Comparison

The current TBUX Sharpe Ratio is 7.13, which is higher than the SPY Sharpe Ratio of 2.38. The chart below compares the historical Sharpe Ratios of TBUX and SPY, 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

	TBUX	SPY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	7.13	2.38	+4.75
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.82	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.87	—
Sharpe Ratio (All Time) Calculated using the full available price history	3.89	0.59	+3.30

Drawdowns

TBUX vs. SPY - Drawdown Comparison

The maximum TBUX drawdown since its inception was -1.79%, smaller than the maximum SPY drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for TBUX and SPY.

Drawdown Indicators

	TBUX	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-1.79%	-55.19%	+53.40%
Max Drawdown (1Y) Largest decline over 1 year	-0.12%	-8.88%	+8.76%
Max Drawdown (3Y) Largest decline over 3 years	-0.33%	-18.76%	+18.43%
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	-0.04%	-0.70%	+0.66%
Average Drawdown Average peak-to-trough decline	-0.28%	-9.05%	+8.77%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.03%	1.91%	-1.88%

Volatility

TBUX vs. SPY - Volatility Comparison

The current volatility for T. Rowe Price Ultra Short-Term Bond ETF (TBUX) is 0.19%, while State Street SPDR S&P 500 ETF (SPY) has a volatility of 2.84%. This indicates that TBUX experiences smaller price fluctuations and is considered to be less risky than SPY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TBUX	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.19%	2.84%	-2.65%
Volatility (6M) Calculated over the trailing 6-month period	0.43%	8.90%	-8.47%
Volatility (1Y) Calculated over the trailing 1-year period	0.67%	11.83%	-11.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.07%	17.05%	-15.98%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.07%	17.94%	-16.87%

TBUX vs. SPY - Expense Ratio Comparison

TBUX has a 0.17% expense ratio, which is higher than SPY's 0.09% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

TBUX vs. SPY - Dividend Comparison

TBUX's dividend yield for the trailing twelve months is around 4.48%, more than SPY's 0.98% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SPY State Street SPDR S&P 500 ETF	0.98%	1.07%	1.21%	1.40%	1.65%	1.20%	1.52%	1.75%	2.04%	1.80%	2.03%	2.06%
TBUX T. Rowe Price Ultra Short-Term Bond ETF	4.48%	4.67%	5.39%	4.66%	2.58%	0.27%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TBUX and SPY in my portfolio?

TBUX and SPY have a correlation of 0.17, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TBUX or SPY?

SPY has higher volatility (2.84%) compared to TBUX (0.19%). In terms of maximum drawdown, TBUX dropped -1.79% vs SPY's -55.19%.

Which ETF is better, TBUX or SPY?

On 3-year performance, SPY leads with 22.35% vs 5.85% for TBUX. On fees, SPY is cheaper at 0.09% per year. On volatility, TBUX has been the lower-risk option at 0.19%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TBUX or SPY?

Over the 3-year period, SPY has performed better with a 22.35% return vs 5.85%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TBUX or SPY?

SPY is cheaper with a 0.09% expense ratio, compared with 0.17% for TBUX.

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

TBUX has the higher dividend yield at 4.48%, compared with 0.98% for SPY.

What is the main difference between TBUX and SPY?

TBUX is categorized as Ultrashort Bond, while SPY is S&P 500. They also come from different issuers: T. Rowe Price and State Street. Their fees differ too: 0.17% for TBUX and 0.09% for SPY.

Which has better risk-adjusted returns?

TBUX currently has the higher Sharpe Ratio (7.13 vs 2.38), 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.