THRO vs. SPY

Last updated Jun 6, 2026

THRO (iShares U.S. Thematic Rotation Active ETF) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - THRO is a Tactical Allocation fund actively managed by iShares, while SPY is a S&P 500 fund tracking the S&P 500 Index. THRO is actively managed, while SPY is passively managed. Over the past 3 years, THRO returned 23.13%/yr vs 21.43%/yr for SPY. With a 0.96 correlation, they move nearly in lockstep. THRO charges 0.60%/yr vs 0.09%/yr for SPY.

Performance

THRO vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Thematic Rotation Active ETF (THRO) 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, THRO achieves a 9.46% return, which is significantly higher than SPY's 8.45% return.

THRO

• 1D: -3.17%
• 1M: 0.64%
• YTD: 9.46%
• 6M: 8.68%
• 1Y: 23.05%
• 3Y*: 23.13%
• 5Y*: —
• 10Y*: —

SPY

• 1D: -2.58%
• 1M: 0.51%
• YTD: 8.45%
• 6M: 8.18%
• 1Y: 25.79%
• 3Y*: 21.43%
• 5Y*: 13.32%
• 10Y*: 15.16%

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

THRO vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
THRO iShares U.S. Thematic Rotation Active ETF	9.46%	15.04%	32.03%	24.40%	-17.85%	2.14%
SPY State Street SPDR S&P 500 ETF	8.45%	17.72%	24.89%	26.18%	-18.18%	2.18%

Correlation

The correlation between THRO and SPY is 0.97 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.97
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (All Time) Calculated using the full available price history since Dec 17, 2021	0.96

The correlation between THRO and SPY has been stable across timeframes, ranging from 0.96 to 0.97 - a consistent structural relationship.

THRO vs. SPY - Sectors Allocation Comparison

Sectors	THRO	SPY
Technology	40.7%	35.9%
Financial Services	12.1%	11.8%
Communication Services	11.6%	11.3%
Industrials	10.4%	7.8%
Consumer Cyclical	8.6%	10.3%
Consumer Defensive	7.1%	4.8%
Healthcare	6.6%	8.4%
Energy	1.7%	3.6%
Basic Materials	0.9%	1.8%
Utilities	0.1%	2.4%
Real Estate	-	1.9%

Return for Risk

THRO vs. SPY — Risk / Return Rank

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

THRO

THRO Risk / Return Rank: 51
THRO Sharpe Ratio Rank: 52
THRO Sortino Ratio Rank: 51
THRO Omega Ratio Rank: 51
THRO Calmar Ratio Rank: 45
THRO Martin Ratio Rank: 56

SPY

SPY Risk / Return Rank: 66
SPY Sharpe Ratio Rank: 66
SPY Sortino Ratio Rank: 63
SPY Omega Ratio Rank: 66
SPY Calmar Ratio Rank: 60
SPY Martin Ratio Rank: 73

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.

THRO vs. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Thematic Rotation Active ETF (THRO) 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.

	THRO	SPY	Difference
Sharpe ratio: Return per unit of total volatility	1.73	2.14	-0.41
Sortino ratio: Return per unit of downside risk	2.39	2.88	-0.49
Omega ratio: Gain probability vs. loss probability	1.31	1.39	-0.08
Calmar ratio: Return relative to maximum drawdown	2.13	2.92	-0.79
Martin ratio: Return relative to average drawdown	9.41	13.50	-4.09
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

THRO vs. SPY - Sharpe Ratio Comparison

The current THRO Sharpe Ratio is 1.73, which is comparable to the SPY Sharpe Ratio of 2.14. The chart below compares the historical Sharpe Ratios of THRO 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

	THRO	SPY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.73	2.14	-0.41
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.78	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.85	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.70	0.58	+0.12

Drawdowns

THRO vs. SPY - Drawdown Comparison

The maximum THRO drawdown since its inception was -26.54%, smaller than the maximum SPY drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for THRO and SPY.

Drawdown Indicators

	THRO	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-26.54%	-55.19%	+28.65%
Max Drawdown (1Y) Largest decline over 1 year	-10.87%	-8.88%	-1.99%
Max Drawdown (3Y) Largest decline over 3 years	-19.07%	-18.76%	-0.31%
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	-3.48%	-2.90%	-0.58%
Average Drawdown Average peak-to-trough decline	-6.68%	-9.05%	+2.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.46%	1.91%	+0.55%

Volatility

THRO vs. SPY - Volatility Comparison

iShares U.S. Thematic Rotation Active ETF (THRO) has a higher volatility of 4.54% compared to State Street SPDR S&P 500 ETF (SPY) at 3.73%. This indicates that THRO's price experiences larger fluctuations and is considered to be riskier than SPY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	THRO	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.54%	3.73%	+0.81%
Volatility (6M) Calculated over the trailing 6-month period	10.62%	9.31%	+1.31%
Volatility (1Y) Calculated over the trailing 1-year period	13.39%	12.12%	+1.27%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.76%	17.09%	+1.67%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.76%	17.95%	+0.81%

THRO vs. SPY - Expense Ratio Comparison

THRO has a 0.60% expense ratio, which is higher than SPY's 0.09% expense ratio.

Dividends

THRO vs. SPY - Dividend Comparison

THRO's dividend yield for the trailing twelve months is around 0.16%, less than SPY's 1.00% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SPY State Street SPDR S&P 500 ETF	1.00%	1.07%	1.21%	1.40%	1.65%	1.20%	1.52%	1.75%	2.04%	1.80%	2.03%	2.06%
THRO iShares U.S. Thematic Rotation Active ETF	0.16%	0.15%	0.73%	0.55%	0.90%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both THRO and SPY in my portfolio?

With a correlation of 0.97, THRO and SPY 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, THRO or SPY?

THRO has higher volatility (4.54%) compared to SPY (3.73%). In terms of maximum drawdown, THRO dropped -26.54% vs SPY's -55.19%.

Which ETF is better, THRO or SPY?

On 3-year performance, THRO leads with 23.13% vs 21.43% for SPY. On fees, SPY is cheaper at 0.09% per year. On volatility, SPY has been the lower-risk option at 3.73%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, THRO or SPY?

Over the 3-year period, THRO has performed better with a 23.13% return vs 21.43%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, THRO or SPY?

SPY is cheaper with a 0.09% expense ratio, compared with 0.60% for THRO.

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

SPY has the higher dividend yield at 1.00%, compared with 0.16% for THRO.

What is the main difference between THRO and SPY?

THRO is categorized as Tactical Allocation, while SPY is S&P 500. They also come from different issuers: iShares and State Street. Their fees differ too: 0.60% for THRO and 0.09% for SPY.

Which has better risk-adjusted returns?

SPY currently has the higher Sharpe Ratio (2.14 vs 1.73), 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.