TSM vs. TSMY

Last updated Jun 3, 2026

TSM (Taiwan Semiconductor Manufacturing Company Limited) is a stock, while TSMY (YieldMax TSM Option Income Strategy ETF) is Derivative Income fund actively managed by YieldMax. Over the past year, TSM returned 132.03% vs 96.92% for TSMY. With a 0.98 correlation, they move nearly in lockstep.

Performance

TSM vs. TSMY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Taiwan Semiconductor Manufacturing Company Limited (TSM) and YieldMax TSM Option Income Strategy ETF (TSMY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TSM achieves a 47.40% return, which is significantly higher than TSMY's 38.94% return.

TSM

• 1D: 2.54%
• 1M: 12.33%
• YTD: 47.40%
• 6M: 53.75%
• 1Y: 132.03%
• 3Y*: 67.72%
• 5Y*: 32.95%
• 10Y*: 36.50%

TSMY

• 1D: 1.56%
• 1M: 9.89%
• YTD: 38.94%
• 6M: 42.47%
• 1Y: 96.92%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

TSM vs. TSMY - Yearly Performance Comparison

	2026 (YTD)	2025	2024
TSM Taiwan Semiconductor Manufacturing Company Limited	47.40%	55.91%	15.99%
TSMY YieldMax TSM Option Income Strategy ETF	38.94%	41.00%	8.15%

Correlation

The correlation between TSM and TSMY is 0.98 - 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	0.98
Correlation (All Time) Calculated using the full available price history since Aug 22, 2024	0.98

The correlation between TSM and TSMY has been stable across timeframes, ranging from 0.98 to 0.98 - a consistent structural relationship.

Return for Risk

TSM vs. TSMY — Risk / Return Rank

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

TSM

TSM Risk / Return Rank: 95
TSM Sharpe Ratio Rank: 97
TSM Sortino Ratio Rank: 95
TSM Omega Ratio Rank: 93
TSM Calmar Ratio Rank: 95
TSM Martin Ratio Rank: 97

TSMY

TSMY Risk / Return Rank: 90
TSMY Sharpe Ratio Rank: 92
TSMY Sortino Ratio Rank: 87
TSMY Omega Ratio Rank: 85
TSMY Calmar Ratio Rank: 92
TSMY Martin Ratio Rank: 92

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.

TSM vs. TSMY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Taiwan Semiconductor Manufacturing Company Limited (TSM) and YieldMax TSM Option Income Strategy ETF (TSMY). 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.

	TSM	TSMY	Difference
Sharpe ratio Return per unit of total volatility	3.74	3.38	+0.36
Sortino ratio Return per unit of downside risk	4.25	4.00	+0.25
Omega ratio Gain probability vs. loss probability	1.52	1.53	-0.01
Calmar ratio Return relative to maximum drawdown	7.38	6.40	+0.98
Martin ratio Return relative to average drawdown	26.63	23.81	+2.82
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TSM vs. TSMY - Sharpe Ratio Comparison

The current TSM Sharpe Ratio is 3.74, which is comparable to the TSMY Sharpe Ratio of 3.38. The chart below compares the historical Sharpe Ratios of TSM and TSMY, 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

	TSM	TSMY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.74	3.38	+0.36
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.89	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.07	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.37	1.60	-1.22

Drawdowns

TSM vs. TSMY - Drawdown Comparison

The maximum TSM drawdown since its inception was -89.08%, which is greater than TSMY's maximum drawdown of -31.15%. Use the drawdown chart below to compare losses from any high point for TSM and TSMY.

Drawdown Indicators

	TSM	TSMY	Difference
Max Drawdown Largest peak-to-trough decline	-89.08%	-31.15%	-57.93%
Max Drawdown (1Y) Largest decline over 1 year	-18.14%	-15.50%	-2.64%
Max Drawdown (3Y) Largest decline over 3 years	-36.82%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-56.47%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-56.47%	—	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-42.89%	-5.52%	-37.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.03%	4.17%	+0.86%

Volatility

TSM vs. TSMY - Volatility Comparison

Taiwan Semiconductor Manufacturing Company Limited (TSM) has a higher volatility of 11.31% compared to YieldMax TSM Option Income Strategy ETF (TSMY) at 9.35%. This indicates that TSM's price experiences larger fluctuations and is considered to be riskier than TSMY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TSM	TSMY	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.31%	9.35%	+1.96%
Volatility (6M) Calculated over the trailing 6-month period	27.11%	22.65%	+4.46%
Volatility (1Y) Calculated over the trailing 1-year period	35.51%	28.83%	+6.68%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	37.27%	33.23%	+4.04%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	34.12%	33.23%	+0.89%

Dividends

TSM vs. TSMY - Dividend Comparison

TSM's dividend yield for the trailing twelve months is around 0.74%, less than TSMY's 51.48% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
TSM Taiwan Semiconductor Manufacturing Company Limited	0.74%	1.00%	1.18%	1.78%	2.49%	1.57%	1.56%	3.46%	3.64%	2.32%	2.61%	2.54%
TSMY YieldMax TSM Option Income Strategy ETF	51.48%	56.76%	13.71%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TSM and TSMY in my portfolio?

With a correlation of 0.98, TSM and TSMY 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, TSM or TSMY?

TSM has higher volatility (11.31%) compared to TSMY (9.35%). In terms of maximum drawdown, TSM dropped -89.08% vs TSMY's -31.15%.

Which has better risk-adjusted returns?

TSM currently has the higher Sharpe Ratio (3.74 vs 3.38), 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.