USMV vs. SDY

Last updated Aug 4, 2026

USMV (iShares MSCI USA Min Vol Factor ETF) and SDY (SPDR S&P Dividend ETF) are both exchange-traded funds - USMV is a Low Volatility fund tracking the MSCI USA Minimum Volatility Index, while SDY is a Mid Cap Value Equities fund tracking the S&P High Yield Dividend Aristocrats Index. Both are passively managed. Over the past 10 years, USMV returned 9.69%/yr vs 9.33%/yr for SDY. Their correlation of 0.84 means they have usually moved in the same direction. USMV charges 0.15%/yr vs 0.35%/yr for SDY.

Performance

USMV vs. SDY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI USA Min Vol Factor ETF (USMV) and SPDR S&P Dividend ETF (SDY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, USMV achieves a 5.12% return, which is significantly lower than SDY's 13.33% return. Both investments have delivered pretty close results over the past 10 years, with USMV having a 9.69% annualized return and SDY not far behind at 9.33%.

USMV

• 1D: 0.35%
• 1M: 0.39%
• 6M: 3.78%
• YTD: 5.12%
• 1Y: 8.05%
• 3Y*: 11.61%
• 5Y*: 6.93%
• 10Y*: 9.69%
• ALL TIME*: 11.67%

SDY

• 1D: 0.48%
• 1M: 0.05%
• 6M: 5.70%
• YTD: 13.33%
• 1Y: 17.14%
• 3Y*: 10.66%
• 5Y*: 7.74%
• 10Y*: 9.33%
• ALL TIME*: 9.03%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
SDY SPDR S&P Dividend ETF	$30.54M	$30.37M	$33.37M
USMV iShares MSCI USA Min Vol Factor ETF	$238.33M	$228.63M	$219.79M

USMV vs. SDY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
USMV iShares MSCI USA Min Vol Factor ETF	5.12%	7.65%	15.74%	10.33%	-9.43%	20.85%	5.64%	27.69%	1.33%	18.91%
SDY SPDR S&P Dividend ETF	13.33%	8.18%	8.45%	2.61%	-0.54%	25.32%	1.71%	23.29%	-2.74%	15.82%

Correlation

The correlation between USMV and SDY is 0.72, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.72
Correlation (3Y) Balances recent behavior with more history.	0.81
Correlation (5Y) Shows whether the relationship held over a longer period.	0.83
Correlation (10Y) Provides a long-term view across more market conditions.	0.81
Correlation (All Time) Calculated using the full available price history since Oct 20, 2011	0.84

The correlation between USMV and SDY shifts across timeframes, from 0.72 (1 year) to 0.84 (all time), reflecting how their relationship changes across market environments.

USMV vs. SDY - Sectors Allocation Comparison

Sectors	USMV	SDY
Technology	33.0%	10.3%
Healthcare	13.4%	7.9%
Financial Services	11.8%	12.6%
Consumer Defensive	9.3%	16.3%
Utilities	7.2%	14.2%
Industrials	6.4%	17.5%
Consumer Cyclical	5.8%	5.9%
Communication Services	5.7%	2.2%
Energy	2.6%	2.8%
Real Estate	2.6%	4.4%
Basic Materials	2.2%	5.8%

Return for Risk

USMV vs. SDY — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

USMV

USMV Risk / Return Rank: 37
USMV Sharpe Ratio Rank: 38
USMV Sortino Ratio Rank: 37
USMV Omega Ratio Rank: 34
USMV Calmar Ratio Rank: 36
USMV Martin Ratio Rank: 39

SDY

SDY Risk / Return Rank: 64
SDY Sharpe Ratio Rank: 68
SDY Sortino Ratio Rank: 74
SDY Omega Ratio Rank: 64
SDY Calmar Ratio Rank: 63
SDY Martin Ratio Rank: 51

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

USMV vs. SDY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI USA Min Vol Factor ETF (USMV) and SPDR S&P Dividend ETF (SDY). 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.

	USMV	SDY	Difference
Sharpe ratio: Return per unit of total volatility	0.95	1.60	-0.65
Sortino ratio: Return per unit of downside risk	1.40	2.45	-1.05
Omega ratio: Gain probability vs. loss probability	1.17	1.28	-0.11
Calmar ratio: Return relative to maximum drawdown	1.25	2.24	-0.99
Martin ratio: Return relative to average drawdown	4.09	6.03	-1.95

USMV vs. SDY - Sharpe Ratio Comparison

The current USMV Sharpe Ratio is 0.95, which is lower than the SDY Sharpe Ratio of 1.60. The chart below compares the historical Sharpe Ratios of USMV and SDY, 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

USMV vs. SDY - Drawdown Comparison

The maximum USMV drawdown since its inception was -33.10%, smaller than the maximum SDY drawdown of -54.75%. Use the drawdown chart below to compare losses from any high point for USMV and SDY.

Drawdown Indicators

	USMV	SDY	Difference
Max Drawdown Largest peak-to-trough decline	-33.10%	-54.75%	+21.65%
Max Drawdown (1Y) Largest decline over 1 year	-6.46%	-7.67%	+1.21%
Max Drawdown (3Y) Largest decline over 3 years	-9.36%	-14.39%	+5.03%
Max Drawdown (5Y) Largest decline over 5 years	-17.93%	-15.21%	-2.72%
Max Drawdown (10Y) Largest decline over 10 years	-33.10%	-36.70%	+3.60%
Current Drawdown Current decline from peak	-0.29%	-1.86%	+1.57%
Average Drawdown Average peak-to-trough decline	-2.86%	-6.17%	+3.31%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.98%	2.85%	-0.87%

Volatility

USMV vs. SDY - Volatility Comparison

The current volatility for iShares MSCI USA Min Vol Factor ETF (USMV) is 2.63%, while SPDR S&P Dividend ETF (SDY) has a volatility of 4.07%. This indicates that USMV experiences smaller price fluctuations and is considered to be less risky than SDY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	USMV	SDY	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.63%	4.07%	-1.44%
Volatility (6M) Calculated over the trailing 6-month period	6.44%	8.12%	-1.68%
Volatility (1Y) Calculated over the trailing 1-year period	8.54%	10.77%	-2.23%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.38%	14.02%	-1.64%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.51%	17.09%	-2.58%

USMV vs. SDY - Expense Ratio Comparison

USMV has a 0.15% expense ratio, which is lower than SDY's 0.35% expense ratio.

Dividends

USMV vs. SDY - Dividend Comparison

USMV's dividend yield for the trailing twelve months is around 1.47%, less than SDY's 2.40% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SDY SPDR S&P Dividend ETF	2.40%	2.61%	2.56%	2.64%	2.55%	2.63%	2.85%	2.45%	2.73%	4.69%	3.30%	6.20%
USMV iShares MSCI USA Min Vol Factor ETF	1.47%	1.49%	1.67%	1.82%	1.62%	1.26%	1.81%	1.88%	2.12%	1.77%	2.22%	2.02%

Frequently Asked Questions

Can I hold both USMV and SDY in my portfolio?

USMV and SDY have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, USMV or SDY?

SDY has higher volatility (4.07%) compared to USMV (2.63%). In terms of maximum drawdown, USMV dropped -33.10% vs SDY's -54.75%.

Which ETF is better, USMV or SDY?

On 10-year performance, USMV leads with 9.69% vs 9.33% for SDY. On fees, USMV is cheaper at 0.15% per year. On volatility, USMV has been the lower-risk option at 2.63%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, USMV or SDY?

Over the 10-year period, USMV has performed better with a 9.69% return vs 9.33%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, USMV or SDY?

USMV is cheaper with a 0.15% expense ratio, compared with 0.35% for SDY.

Which ETF pays a higher dividend yield, USMV or SDY?

SDY has the higher dividend yield at 2.40%, compared with 1.47% for USMV.

What is the main difference between USMV and SDY?

USMV is categorized as Low Volatility, while SDY is Mid Cap Value Equities. USMV tracks MSCI USA Minimum Volatility Index, while SDY tracks S&P High Yield Dividend Aristocrats Index. They also come from different issuers: iShares and State Street. Their fees differ too: 0.15% for USMV and 0.35% for SDY.

Which has better risk-adjusted returns?

SDY currently has the higher Sharpe Ratio (1.60 vs 0.95), 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.