USMV vs. SPY

Last updated Aug 2, 2026

USMV (iShares MSCI USA Min Vol Factor ETF) and SPY (State Street SPDR S&P 500 ETF) are both exchange-traded funds - USMV is a Low Volatility fund tracking the MSCI USA Minimum Volatility Index, while SPY is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. Over the past 10 years, USMV returned 9.63%/yr vs 15.07%/yr for SPY. Their correlation of 0.82 means they have usually moved in the same direction. USMV charges 0.15%/yr vs 0.09%/yr for SPY.

Performance

USMV vs. SPY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI USA Min Vol Factor ETF (USMV) 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, USMV achieves a 4.76% return, which is significantly lower than SPY's 10.13% return. Over the past 10 years, USMV has underperformed SPY with an annualized return of 9.63%, while SPY has yielded a comparatively higher 15.07% annualized return.

USMV

• 1D: 0.09%
• 1M: 0.04%
• 6M: 3.84%
• YTD: 4.76%
• 1Y: 7.68%
• 3Y*: 11.04%
• 5Y*: 6.87%
• 10Y*: 9.63%
• ALL TIME*: 11.66%

SPY

• 1D: 0.72%
• 1M: 0.30%
• 6M: 8.53%
• YTD: 10.13%
• 1Y: 21.49%
• 3Y*: 19.32%
• 5Y*: 12.76%
• 10Y*: 15.07%
• ALL TIME*: 10.79%

*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)
SPY State Street SPDR S&P 500 ETF	$37.27B	$35.99B	$39.23B
USMV iShares MSCI USA Min Vol Factor ETF	$217.70M	$221.64M	$218.77M

USMV vs. SPY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
USMV iShares MSCI USA Min Vol Factor ETF	4.76%	7.65%	15.74%	10.33%	-9.43%	20.85%	5.64%	27.69%	1.33%	18.91%
SPY State Street SPDR S&P 500 ETF	10.13%	17.72%	24.89%	26.18%	-18.18%	28.73%	18.33%	31.22%	-4.57%	21.71%

Correlation

The correlation between USMV and SPY is 0.44, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.44
Correlation (3Y) Balances recent behavior with more history.	0.62
Correlation (5Y) Shows whether the relationship held over a longer period.	0.75
Correlation (10Y) Provides a long-term view across more market conditions.	0.80
Correlation (All Time) Calculated using the full available price history since Oct 20, 2011	0.82

Over the past year, the correlation between USMV and SPY has dropped to 0.44 - well below their long-term average of 0.82, suggesting their price drivers have been diverging.

USMV vs. SPY - Sectors Allocation Comparison

Sectors	USMV	SPY
Technology	33.0%	36.9%
Healthcare	13.4%	9.4%
Financial Services	11.8%	12.5%
Consumer Defensive	9.3%	4.8%
Utilities	7.2%	2.6%
Industrials	6.4%	7.6%
Consumer Cyclical	5.8%	8.9%
Communication Services	5.7%	9.7%
Energy	2.6%	3.4%
Real Estate	2.6%	2.0%
Basic Materials	2.2%	1.9%

Return for Risk

USMV vs. SPY — Risk / Return Rank

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

USMV

USMV Risk / Return Rank: 34
USMV Sharpe Ratio Rank: 35
USMV Sortino Ratio Rank: 34
USMV Omega Ratio Rank: 32
USMV Calmar Ratio Rank: 34
USMV Martin Ratio Rank: 37

SPY

SPY Risk / Return Rank: 67
SPY Sharpe Ratio Rank: 67
SPY Sortino Ratio Rank: 64
SPY Omega Ratio Rank: 65
SPY Calmar Ratio Rank: 64
SPY Martin Ratio Rank: 76

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. SPY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI USA Min Vol Factor ETF (USMV) 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.

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	SPY	Difference
Sharpe ratio: Return per unit of total volatility	0.87	1.52	-0.65
Sortino ratio: Return per unit of downside risk	1.29	2.11	-0.83
Omega ratio: Gain probability vs. loss probability	1.15	1.27	-0.12
Calmar ratio: Return relative to maximum drawdown	1.15	2.20	-1.06
Martin ratio: Return relative to average drawdown	3.74	9.40	-5.66

USMV vs. SPY - Sharpe Ratio Comparison

The current USMV Sharpe Ratio is 0.87, which is lower than the SPY Sharpe Ratio of 1.52. The chart below compares the historical Sharpe Ratios of USMV 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.

Drawdowns

USMV vs. SPY - Drawdown Comparison

The maximum USMV drawdown since its inception was -33.10%, smaller than the maximum SPY drawdown of -55.19%. Use the drawdown chart below to compare losses from any high point for USMV and SPY.

Drawdown Indicators

	USMV	SPY	Difference
Max Drawdown Largest peak-to-trough decline	-33.10%	-55.19%	+22.09%
Max Drawdown (1Y) Largest decline over 1 year	-6.46%	-8.88%	+2.42%
Max Drawdown (3Y) Largest decline over 3 years	-9.36%	-18.76%	+9.40%
Max Drawdown (5Y) Largest decline over 5 years	-17.93%	-24.50%	+6.57%
Max Drawdown (10Y) Largest decline over 10 years	-33.10%	-33.72%	+0.62%
Current Drawdown Current decline from peak	-0.64%	-1.40%	+0.76%
Average Drawdown Average peak-to-trough decline	-2.86%	-9.01%	+6.15%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.98%	2.08%	-0.10%

Volatility

USMV vs. SPY - Volatility Comparison

The current volatility for iShares MSCI USA Min Vol Factor ETF (USMV) is 2.80%, while State Street SPDR S&P 500 ETF (SPY) has a volatility of 3.58%. This indicates that USMV 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

	USMV	SPY	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.80%	3.58%	-0.78%
Volatility (6M) Calculated over the trailing 6-month period	6.44%	10.14%	-3.70%
Volatility (1Y) Calculated over the trailing 1-year period	8.56%	12.89%	-4.33%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.38%	17.18%	-4.80%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.50%	17.95%	-3.45%

USMV vs. SPY - Expense Ratio Comparison

USMV has a 0.15% 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

USMV vs. SPY - Dividend Comparison

USMV's dividend yield for the trailing twelve months is around 1.47%, more than SPY's 1.01% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
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%
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 SPY in my portfolio?

USMV and SPY have a correlation of 0.44, 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 SPY?

SPY has higher volatility (3.58%) compared to USMV (2.80%). In terms of maximum drawdown, USMV dropped -33.10% vs SPY's -55.19%.

Which ETF is better, USMV or SPY?

On 10-year performance, SPY leads with 15.07% vs 9.63% for USMV. On fees, SPY is cheaper at 0.09% per year. On volatility, USMV has been the lower-risk option at 2.80%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, USMV or SPY?

Over the 10-year period, SPY has performed better with a 15.07% return vs 9.63%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, USMV or SPY?

SPY is cheaper with a 0.09% expense ratio, compared with 0.15% for USMV.

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

USMV has the higher dividend yield at 1.47%, compared with 1.01% for SPY.

What is the main difference between USMV and SPY?

USMV is categorized as Low Volatility, while SPY is S&P 500. USMV tracks MSCI USA Minimum Volatility Index, while SPY tracks S&P 500 Index. They also come from different issuers: iShares and State Street. Their fees differ too: 0.15% for USMV and 0.09% for SPY.

Which has better risk-adjusted returns?

SPY currently has the higher Sharpe Ratio (1.52 vs 0.87), 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.