WTPI vs. PAPI

Last updated Jun 24, 2026

WTPI (WisdomTree Equity Premium Income Fund) and PAPI (Parametric Equity Premium Income ETF) are both Derivative Income funds. WTPI is passively managed, while PAPI is actively managed. Over the past year, WTPI returned 16.19% vs 12.01% for PAPI. At a 0.38 correlation, their price movements are largely independent. WTPI charges 0.44%/yr vs 0.29%/yr for PAPI.

Performance

WTPI vs. PAPI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in WisdomTree Equity Premium Income Fund (WTPI) and Parametric Equity Premium Income ETF (PAPI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, WTPI achieves a 3.16% return, which is significantly lower than PAPI's 6.57% return.

WTPI

• 1D: -1.14%
• 1M: -0.70%
• YTD: 3.16%
• 6M: 2.00%
• 1Y: 16.19%
• 3Y*: 12.75%
• 5Y*: 9.33%
• 10Y*: 8.20%

PAPI

• 1D: 0.45%
• 1M: 0.17%
• YTD: 6.57%
• 6M: 5.93%
• 1Y: 12.01%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

WTPI vs. PAPI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
WTPI WisdomTree Equity Premium Income Fund	3.16%	14.45%	17.18%	4.26%
PAPI Parametric Equity Premium Income ETF	6.57%	6.33%	8.90%	4.53%

Correlation

The correlation between WTPI and PAPI is 0.29, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.29
Correlation (All Time) Calculated using the full available price history since Oct 19, 2023	0.38

Return for Risk

WTPI vs. PAPI — Risk / Return Rank

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

WTPI

WTPI Risk / Return Rank: 55
WTPI Sharpe Ratio Rank: 53
WTPI Sortino Ratio Rank: 53
WTPI Omega Ratio Rank: 59
WTPI Calmar Ratio Rank: 48
WTPI Martin Ratio Rank: 62

PAPI

PAPI Risk / Return Rank: 34
PAPI Sharpe Ratio Rank: 33
PAPI Sortino Ratio Rank: 35
PAPI Omega Ratio Rank: 31
PAPI Calmar Ratio Rank: 37
PAPI Martin Ratio Rank: 32

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.

WTPI vs. PAPI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree Equity Premium Income Fund (WTPI) and Parametric Equity Premium Income ETF (PAPI). 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.

	WTPI	PAPI	Difference
Sharpe ratio: Return per unit of total volatility	1.75	1.15	+0.60
Sortino ratio: Return per unit of downside risk	2.44	1.74	+0.70
Omega ratio: Gain probability vs. loss probability	1.35	1.20	+0.15
Calmar ratio: Return relative to maximum drawdown	2.27	1.76	+0.52
Martin ratio: Return relative to average drawdown	10.71	4.42	+6.29

WTPI vs. PAPI - Sharpe Ratio Comparison

The current WTPI Sharpe Ratio is 1.75, which is higher than the PAPI Sharpe Ratio of 1.15. The chart below compares the historical Sharpe Ratios of WTPI and PAPI, 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

WTPI vs. PAPI - Drawdown Comparison

The maximum WTPI drawdown since its inception was -28.40%, which is greater than PAPI's maximum drawdown of -14.27%. Use the drawdown chart below to compare losses from any high point for WTPI and PAPI.

Drawdown Indicators

	WTPI	PAPI	Difference
Max Drawdown Largest peak-to-trough decline	-28.40%	-14.27%	-14.13%
Max Drawdown (1Y) Largest decline over 1 year	-7.15%	-6.86%	-0.29%
Max Drawdown (3Y) Largest decline over 3 years	-15.26%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-16.56%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-28.40%	—	—
Current Drawdown Current decline from peak	-1.53%	-4.37%	+2.84%
Average Drawdown Average peak-to-trough decline	-3.43%	-2.77%	-0.66%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.51%	2.72%	-1.21%

Volatility

WTPI vs. PAPI - Volatility Comparison

WisdomTree Equity Premium Income Fund (WTPI) has a higher volatility of 3.40% compared to Parametric Equity Premium Income ETF (PAPI) at 2.68%. This indicates that WTPI's price experiences larger fluctuations and is considered to be riskier than PAPI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	WTPI	PAPI	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.40%	2.68%	+0.72%
Volatility (6M) Calculated over the trailing 6-month period	7.61%	7.05%	+0.56%
Volatility (1Y) Calculated over the trailing 1-year period	9.33%	10.55%	-1.22%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.22%	11.73%	+0.49%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.26%	11.73%	+1.53%

WTPI vs. PAPI - Expense Ratio Comparison

WTPI has a 0.44% expense ratio, which is higher than PAPI's 0.29% expense ratio.

Dividends

WTPI vs. PAPI - Dividend Comparison

WTPI's dividend yield for the trailing twelve months is around 12.19%, more than PAPI's 7.56% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
PAPI Parametric Equity Premium Income ETF	7.56%	7.59%	7.07%	1.45%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
WTPI WisdomTree Equity Premium Income Fund	12.19%	13.18%	11.99%	8.94%	3.27%	0.00%	1.43%	1.47%	6.46%	3.52%	2.27%

Frequently Asked Questions

Can I hold both WTPI and PAPI in my portfolio?

WTPI and PAPI have a correlation of 0.29, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, WTPI or PAPI?

WTPI has higher volatility (3.40%) compared to PAPI (2.68%). In terms of maximum drawdown, WTPI dropped -28.40% vs PAPI's -14.27%.

Which ETF is better, WTPI or PAPI?

On 1-year performance, WTPI leads with 16.19% vs 12.01% for PAPI. On fees, PAPI is cheaper at 0.29% per year. On volatility, PAPI has been the lower-risk option at 2.68%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, WTPI or PAPI?

Over the 1-year period, WTPI has performed better with a 16.19% return vs 12.01%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, WTPI or PAPI?

PAPI is cheaper with a 0.29% expense ratio, compared with 0.44% for WTPI.

Which ETF pays a higher dividend yield, WTPI or PAPI?

WTPI has the higher dividend yield at 12.19%, compared with 7.56% for PAPI.

What is the main difference between WTPI and PAPI?

They also come from different issuers: WisdomTree and Morgan Stanley. Their fees differ too: 0.44% for WTPI and 0.29% for PAPI.

Which has better risk-adjusted returns?

WTPI currently has the higher Sharpe Ratio (1.75 vs 1.15), 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.