SHYM vs SPY
iShares Short Duration High Yield Muni Active ETF vs State Street SPDR S&P 500 ETF Trust
Quick Verdict
SPY has a lower expense ratio. SPY delivered stronger 1-year returns. SPY offers more diversification with 503 holdings.
Side-by-Side Comparison
| Metric | SHYM | SPY | Winner |
|---|---|---|---|
| Expense Ratio | 0.40% | 0.09% | |
| AUM | $799M | $789.1B | |
| Dividend Yield | 4.28% | 1.01% | |
| Holdings | 421 | 505 | |
| YTD Return | -0.34% | +13.68% | |
| 1Y Return | +2.12% | +21.53% | |
| 3Y Return (annualized) | +1.14% | +21.44% | |
| 5Y Return (annualized) | -3.71% | +13.18% | |
| Volatility (annualized) | 9.0% | 15.3% | |
| Max Drawdown | -26.4% | -56.5% | |
| Fund Family | BlackRock, Inc. (US) | State Street Investment Management | |
| Category | Fixed Income | Equity | |
| Inception | Mar 16, 2021 | Jan 22, 1993 |
SHYM vs SPY Performance
iShares Short Duration High Yield Muni Active ETF (SHYM) is a ETF from BlackRock, Inc. (US) and State Street SPDR S&P 500 ETF Trust (SPY) is a ETF from State Street Investment Management. Over the past year SHYM returned +2.12% while SPY returned +21.53%. Year to date, SHYM is down 0.34% versus a gain of 13.68% for SPY.
Over three years, SHYM compounded at +1.14% per year against +21.44% for SPY; over five years the annualized figures are -3.71% and +13.18% respectively. Across the full 5-year window we track, SPY has the edge at +8.85% annualized vs -2.33%. Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
SPY has been the more volatile fund, with annualized monthly volatility of 15.3% compared with 9.0% for SHYM. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -26.4% for SHYM and -56.5% for SPY. Drawdown depth is worth weighing if you expect to sell during market stress rather than ride it out.
The two funds' monthly returns correlate at 0.70. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
SHYM charges 0.40% per year while SPY charges 0.09%. On a $10,000 position that is $40 vs $9 annually, a gap of $31 per year that compounds over a long holding period. On income, SHYM currently yields 4.28% against 1.01% for SPY.
Holdings Overlap
SHYM and SPY share 0 holdings out of 617 unique holdings combined, representing a 0.0% weight overlap.
Moderate overlap means holding both could provide meaningful diversification benefits.
Frequently Asked Questions
Which is cheaper, SHYM or SPY?
SHYM has an expense ratio of 0.40% while SPY charges 0.09%. SPY is the cheaper option. On a $10,000 investment, that is $31 per year of difference.
Which performed better, SHYM or SPY?
Over the past year SHYM returned +2.12% vs +21.53% for SPY, so SPY leads on 1-year performance. Over the longest common window we track (5 years), SHYM annualized -2.33% vs +8.85% for SPY. Past performance does not guarantee future results.
Which is riskier, SHYM or SPY?
SPY has been the more volatile fund at 15.3% annualized versus 9.0% for SHYM. Worst drawdown: SHYM -26.4% vs SPY -56.5%.
Should I hold both SHYM and SPY?
SHYM and SPY have a monthly-return correlation of 0.70, so combining them can provide real diversification depending on your allocation goals.
What is the holdings overlap between SHYM and SPY?
SHYM and SPY share 0 common holdings with a 0.0% weight overlap. Combined, they hold 617 unique securities.
Which pays a higher dividend, SHYM or SPY?
SHYM yields 4.28% while SPY yields 1.01%, so SHYM currently pays the higher dividend yield.
Popular ETF Comparisons
Get Full ETF Analytics
Access complete holdings data, overlap analysis, screener tools, and more with FundXLS.