MDY vs USMV: Correlation & Overlap
Measured on weekly returns over the past three years, SPDR S&P MidCap 400 ETF (MDY) and iShares MSCI USA Min Vol Factor ETF (USMV) carry a correlation of 0.74, a strong link. By holdings, the two funds overlap 0.7% by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are MDY and USMV?
Across a 3-year window, the weekly returns of MDY and USMV correlate at 0.74, strong. Lately the two have drifted apart, with the 1-year correlation at 0.49 versus 0.74 over 3 years. Stretching to 5 years gives 0.78, with an annualized covariance of 121.8 %².
By 3-year correlation, USMV places #39 of the 359 assets tracked against MDY. On 12-month performance MDY holds a 8.2-point edge, +18.3% against +10.1%. The rolling one-year correlation moved between 0.52 and 0.88 over the past three years, a moderate range. Note the risk asymmetry: MDY runs 1.7 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
MDY vs USMV: side by side
| MDY (SPDR S&P MidCap 400 ETF) | USMV (iShares MSCI USA Min Vol Factor ETF) | |
|---|---|---|
| 1-year return | +18.3% | +10.1% |
| 5-year return | +47.5% | +42.3% |
| Volatility (ann.) | 16.5% | 9.9% |
| Beta vs S&P 500 | 0.91 | 0.51 |
| Max drawdown (3Y) | -24.0% | -9.4% |
| Dividend yield | 1.02% | 1.48% |
| Expense ratio | 0.23% | 0.15% |
| Assets under management | $26.5B | $23.6B |
| Sector / category | ETF · US Small & Mid Cap | ETF · US Style |
MDY, State Street Investment Management's Mid-Cap Blend fund, carries $26.5B under management, 400 holdings, a 0.23% expense ratio, a 1.02% trailing dividend yield. USMV, iShares's Large Blend fund, carries $23.6B under management, 164 holdings, a 0.15% expense ratio, a 1.48% trailing dividend yield.
Portfolio overlap between MDY and USMV
The two portfolios are largely distinct, with 3 holdings in common adding up to 0.7% of fund weight. Where correlation shows the co-movement, the overlap shows its source.
| Common holding | Weight in MDY | Weight in USMV |
|---|---|---|
| NBIX | 0.43% | 0.34% |
| SUI | 0.40% | 0.21% |
| UTHR | 0.60% | 0.18% |
Largest positions held only by MDY: TWLO (0.95%), P (0.94%), ILMN (0.93%), FTI (0.83%), ATI (0.80%). Only by USMV: MSFT (1.68%), NEM (1.65%), VRTX (1.63%), JNJ (1.58%), WELL (1.57%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 3 common positions shown.
Year-by-year returns
| Year | MDY | USMV |
|---|---|---|
| 2022 | -13.3% | -9.4% |
| 2023 | +16.1% | +10.3% |
| 2024 | +13.6% | +15.7% |
| 2025 | +7.2% | +7.6% |
| 2026 | +16.4% | +9.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are MDY and USMV good diversifiers for each other?
Somewhat, no more. With 0.74 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between MDY and USMV?
Using weekly returns as of 2026-08-27: 0.74 over 3 years, with 0.49 over the last year and 0.78 over 5 years.
Is USMV a good diversifier for MDY?
Somewhat, no more. With 0.74 correlation, most large moves hit both names, and the diversification benefit stays modest.
How much do MDY and USMV overlap?
0.7% by weight, across 3 common holdings, based on issuer-disclosed portfolios as of 2026-08-26.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/mdy-vs-usmv.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/mdy-vs-usmv/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: MDY correlations · USMV correlations
