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ETF Comparison

JEPI vs SPY: Which Is the Better Pick in 2026?

A head-to-head comparison of JPMorgan Equity Premium Income ETF and SPDR S&P 500 ETF Trust covering yield, cost, risk, and income potential.

Updated September 30, 2026

How these figures are calculated: methodology.

Best for

  • JEPIInvestors who want higher current income (7.93% vs 0.99% for SPY).
  • SPYInvestors who want simple, diversified core exposure in one low-cost fund.

Jump to the side-by-side numbers

Visual comparison

Key metrics

Projected income on $10K

Projections assume the current yield and share price remain constant. Actual results will vary.

Total returns

100% reinvested · ex-date convention. Period returns use this fixed assumption, independent of chart settings. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year.

JEPI has lagged SPY over the trailing twelve months, posting a 6.92% total return against 16.15%. The lead holds up over 5 years too: SPY has compounded at 13.41% a year, against 7.50% for JEPI. JEPI has been the steadier holding, though — annualized volatility of 10.1% against 15.2% for SPY. Figures are total returns: price change plus every distribution reinvested.

Total return and risk statistics by fund. Each row is one fund; each column is one period or statistic.
SymbolYTD cumulative1Y cumulative3Y annualized5Y annualizedSince May 2020Volatility Sharpe Sortino Max drawdown
JEPI3.50%6.92%10.22%7.50%10.87%10.1%0.530.74-13.3%
SPY12.50%16.15%22.81%13.41%17.76%15.2%1.061.55-18.8%

Total return with all distributions reinvested on the ex-dividend date (a modeling convention, not the cash-settlement date), split-adjusted, as of September 30, 2026. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year. “Since May 2020” measures every fund from May 21, 2020 — the start of shared available history — so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the trailing 3 years. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the trailing 3 years) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.

Side-by-side snapshot

Side-by-side snapshot. Each row is one metric; each column is one fund.
MetricJEPISPY
Full nameJPMorgan Equity Premium Income ETFSPDR S&P 500 ETF Trust
IssuerJPMorganState Street
Last Close$56.22 as of September 30, 2026$762.63 as of September 30, 2026
Distribution rate7.93%0.99%
Trailing 12-month yield8.15%0.99%
Distribution Safety Score™ 75100
Safety-Adjusted Yield 5.95%0.99%
Expense ratio0.35%0.0945%
AUM$45.7B$817B
Distribution frequencyMonthlyQuarterly
Underlying index—S&P 500 Index
ObjectiveSeeks monthly income and lower volatility than the broad U.S. large-cap market by combining an actively managed portfolio of equities with equity-linked notes that sell call options on the S&P 500 Index.Track the S&P 500 Index before expenses.
Asset classEquityEquity
Inception date05/20/202001/22/1993
Beta0.431.0
Last dividend$0.37142$1.88883
Ex-dividend date09/01/202609/18/2026

Bottom lineChoose JEPI if you want higher current income (7.93% vs 0.99% for SPY). Choose SPY if you want simple, diversified core exposure in one low-cost fund.

Model this comparison:
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Income calculator

See how much monthly income a hypothetical investment would generate in each ETF at current yields.

JPMorgan
ETFs78
Total AUM$350B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

JPMorgan is a major provider of ETFs spanning multiple asset classes and strategies, with particular strength in income-focused funds including their popular covered call strategy lineup. Their fund family encompasses broad categories including bond, equity, factor, income, index, international, municipal, and sector ETFs, providing investors with diverse exposure options across markets and investment styles. The issuer offers both core indexed strategies and actively managed solutions, serving investors seeking everything from traditional dividend income to sophisticated factor-based and thematic approaches.

See our curated list of related YouTube videos on JEPI.

See all JPMorgan ETFs
State Street
ETFs179
Total AUM$2148B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

State Street Global Advisors (SSGA) is one of the largest ETF providers globally, known for its flagship SPDR suite of exchange-traded products that serve both institutional and retail investors across a broad range of asset classes. Their 88-fund lineup spans diverse strategies including sector exposure (Select Sector SPDR), income generation (Income and Select Sector SPDR Premium Income families), commodities (including the widely-held GLD gold ETF), bonds, ESG-focused investments, and thematic allocations, with popular tickers like DIA (Diamonds Trust), FEZ (Eurozone exposure), and JNK (high-yield bonds) among their most recognized funds. The issuer is characterized by its comprehensive coverage across multiple market segments and its emphasis on both traditional index-based products and specialized strategies like covered call income funds and factor-based investing.

See our curated list of related YouTube videos on SPY.

See all State Street ETFs

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Quick verdict

JEPI (JPMorgan Equity Premium Income ETF) and SPY (SPDR S&P 500 ETF Trust) are both dividend ETFs, but they take different approaches.

JEPI offers the higher yield at 7.93% vs 0.99% for SPY. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

SPY is cheaper with an expense ratio of 0.0945% compared to 0.35%.

SPY is the larger fund by assets ($817B), but assets alone do not establish trading costs or liquidity.

Who should choose each?

Choose JEPI

JPMorgan Equity Premium Income ETF

  • Want higher current income — JEPI yields 7.93% vs 0.99% for SPY.
  • Want broad equity exposure.
  • Prefer lower volatility — a beta of 0.4 vs 1.0 for SPY.

Choose SPY

SPDR S&P 500 ETF Trust

  • Want simple, diversified core exposure as a portfolio building block.
  • Want to keep costs low — a 0.0945% expense ratio vs 0.35% for JEPI.

Not sure? Use the income calculator and snapshot above to weigh these trade-offs against your own goals.

Deep dive

Yield & income

On a $10,000 investment, JEPI would generate roughly $66.08 cash per distribution, while SPY would produce $24.75 cash per distribution, at current distribution rates.

JEPI yield7.93%
SPY yield0.99%
Cash diff on $10K$41.33

Cost & efficiency

Over 10 years on $10,000, JEPI would cost approximately $350 in fees vs $95 for SPY (simplified, not compounded). The $255.50 difference may be offset by yield or performance.

JEPI ER0.35%
SPY ER0.0945%

Strategy & risk

JEPI is an actively managed ETF built around a derivative overlay strategy, while SPY tracks S&P 500 Index with a large cap approach. Beta is 0.43 for JEPI and 1.0 for SPY, making JEPI the less volatile of the two by this measure.

JEPI beta0.43
SPY beta1.0

Fund details

JEPI is managed by JPMorgan (launched 05/20/2020) with $45.7B in assets. SPY is managed by State Street (launched 01/22/1993) with $817B in assets.

JEPI AUM$45.7B
SPY AUM$817B
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Frequently asked questions

What is the current distribution rate for JEPI and SPY?

JEPI currently distributes 7.93% and SPY 0.99%, based on fund data updated September 2026. Distribution rate moves with both the payout and the share price, so check the as-of date before relying on either figure.

Is JEPI or SPY better for dividend income?

It depends on your goals. JEPI currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.

What is the difference between JEPI and SPY?

JEPI (JPMorgan Equity Premium Income ETF) is an actively managed ETF built around a derivative overlay strategy, while SPY (SPDR S&P 500 ETF Trust) tracks S&P 500 Index with a large cap approach. They are issued by JPMorgan and State Street respectively.

Can I hold both JEPI and SPY?

Yes — nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

Is JEPI or SPY safer?

By Dividend Vision's Distribution Safety Score — a rules-based 0–100 estimate of how resilient a distribution looks, where higher is safer — SPY scores 100, JEPI scores 75, so SPY's payout currently looks the more resilient of the two. JEPI has also shown lower price volatility (beta 0.43 vs 1.00 for SPY). No score makes an investment risk-free — treat this as a screening signal, not a guarantee.

Which has lower fees, JEPI or SPY?

JEPI has an expense ratio of 0.35% while SPY charges 0.0945%. Lower fees mean more of your investment returns stay in your pocket over time.

How much income does $10,000 in JEPI vs SPY generate?

At current rates, $10,000 in JEPI would generate roughly $66.08 cash per distribution ($793.00 annually). The same in SPY would produce about $24.75 cash per distribution ($99.00 annually).

Which has performed better historically, JEPI or SPY?

JEPI has lagged SPY over the trailing twelve months, posting a 6.92% total return against 16.15%. The lead holds up over 5 years too: SPY has compounded at 13.41% a year, against 7.50% for JEPI. JEPI has been the steadier holding, though — annualized volatility of 10.1% against 15.2% for SPY. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

More comparisons to explore

JEPI vs SPY — at a glance

Generated September 26, 2026.

Overview

JEPI is an actively managed equity ETF that combines S&P 500 stocks with an options overlay—specifically, it sells covered calls on the S&P 500 to generate monthly income. SPY is a passive index ETF that simply tracks the S&P 500 itself. The key difference is that JEPI sacrifices upside capture in exchange for lower volatility and a much higher distribution rate, while SPY offers full market participation with minimal fees.

How they differ

JEPI's covered-call strategy is the fundamental distinction. By selling call options, JEPI caps its upside at a predetermined level each month, which is why its 0.43 beta is roughly half of SPY's 1.0—it moves with the market only about 43% as much.

Who each is best for

JEPI: Fits income-focused investors with a moderate risk tolerance who want monthly cash flow and are willing to forgo bull-market upside capture in exchange for lower volatility and higher current yield.

Key risks to know

  • Capped upside and call assignment risk in JEPI. Because JEPI sells calls each month, strong rallies in the S&P 500 are partially forgone. If the index rallies sharply, shares may be called away, forcing reinvestment at potentially higher prices and interrupting the income stream.
  • NAV erosion at elevated yields. JEPI's 7.93% yield is roughly 8x SPY's dividend yield. Sustainability depends on both option premiums and equity appreciation. If option premiums compress or equities flat-line, the fund may need to return capital, gradually eroding net asset value over time.
  • Volatility compression and performance drag. JEPI's lower beta dampens drawdowns but also mutes recovery gains. In a sustained bull market, this drag compounds; an investor comparing 5- or 10-year returns may find the income advantage offset by missed capital appreciation.
  • Concentration in options strategy. JEPI's entire income generation depends on its ability to sell calls profitably. During periods of extreme equity volatility or inverted volatility skew, option premiums may shrink sharply, reducing the fund's income-generating power.
  • SPY's tax efficiency comes with minimal income. SPY's 0.99% yield means investors relying on distributions alone will see very little cash. Long-term investors benefit from deferred capital gains, but that's not income.

Bottom line

If you need high monthly income and can accept lower volatility and capped upside, JEPI's 7.93% yield and 0.43 beta offer a structured trade. If you want full market exposure at the lowest cost with the flexibility to let capital compound, SPY's $817B asset base and 0.0945% expense ratio are hard to beat. Past performance—whether from JEPI's option premiums or SPY's market tracking—does not predict future results.

AI-generated analysis for educational purposes only. Verify important details independently; past performance does not guarantee future results.

Learn the method

The metrics behind this comparison, explained in the Academy.

How covered-call funds work How to read a fund's stats The covered-call opportunity cost

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These comparisons follow the Dividend Vision methodology.