USMV’s Minimum Volatility Promise Got Trounced By the S&P 500. Wait for Redemption or Run?
Key takeaways
- It sounds nuts, but SoFi is giving new active invest users up to $1,000 in stock for a limited time, and all it takes is a $50 deposit to get started.
- USMV returned roughly 45% over the past five years.
- SoFi Active Invest is offering a limited-time promotion.
USMV’s Minimum Volatility Promise Got Trounced By the S&P 500. Wait for Redemption or Run? DNY59 / Getty Images Omor Ibne Ehsan Tue, May 26, 2026 at 9:00 PM GMT+7 5 min read ^GSPC SPLV NOBL SCHD USMV Quick Read i Shares MSCI USA Min Vol Factor ETF (USMV) returned 45% over five years versus SPDR S&P 500 ETF Trust (SPY) at 92%, costing a $100K investor roughly $47K in foregone gains by underweighting high-beta tech stocks that drove the market recovery after 2022. Invesco S&P 500 Low Volatility ETF (SPLV) returned 35% over the same period.
USMV delivered on its mandate to reduce volatility, falling only 9% in 2022 when SPY fell 20%, but the strategy’s structural underweight in growth stocks systematically caps upside in bull markets and provides no guarantee of protection in downturns led by defensive names.
It sounds nuts, but SoFi is giving new active invest users up to $1,000 in stock for a limited time, and all it takes is a $50 deposit to get started. See for yourself (Sponsor)