ALAI vs. USOY

Last updated Jun 4, 2026

ALAI (Alger AI Enablers & Adopters ETF) and USOY (Defiance Oil Enhanced Options Income ETF) are both exchange-traded funds - ALAI is a Technology Equities fund actively managed by Alger, while USOY is a Derivative Income fund actively managed by Defiance. Both are actively managed. Over the past year, ALAI returned 63.92% vs 57.29% for USOY. At a correlation of -0.04, they often move in opposite directions. ALAI charges 0.55%/yr vs 1.22%/yr for USOY.

Performance

ALAI vs. USOY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Alger AI Enablers & Adopters ETF (ALAI) and Defiance Oil Enhanced Options Income ETF (USOY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ALAI achieves a 27.17% return, which is significantly lower than USOY's 62.18% return.

ALAI

• 1D: -1.25%
• 1M: 13.53%
• YTD: 27.17%
• 6M: 26.74%
• 1Y: 63.92%
• 3Y*: —
• 5Y*: —
• 10Y*: —

USOY

• 1D: 1.45%
• 1M: -3.43%
• YTD: 62.18%
• 6M: 59.35%
• 1Y: 57.29%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

ALAI vs. USOY - Yearly Performance Comparison

	2026 (YTD)	2025	2024
ALAI Alger AI Enablers & Adopters ETF	27.17%	39.81%	30.16%
USOY Defiance Oil Enhanced Options Income ETF	62.18%	-7.93%	7.27%

Correlation

The correlation between ALAI and USOY is -0.24, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.24
Correlation (All Time) Calculated using the full available price history since May 13, 2024	-0.04

Over the past year, the inverse relationship between ALAI and USOY has strengthened: their correlation has moved from -0.04 to -0.24, meaning they now move in opposite directions more often than their long-term average.

Return for Risk

ALAI vs. USOY — Risk / Return Rank

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

ALAI

ALAI Risk / Return Rank: 70
ALAI Sharpe Ratio Rank: 81
ALAI Sortino Ratio Rank: 71
ALAI Omega Ratio Rank: 70
ALAI Calmar Ratio Rank: 66
ALAI Martin Ratio Rank: 60

USOY

USOY Risk / Return Rank: 56
USOY Sharpe Ratio Rank: 55
USOY Sortino Ratio Rank: 46
USOY Omega Ratio Rank: 55
USOY Calmar Ratio Rank: 78
USOY Martin Ratio Rank: 46

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.

ALAI vs. USOY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Alger AI Enablers & Adopters ETF (ALAI) and Defiance Oil Enhanced Options Income ETF (USOY). 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.

	ALAI	USOY	Difference
Sharpe ratio: Return per unit of total volatility	2.67	1.89	+0.78
Sortino ratio: Return per unit of downside risk	3.27	2.30	+0.98
Omega ratio: Gain probability vs. loss probability	1.42	1.35	+0.08
Calmar ratio: Return relative to maximum drawdown	3.30	4.03	-0.73
Martin ratio: Return relative to average drawdown	10.58	7.74	+2.84
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ALAI vs. USOY - Sharpe Ratio Comparison

The current ALAI Sharpe Ratio is 2.67, which is higher than the USOY Sharpe Ratio of 1.89. The chart below compares the historical Sharpe Ratios of ALAI and USOY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	ALAI	USOY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.67	1.89	+0.78
Sharpe Ratio (All Time) Calculated using the full available price history	1.71	0.99	+0.72

Drawdowns

ALAI vs. USOY - Drawdown Comparison

The maximum ALAI drawdown since its inception was -29.36%, which is greater than USOY's maximum drawdown of -17.46%. Use the drawdown chart below to compare losses from any high point for ALAI and USOY.

Drawdown Indicators

	ALAI	USOY	Difference
Max Drawdown Largest peak-to-trough decline	-29.36%	-17.46%	-11.90%
Max Drawdown (1Y) Largest decline over 1 year	-19.48%	-14.29%	-5.19%
Current Drawdown Current decline from peak	-1.69%	-5.11%	+3.42%
Average Drawdown Average peak-to-trough decline	-5.14%	-6.47%	+1.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.06%	7.42%	-1.36%

Volatility

ALAI vs. USOY - Volatility Comparison

The current volatility for Alger AI Enablers & Adopters ETF (ALAI) is 6.97%, while Defiance Oil Enhanced Options Income ETF (USOY) has a volatility of 11.62%. This indicates that ALAI experiences smaller price fluctuations and is considered to be less risky than USOY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ALAI	USOY	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.97%	11.62%	-4.65%
Volatility (6M) Calculated over the trailing 6-month period	18.57%	27.18%	-8.61%
Volatility (1Y) Calculated over the trailing 1-year period	24.06%	30.44%	-6.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	28.41%	26.13%	+2.28%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	28.41%	26.13%	+2.28%

ALAI vs. USOY - Expense Ratio Comparison

ALAI has a 0.55% expense ratio, which is lower than USOY's 1.22% expense ratio.

Dividends

ALAI vs. USOY - Dividend Comparison

ALAI's dividend yield for the trailing twelve months is around 1.18%, less than USOY's 54.16% yield.

Position	TTM	2025	2024
ALAI Alger AI Enablers & Adopters ETF	1.18%	1.50%	0.66%
USOY Defiance Oil Enhanced Options Income ETF	54.16%	104.32%	48.60%

Frequently Asked Questions

Can I hold both ALAI and USOY in my portfolio?

ALAI and USOY have a correlation of -0.24, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ALAI or USOY?

USOY has higher volatility (11.62%) compared to ALAI (6.97%). In terms of maximum drawdown, ALAI dropped -29.36% vs USOY's -17.46%.

Which ETF is better, ALAI or USOY?

On 1-year performance, ALAI leads with 63.92% vs 57.29% for USOY. On fees, ALAI is cheaper at 0.55% per year. On volatility, ALAI has been the lower-risk option at 6.97%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ALAI or USOY?

Over the 1-year period, ALAI has performed better with a 63.92% return vs 57.29%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ALAI or USOY?

ALAI is cheaper with a 0.55% expense ratio, compared with 1.22% for USOY.

Which ETF pays a higher dividend yield, ALAI or USOY?

USOY has the higher dividend yield at 54.16%, compared with 1.18% for ALAI.

What is the main difference between ALAI and USOY?

ALAI is categorized as Technology Equities, while USOY is Derivative Income. They also come from different issuers: Alger and Defiance. Their fees differ too: 0.55% for ALAI and 1.22% for USOY.

Which has better risk-adjusted returns?

ALAI currently has the higher Sharpe Ratio (2.67 vs 1.89), 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.