BEARX vs. CAPAX

Last updated Jun 24, 2026

BEARX (Federated Hermes Prudent Bear Fd) and CAPAX (Federated Hermes Capital Income Fund) are both mutual funds - BEARX is a Inverse Equities fund managed by Federated, while CAPAX is a Diversified Portfolio fund managed by Federated. Over the past 10 years, BEARX returned -14.72%/yr vs 6.34%/yr for CAPAX. At a correlation of -0.69, they often move in opposite directions. BEARX charges 1.78%/yr vs 0.88%/yr for CAPAX.

Performance

BEARX vs. CAPAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Federated Hermes Prudent Bear Fd (BEARX) and Federated Hermes Capital Income Fund (CAPAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BEARX achieves a -7.65% return, which is significantly lower than CAPAX's 4.63% return. Over the past 10 years, BEARX has underperformed CAPAX with an annualized return of -14.72%, while CAPAX has yielded a comparatively higher 6.34% annualized return.

BEARX

• 1D: 0.29%
• 1M: 0.29%
• YTD: -7.65%
• 6M: -7.74%
• 1Y: -16.97%
• 3Y*: -15.79%
• 5Y*: -11.91%
• 10Y*: -14.72%

CAPAX

• 1D: -0.21%
• 1M: 1.32%
• YTD: 4.63%
• 6M: 5.01%
• 1Y: 14.31%
• 3Y*: 11.48%
• 5Y*: 5.10%
• 10Y*: 6.34%

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

BEARX vs. CAPAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
BEARX Federated Hermes Prudent Bear Fd	-7.65%	-12.42%	-20.34%	-18.67%	17.78%	-23.78%	-22.95%	-19.95%	-5.96%	-15.76%
CAPAX Federated Hermes Capital Income Fund	4.63%	11.88%	10.21%	10.51%	-12.43%	9.72%	9.48%	15.70%	-7.13%	10.05%

Correlation

The correlation between BEARX and CAPAX is -0.84, 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	-0.84
Correlation (3Y) Calculated over the trailing 3-year period	-0.82
Correlation (5Y) Calculated over the trailing 5-year period	-0.86
Correlation (10Y) Calculated over the trailing 10-year period	-0.86
Correlation (All Time) Calculated using the full available price history since Dec 28, 1995	-0.69

The correlation between BEARX and CAPAX shifts across timeframes, from -0.86 (5 years) to -0.69 (all time), reflecting how their relationship changes across market environments.

Return for Risk

BEARX vs. CAPAX — Risk / Return Rank

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

BEARX

BEARX Risk / Return Rank: 0
BEARX Sharpe Ratio Rank: 0
BEARX Sortino Ratio Rank: 0
BEARX Omega Ratio Rank: 0
BEARX Calmar Ratio Rank: 0
BEARX Martin Ratio Rank: 0

CAPAX

CAPAX Risk / Return Rank: 82
CAPAX Sharpe Ratio Rank: 80
CAPAX Sortino Ratio Rank: 83
CAPAX Omega Ratio Rank: 85
CAPAX Calmar Ratio Rank: 74
CAPAX Martin Ratio Rank: 86

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.

BEARX vs. CAPAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Federated Hermes Prudent Bear Fd (BEARX) and Federated Hermes Capital Income Fund (CAPAX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	BEARX	CAPAX	Difference
Sharpe ratio: Return per unit of total volatility	-1.46	2.44	-3.90
Sortino ratio: Return per unit of downside risk	-2.13	3.64	-5.77
Omega ratio: Gain probability vs. loss probability	0.74	1.53	-0.79
Calmar ratio: Return relative to maximum drawdown	-0.96	3.18	-4.15
Martin ratio: Return relative to average drawdown	-1.77	14.99	-16.76

BEARX vs. CAPAX - Sharpe Ratio Comparison

The current BEARX Sharpe Ratio is -1.46, which is lower than the CAPAX Sharpe Ratio of 2.44. The chart below compares the historical Sharpe Ratios of BEARX and CAPAX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

BEARX vs. CAPAX - Drawdown Comparison

The maximum BEARX drawdown since its inception was -95.75%, which is greater than CAPAX's maximum drawdown of -46.13%. Use the drawdown chart below to compare losses from any high point for BEARX and CAPAX.

Drawdown Indicators

	BEARX	CAPAX	Difference
Max Drawdown Largest peak-to-trough decline	-95.75%	-46.13%	-49.62%
Max Drawdown (1Y) Largest decline over 1 year	-18.63%	-4.68%	-13.95%
Max Drawdown (3Y) Largest decline over 3 years	-44.46%	-8.87%	-35.59%
Max Drawdown (5Y) Largest decline over 5 years	-52.48%	-17.75%	-34.73%
Max Drawdown (10Y) Largest decline over 10 years	-80.48%	-23.36%	-57.12%
Current Drawdown Current decline from peak	-95.66%	-0.51%	-95.15%
Average Drawdown Average peak-to-trough decline	-61.09%	-5.78%	-55.31%
Ulcer Index Depth and duration of drawdowns from previous peaks	11.03%	0.99%	+10.04%

Volatility

BEARX vs. CAPAX - Volatility Comparison

Federated Hermes Prudent Bear Fd (BEARX) has a higher volatility of 5.28% compared to Federated Hermes Capital Income Fund (CAPAX) at 2.27%. This indicates that BEARX's price experiences larger fluctuations and is considered to be riskier than CAPAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BEARX	CAPAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.28%	2.27%	+3.01%
Volatility (6M) Calculated over the trailing 6-month period	9.97%	5.04%	+4.93%
Volatility (1Y) Calculated over the trailing 1-year period	12.28%	6.12%	+6.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.09%	7.84%	+9.25%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.75%	8.67%	+8.08%

BEARX vs. CAPAX - Expense Ratio Comparison

BEARX has a 1.78% expense ratio, which is higher than CAPAX's 0.88% expense ratio.

Dividends

BEARX vs. CAPAX - Dividend Comparison

BEARX's dividend yield for the trailing twelve months is around 7.27%, more than CAPAX's 3.27% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BEARX Federated Hermes Prudent Bear Fd	7.27%	6.71%	0.00%	13.32%	0.00%	0.00%	0.00%	0.62%	0.00%	0.00%	0.00%	0.00%
CAPAX Federated Hermes Capital Income Fund	3.27%	3.33%	3.24%	3.36%	3.70%	3.31%	3.43%	3.62%	4.42%	3.91%	4.23%	5.54%

Frequently Asked Questions

Can I hold both BEARX and CAPAX in my portfolio?

BEARX and CAPAX have a correlation of -0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BEARX or CAPAX?

BEARX has higher volatility (5.28%) compared to CAPAX (2.27%). In terms of maximum drawdown, BEARX dropped -95.75% vs CAPAX's -46.13%.

Which has better risk-adjusted returns?

CAPAX currently has the higher Sharpe Ratio (2.44 vs -1.46), 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.