BNDD vs. BBSB

Last updated Jun 4, 2026

BNDD (Quadratic Deflation ETF) and BBSB (JPMorgan BetaBuilders U.S. Treasury Bond 1-3 Year ETF) are both Government Bonds funds. BNDD is actively managed, while BBSB is passively managed. Over the past 3 years, BNDD returned -3.91%/yr vs 4.15%/yr for BBSB. At a 0.10 correlation, their price movements are largely independent. BNDD charges 1.02%/yr vs 0.04%/yr for BBSB.

Performance

BNDD vs. BBSB - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Quadratic Deflation ETF (BNDD) and JPMorgan BetaBuilders U.S. Treasury Bond 1-3 Year ETF (BBSB). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BNDD achieves a 4.32% return, which is significantly higher than BBSB's 0.47% return.

BNDD

• 1D: -0.08%
• 1M: 1.37%
• YTD: 4.32%
• 6M: 2.24%
• 1Y: 3.39%
• 3Y*: -3.91%
• 5Y*: —
• 10Y*: —

BBSB

• 1D: -0.05%
• 1M: 0.10%
• YTD: 0.47%
• 6M: 0.74%
• 1Y: 3.43%
• 3Y*: 4.15%
• 5Y*: —
• 10Y*: —

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

BNDD vs. BBSB - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
BNDD Quadratic Deflation ETF	4.32%	-8.17%	-6.65%	-1.01%
BBSB JPMorgan BetaBuilders U.S. Treasury Bond 1-3 Year ETF	0.47%	5.12%	4.00%	2.56%

Correlation

The correlation between BNDD and BBSB is 0.14, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.14
Correlation (3Y) Calculated over the trailing 3-year period	0.10
Correlation (All Time) Calculated using the full available price history since Apr 21, 2023	0.10

BNDD vs. BBSB - Sectors Allocation Comparison

Sectors	BNDD	BBSB
Financial Services	77.7%	-
Basic Materials	-	-
Communication Services	-	99.7%
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	-
Industrials	-	-
Real Estate	-	-
Technology	-	-
Utilities	-	-

Return for Risk

BNDD vs. BBSB — Risk / Return Rank

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

BNDD

BNDD Risk / Return Rank: 14
BNDD Sharpe Ratio Rank: 13
BNDD Sortino Ratio Rank: 12
BNDD Omega Ratio Rank: 12
BNDD Calmar Ratio Rank: 16
BNDD Martin Ratio Rank: 15

BBSB

BBSB Risk / Return Rank: 85
BBSB Sharpe Ratio Rank: 83
BBSB Sortino Ratio Rank: 93
BBSB Omega Ratio Rank: 89
BBSB Calmar Ratio Rank: 79
BBSB Martin Ratio Rank: 82

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.

BNDD vs. BBSB - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Quadratic Deflation ETF (BNDD) and JPMorgan BetaBuilders U.S. Treasury Bond 1-3 Year ETF (BBSB). 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.

	BNDD	BBSB	Difference
Sharpe ratio: Return per unit of total volatility	0.32	2.71	-2.39
Sortino ratio: Return per unit of downside risk	0.52	4.61	-4.09
Omega ratio: Gain probability vs. loss probability	1.06	1.56	-0.50
Calmar ratio: Return relative to maximum drawdown	0.56	4.02	-3.46
Martin ratio: Return relative to average drawdown	1.20	16.55	-15.34
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BNDD vs. BBSB - Sharpe Ratio Comparison

The current BNDD Sharpe Ratio is 0.32, which is lower than the BBSB Sharpe Ratio of 2.71. The chart below compares the historical Sharpe Ratios of BNDD and BBSB, 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

	BNDD	BBSB	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.32	2.71	-2.39
Sharpe Ratio (All Time) Calculated using the full available price history	-0.33	2.35	-2.68

Drawdowns

BNDD vs. BBSB - Drawdown Comparison

The maximum BNDD drawdown since its inception was -30.87%, which is greater than BBSB's maximum drawdown of -1.57%. Use the drawdown chart below to compare losses from any high point for BNDD and BBSB.

Drawdown Indicators

	BNDD	BBSB	Difference
Max Drawdown Largest peak-to-trough decline	-30.87%	-1.57%	-29.30%
Max Drawdown (1Y) Largest decline over 1 year	-6.09%	-0.86%	-5.23%
Max Drawdown (3Y) Largest decline over 3 years	-20.75%	-0.96%	-19.79%
Current Drawdown Current decline from peak	-26.51%	-0.25%	-26.26%
Average Drawdown Average peak-to-trough decline	-19.34%	-0.31%	-19.03%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.83%	0.21%	+2.62%

Volatility

BNDD vs. BBSB - Volatility Comparison

Quadratic Deflation ETF (BNDD) has a higher volatility of 2.21% compared to JPMorgan BetaBuilders U.S. Treasury Bond 1-3 Year ETF (BBSB) at 0.36%. This indicates that BNDD's price experiences larger fluctuations and is considered to be riskier than BBSB based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BNDD	BBSB	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.21%	0.36%	+1.85%
Volatility (6M) Calculated over the trailing 6-month period	8.11%	0.85%	+7.26%
Volatility (1Y) Calculated over the trailing 1-year period	10.59%	1.27%	+9.32%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.38%	1.66%	+11.72%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.38%	1.66%	+11.72%

BNDD vs. BBSB - Expense Ratio Comparison

BNDD has a 1.02% expense ratio, which is higher than BBSB's 0.04% expense ratio.

Dividends

BNDD vs. BBSB - Dividend Comparison

BNDD's dividend yield for the trailing twelve months is around 3.61%, less than BBSB's 3.81% yield.

Position	TTM	2025	2024	2023	2022	2021
BBSB JPMorgan BetaBuilders U.S. Treasury Bond 1-3 Year ETF	3.81%	3.69%	4.84%	3.50%	0.00%	0.00%
BNDD Quadratic Deflation ETF	3.61%	3.82%	3.85%	4.30%	43.17%	1.04%

Frequently Asked Questions

Can I hold both BNDD and BBSB in my portfolio?

BNDD and BBSB have a correlation of 0.14, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BNDD or BBSB?

BNDD has higher volatility (2.21%) compared to BBSB (0.36%). In terms of maximum drawdown, BNDD dropped -30.87% vs BBSB's -1.57%.

Which ETF is better, BNDD or BBSB?

On 3-year performance, BBSB leads with 4.15% vs -3.91% for BNDD. On fees, BBSB is cheaper at 0.04% per year. On volatility, BBSB has been the lower-risk option at 0.36%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BNDD or BBSB?

Over the 3-year period, BBSB has performed better with a 4.15% return vs -3.91%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BNDD or BBSB?

BBSB is cheaper with a 0.04% expense ratio, compared with 1.02% for BNDD.

Which ETF pays a higher dividend yield, BNDD or BBSB?

BBSB has the higher dividend yield at 3.81%, compared with 3.61% for BNDD.

What is the main difference between BNDD and BBSB?

They also come from different issuers: KraneShares and JPMorgan. Their fees differ too: 1.02% for BNDD and 0.04% for BBSB.

Which has better risk-adjusted returns?

BBSB currently has the higher Sharpe Ratio (2.71 vs 0.32), 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.