BNDD vs. KLIP

Last updated Aug 5, 2026

BNDD (Quadratic Deflation ETF) and KLIP (KraneShares China Internet and Covered Call Strategy ETF) are both exchange-traded funds - BNDD is a Government Bonds fund actively managed by KraneShares, while KLIP is a China Equities fund actively managed by KraneShares. Both are actively managed. Over the past 3 years, BNDD returned -3.62%/yr vs 6.46%/yr for KLIP. Their -0.01 correlation means they have often moved in opposite directions in the past. BNDD charges 1.02%/yr vs 0.95%/yr for KLIP.

Performance

BNDD vs. KLIP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Quadratic Deflation ETF (BNDD) and KraneShares China Internet and Covered Call Strategy ETF (KLIP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BNDD achieves a 2.69% return, which is significantly higher than KLIP's -6.43% return.

BNDD

• 1D: 0.27%
• 1M: -3.64%
• 6M: 2.03%
• YTD: 2.69%
• 1Y: 0.67%
• 3Y*: -3.62%
• 5Y*: —
• 10Y*: —
• ALL TIME*: -4.53%

KLIP

• 1D: 0.37%
• 1M: 7.28%
• 6M: -9.42%
• YTD: -6.43%
• 1Y: -3.80%
• 3Y*: 6.46%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 6.63%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
BNDD Quadratic Deflation ETF	$1.11M	$4.58M	$3.16M
KLIP KraneShares China Internet and Covered Call Strategy ETF	$648.17K	$565.25K	$989.65K

BNDD vs. KLIP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
BNDD Quadratic Deflation ETF	2.69%	-8.17%	-6.65%	2.23%
KLIP KraneShares China Internet and Covered Call Strategy ETF	-6.43%	16.92%	3.37%	11.11%

Correlation

The correlation between BNDD and KLIP is -0.02, meaning there was essentially no consistent relationship between their historical price movements. Each responded to its own set of market drivers.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	-0.02
Correlation (3Y) Balances recent behavior with more history.	0.01
Correlation (All Time) Calculated using the full available price history since Jan 12, 2023	-0.01

Return for Risk

BNDD vs. KLIP — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

BNDD

BNDD Risk / Return Rank: 11
BNDD Sharpe Ratio Rank: 11
BNDD Sortino Ratio Rank: 10
BNDD Omega Ratio Rank: 10
BNDD Calmar Ratio Rank: 12
BNDD Martin Ratio Rank: 12

KLIP

KLIP Risk / Return Rank: 7
KLIP Sharpe Ratio Rank: 7
KLIP Sortino Ratio Rank: 7
KLIP Omega Ratio Rank: 7
KLIP Calmar Ratio Rank: 8
KLIP Martin Ratio Rank: 8

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

BNDD vs. KLIP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Quadratic Deflation ETF (BNDD) and KraneShares China Internet and Covered Call Strategy ETF (KLIP). 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.

	BNDD	KLIP	Difference
Sharpe ratio: Return per unit of total volatility	0.07	-0.23	+0.30
Sortino ratio: Return per unit of downside risk	0.16	-0.21	+0.37
Omega ratio: Gain probability vs. loss probability	1.02	0.97	+0.05
Calmar ratio: Return relative to maximum drawdown	0.11	-0.18	+0.29
Martin ratio: Return relative to average drawdown	0.23	-0.41	+0.64

BNDD vs. KLIP - Sharpe Ratio Comparison

The current BNDD Sharpe Ratio is 0.07, which is higher than the KLIP Sharpe Ratio of -0.23. The chart below compares the historical Sharpe Ratios of BNDD and KLIP, 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

BNDD vs. KLIP - Drawdown Comparison

The maximum BNDD drawdown since its inception was -30.87%, which is greater than KLIP's maximum drawdown of -21.48%. Use the drawdown chart below to compare losses from any high point for BNDD and KLIP.

Drawdown Indicators

	BNDD	KLIP	Difference
Max Drawdown Largest peak-to-trough decline	-30.87%	-21.48%	-9.39%
Max Drawdown (1Y) Largest decline over 1 year	-6.09%	-21.48%	+15.39%
Max Drawdown (3Y) Largest decline over 3 years	-17.70%	-21.48%	+3.78%
Current Drawdown Current decline from peak	-27.65%	-11.80%	-15.85%
Average Drawdown Average peak-to-trough decline	-19.55%	-4.34%	-15.21%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.91%	9.25%	-6.34%

Volatility

BNDD vs. KLIP - Volatility Comparison

Quadratic Deflation ETF (BNDD) has a higher volatility of 2.66% compared to KraneShares China Internet and Covered Call Strategy ETF (KLIP) at 2.03%. This indicates that BNDD's price experiences larger fluctuations and is considered to be riskier than KLIP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BNDD	KLIP	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.66%	2.03%	+0.63%
Volatility (6M) Calculated over the trailing 6-month period	6.90%	13.00%	-6.10%
Volatility (1Y) Calculated over the trailing 1-year period	10.26%	16.57%	-6.31%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.25%	17.97%	-4.72%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.25%	17.97%	-4.72%

BNDD vs. KLIP - Expense Ratio Comparison

BNDD has a 1.02% expense ratio, which is higher than KLIP's 0.95% expense ratio.

Dividends

BNDD vs. KLIP - Dividend Comparison

BNDD's dividend yield for the trailing twelve months is around 3.68%, less than KLIP's 27.43% yield.

Position	TTM	2025	2024	2023	2022	2021
BNDD Quadratic Deflation ETF	3.68%	3.82%	3.85%	4.30%	43.17%	1.04%
KLIP KraneShares China Internet and Covered Call Strategy ETF	27.43%	25.14%	54.26%	61.22%	0.00%	0.00%

Frequently Asked Questions

Can I hold both BNDD and KLIP in my portfolio?

BNDD and KLIP have a correlation of -0.02, 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 KLIP?

BNDD has higher volatility (2.66%) compared to KLIP (2.03%). In terms of maximum drawdown, BNDD dropped -30.87% vs KLIP's -21.48%.

Which ETF is better, BNDD or KLIP?

On 3-year performance, KLIP leads with 6.46% vs -3.62% for BNDD. On fees, KLIP is cheaper at 0.95% per year. On volatility, KLIP has been the lower-risk option at 2.03%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BNDD or KLIP?

Over the 3-year period, KLIP has performed better with a 6.46% return vs -3.62%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BNDD or KLIP?

KLIP is cheaper with a 0.95% expense ratio, compared with 1.02% for BNDD.

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

KLIP has the higher dividend yield at 27.43%, compared with 3.68% for BNDD.

What is the main difference between BNDD and KLIP?

BNDD is categorized as Government Bonds, while KLIP is China Equities. Their fees differ too: 1.02% for BNDD and 0.95% for KLIP.

Which has better risk-adjusted returns?

BNDD currently has the higher Sharpe Ratio (0.07 vs -0.23), 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.