BWET vs. FAAR

Last updated Apr 2, 2026

Compare and contrast key facts about Breakwave Tanker Shipping ETF (BWET) and First Trust Alternative Absolute Return Strategy ETF (FAAR).

BWET and FAAR are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. BWET is a passively managed fund by Amplify that tracks the performance of the Breakwave Wet Freight Futures Index. It was launched on May 3, 2023. FAAR is an actively managed fund by First Trust. It was launched on May 18, 2016.

Performance

BWET vs. FAAR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Breakwave Tanker Shipping ETF (BWET) and First Trust Alternative Absolute Return Strategy ETF (FAAR). The values are adjusted to include any dividend payments, if applicable.

BWET vs. FAAR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
BWET Breakwave Tanker Shipping ETF	503.80%	96.22%	-39.21%	15.94%
FAAR First Trust Alternative Absolute Return Strategy ETF	24.50%	8.07%	5.97%	-3.01%

Returns By Period

In the year-to-date period, BWET achieves a 503.80% return, which is significantly higher than FAAR's 24.50% return.

BWET

• 1D: 18.09%
• 1M: 58.86%
• YTD: 503.80%
• 6M: 756.55%
• 1Y: 976.04%
• 3Y*: —
• 5Y*: —
• 10Y*: —

FAAR

• 1D: -0.35%
• 1M: 7.76%
• YTD: 24.50%
• 6M: 22.58%
• 1Y: 30.52%
• 3Y*: 10.43%
• 5Y*: 9.33%
• 10Y*: —

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

BWET vs. FAAR - Expense Ratio Comparison

BWET has a 3.50% expense ratio, which is higher than FAAR's 0.95% expense ratio.

BWET

Breakwave Tanker Shipping ETF

FAAR

First Trust Alternative Absolute Return Strategy ETF

Return for Risk

BWET vs. FAAR — Risk / Return Rank

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

BWET

BWET Risk / Return Rank: 99
BWET Sharpe Ratio Rank: 100
BWET Sortino Ratio Rank: 99
BWET Omega Ratio Rank: 98
BWET Calmar Ratio Rank: 99
BWET Martin Ratio Rank: 99

FAAR

FAAR Risk / Return Rank: 83
FAAR Sharpe Ratio Rank: 89
FAAR Sortino Ratio Rank: 90
FAAR Omega Ratio Rank: 85
FAAR Calmar Ratio Rank: 83
FAAR Martin Ratio Rank: 69

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.

BWET vs. FAAR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Breakwave Tanker Shipping ETF (BWET) and First Trust Alternative Absolute Return Strategy ETF (FAAR). 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.

	BWET	FAAR	Difference
Sharpe ratio Return per unit of total volatility	11.64	2.00	+9.64
Sortino ratio Return per unit of downside risk	6.21	2.69	+3.52
Omega ratio Gain probability vs. loss probability	1.92	1.35	+0.57
Calmar ratio Return relative to maximum drawdown	33.50	2.57	+30.94
Martin ratio Return relative to average drawdown	94.71	7.53	+87.18
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BWET vs. FAAR - Sharpe Ratio Comparison

The current BWET Sharpe Ratio is 11.64, which is higher than the FAAR Sharpe Ratio of 2.00. The chart below compares the historical Sharpe Ratios of BWET and FAAR, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	BWET	FAAR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	11.64	2.00	+9.64
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.72	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.66	0.45	+1.21

Correlation

The correlation between BWET and FAAR is 0.04, which is considered to be low. This implies their price changes are not closely related. A low correlation is generally favorable for portfolio diversification, as it helps to reduce overall risk by spreading it across multiple assets with different performance patterns.

Dividends

BWET vs. FAAR - Dividend Comparison

BWET has not paid dividends to shareholders, while FAAR's dividend yield for the trailing twelve months is around 9.24%.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
BWET Breakwave Tanker Shipping ETF	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
FAAR First Trust Alternative Absolute Return Strategy ETF	9.24%	11.63%	3.45%	3.20%	5.82%	6.49%	3.05%	1.02%	0.58%	2.83%

Drawdowns

BWET vs. FAAR - Drawdown Comparison

The maximum BWET drawdown since its inception was -56.90%, which is greater than FAAR's maximum drawdown of -18.03%. Use the drawdown chart below to compare losses from any high point for BWET and FAAR.

Drawdown Indicators

	BWET	FAAR	Difference
Max Drawdown Largest peak-to-trough decline	-56.90%	-18.03%	-38.87%
Max Drawdown (1Y) Largest decline over 1 year	-28.84%	-11.54%	-17.30%
Max Drawdown (5Y) Largest decline over 5 years	—	-18.03%	—
Current Drawdown Current decline from peak	-4.91%	-0.86%	-4.05%
Average Drawdown Average peak-to-trough decline	-24.71%	-7.97%	-16.74%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.20%	3.93%	+6.27%

Volatility

BWET vs. FAAR - Volatility Comparison

Breakwave Tanker Shipping ETF (BWET) has a higher volatility of 51.29% compared to First Trust Alternative Absolute Return Strategy ETF (FAAR) at 5.66%. This indicates that BWET's price experiences larger fluctuations and is considered to be riskier than FAAR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BWET	FAAR	Difference
Volatility (1M) Calculated over the trailing 1-month period	51.29%	5.66%	+45.63%
Volatility (6M) Calculated over the trailing 6-month period	74.48%	10.65%	+63.83%
Volatility (1Y) Calculated over the trailing 1-year period	84.73%	15.32%	+69.41%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	65.29%	13.00%	+52.29%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	65.29%	11.54%	+53.75%