CVNY vs. FAAR

Last updated Jun 5, 2026

CVNY (YieldMax CVNA Option Income Strategy ETF) and FAAR (First Trust Alternative Absolute Return Strategy ETF) are both exchange-traded funds - CVNY is a Derivative Income fund actively managed by YieldMax, while FAAR is a Commodities fund actively managed by First Trust. Both are actively managed. Over the past year, CVNY returned -2.56% vs 40.27% for FAAR. At a correlation of -0.11, they often move in opposite directions. CVNY charges 0.99%/yr vs 0.95%/yr for FAAR.

Performance

CVNY vs. FAAR - Performance Comparison

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

Returns By Period

In the year-to-date period, CVNY achieves a -18.76% return, which is significantly lower than FAAR's 25.13% return.

CVNY

• 1D: 3.85%
• 1M: -11.51%
• YTD: -18.76%
• 6M: -14.07%
• 1Y: -2.56%
• 3Y*: —
• 5Y*: —
• 10Y*: —

FAAR

• 1D: -0.47%
• 1M: -0.49%
• YTD: 25.13%
• 6M: 21.92%
• 1Y: 40.27%
• 3Y*: 11.68%
• 5Y*: 7.97%
• 10Y*: 5.12%

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

CVNY vs. FAAR - Yearly Performance Comparison

	2026 (YTD)	2025
CVNY YieldMax CVNA Option Income Strategy ETF	-18.76%	54.11%
FAAR First Trust Alternative Absolute Return Strategy ETF	25.13%	6.08%

Correlation

The correlation between CVNY and FAAR is -0.22, 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	-0.22
Correlation (All Time) Calculated using the full available price history since Jan 31, 2025	-0.11

The correlation between CVNY and FAAR shifts across timeframes, from -0.22 (1 year) to -0.11 (all time), reflecting how their relationship changes across market environments.

Return for Risk

CVNY vs. FAAR — Risk / Return Rank

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

CVNY

CVNY Risk / Return Rank: 9
CVNY Sharpe Ratio Rank: 9
CVNY Sortino Ratio Rank: 10
CVNY Omega Ratio Rank: 11
CVNY Calmar Ratio Rank: 8
CVNY Martin Ratio Rank: 8

FAAR

FAAR Risk / Return Rank: 90
FAAR Sharpe Ratio Rank: 89
FAAR Sortino Ratio Rank: 90
FAAR Omega Ratio Rank: 85
FAAR Calmar Ratio Rank: 95
FAAR Martin Ratio Rank: 92

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.

CVNY vs. FAAR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for YieldMax CVNA Option Income Strategy ETF (CVNY) 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.

	CVNY	FAAR	Difference
Sharpe ratio: Return per unit of total volatility	-0.05	3.00	-3.05
Sortino ratio: Return per unit of downside risk	0.27	4.18	-3.91
Omega ratio: Gain probability vs. loss probability	1.03	1.51	-0.48
Calmar ratio: Return relative to maximum drawdown	-0.07	8.35	-8.42
Martin ratio: Return relative to average drawdown	-0.16	23.34	-23.50
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

CVNY vs. FAAR - Sharpe Ratio Comparison

The current CVNY Sharpe Ratio is -0.05, which is lower than the FAAR Sharpe Ratio of 3.00. The chart below compares the historical Sharpe Ratios of CVNY and FAAR, 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

	CVNY	FAAR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.05	3.00	-3.05
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.62	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.45	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.31	0.44	-0.13

Drawdowns

CVNY vs. FAAR - Drawdown Comparison

The maximum CVNY drawdown since its inception was -43.27%, which is greater than FAAR's maximum drawdown of -18.03%. Use the drawdown chart below to compare losses from any high point for CVNY and FAAR.

Drawdown Indicators

	CVNY	FAAR	Difference
Max Drawdown Largest peak-to-trough decline	-43.27%	-18.03%	-25.24%
Max Drawdown (1Y) Largest decline over 1 year	-36.27%	-4.85%	-31.42%
Max Drawdown (3Y) Largest decline over 3 years	—	-11.54%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-18.03%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-18.03%	—
Current Drawdown Current decline from peak	-26.89%	-1.57%	-25.32%
Average Drawdown Average peak-to-trough decline	-13.47%	-7.84%	-5.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	16.02%	1.73%	+14.29%

Volatility

CVNY vs. FAAR - Volatility Comparison

YieldMax CVNA Option Income Strategy ETF (CVNY) has a higher volatility of 14.45% compared to First Trust Alternative Absolute Return Strategy ETF (FAAR) at 2.36%. This indicates that CVNY'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

	CVNY	FAAR	Difference
Volatility (1M) Calculated over the trailing 1-month period	14.45%	2.36%	+12.09%
Volatility (6M) Calculated over the trailing 6-month period	36.98%	9.70%	+27.28%
Volatility (1Y) Calculated over the trailing 1-year period	49.51%	13.49%	+36.02%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	58.27%	13.01%	+45.26%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	58.27%	11.51%	+46.76%

CVNY vs. FAAR - Expense Ratio Comparison

CVNY has a 0.99% expense ratio, which is higher than FAAR's 0.95% expense ratio.

Dividends

CVNY vs. FAAR - Dividend Comparison

CVNY's dividend yield for the trailing twelve months is around 108.47%, more than FAAR's 9.20% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
CVNY YieldMax CVNA Option Income Strategy ETF	108.47%	80.86%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
FAAR First Trust Alternative Absolute Return Strategy ETF	9.20%	11.63%	3.45%	3.20%	5.82%	6.49%	3.05%	1.02%	0.58%	2.83%

Frequently Asked Questions

Can I hold both CVNY and FAAR in my portfolio?

CVNY and FAAR have a correlation of -0.22, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CVNY or FAAR?

CVNY has higher volatility (14.45%) compared to FAAR (2.36%). In terms of maximum drawdown, CVNY dropped -43.27% vs FAAR's -18.03%.

Which ETF is better, CVNY or FAAR?

On 1-year performance, FAAR leads with 40.27% vs -2.56% for CVNY. On fees, FAAR is cheaper at 0.95% per year. On volatility, FAAR has been the lower-risk option at 2.36%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, CVNY or FAAR?

Over the 1-year period, FAAR has performed better with a 40.27% return vs -2.56%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, CVNY or FAAR?

FAAR is cheaper with a 0.95% expense ratio, compared with 0.99% for CVNY.

Which ETF pays a higher dividend yield, CVNY or FAAR?

CVNY has the higher dividend yield at 108.47%, compared with 9.20% for FAAR.

What is the main difference between CVNY and FAAR?

CVNY is categorized as Derivative Income, while FAAR is Commodities. They also come from different issuers: YieldMax and First Trust. Their fees differ too: 0.99% for CVNY and 0.95% for FAAR.

Which has better risk-adjusted returns?

FAAR currently has the higher Sharpe Ratio (3.00 vs -0.05), 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.