DSEP vs. MSDD

Last updated Jun 24, 2026

DSEP (FT Cboe Vest U.S. Equity Deep Buffer ETF - September) and MSDD (GraniteShares 2x Short MSTR Daily ETF) are both exchange-traded funds - DSEP is a Options Trading fund tracking the Cboe S&P 500 30% (-5% to -35%) Buffer Protect September Series Index, while MSDD is a Inverse Equities fund actively managed by GraniteShares. DSEP is passively managed, while MSDD is actively managed. Over the past year, DSEP returned 13.08% vs 69.58% for MSDD. At a correlation of -0.46, they often move in opposite directions. DSEP charges 0.85%/yr vs 1.50%/yr for MSDD.

Performance

DSEP vs. MSDD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FT Cboe Vest U.S. Equity Deep Buffer ETF - September (DSEP) and GraniteShares 2x Short MSTR Daily ETF (MSDD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, DSEP achieves a 4.88% return, which is significantly higher than MSDD's -48.72% return.

DSEP

• 1D: -0.46%
• 1M: 0.10%
• YTD: 4.88%
• 6M: 4.56%
• 1Y: 13.08%
• 3Y*: 11.80%
• 5Y*: 7.91%
• 10Y*: —

MSDD

• 1D: 0.00%
• 1M: 44.94%
• YTD: -48.72%
• 6M: -45.00%
• 1Y: 69.58%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

DSEP vs. MSDD - Yearly Performance Comparison

	2026 (YTD)	2025
DSEP FT Cboe Vest U.S. Equity Deep Buffer ETF - September	4.88%	8.19%
MSDD GraniteShares 2x Short MSTR Daily ETF	-48.72%	274.52%

Correlation

The correlation between DSEP and MSDD is -0.48, 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	-0.48
Correlation (All Time) Calculated using the full available price history since Jun 10, 2025	-0.46

Return for Risk

DSEP vs. MSDD — Risk / Return Rank

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

DSEP

DSEP Risk / Return Rank: 77
DSEP Sharpe Ratio Rank: 77
DSEP Sortino Ratio Rank: 81
DSEP Omega Ratio Rank: 82
DSEP Calmar Ratio Rank: 64
DSEP Martin Ratio Rank: 80

MSDD

MSDD Risk / Return Rank: 24
MSDD Sharpe Ratio Rank: 17
MSDD Sortino Ratio Rank: 32
MSDD Omega Ratio Rank: 33
MSDD Calmar Ratio Rank: 20
MSDD Martin Ratio Rank: 16

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.

DSEP vs. MSDD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FT Cboe Vest U.S. Equity Deep Buffer ETF - September (DSEP) and GraniteShares 2x Short MSTR Daily ETF (MSDD). 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.

	DSEP	MSDD	Difference
Sharpe ratio: Return per unit of total volatility	2.22	0.50	+1.73
Sortino ratio: Return per unit of downside risk	3.24	1.61	+1.63
Omega ratio: Gain probability vs. loss probability	1.44	1.21	+0.23
Calmar ratio: Return relative to maximum drawdown	2.89	0.82	+2.07
Martin ratio: Return relative to average drawdown	14.18	1.63	+12.55

DSEP vs. MSDD - Sharpe Ratio Comparison

The current DSEP Sharpe Ratio is 2.22, which is higher than the MSDD Sharpe Ratio of 0.50. The chart below compares the historical Sharpe Ratios of DSEP and MSDD, 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

DSEP vs. MSDD - Drawdown Comparison

The maximum DSEP drawdown since its inception was -11.78%, smaller than the maximum MSDD drawdown of -84.91%. Use the drawdown chart below to compare losses from any high point for DSEP and MSDD.

Drawdown Indicators

	DSEP	MSDD	Difference
Max Drawdown Largest peak-to-trough decline	-11.78%	-84.91%	+73.13%
Max Drawdown (1Y) Largest decline over 1 year	-4.54%	-84.91%	+80.37%
Max Drawdown (3Y) Largest decline over 3 years	-9.93%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-11.78%	—	—
Current Drawdown Current decline from peak	-0.67%	-68.63%	+67.96%
Average Drawdown Average peak-to-trough decline	-1.84%	-31.26%	+29.42%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.92%	43.14%	-42.22%

Volatility

DSEP vs. MSDD - Volatility Comparison

The current volatility for FT Cboe Vest U.S. Equity Deep Buffer ETF - September (DSEP) is 1.77%, while GraniteShares 2x Short MSTR Daily ETF (MSDD) has a volatility of 32.28%. This indicates that DSEP experiences smaller price fluctuations and is considered to be less risky than MSDD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DSEP	MSDD	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.77%	32.28%	-30.51%
Volatility (6M) Calculated over the trailing 6-month period	4.76%	124.65%	-119.89%
Volatility (1Y) Calculated over the trailing 1-year period	5.93%	140.94%	-135.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.78%	138.85%	-131.07%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	7.47%	138.85%	-131.38%

DSEP vs. MSDD - Expense Ratio Comparison

DSEP has a 0.85% expense ratio, which is lower than MSDD's 1.50% expense ratio.

Dividends

DSEP vs. MSDD - Dividend Comparison

Neither DSEP nor MSDD has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both DSEP and MSDD in my portfolio?

DSEP and MSDD have a correlation of -0.48, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, DSEP or MSDD?

MSDD has higher volatility (32.28%) compared to DSEP (1.77%). In terms of maximum drawdown, DSEP dropped -11.78% vs MSDD's -84.91%.

Which ETF is better, DSEP or MSDD?

On 1-year performance, MSDD leads with 69.58% vs 13.08% for DSEP. On fees, DSEP is cheaper at 0.85% per year. On volatility, DSEP has been the lower-risk option at 1.77%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DSEP or MSDD?

Over the 1-year period, MSDD has performed better with a 69.58% return vs 13.08%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DSEP or MSDD?

DSEP is cheaper with a 0.85% expense ratio, compared with 1.50% for MSDD.

Which ETF pays a higher dividend yield, DSEP or MSDD?

DSEP and MSDD have nearly identical dividend yields, around 0.00%.

What is the main difference between DSEP and MSDD?

DSEP is categorized as Options Trading, while MSDD is Inverse Equities. They also come from different issuers: FT Vest and GraniteShares. Their fees differ too: 0.85% for DSEP and 1.50% for MSDD.

Which has better risk-adjusted returns?

DSEP currently has the higher Sharpe Ratio (2.22 vs 0.50), 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.