EDGE vs. PAPI

Last updated Jun 4, 2026

EDGE (MRBL Enhanced Equity ETF) and PAPI (Parametric Equity Premium Income ETF) are both Derivative Income funds. Both are actively managed. Over the past year, EDGE returned 28.99% vs 12.39% for PAPI. At a 0.41 correlation, their price movements are largely independent. EDGE charges 0.74%/yr vs 0.29%/yr for PAPI.

Performance

EDGE vs. PAPI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in MRBL Enhanced Equity ETF (EDGE) and Parametric Equity Premium Income ETF (PAPI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EDGE achieves a 9.19% return, which is significantly higher than PAPI's 5.81% return.

EDGE

• 1D: -0.24%
• 1M: 3.49%
• YTD: 9.19%
• 6M: 10.97%
• 1Y: 28.99%
• 3Y*: —
• 5Y*: —
• 10Y*: —

PAPI

• 1D: -0.26%
• 1M: 0.28%
• YTD: 5.81%
• 6M: 5.78%
• 1Y: 12.39%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

EDGE vs. PAPI - Yearly Performance Comparison

	2026 (YTD)	2025
EDGE MRBL Enhanced Equity ETF	9.19%	13.16%
PAPI Parametric Equity Premium Income ETF	5.81%	3.86%

Correlation

The correlation between EDGE and PAPI is 0.31, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.31
Correlation (All Time) Calculated using the full available price history since Jan 23, 2025	0.41

Return for Risk

EDGE vs. PAPI — Risk / Return Rank

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

EDGE

EDGE Risk / Return Rank: 80
EDGE Sharpe Ratio Rank: 81
EDGE Sortino Ratio Rank: 80
EDGE Omega Ratio Rank: 86
EDGE Calmar Ratio Rank: 66
EDGE Martin Ratio Rank: 85

PAPI

PAPI Risk / Return Rank: 33
PAPI Sharpe Ratio Rank: 32
PAPI Sortino Ratio Rank: 34
PAPI Omega Ratio Rank: 30
PAPI Calmar Ratio Rank: 37
PAPI Martin Ratio Rank: 33

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.

EDGE vs. PAPI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for MRBL Enhanced Equity ETF (EDGE) and Parametric Equity Premium Income ETF (PAPI). 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.

	EDGE	PAPI	Difference
Sharpe ratio: Return per unit of total volatility	2.58	1.19	+1.39
Sortino ratio: Return per unit of downside risk	3.55	1.82	+1.73
Omega ratio: Gain probability vs. loss probability	1.53	1.21	+0.32
Calmar ratio: Return relative to maximum drawdown	3.23	1.81	+1.42
Martin ratio: Return relative to average drawdown	17.20	4.90	+12.30
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

EDGE vs. PAPI - Sharpe Ratio Comparison

The current EDGE Sharpe Ratio is 2.58, which is higher than the PAPI Sharpe Ratio of 1.19. The chart below compares the historical Sharpe Ratios of EDGE and PAPI, 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

	EDGE	PAPI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.58	1.19	+1.39
Sharpe Ratio (All Time) Calculated using the full available price history	1.06	0.88	+0.18

Drawdowns

EDGE vs. PAPI - Drawdown Comparison

The maximum EDGE drawdown since its inception was -20.66%, which is greater than PAPI's maximum drawdown of -14.27%. Use the drawdown chart below to compare losses from any high point for EDGE and PAPI.

Drawdown Indicators

	EDGE	PAPI	Difference
Max Drawdown Largest peak-to-trough decline	-20.66%	-14.27%	-6.39%
Max Drawdown (1Y) Largest decline over 1 year	-9.01%	-6.86%	-2.15%
Current Drawdown Current decline from peak	-0.24%	-5.06%	+4.82%
Average Drawdown Average peak-to-trough decline	-2.85%	-2.73%	-0.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.69%	2.53%	-0.84%

Volatility

EDGE vs. PAPI - Volatility Comparison

The current volatility for MRBL Enhanced Equity ETF (EDGE) is 1.80%, while Parametric Equity Premium Income ETF (PAPI) has a volatility of 2.23%. This indicates that EDGE experiences smaller price fluctuations and is considered to be less risky than PAPI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EDGE	PAPI	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.80%	2.23%	-0.43%
Volatility (6M) Calculated over the trailing 6-month period	9.08%	7.00%	+2.08%
Volatility (1Y) Calculated over the trailing 1-year period	11.28%	10.55%	+0.73%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.95%	11.76%	+4.19%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.95%	11.76%	+4.19%

EDGE vs. PAPI - Expense Ratio Comparison

EDGE has a 0.74% expense ratio, which is higher than PAPI's 0.29% expense ratio.

Dividends

EDGE vs. PAPI - Dividend Comparison

EDGE has not paid dividends to shareholders, while PAPI's dividend yield for the trailing twelve months is around 7.62%.

Position	TTM	2025	2024	2023
EDGE MRBL Enhanced Equity ETF	0.00%	0.00%	0.00%	0.00%
PAPI Parametric Equity Premium Income ETF	7.62%	7.59%	7.07%	1.45%

Frequently Asked Questions

Can I hold both EDGE and PAPI in my portfolio?

EDGE and PAPI have a correlation of 0.31, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EDGE or PAPI?

PAPI has higher volatility (2.23%) compared to EDGE (1.80%). In terms of maximum drawdown, EDGE dropped -20.66% vs PAPI's -14.27%.

Which ETF is better, EDGE or PAPI?

On 1-year performance, EDGE leads with 28.99% vs 12.39% for PAPI. On fees, PAPI is cheaper at 0.29% per year. On volatility, EDGE has been the lower-risk option at 1.80%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EDGE or PAPI?

Over the 1-year period, EDGE has performed better with a 28.99% return vs 12.39%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EDGE or PAPI?

PAPI is cheaper with a 0.29% expense ratio, compared with 0.74% for EDGE.

Which ETF pays a higher dividend yield, EDGE or PAPI?

PAPI has the higher dividend yield at 7.62%, compared with 0.00% for EDGE.

What is the main difference between EDGE and PAPI?

They also come from different issuers: MRBL and Morgan Stanley. Their fees differ too: 0.74% for EDGE and 0.29% for PAPI.

Which has better risk-adjusted returns?

EDGE currently has the higher Sharpe Ratio (2.58 vs 1.19), 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.