EUAD vs. IDEF

Last updated Jul 17, 2026

EUAD (Select STOXX Europe Aerospace & Defense ETF) and IDEF (iShares Defense Industrials Active ETF) are both Aerospace & Defense funds. EUAD is passively managed, while IDEF is actively managed. Over the past year, EUAD returned -2.80% vs 8.87% for IDEF. A 0.73 correlation means they provide meaningful diversification when combined. EUAD charges 0.50%/yr vs 0.55%/yr for IDEF.

Performance

EUAD vs. IDEF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Select STOXX Europe Aerospace & Defense ETF (EUAD) and iShares Defense Industrials Active ETF (IDEF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EUAD achieves a -2.04% return, which is significantly lower than IDEF's 1.15% return.

EUAD

• 1D: -0.96%
• 1M: -1.83%
• 6M: -12.79%
• YTD: -2.04%
• 1Y: -2.80%
• 3Y*: —
• 5Y*: —
• 10Y*: —

IDEF

• 1D: -1.39%
• 1M: -5.21%
• 6M: -12.66%
• YTD: 1.15%
• 1Y: 8.87%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

EUAD vs. IDEF - Yearly Performance Comparison

	2026 (YTD)	2025
EUAD Select STOXX Europe Aerospace & Defense ETF	-2.04%	8.71%
IDEF iShares Defense Industrials Active ETF	1.15%	21.50%

Correlation

The correlation between EUAD and IDEF is 0.74, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.74
Correlation (All Time) Calculated using the full available price history since May 21, 2025	0.73

The correlation between EUAD and IDEF has been stable across timeframes, ranging from 0.73 to 0.74 - a consistent structural relationship.

EUAD vs. IDEF - Sectors Allocation Comparison

Sectors	EUAD	IDEF
Industrials	99.5%	84.8%
Healthcare	0.1%	-
Basic Materials	-	1.6%
Communication Services	-	0.2%
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	1.5%
Financial Services	-	0.1%
Real Estate	-	-
Technology	-	11.4%
Utilities	-	0.5%

Return for Risk

EUAD vs. IDEF — Risk / Return Rank

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

EUAD

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

IDEF

IDEF Risk / Return Rank: 16
IDEF Sharpe Ratio Rank: 16
IDEF Sortino Ratio Rank: 17
IDEF Omega Ratio Rank: 15
IDEF Calmar Ratio Rank: 17
IDEF 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.

EUAD vs. IDEF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Select STOXX Europe Aerospace & Defense ETF (EUAD) and iShares Defense Industrials Active ETF (IDEF). 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.

	EUAD	IDEF	Difference
Sharpe ratio: Return per unit of total volatility	-0.10	0.40	-0.49
Sortino ratio: Return per unit of downside risk	0.07	0.73	-0.66
Omega ratio: Gain probability vs. loss probability	1.01	1.08	-0.07
Calmar ratio: Return relative to maximum drawdown	-0.13	0.57	-0.69
Martin ratio: Return relative to average drawdown	-0.28	1.24	-1.52

EUAD vs. IDEF - Sharpe Ratio Comparison

The current EUAD Sharpe Ratio is -0.10, which is lower than the IDEF Sharpe Ratio of 0.40. The chart below compares the historical Sharpe Ratios of EUAD and IDEF, 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

EUAD vs. IDEF - Drawdown Comparison

The maximum EUAD drawdown since its inception was -22.04%, which is greater than IDEF's maximum drawdown of -15.69%. Use the drawdown chart below to compare losses from any high point for EUAD and IDEF.

Drawdown Indicators

	EUAD	IDEF	Difference
Max Drawdown Largest peak-to-trough decline	-22.04%	-15.69%	-6.35%
Max Drawdown (1Y) Largest decline over 1 year	-22.04%	-15.69%	-6.35%
Current Drawdown Current decline from peak	-14.52%	-15.32%	+0.80%
Average Drawdown Average peak-to-trough decline	-6.21%	-4.80%	-1.41%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.06%	7.14%	+2.92%

Volatility

EUAD vs. IDEF - Volatility Comparison

Select STOXX Europe Aerospace & Defense ETF (EUAD) has a higher volatility of 7.30% compared to iShares Defense Industrials Active ETF (IDEF) at 6.25%. This indicates that EUAD's price experiences larger fluctuations and is considered to be riskier than IDEF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EUAD	IDEF	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.30%	6.25%	+1.05%
Volatility (6M) Calculated over the trailing 6-month period	24.40%	18.56%	+5.84%
Volatility (1Y) Calculated over the trailing 1-year period	29.25%	22.47%	+6.78%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	29.65%	21.61%	+8.04%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	29.65%	21.61%	+8.04%

EUAD vs. IDEF - Expense Ratio Comparison

EUAD has a 0.50% expense ratio, which is lower than IDEF's 0.55% expense ratio.

Dividends

EUAD vs. IDEF - Dividend Comparison

EUAD's dividend yield for the trailing twelve months is around 0.41%, more than IDEF's 0.34% yield.

Position	TTM	2025	2024
EUAD Select STOXX Europe Aerospace & Defense ETF	0.41%	0.40%	0.10%
IDEF iShares Defense Industrials Active ETF	0.34%	0.17%	0.00%

Frequently Asked Questions

Can I hold both EUAD and IDEF in my portfolio?

EUAD and IDEF have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EUAD or IDEF?

EUAD has higher volatility (7.30%) compared to IDEF (6.25%). In terms of maximum drawdown, EUAD dropped -22.04% vs IDEF's -15.69%.

Which ETF is better, EUAD or IDEF?

On 1-year performance, IDEF leads with 8.87% vs -2.80% for EUAD. On fees, EUAD is cheaper at 0.50% per year. On volatility, IDEF has been the lower-risk option at 6.25%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EUAD or IDEF?

Over the 1-year period, IDEF has performed better with a 8.87% return vs -2.80%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EUAD or IDEF?

EUAD is cheaper with a 0.50% expense ratio, compared with 0.55% for IDEF.

Which ETF pays a higher dividend yield, EUAD or IDEF?

EUAD has the higher dividend yield at 0.41%, compared with 0.34% for IDEF.

What is the main difference between EUAD and IDEF?

They also come from different issuers: Select Funds and iShares. Their fees differ too: 0.50% for EUAD and 0.55% for IDEF.

Which has better risk-adjusted returns?

IDEF currently has the higher Sharpe Ratio (0.40 vs -0.10), 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.