FOCT vs. SMST

Last updated Jul 14, 2026

FOCT (FT Vest U.S. Equity Buffer ETF - October) and SMST (Defiance Daily Target 2X Short MSTR ETF) are both exchange-traded funds - FOCT is a Defined Outcome fund actively managed by FT Vest, while SMST is a Inverse Equities fund actively managed by Defiance. Both are actively managed. Over the past year, FOCT returned 16.62% vs 240.03% for SMST. At a correlation of -0.42, they often move in opposite directions. FOCT charges 0.85%/yr vs 1.29%/yr for SMST.

Performance

FOCT vs. SMST - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FT Vest U.S. Equity Buffer ETF - October (FOCT) and Defiance Daily Target 2X Short MSTR ETF (SMST). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FOCT achieves a 7.19% return, which is significantly higher than SMST's -27.96% return.

FOCT

• 1D: -0.32%
• 1M: 1.19%
• 6M: 6.02%
• YTD: 7.19%
• 1Y: 16.62%
• 3Y*: 11.26%
• 5Y*: 9.04%
• 10Y*: —

SMST

• 1D: 5.26%
• 1M: 44.38%
• 6M: -15.07%
• YTD: -27.96%
• 1Y: 240.03%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

FOCT vs. SMST - Yearly Performance Comparison

	2026 (YTD)	2025	2024
FOCT FT Vest U.S. Equity Buffer ETF - October	7.19%	14.92%	1.67%
SMST Defiance Daily Target 2X Short MSTR ETF	-27.96%	-44.36%	-91.71%

Correlation

The correlation between FOCT and SMST is -0.46, 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	-0.46
Correlation (All Time) Calculated using the full available price history since Aug 21, 2024	-0.42

Return for Risk

FOCT vs. SMST — Risk / Return Rank

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

FOCT

FOCT Risk / Return Rank: 82
FOCT Sharpe Ratio Rank: 83
FOCT Sortino Ratio Rank: 85
FOCT Omega Ratio Rank: 85
FOCT Calmar Ratio Rank: 72
FOCT Martin Ratio Rank: 86

SMST

SMST Risk / Return Rank: 60
SMST Sharpe Ratio Rank: 62
SMST Sortino Ratio Rank: 63
SMST Omega Ratio Rank: 63
SMST Calmar Ratio Rank: 71
SMST Martin Ratio Rank: 43

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.

FOCT vs. SMST - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FT Vest U.S. Equity Buffer ETF - October (FOCT) and Defiance Daily Target 2X Short MSTR ETF (SMST). 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.

	FOCT	SMST	Difference
Sharpe ratio: Return per unit of total volatility	2.09	1.62	+0.46
Sortino ratio: Return per unit of downside risk	3.01	2.33	+0.68
Omega ratio: Gain probability vs. loss probability	1.40	1.30	+0.10
Calmar ratio: Return relative to maximum drawdown	2.91	2.83	+0.08
Martin ratio: Return relative to average drawdown	14.03	5.47	+8.56

FOCT vs. SMST - Sharpe Ratio Comparison

The current FOCT Sharpe Ratio is 2.09, which is comparable to the SMST Sharpe Ratio of 1.62. The chart below compares the historical Sharpe Ratios of FOCT and SMST, 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

FOCT vs. SMST - Drawdown Comparison

The maximum FOCT drawdown since its inception was -14.07%, smaller than the maximum SMST drawdown of -99.25%. Use the drawdown chart below to compare losses from any high point for FOCT and SMST.

Drawdown Indicators

	FOCT	SMST	Difference
Max Drawdown Largest peak-to-trough decline	-14.07%	-99.25%	+85.18%
Max Drawdown (1Y) Largest decline over 1 year	-5.74%	-85.39%	+79.65%
Max Drawdown (3Y) Largest decline over 3 years	-13.06%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-14.07%	—	—
Current Drawdown Current decline from peak	-0.32%	-97.17%	+96.85%
Average Drawdown Average peak-to-trough decline	-2.23%	-90.89%	+88.66%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.19%	44.09%	-42.90%

Volatility

FOCT vs. SMST - Volatility Comparison

The current volatility for FT Vest U.S. Equity Buffer ETF - October (FOCT) is 2.08%, while Defiance Daily Target 2X Short MSTR ETF (SMST) has a volatility of 56.59%. This indicates that FOCT experiences smaller price fluctuations and is considered to be less risky than SMST based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FOCT	SMST	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.08%	56.59%	-54.51%
Volatility (6M) Calculated over the trailing 6-month period	6.24%	135.88%	-129.64%
Volatility (1Y) Calculated over the trailing 1-year period	8.01%	149.23%	-141.22%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	11.12%	167.74%	-156.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.85%	167.74%	-156.89%

FOCT vs. SMST - Expense Ratio Comparison

FOCT has a 0.85% expense ratio, which is lower than SMST's 1.29% expense ratio.

Dividends

FOCT vs. SMST - Dividend Comparison

Neither FOCT nor SMST has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both FOCT and SMST in my portfolio?

FOCT and SMST have a correlation of -0.46, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FOCT or SMST?

SMST has higher volatility (56.59%) compared to FOCT (2.08%). In terms of maximum drawdown, FOCT dropped -14.07% vs SMST's -99.25%.

Which ETF is better, FOCT or SMST?

On 1-year performance, SMST leads with 240.03% vs 16.62% for FOCT. On fees, FOCT is cheaper at 0.85% per year. On volatility, FOCT has been the lower-risk option at 2.08%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FOCT or SMST?

Over the 1-year period, SMST has performed better with a 240.03% return vs 16.62%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FOCT or SMST?

FOCT is cheaper with a 0.85% expense ratio, compared with 1.29% for SMST.

Which ETF pays a higher dividend yield, FOCT or SMST?

FOCT and SMST have nearly identical dividend yields, around 0.00%.

What is the main difference between FOCT and SMST?

FOCT is categorized as Defined Outcome, while SMST is Inverse Equities. They also come from different issuers: FT Vest and Defiance. Their fees differ too: 0.85% for FOCT and 1.29% for SMST.

Which has better risk-adjusted returns?

FOCT currently has the higher Sharpe Ratio (2.09 vs 1.62), 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.