HDEF vs. CAT

Last updated Jun 14, 2026

HDEF (Xtrackers MSCI EAFE High Dividend Yield Equity ETF) is Foreign Large Cap Equities fund tracking the MSCI EAFE High Dividend Yield US Dollar Hedged Index, while CAT (Caterpillar Inc.) is a stock. Over the past 10 years, HDEF returned 9.42%/yr vs 31.33%/yr for CAT. At a 0.47 correlation, their price movements are largely independent.

Performance

HDEF vs. CAT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Xtrackers MSCI EAFE High Dividend Yield Equity ETF (HDEF) and Caterpillar Inc. (CAT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HDEF achieves a 6.62% return, which is significantly lower than CAT's 59.62% return. Over the past 10 years, HDEF has underperformed CAT with an annualized return of 9.42%, while CAT has yielded a comparatively higher 31.33% annualized return.

HDEF

• 1D: 0.09%
• 1M: 0.83%
• YTD: 6.62%
• 6M: 8.15%
• 1Y: 17.56%
• 3Y*: 16.78%
• 5Y*: 10.21%
• 10Y*: 9.42%

CAT

• 1D: 1.44%
• 1M: 2.51%
• YTD: 59.62%
• 6M: 52.94%
• 1Y: 157.79%
• 3Y*: 57.16%
• 5Y*: 35.17%
• 10Y*: 31.33%

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

HDEF vs. CAT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
HDEF Xtrackers MSCI EAFE High Dividend Yield Equity ETF	6.62%	33.01%	2.85%	18.53%	-2.51%	6.95%	-1.90%	25.02%	-13.74%	9.89%
CAT Caterpillar Inc.	59.62%	60.30%	24.66%	25.95%	18.60%	15.95%	26.97%	19.51%	-17.56%	75.03%

Correlation

The correlation between HDEF and CAT is 0.40, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.40
Correlation (3Y) Calculated over the trailing 3-year period	0.44
Correlation (5Y) Calculated over the trailing 5-year period	0.51
Correlation (10Y) Calculated over the trailing 10-year period	0.50
Correlation (All Time) Calculated using the full available price history since Aug 18, 2015	0.47

The correlation between HDEF and CAT shifts across timeframes, from 0.40 (1 year) to 0.51 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

HDEF vs. CAT — Risk / Return Rank

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

HDEF

HDEF Risk / Return Rank: 45
HDEF Sharpe Ratio Rank: 46
HDEF Sortino Ratio Rank: 44
HDEF Omega Ratio Rank: 45
HDEF Calmar Ratio Rank: 47
HDEF Martin Ratio Rank: 43

CAT

CAT Risk / Return Rank: 98
CAT Sharpe Ratio Rank: 98
CAT Sortino Ratio Rank: 98
CAT Omega Ratio Rank: 97
CAT Calmar Ratio Rank: 98
CAT Martin Ratio Rank: 99

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.

HDEF vs. CAT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Xtrackers MSCI EAFE High Dividend Yield Equity ETF (HDEF) and Caterpillar Inc. (CAT). 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.

	HDEF	CAT	Difference
Sharpe ratio: Return per unit of total volatility	1.41	4.43	-3.03
Sortino ratio: Return per unit of downside risk	1.99	5.03	-3.04
Omega ratio: Gain probability vs. loss probability	1.26	1.65	-0.39
Calmar ratio: Return relative to maximum drawdown	2.06	11.24	-9.18
Martin ratio: Return relative to average drawdown	6.12	36.80	-30.68

HDEF vs. CAT - Sharpe Ratio Comparison

The current HDEF Sharpe Ratio is 1.41, which is lower than the CAT Sharpe Ratio of 4.43. The chart below compares the historical Sharpe Ratios of HDEF and CAT, 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

HDEF vs. CAT - Drawdown Comparison

The maximum HDEF drawdown since its inception was -36.43%, smaller than the maximum CAT drawdown of -73.43%. Use the drawdown chart below to compare losses from any high point for HDEF and CAT.

Drawdown Indicators

	HDEF	CAT	Difference
Max Drawdown Largest peak-to-trough decline	-36.43%	-73.43%	+37.00%
Max Drawdown (1Y) Largest decline over 1 year	-8.03%	-13.88%	+5.85%
Max Drawdown (3Y) Largest decline over 3 years	-11.15%	-34.05%	+22.90%
Max Drawdown (5Y) Largest decline over 5 years	-23.63%	-34.05%	+10.42%
Max Drawdown (10Y) Largest decline over 10 years	-36.43%	-43.36%	+6.93%
Current Drawdown Current decline from peak	-3.31%	-3.18%	-0.13%
Average Drawdown Average peak-to-trough decline	-5.06%	-19.73%	+14.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.70%	4.23%	-1.53%

Volatility

HDEF vs. CAT - Volatility Comparison

The current volatility for Xtrackers MSCI EAFE High Dividend Yield Equity ETF (HDEF) is 3.52%, while Caterpillar Inc. (CAT) has a volatility of 13.16%. This indicates that HDEF experiences smaller price fluctuations and is considered to be less risky than CAT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HDEF	CAT	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.52%	13.16%	-9.64%
Volatility (6M) Calculated over the trailing 6-month period	9.34%	28.37%	-19.03%
Volatility (1Y) Calculated over the trailing 1-year period	11.79%	35.19%	-23.40%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.16%	30.79%	-16.63%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.24%	30.98%	-14.74%

Dividends

HDEF vs. CAT - Dividend Comparison

HDEF's dividend yield for the trailing twelve months is around 3.56%, more than CAT's 0.66% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CAT Caterpillar Inc.	0.66%	1.02%	1.49%	1.69%	1.93%	2.07%	2.26%	2.56%	2.58%	1.97%	3.32%	4.33%
HDEF Xtrackers MSCI EAFE High Dividend Yield Equity ETF	3.56%	3.88%	4.53%	4.38%	5.41%	4.76%	3.93%	4.20%	3.55%	3.38%	9.53%	1.87%

Frequently Asked Questions

Can I hold both HDEF and CAT in my portfolio?

HDEF and CAT have a correlation of 0.40, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HDEF or CAT?

CAT has higher volatility (13.16%) compared to HDEF (3.52%). In terms of maximum drawdown, HDEF dropped -36.43% vs CAT's -73.43%.

Which has better risk-adjusted returns?

CAT currently has the higher Sharpe Ratio (4.43 vs 1.41), 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.