HDG vs. FLSP

Last updated Jun 4, 2026

HDG (ProShares Hedge Replication) and FLSP (Franklin Liberty Systematic Style Premia ETF) are both Long-Short funds. HDG is passively managed, while FLSP is actively managed. Over the past 5 years, HDG returned 3.02%/yr vs 7.70%/yr for FLSP. At a 0.08 correlation, their price movements are largely independent. HDG charges 0.95%/yr vs 0.65%/yr for FLSP.

Performance

HDG vs. FLSP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in ProShares Hedge Replication (HDG) and Franklin Liberty Systematic Style Premia ETF (FLSP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HDG achieves a 6.40% return, which is significantly higher than FLSP's 1.26% return.

HDG

• 1D: -0.37%
• 1M: 2.07%
• YTD: 6.40%
• 6M: 7.00%
• 1Y: 13.22%
• 3Y*: 7.56%
• 5Y*: 3.02%
• 10Y*: 3.91%

FLSP

• 1D: 0.04%
• 1M: 1.15%
• YTD: 1.26%
• 6M: 3.45%
• 1Y: 14.67%
• 3Y*: 10.00%
• 5Y*: 7.70%
• 10Y*: —

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

HDG vs. FLSP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
HDG ProShares Hedge Replication	6.40%	7.18%	5.12%	7.14%	-8.48%	2.97%	7.45%	0.03%
FLSP Franklin Liberty Systematic Style Premia ETF	1.26%	15.56%	11.75%	3.14%	0.44%	11.44%	-15.19%	0.90%

Correlation

The correlation between HDG and FLSP is 0.02, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.02
Correlation (3Y) Calculated over the trailing 3-year period	0.00
Correlation (5Y) Calculated over the trailing 5-year period	0.06
Correlation (All Time) Calculated using the full available price history since Dec 24, 2019	0.08

HDG vs. FLSP - Sectors Allocation Comparison

Sectors	HDG	FLSP
Industrials	17.7%	14.8%
Technology	17.0%	21.1%
Healthcare	16.5%	9.7%
Financial Services	15.8%	18.7%
Consumer Cyclical	8.4%	8.0%
Real Estate	6.1%	1.2%
Energy	6.1%	4.7%
Basic Materials	4.8%	5.8%
Utilities	2.9%	3.3%
Communication Services	2.4%	6.5%
Consumer Defensive	2.4%	6.3%

Return for Risk

HDG vs. FLSP — Risk / Return Rank

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

HDG

HDG Risk / Return Rank: 73
HDG Sharpe Ratio Rank: 72
HDG Sortino Ratio Rank: 77
HDG Omega Ratio Rank: 76
HDG Calmar Ratio Rank: 67
HDG Martin Ratio Rank: 73

FLSP

FLSP Risk / Return Rank: 53
FLSP Sharpe Ratio Rank: 45
FLSP Sortino Ratio Rank: 45
FLSP Omega Ratio Rank: 42
FLSP Calmar Ratio Rank: 72
FLSP Martin Ratio Rank: 59

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.

HDG vs. FLSP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for ProShares Hedge Replication (HDG) and Franklin Liberty Systematic Style Premia ETF (FLSP). 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.

	HDG	FLSP	Difference
Sharpe ratio: Return per unit of total volatility	2.36	1.59	+0.77
Sortino ratio: Return per unit of downside risk	3.50	2.27	+1.24
Omega ratio: Gain probability vs. loss probability	1.46	1.27	+0.19
Calmar ratio: Return relative to maximum drawdown	3.35	3.66	-0.31
Martin ratio: Return relative to average drawdown	13.81	10.59	+3.22
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HDG vs. FLSP - Sharpe Ratio Comparison

The current HDG Sharpe Ratio is 2.36, which is higher than the FLSP Sharpe Ratio of 1.59. The chart below compares the historical Sharpe Ratios of HDG and FLSP, 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

	HDG	FLSP	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.36	1.59	+0.77
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.42	0.58	-0.16
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.55	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.43	0.30	+0.13

Drawdowns

HDG vs. FLSP - Drawdown Comparison

The maximum HDG drawdown since its inception was -15.31%, smaller than the maximum FLSP drawdown of -22.75%. Use the drawdown chart below to compare losses from any high point for HDG and FLSP.

Drawdown Indicators

	HDG	FLSP	Difference
Max Drawdown Largest peak-to-trough decline	-15.31%	-22.75%	+7.44%
Max Drawdown (1Y) Largest decline over 1 year	-3.97%	-4.03%	+0.06%
Max Drawdown (3Y) Largest decline over 3 years	-7.20%	-6.69%	-0.51%
Max Drawdown (5Y) Largest decline over 5 years	-15.31%	-9.52%	-5.79%
Max Drawdown (10Y) Largest decline over 10 years	-15.31%	—	—
Current Drawdown Current decline from peak	-0.37%	-1.94%	+1.57%
Average Drawdown Average peak-to-trough decline	-2.77%	-6.30%	+3.53%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.96%	1.39%	-0.43%

Volatility

HDG vs. FLSP - Volatility Comparison

ProShares Hedge Replication (HDG) and Franklin Liberty Systematic Style Premia ETF (FLSP) have volatilities of 2.06% and 1.98%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HDG	FLSP	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.06%	1.98%	+0.08%
Volatility (6M) Calculated over the trailing 6-month period	4.58%	6.86%	-2.28%
Volatility (1Y) Calculated over the trailing 1-year period	5.64%	9.27%	-3.63%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.15%	13.37%	-6.22%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	7.11%	13.53%	-6.42%

HDG vs. FLSP - Expense Ratio Comparison

HDG has a 0.95% expense ratio, which is higher than FLSP's 0.65% expense ratio.

Dividends

HDG vs. FLSP - Dividend Comparison

HDG's dividend yield for the trailing twelve months is around 2.35%, less than FLSP's 2.62% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FLSP Franklin Liberty Systematic Style Premia ETF	2.62%	2.65%	1.18%	1.19%	2.18%	1.19%	8.08%	0.00%	0.00%	0.00%	0.00%	0.00%
HDG ProShares Hedge Replication	2.35%	2.55%	3.50%	3.48%	0.39%	0.00%	0.08%	1.09%	0.51%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both HDG and FLSP in my portfolio?

HDG and FLSP have a correlation of 0.02, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HDG or FLSP?

HDG has higher volatility (2.06%) compared to FLSP (1.98%). In terms of maximum drawdown, HDG dropped -15.31% vs FLSP's -22.75%.

Which ETF is better, HDG or FLSP?

On 5-year performance, FLSP leads with 7.70% vs 3.02% for HDG. On fees, FLSP is cheaper at 0.65% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HDG or FLSP?

Over the 5-year period, FLSP has performed better with a 7.70% return vs 3.02%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HDG or FLSP?

FLSP is cheaper with a 0.65% expense ratio, compared with 0.95% for HDG.

Which ETF pays a higher dividend yield, HDG or FLSP?

FLSP has the higher dividend yield at 2.62%, compared with 2.35% for HDG.

What is the main difference between HDG and FLSP?

They also come from different issuers: ProShares and Franklin Templeton. Their fees differ too: 0.95% for HDG and 0.65% for FLSP.

Which has better risk-adjusted returns?

HDG currently has the higher Sharpe Ratio (2.36 vs 1.59), 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.