HEFA vs. DBEF

Last updated Jun 24, 2026

HEFA (iShares Currency Hedged MSCI EAFE ETF) and DBEF (Xtrackers MSCI EAFE Hedged Equity ETF) are both Foreign Large Cap Equities funds - HEFA tracks the MSCI EAFE 100% Hedged to USD Index while DBEF tracks the MSCI EAFE US Dollar Hedged Index. Both are passively managed. Over the past 10 years, HEFA returned 13.44%/yr vs 12.97%/yr for DBEF. With a 0.97 correlation, they move nearly in lockstep. Both charge a 0.35% expense ratio.

Performance

HEFA vs. DBEF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Currency Hedged MSCI EAFE ETF (HEFA) and Xtrackers MSCI EAFE Hedged Equity ETF (DBEF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with HEFA having a 12.09% return and DBEF slightly higher at 12.18%. Both investments have delivered pretty close results over the past 10 years, with HEFA having a 13.44% annualized return and DBEF not far behind at 12.97%.

HEFA

• 1D: -1.61%
• 1M: 2.31%
• YTD: 12.09%
• 6M: 12.33%
• 1Y: 29.40%
• 3Y*: 19.37%
• 5Y*: 13.74%
• 10Y*: 13.44%

DBEF

• 1D: -1.75%
• 1M: 2.24%
• YTD: 12.18%
• 6M: 12.25%
• 1Y: 28.10%
• 3Y*: 18.83%
• 5Y*: 13.34%
• 10Y*: 12.97%

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

HEFA vs. DBEF - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
HEFA iShares Currency Hedged MSCI EAFE ETF	12.09%	24.58%	13.71%	20.33%	-4.86%	19.59%	2.09%	27.63%	-9.33%	16.67%
DBEF Xtrackers MSCI EAFE Hedged Equity ETF	12.18%	23.16%	13.40%	20.15%	-5.13%	19.60%	2.03%	24.94%	-9.52%	16.74%

Correlation

The correlation between HEFA and DBEF is 0.98 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.98
Correlation (3Y) Calculated over the trailing 3-year period	0.98
Correlation (5Y) Calculated over the trailing 5-year period	0.99
Correlation (10Y) Calculated over the trailing 10-year period	0.99
Correlation (All Time) Calculated using the full available price history since Feb 14, 2014	0.97

The correlation between HEFA and DBEF has been stable across timeframes, ranging from 0.97 to 0.99 - a consistent structural relationship.

HEFA vs. DBEF - Sectors Allocation Comparison

Sectors	HEFA	DBEF
Financial Services	24.3%	24.3%
Industrials	18.0%	19.5%
Technology	12.5%	11.6%
Healthcare	9.5%	10.2%
Consumer Cyclical	7.1%	7.6%
Consumer Defensive	6.5%	6.6%
Basic Materials	6.0%	6.3%
Communication Services	4.3%	4.8%
Utilities	3.4%	3.7%
Energy	3.3%	3.7%
Real Estate	1.4%	1.7%

Return for Risk

HEFA vs. DBEF — Risk / Return Rank

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

HEFA

HEFA Risk / Return Rank: 72
HEFA Sharpe Ratio Rank: 74
HEFA Sortino Ratio Rank: 74
HEFA Omega Ratio Rank: 75
HEFA Calmar Ratio Rank: 65
HEFA Martin Ratio Rank: 73

DBEF

DBEF Risk / Return Rank: 70
DBEF Sharpe Ratio Rank: 71
DBEF Sortino Ratio Rank: 71
DBEF Omega Ratio Rank: 72
DBEF Calmar Ratio Rank: 63
DBEF Martin Ratio Rank: 71

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.

HEFA vs. DBEF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Currency Hedged MSCI EAFE ETF (HEFA) and Xtrackers MSCI EAFE Hedged Equity ETF (DBEF). 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.

	HEFA	DBEF	Difference
Sharpe ratio: Return per unit of total volatility	2.25	2.18	+0.07
Sortino ratio: Return per unit of downside risk	3.13	3.03	+0.09
Omega ratio: Gain probability vs. loss probability	1.42	1.40	+0.02
Calmar ratio: Return relative to maximum drawdown	3.10	3.00	+0.10
Martin ratio: Return relative to average drawdown	12.99	12.66	+0.32

HEFA vs. DBEF - Sharpe Ratio Comparison

The current HEFA Sharpe Ratio is 2.25, which is comparable to the DBEF Sharpe Ratio of 2.18. The chart below compares the historical Sharpe Ratios of HEFA and DBEF, 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

HEFA vs. DBEF - Drawdown Comparison

The maximum HEFA drawdown since its inception was -32.39%, roughly equal to the maximum DBEF drawdown of -32.46%. Use the drawdown chart below to compare losses from any high point for HEFA and DBEF.

Drawdown Indicators

	HEFA	DBEF	Difference
Max Drawdown Largest peak-to-trough decline	-32.39%	-32.46%	+0.07%
Max Drawdown (1Y) Largest decline over 1 year	-9.52%	-9.41%	-0.11%
Max Drawdown (3Y) Largest decline over 3 years	-14.28%	-14.62%	+0.34%
Max Drawdown (5Y) Largest decline over 5 years	-14.79%	-14.95%	+0.16%
Max Drawdown (10Y) Largest decline over 10 years	-32.39%	-32.46%	+0.07%
Current Drawdown Current decline from peak	-1.61%	-1.75%	+0.14%
Average Drawdown Average peak-to-trough decline	-4.15%	-4.72%	+0.57%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.27%	2.22%	+0.05%

Volatility

HEFA vs. DBEF - Volatility Comparison

iShares Currency Hedged MSCI EAFE ETF (HEFA) and Xtrackers MSCI EAFE Hedged Equity ETF (DBEF) have volatilities of 4.50% and 4.61%, 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

	HEFA	DBEF	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.50%	4.61%	-0.11%
Volatility (6M) Calculated over the trailing 6-month period	10.80%	10.93%	-0.13%
Volatility (1Y) Calculated over the trailing 1-year period	13.11%	12.95%	+0.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.86%	13.85%	+0.01%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.71%	15.63%	+0.08%

HEFA vs. DBEF - Expense Ratio Comparison

Both HEFA and DBEF have an expense ratio of 0.35%.

Dividends

HEFA vs. DBEF - Dividend Comparison

HEFA's dividend yield for the trailing twelve months is around 3.92%, more than DBEF's 2.32% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DBEF Xtrackers MSCI EAFE Hedged Equity ETF	2.32%	5.55%	1.29%	4.46%	15.85%	2.28%	2.41%	3.03%	3.22%	2.98%	2.55%	3.70%
HEFA iShares Currency Hedged MSCI EAFE ETF	3.92%	4.40%	3.09%	3.02%	25.14%	3.06%	2.10%	7.56%	4.58%	2.55%	3.17%	3.54%

Frequently Asked Questions

Can I hold both HEFA and DBEF in my portfolio?

With a correlation of 0.98, HEFA and DBEF move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, HEFA or DBEF?

DBEF has higher volatility (4.61%) compared to HEFA (4.50%). In terms of maximum drawdown, HEFA dropped -32.39% vs DBEF's -32.46%.

Which ETF is better, HEFA or DBEF?

On 10-year performance, HEFA leads with 13.44% vs 12.97% for DBEF. Both ETFs have the same 0.35% expense ratio. On volatility, HEFA has been the lower-risk option at 4.50%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HEFA or DBEF?

Over the 10-year period, HEFA has performed better with a 13.44% return vs 12.97%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HEFA or DBEF?

HEFA and DBEF have the same expense ratio: 0.35% per year.

Which ETF pays a higher dividend yield, HEFA or DBEF?

HEFA has the higher dividend yield at 3.92%, compared with 2.32% for DBEF.

What is the main difference between HEFA and DBEF?

HEFA tracks MSCI EAFE 100% Hedged to USD Index, while DBEF tracks MSCI EAFE US Dollar Hedged Index. They also come from different issuers: iShares and DWS.

Which has better risk-adjusted returns?

HEFA currently has the higher Sharpe Ratio (2.25 vs 2.18), 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.