HEGD vs. USOY

Last updated Jun 3, 2026

HEGD (Swan Hedged Equity US Large Cap ETF) and USOY (Defiance Oil Enhanced Options Income ETF) are both exchange-traded funds - HEGD is a Equity Hedged fund tracking the S&P 500, while USOY is a Derivative Income fund actively managed by Defiance. HEGD is passively managed, while USOY is actively managed. Over the past year, HEGD returned 19.36% vs 55.52% for USOY. At a correlation of -0.08, they often move in opposite directions. HEGD charges 0.88%/yr vs 1.22%/yr for USOY.

Performance

HEGD vs. USOY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Swan Hedged Equity US Large Cap ETF (HEGD) and Defiance Oil Enhanced Options Income ETF (USOY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HEGD achieves a 7.52% return, which is significantly lower than USOY's 59.86% return.

HEGD

• 1D: 0.30%
• 1M: 3.81%
• YTD: 7.52%
• 6M: 7.26%
• 1Y: 19.36%
• 3Y*: 14.89%
• 5Y*: 9.28%
• 10Y*: —

USOY

• 1D: 1.63%
• 1M: -1.93%
• YTD: 59.86%
• 6M: 58.33%
• 1Y: 55.52%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

HEGD vs. USOY - Yearly Performance Comparison

	2026 (YTD)	2025	2024
HEGD Swan Hedged Equity US Large Cap ETF	7.52%	12.95%	9.43%
USOY Defiance Oil Enhanced Options Income ETF	59.86%	-7.93%	7.27%

Correlation

The correlation between HEGD and USOY is -0.28, 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	-0.28
Correlation (All Time) Calculated using the full available price history since May 13, 2024	-0.08

Over the past year, the inverse relationship between HEGD and USOY has strengthened: their correlation has moved from -0.08 to -0.28, meaning they now move in opposite directions more often than their long-term average.

Return for Risk

HEGD vs. USOY — Risk / Return Rank

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

HEGD

HEGD Risk / Return Rank: 85
HEGD Sharpe Ratio Rank: 85
HEGD Sortino Ratio Rank: 88
HEGD Omega Ratio Rank: 84
HEGD Calmar Ratio Rank: 83
HEGD Martin Ratio Rank: 85

USOY

USOY Risk / Return Rank: 56
USOY Sharpe Ratio Rank: 53
USOY Sortino Ratio Rank: 45
USOY Omega Ratio Rank: 54
USOY Calmar Ratio Rank: 79
USOY Martin Ratio Rank: 47

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.

HEGD vs. USOY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Swan Hedged Equity US Large Cap ETF (HEGD) and Defiance Oil Enhanced Options Income ETF (USOY). 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.

	HEGD	USOY	Difference
Sharpe ratio Return per unit of total volatility	2.81	1.83	+0.97
Sortino ratio Return per unit of downside risk	4.02	2.25	+1.77
Omega ratio Gain probability vs. loss probability	1.52	1.34	+0.18
Calmar ratio Return relative to maximum drawdown	4.49	4.10	+0.38
Martin ratio Return relative to average drawdown	17.84	7.91	+9.93
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HEGD vs. USOY - Sharpe Ratio Comparison

The current HEGD Sharpe Ratio is 2.81, which is higher than the USOY Sharpe Ratio of 1.83. The chart below compares the historical Sharpe Ratios of HEGD and USOY, 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

	HEGD	USOY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.81	1.83	+0.97
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.99	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.08	0.96	+0.12

Drawdowns

HEGD vs. USOY - Drawdown Comparison

The maximum HEGD drawdown since its inception was -14.56%, smaller than the maximum USOY drawdown of -17.46%. Use the drawdown chart below to compare losses from any high point for HEGD and USOY.

Drawdown Indicators

	HEGD	USOY	Difference
Max Drawdown Largest peak-to-trough decline	-14.56%	-17.46%	+2.90%
Max Drawdown (1Y) Largest decline over 1 year	-4.39%	-14.29%	+9.90%
Max Drawdown (3Y) Largest decline over 3 years	-8.14%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-14.56%	—	—
Current Drawdown Current decline from peak	0.00%	-6.47%	+6.47%
Average Drawdown Average peak-to-trough decline	-3.67%	-6.47%	+2.80%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.10%	7.42%	-6.32%

Volatility

HEGD vs. USOY - Volatility Comparison

The current volatility for Swan Hedged Equity US Large Cap ETF (HEGD) is 2.26%, while Defiance Oil Enhanced Options Income ETF (USOY) has a volatility of 11.94%. This indicates that HEGD experiences smaller price fluctuations and is considered to be less risky than USOY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HEGD	USOY	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.26%	11.94%	-9.68%
Volatility (6M) Calculated over the trailing 6-month period	4.91%	27.16%	-22.25%
Volatility (1Y) Calculated over the trailing 1-year period	6.92%	30.46%	-23.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.40%	26.14%	-16.74%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	9.35%	26.14%	-16.79%

HEGD vs. USOY - Expense Ratio Comparison

HEGD has a 0.88% expense ratio, which is lower than USOY's 1.22% expense ratio.

Dividends

HEGD vs. USOY - Dividend Comparison

HEGD's dividend yield for the trailing twelve months is around 0.33%, less than USOY's 54.95% yield.

Position	TTM	2025	2024	2023	2022	2021
HEGD Swan Hedged Equity US Large Cap ETF	0.33%	0.36%	0.43%	0.39%	0.87%	0.31%
USOY Defiance Oil Enhanced Options Income ETF	54.95%	104.32%	48.60%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both HEGD and USOY in my portfolio?

HEGD and USOY have a correlation of -0.28, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HEGD or USOY?

USOY has higher volatility (11.94%) compared to HEGD (2.26%). In terms of maximum drawdown, HEGD dropped -14.56% vs USOY's -17.46%.

Which ETF is better, HEGD or USOY?

On 1-year performance, USOY leads with 55.52% vs 19.36% for HEGD. On fees, HEGD is cheaper at 0.88% per year. On volatility, HEGD has been the lower-risk option at 2.26%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HEGD or USOY?

Over the 1-year period, USOY has performed better with a 55.52% return vs 19.36%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HEGD or USOY?

HEGD is cheaper with a 0.88% expense ratio, compared with 1.22% for USOY.

Which ETF pays a higher dividend yield, HEGD or USOY?

USOY has the higher dividend yield at 54.95%, compared with 0.33% for HEGD.

What is the main difference between HEGD and USOY?

HEGD is categorized as Equity Hedged, while USOY is Derivative Income. They also come from different issuers: Swan and Defiance. Their fees differ too: 0.88% for HEGD and 1.22% for USOY.

Which has better risk-adjusted returns?

HEGD currently has the higher Sharpe Ratio (2.81 vs 1.83), 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.