HEQT vs. MTBA

Last updated Jun 5, 2026

HEQT (Simplify Hedged Equity ETF) and MTBA (Simplify MBS ETF) are both exchange-traded funds - HEQT is a Options Trading fund actively managed by Simplify, while MTBA is a Mortgage Backed Securities fund actively managed by Simplify. Both are actively managed. Over the past year, HEQT returned 14.78% vs 4.76% for MTBA. At a 0.19 correlation, their price movements are largely independent. HEQT charges 0.53%/yr vs 0.15%/yr for MTBA.

Performance

HEQT vs. MTBA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Simplify Hedged Equity ETF (HEQT) and Simplify MBS ETF (MTBA). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HEQT achieves a 4.92% return, which is significantly higher than MTBA's -0.13% return.

HEQT

• 1D: -0.03%
• 1M: 1.33%
• YTD: 4.92%
• 6M: 5.48%
• 1Y: 14.78%
• 3Y*: 13.47%
• 5Y*: —
• 10Y*: —

MTBA

• 1D: 0.10%
• 1M: 0.23%
• YTD: -0.13%
• 6M: 0.34%
• 1Y: 4.76%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

HEQT vs. MTBA - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
HEQT Simplify Hedged Equity ETF	4.92%	10.08%	18.30%	6.09%
MTBA Simplify MBS ETF	-0.13%	7.74%	1.99%	3.64%

Correlation

The correlation between HEQT and MTBA is 0.29, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.29
Correlation (All Time) Calculated using the full available price history since Nov 8, 2023	0.19

The correlation between HEQT and MTBA shifts across timeframes, from 0.19 (all time) to 0.29 (1 year), reflecting how their relationship changes across market environments.

HEQT vs. MTBA - Sectors Allocation Comparison

Sectors	HEQT	MTBA
Technology	36.2%	-
Financial Services	11.9%	47.2%
Communication Services	10.9%	-
Consumer Cyclical	10.1%	-
Healthcare	8.4%	-
Industrials	8.1%	-
Consumer Defensive	4.9%	-
Energy	3.5%	-
Utilities	2.3%	-
Real Estate	1.9%	-
Basic Materials	1.8%	-

Return for Risk

HEQT vs. MTBA — Risk / Return Rank

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

HEQT

HEQT Risk / Return Rank: 72
HEQT Sharpe Ratio Rank: 72
HEQT Sortino Ratio Rank: 75
HEQT Omega Ratio Rank: 82
HEQT Calmar Ratio Rank: 60
HEQT Martin Ratio Rank: 72

MTBA

MTBA Risk / Return Rank: 42
MTBA Sharpe Ratio Rank: 46
MTBA Sortino Ratio Rank: 45
MTBA Omega Ratio Rank: 48
MTBA Calmar Ratio Rank: 35
MTBA Martin Ratio Rank: 38

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.

HEQT vs. MTBA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Simplify Hedged Equity ETF (HEQT) and Simplify MBS ETF (MTBA). 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.

	HEQT	MTBA	Difference
Sharpe ratio: Return per unit of total volatility	2.33	1.56	+0.77
Sortino ratio: Return per unit of downside risk	3.31	2.20	+1.12
Omega ratio: Gain probability vs. loss probability	1.49	1.30	+0.19
Calmar ratio: Return relative to maximum drawdown	2.92	1.69	+1.22
Martin ratio: Return relative to average drawdown	13.35	5.74	+7.61
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HEQT vs. MTBA - Sharpe Ratio Comparison

The current HEQT Sharpe Ratio is 2.33, which is higher than the MTBA Sharpe Ratio of 1.56. The chart below compares the historical Sharpe Ratios of HEQT and MTBA, 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

	HEQT	MTBA	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.33	1.56	+0.77
Sharpe Ratio (All Time) Calculated using the full available price history	1.08	1.31	-0.22

Drawdowns

HEQT vs. MTBA - Drawdown Comparison

The maximum HEQT drawdown since its inception was -11.51%, which is greater than MTBA's maximum drawdown of -3.48%. Use the drawdown chart below to compare losses from any high point for HEQT and MTBA.

Drawdown Indicators

	HEQT	MTBA	Difference
Max Drawdown Largest peak-to-trough decline	-11.51%	-3.48%	-8.03%
Max Drawdown (1Y) Largest decline over 1 year	-5.09%	-2.82%	-2.27%
Max Drawdown (3Y) Largest decline over 3 years	-10.57%	—	—
Current Drawdown Current decline from peak	-0.09%	-1.50%	+1.41%
Average Drawdown Average peak-to-trough decline	-2.79%	-0.79%	-2.00%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.11%	0.83%	+0.28%

Volatility

HEQT vs. MTBA - Volatility Comparison

The current volatility for Simplify Hedged Equity ETF (HEQT) is 0.73%, while Simplify MBS ETF (MTBA) has a volatility of 1.33%. This indicates that HEQT experiences smaller price fluctuations and is considered to be less risky than MTBA based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HEQT	MTBA	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.73%	1.33%	-0.60%
Volatility (6M) Calculated over the trailing 6-month period	5.27%	2.47%	+2.80%
Volatility (1Y) Calculated over the trailing 1-year period	6.38%	3.10%	+3.28%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	8.47%	3.95%	+4.52%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	8.47%	3.95%	+4.52%

HEQT vs. MTBA - Expense Ratio Comparison

HEQT has a 0.53% expense ratio, which is higher than MTBA's 0.15% expense ratio.

Dividends

HEQT vs. MTBA - Dividend Comparison

HEQT's dividend yield for the trailing twelve months is around 1.19%, less than MTBA's 6.08% yield.

Position	TTM	2025	2024	2023	2022	2021
HEQT Simplify Hedged Equity ETF	1.19%	1.19%	1.29%	4.10%	3.94%	0.27%
MTBA Simplify MBS ETF	6.08%	5.98%	6.03%	0.48%	0.00%	0.00%

Frequently Asked Questions

Can I hold both HEQT and MTBA in my portfolio?

HEQT and MTBA have a correlation of 0.29, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HEQT or MTBA?

MTBA has higher volatility (1.33%) compared to HEQT (0.73%). In terms of maximum drawdown, HEQT dropped -11.51% vs MTBA's -3.48%.

Which ETF is better, HEQT or MTBA?

On 1-year performance, HEQT leads with 14.78% vs 4.76% for MTBA. On fees, MTBA is cheaper at 0.15% per year. On volatility, HEQT has been the lower-risk option at 0.73%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HEQT or MTBA?

Over the 1-year period, HEQT has performed better with a 14.78% return vs 4.76%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HEQT or MTBA?

MTBA is cheaper with a 0.15% expense ratio, compared with 0.53% for HEQT.

Which ETF pays a higher dividend yield, HEQT or MTBA?

MTBA has the higher dividend yield at 6.08%, compared with 1.19% for HEQT.

What is the main difference between HEQT and MTBA?

HEQT is categorized as Options Trading, while MTBA is Mortgage Backed Securities. Their fees differ too: 0.53% for HEQT and 0.15% for MTBA.

Which has better risk-adjusted returns?

HEQT currently has the higher Sharpe Ratio (2.33 vs 1.56), 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.