HFEQ vs. CAOS

Last updated Jun 4, 2026

HFEQ (Unlimited HFEQ Equity Long/Short ETF) and CAOS (Alpha Architect Tail Risk ETF) are both exchange-traded funds - HFEQ is a Long-Short fund actively managed by Unlimited, while CAOS is a Options Trading fund actively managed by Alpha Architect. Both are actively managed. At a correlation of -0.34, they often move in opposite directions. HFEQ charges 1.00%/yr vs 0.63%/yr for CAOS.

Performance

HFEQ vs. CAOS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Unlimited HFEQ Equity Long/Short ETF (HFEQ) and Alpha Architect Tail Risk ETF (CAOS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HFEQ achieves a 14.04% return, which is significantly higher than CAOS's 0.82% return.

HFEQ

• 1D: -0.34%
• 1M: 5.50%
• YTD: 14.04%
• 6M: 13.73%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

CAOS

• 1D: 0.12%
• 1M: -0.09%
• YTD: 0.82%
• 6M: 0.69%
• 1Y: 1.88%
• 3Y*: 4.26%
• 5Y*: —
• 10Y*: —

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

HFEQ vs. CAOS - Yearly Performance Comparison

	2026 (YTD)	2025
HFEQ Unlimited HFEQ Equity Long/Short ETF	14.04%	14.92%
CAOS Alpha Architect Tail Risk ETF	0.82%	1.17%

Correlation

The correlation between HFEQ and CAOS is -0.34, 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 (All Time) Calculated using the full available price history since Jul 16, 2025	-0.34

Return for Risk

HFEQ vs. CAOS — Risk / Return Rank

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

CAOS

CAOS Risk / Return Rank: 40
CAOS Sharpe Ratio Rank: 34
CAOS Sortino Ratio Rank: 37
CAOS Omega Ratio Rank: 39
CAOS Calmar Ratio Rank: 49
CAOS Martin Ratio Rank: 39

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.

HFEQ vs. CAOS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Unlimited HFEQ Equity Long/Short ETF (HFEQ) and Alpha Architect Tail Risk ETF (CAOS). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	HFEQ	CAOS	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	1.24	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.66	1.21	+0.45

Drawdowns

HFEQ vs. CAOS - Drawdown Comparison

The maximum HFEQ drawdown since its inception was -12.46%, which is greater than CAOS's maximum drawdown of -3.60%. Use the drawdown chart below to compare losses from any high point for HFEQ and CAOS.

Drawdown Indicators

	HFEQ	CAOS	Difference
Max Drawdown Largest peak-to-trough decline	-12.46%	-3.60%	-8.86%
Max Drawdown (1Y) Largest decline over 1 year	—	-0.76%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-3.60%	—
Current Drawdown Current decline from peak	-0.34%	-1.07%	+0.73%
Average Drawdown Average peak-to-trough decline	-2.45%	-0.90%	-1.55%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.30%	—

Volatility

Volatility by Period

	HFEQ	CAOS	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	0.26%	—
Volatility (6M) Calculated over the trailing 6-month period	—	1.03%	—
Volatility (1Y) Calculated over the trailing 1-year period	21.60%	1.52%	+20.08%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.60%	4.26%	+17.34%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.60%	4.26%	+17.34%

HFEQ vs. CAOS - Expense Ratio Comparison

HFEQ has a 1.00% expense ratio, which is higher than CAOS's 0.63% expense ratio.

Dividends

HFEQ vs. CAOS - Dividend Comparison

HFEQ's dividend yield for the trailing twelve months is around 9.25%, while CAOS has not paid dividends to shareholders.

Position	TTM	2025
CAOS Alpha Architect Tail Risk ETF	0.00%	0.00%
HFEQ Unlimited HFEQ Equity Long/Short ETF	9.25%	10.55%

Frequently Asked Questions

Can I hold both HFEQ and CAOS in my portfolio?

HFEQ and CAOS have a correlation of -0.34, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, HFEQ or CAOS?

On fees, CAOS is cheaper at 0.63% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, HFEQ or CAOS?

CAOS is cheaper with a 0.63% expense ratio, compared with 1.00% for HFEQ.

Which ETF pays a higher dividend yield, HFEQ or CAOS?

HFEQ has the higher dividend yield at 9.25%, compared with 0.00% for CAOS.

What is the main difference between HFEQ and CAOS?

HFEQ is categorized as Long-Short, while CAOS is Options Trading. They also come from different issuers: Unlimited and Alpha Architect. Their fees differ too: 1.00% for HFEQ and 0.63% for CAOS.