HOOW vs. SMST

Last updated Jul 14, 2026

HOOW (Roundhill HOOD WeeklyPay ETF) and SMST (Defiance Daily Target 2X Short MSTR ETF) are both exchange-traded funds - HOOW is a Leveraged Equities fund actively managed by Roundhill, while SMST is a Inverse Equities fund actively managed by Defiance. Both are actively managed. Over the past year, HOOW returned 2.30% vs 240.03% for SMST. At a correlation of -0.62, they often move in opposite directions. HOOW charges 0.99%/yr vs 1.29%/yr for SMST.

Performance

HOOW vs. SMST - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Roundhill HOOD WeeklyPay ETF (HOOW) and Defiance Daily Target 2X Short MSTR ETF (SMST). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HOOW achieves a -8.58% return, which is significantly higher than SMST's -27.96% return.

HOOW

• 1D: -2.38%
• 1M: 20.63%
• 6M: -12.98%
• YTD: -8.58%
• 1Y: 2.30%
• 3Y*: —
• 5Y*: —
• 10Y*: —

SMST

• 1D: 5.26%
• 1M: 44.38%
• 6M: -15.07%
• YTD: -27.96%
• 1Y: 240.03%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

HOOW vs. SMST - Yearly Performance Comparison

	2026 (YTD)	2025
HOOW Roundhill HOOD WeeklyPay ETF	-8.58%	52.60%
SMST Defiance Daily Target 2X Short MSTR ETF	-27.96%	228.15%

Correlation

The correlation between HOOW and SMST is -0.62, 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	-0.62
Correlation (All Time) Calculated using the full available price history since Jun 18, 2025	-0.62

The correlation between HOOW and SMST has been stable across timeframes, ranging from -0.62 to -0.62 - a consistent structural relationship.

Return for Risk

HOOW vs. SMST — Risk / Return Rank

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

HOOW

HOOW Risk / Return Rank: 12
HOOW Sharpe Ratio Rank: 10
HOOW Sortino Ratio Rank: 15
HOOW Omega Ratio Rank: 15
HOOW Calmar Ratio Rank: 10
HOOW Martin Ratio Rank: 10

SMST

SMST Risk / Return Rank: 60
SMST Sharpe Ratio Rank: 62
SMST Sortino Ratio Rank: 63
SMST Omega Ratio Rank: 63
SMST Calmar Ratio Rank: 71
SMST Martin Ratio Rank: 43

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.

HOOW vs. SMST - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Roundhill HOOD WeeklyPay ETF (HOOW) and Defiance Daily Target 2X Short MSTR ETF (SMST). 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.

	HOOW	SMST	Difference
Sharpe ratio: Return per unit of total volatility	0.03	1.62	-1.60
Sortino ratio: Return per unit of downside risk	0.66	2.33	-1.67
Omega ratio: Gain probability vs. loss probability	1.08	1.30	-0.23
Calmar ratio: Return relative to maximum drawdown	0.04	2.83	-2.80
Martin ratio: Return relative to average drawdown	0.06	5.47	-5.41

HOOW vs. SMST - Sharpe Ratio Comparison

The current HOOW Sharpe Ratio is 0.03, which is lower than the SMST Sharpe Ratio of 1.62. The chart below compares the historical Sharpe Ratios of HOOW and SMST, 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

HOOW vs. SMST - Drawdown Comparison

The maximum HOOW drawdown since its inception was -65.74%, smaller than the maximum SMST drawdown of -99.25%. Use the drawdown chart below to compare losses from any high point for HOOW and SMST.

Drawdown Indicators

	HOOW	SMST	Difference
Max Drawdown Largest peak-to-trough decline	-65.74%	-99.25%	+33.51%
Max Drawdown (1Y) Largest decline over 1 year	-65.74%	-85.39%	+19.65%
Current Drawdown Current decline from peak	-37.92%	-97.17%	+59.25%
Average Drawdown Average peak-to-trough decline	-30.43%	-90.89%	+60.46%
Ulcer Index Depth and duration of drawdowns from previous peaks	39.11%	44.09%	-4.98%

Volatility

HOOW vs. SMST - Volatility Comparison

The current volatility for Roundhill HOOD WeeklyPay ETF (HOOW) is 22.96%, while Defiance Daily Target 2X Short MSTR ETF (SMST) has a volatility of 56.59%. This indicates that HOOW experiences smaller price fluctuations and is considered to be less risky than SMST based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HOOW	SMST	Difference
Volatility (1M) Calculated over the trailing 1-month period	22.96%	56.59%	-33.63%
Volatility (6M) Calculated over the trailing 6-month period	63.57%	135.88%	-72.31%
Volatility (1Y) Calculated over the trailing 1-year period	83.72%	149.23%	-65.51%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	83.81%	167.74%	-83.93%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	83.81%	167.74%	-83.93%

HOOW vs. SMST - Expense Ratio Comparison

HOOW has a 0.99% expense ratio, which is lower than SMST's 1.29% expense ratio.

Dividends

HOOW vs. SMST - Dividend Comparison

HOOW's dividend yield for the trailing twelve months is around 131.72%, while SMST has not paid dividends to shareholders.

Position	TTM	2025
HOOW Roundhill HOOD WeeklyPay ETF	131.72%	67.92%
SMST Defiance Daily Target 2X Short MSTR ETF	0.00%	0.00%

Frequently Asked Questions

Can I hold both HOOW and SMST in my portfolio?

HOOW and SMST have a correlation of -0.62, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HOOW or SMST?

SMST has higher volatility (56.59%) compared to HOOW (22.96%). In terms of maximum drawdown, HOOW dropped -65.74% vs SMST's -99.25%.

Which ETF is better, HOOW or SMST?

On 1-year performance, SMST leads with 240.03% vs 2.30% for HOOW. On fees, HOOW is cheaper at 0.99% per year. On volatility, HOOW has been the lower-risk option at 22.96%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HOOW or SMST?

Over the 1-year period, SMST has performed better with a 240.03% return vs 2.30%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HOOW or SMST?

HOOW is cheaper with a 0.99% expense ratio, compared with 1.29% for SMST.

Which ETF pays a higher dividend yield, HOOW or SMST?

HOOW has the higher dividend yield at 131.72%, compared with 0.00% for SMST.

What is the main difference between HOOW and SMST?

HOOW is categorized as Leveraged Equities, while SMST is Inverse Equities. They also come from different issuers: Roundhill and Defiance. Their fees differ too: 0.99% for HOOW and 1.29% for SMST.

Which has better risk-adjusted returns?

SMST currently has the higher Sharpe Ratio (1.62 vs 0.03), 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.