KBAB vs. USOY

Last updated Jun 5, 2026

KBAB (KraneShares 2x Long BABA Daily ETF) and USOY (Defiance Oil Enhanced Options Income ETF) are both exchange-traded funds - KBAB is a Leveraged Equities fund actively managed by KraneShares, while USOY is a Derivative Income fund actively managed by Defiance. Both are actively managed. Over the past year, KBAB returned -12.41% vs 54.64% for USOY. At a correlation of -0.04, they often move in opposite directions. KBAB charges 1.00%/yr vs 1.22%/yr for USOY.

Performance

KBAB vs. USOY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in KraneShares 2x Long BABA Daily ETF (KBAB) 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, KBAB achieves a -34.51% return, which is significantly lower than USOY's 59.27% return.

KBAB

• 1D: -2.24%
• 1M: -11.65%
• YTD: -34.51%
• 6M: -43.88%
• 1Y: -12.41%
• 3Y*: —
• 5Y*: —
• 10Y*: —

USOY

• 1D: -1.79%
• 1M: -3.80%
• YTD: 59.27%
• 6M: 55.41%
• 1Y: 54.64%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

KBAB vs. USOY - Yearly Performance Comparison

	2026 (YTD)	2025
KBAB KraneShares 2x Long BABA Daily ETF	-34.51%	-7.77%
USOY Defiance Oil Enhanced Options Income ETF	59.27%	-5.57%

Correlation

The correlation between KBAB and USOY is -0.13, 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	-0.13
Correlation (All Time) Calculated using the full available price history since Mar 13, 2025	-0.04

Return for Risk

KBAB vs. USOY — Risk / Return Rank

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

KBAB

KBAB Risk / Return Rank: 9
KBAB Sharpe Ratio Rank: 8
KBAB Sortino Ratio Rank: 12
KBAB Omega Ratio Rank: 12
KBAB Calmar Ratio Rank: 7
KBAB Martin Ratio Rank: 7

USOY

USOY Risk / Return Rank: 55
USOY Sharpe Ratio Rank: 54
USOY Sortino Ratio Rank: 45
USOY Omega Ratio Rank: 55
USOY Calmar Ratio Rank: 77
USOY Martin Ratio Rank: 46

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.

KBAB vs. USOY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for KraneShares 2x Long BABA Daily ETF (KBAB) 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.

	KBAB	USOY	Difference
Sharpe ratio: Return per unit of total volatility	-0.14	1.80	-1.94
Sortino ratio: Return per unit of downside risk	0.45	2.21	-1.77
Omega ratio: Gain probability vs. loss probability	1.05	1.33	-0.28
Calmar ratio: Return relative to maximum drawdown	-0.19	3.84	-4.03
Martin ratio: Return relative to average drawdown	-0.34	7.37	-7.71
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

KBAB vs. USOY - Sharpe Ratio Comparison

The current KBAB Sharpe Ratio is -0.14, which is lower than the USOY Sharpe Ratio of 1.80. The chart below compares the historical Sharpe Ratios of KBAB 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

	KBAB	USOY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.14	1.80	-1.94
Sharpe Ratio (All Time) Calculated using the full available price history	-0.37	0.95	-1.32

Drawdowns

KBAB vs. USOY - Drawdown Comparison

The maximum KBAB drawdown since its inception was -65.23%, which is greater than USOY's maximum drawdown of -17.46%. Use the drawdown chart below to compare losses from any high point for KBAB and USOY.

Drawdown Indicators

	KBAB	USOY	Difference
Max Drawdown Largest peak-to-trough decline	-65.23%	-17.46%	-47.77%
Max Drawdown (1Y) Largest decline over 1 year	-65.23%	-14.29%	-50.94%
Current Drawdown Current decline from peak	-63.11%	-6.81%	-56.30%
Average Drawdown Average peak-to-trough decline	-37.47%	-6.47%	-31.00%
Ulcer Index Depth and duration of drawdowns from previous peaks	36.68%	7.43%	+29.25%

Volatility

KBAB vs. USOY - Volatility Comparison

KraneShares 2x Long BABA Daily ETF (KBAB) has a higher volatility of 28.64% compared to Defiance Oil Enhanced Options Income ETF (USOY) at 11.67%. This indicates that KBAB's price experiences larger fluctuations and is considered to be riskier than USOY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	KBAB	USOY	Difference
Volatility (1M) Calculated over the trailing 1-month period	28.64%	11.67%	+16.97%
Volatility (6M) Calculated over the trailing 6-month period	57.46%	27.26%	+30.20%
Volatility (1Y) Calculated over the trailing 1-year period	87.67%	30.50%	+57.17%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	90.88%	26.14%	+64.74%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	90.88%	26.14%	+64.74%

KBAB vs. USOY - Expense Ratio Comparison

KBAB has a 1.00% expense ratio, which is lower than USOY's 1.22% expense ratio.

Dividends

KBAB vs. USOY - Dividend Comparison

KBAB's dividend yield for the trailing twelve months is around 91.44%, more than USOY's 56.65% yield.

Position	TTM	2025	2024
KBAB KraneShares 2x Long BABA Daily ETF	91.44%	59.88%	0.00%
USOY Defiance Oil Enhanced Options Income ETF	56.65%	104.32%	48.60%

Frequently Asked Questions

Can I hold both KBAB and USOY in my portfolio?

KBAB and USOY have a correlation of -0.13, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, KBAB or USOY?

KBAB has higher volatility (28.64%) compared to USOY (11.67%). In terms of maximum drawdown, KBAB dropped -65.23% vs USOY's -17.46%.

Which ETF is better, KBAB or USOY?

On 1-year performance, USOY leads with 54.64% vs -12.41% for KBAB. On fees, KBAB is cheaper at 1.00% per year. On volatility, USOY has been the lower-risk option at 11.67%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, KBAB or USOY?

Over the 1-year period, USOY has performed better with a 54.64% return vs -12.41%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, KBAB or USOY?

KBAB is cheaper with a 1.00% expense ratio, compared with 1.22% for USOY.

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

KBAB has the higher dividend yield at 91.44%, compared with 56.65% for USOY.

What is the main difference between KBAB and USOY?

KBAB is categorized as Leveraged Equities, while USOY is Derivative Income. They also come from different issuers: KraneShares and Defiance. Their fees differ too: 1.00% for KBAB and 1.22% for USOY.

Which has better risk-adjusted returns?

USOY currently has the higher Sharpe Ratio (1.80 vs -0.14), 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.