KDEF vs. WDAF

Last updated Jun 4, 2026

KDEF (PLUS Korea Defense Industry Index ETF) and WDAF (WisdomTree Asia Defense Fund) are both Aerospace & Defense funds - KDEF tracks the The Korea Defence Industry Index while WDAF tracks the WisdomTree Asia Defense Index. Both are passively managed. Their correlation of 0.84 suggests significant overlap in exposure. KDEF charges 0.65%/yr vs 0.45%/yr for WDAF.

Performance

KDEF vs. WDAF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in PLUS Korea Defense Industry Index ETF (KDEF) and WisdomTree Asia Defense Fund (WDAF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, KDEF achieves a 6.06% return, which is significantly lower than WDAF's 11.85% return.

KDEF

• 1D: -2.40%
• 1M: -26.87%
• YTD: 6.06%
• 6M: 18.05%
• 1Y: 40.06%
• 3Y*: —
• 5Y*: —
• 10Y*: —

WDAF

• 1D: -1.56%
• 1M: -13.31%
• YTD: 11.85%
• 6M: 16.15%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

KDEF vs. WDAF - Yearly Performance Comparison

	2026 (YTD)	2025
KDEF PLUS Korea Defense Industry Index ETF	6.06%	-5.14%
WDAF WisdomTree Asia Defense Fund	11.85%	-7.62%

Correlation

The correlation between KDEF and WDAF is 0.84, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (All Time) Calculated using the full available price history since Sep 15, 2025	0.84

Return for Risk

KDEF vs. WDAF — Risk / Return Rank

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

KDEF

KDEF Risk / Return Rank: 26
KDEF Sharpe Ratio Rank: 25
KDEF Sortino Ratio Rank: 25
KDEF Omega Ratio Rank: 25
KDEF Calmar Ratio Rank: 28
KDEF Martin Ratio Rank: 29

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.

KDEF vs. WDAF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for PLUS Korea Defense Industry Index ETF (KDEF) and WisdomTree Asia Defense Fund (WDAF). 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.

	KDEF	WDAF	Difference
Sharpe ratio: Return per unit of total volatility	0.90	—	—
Sortino ratio: Return per unit of downside risk	1.42	—	—
Omega ratio: Gain probability vs. loss probability	1.17	—	—
Calmar ratio: Return relative to maximum drawdown	1.37	—	—
Martin ratio: Return relative to average drawdown	4.15	—	—
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

Sharpe Ratios by Period

	KDEF	WDAF	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.90	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.90	0.15	+1.76

Drawdowns

KDEF vs. WDAF - Drawdown Comparison

The maximum KDEF drawdown since its inception was -29.45%, which is greater than WDAF's maximum drawdown of -18.21%. Use the drawdown chart below to compare losses from any high point for KDEF and WDAF.

Drawdown Indicators

	KDEF	WDAF	Difference
Max Drawdown Largest peak-to-trough decline	-29.45%	-18.21%	-11.24%
Max Drawdown (1Y) Largest decline over 1 year	-29.45%	—	—
Current Drawdown Current decline from peak	-29.45%	-16.06%	-13.39%
Average Drawdown Average peak-to-trough decline	-6.45%	-6.09%	-0.36%
Ulcer Index Depth and duration of drawdowns from previous peaks	9.69%	—	—

Volatility

Volatility by Period

	KDEF	WDAF	Difference
Volatility (1M) Calculated over the trailing 1-month period	15.76%	—	—
Volatility (6M) Calculated over the trailing 6-month period	36.50%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	44.63%	32.10%	+12.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	46.54%	32.10%	+14.44%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	46.54%	32.10%	+14.44%

KDEF vs. WDAF - Expense Ratio Comparison

KDEF has a 0.65% expense ratio, which is higher than WDAF's 0.45% expense ratio.

Dividends

KDEF vs. WDAF - Dividend Comparison

KDEF's dividend yield for the trailing twelve months is around 6.48%, more than WDAF's 0.12% yield.

Position	TTM	2025
KDEF PLUS Korea Defense Industry Index ETF	6.48%	5.06%
WDAF WisdomTree Asia Defense Fund	0.12%	0.13%

Frequently Asked Questions

Can I hold both KDEF and WDAF in my portfolio?

KDEF and WDAF have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, KDEF or WDAF?

On fees, WDAF is cheaper at 0.45% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, KDEF or WDAF?

WDAF is cheaper with a 0.45% expense ratio, compared with 0.65% for KDEF.

Which ETF pays a higher dividend yield, KDEF or WDAF?

KDEF has the higher dividend yield at 6.48%, compared with 0.12% for WDAF.

What is the main difference between KDEF and WDAF?

KDEF tracks The Korea Defence Industry Index, while WDAF tracks WisdomTree Asia Defense Index. They also come from different issuers: PLUS and WisdomTree. Their fees differ too: 0.65% for KDEF and 0.45% for WDAF.