LALT vs. QDSIX

Last updated Jun 4, 2026

LALT (First Trust Multi-Strategy Alternative ETF) and QDSIX (AQR Diversifying Strategies Fund) are both funds - LALT is a Global Allocation fund actively managed by First Trust, while QDSIX is a Multistrategy fund managed by AQR Funds. Over the past 3 years, LALT returned 10.48%/yr vs 13.91%/yr for QDSIX. At a 0.38 correlation, their price movements are largely independent. LALT charges 1.94%/yr vs 0.20%/yr for QDSIX.

Performance

LALT vs. QDSIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Multi-Strategy Alternative ETF (LALT) and AQR Diversifying Strategies Fund (QDSIX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, LALT achieves a 10.70% return, which is significantly higher than QDSIX's 6.42% return.

LALT

• 1D: -0.44%
• 1M: -0.12%
• YTD: 10.70%
• 6M: 10.50%
• 1Y: 22.25%
• 3Y*: 10.48%
• 5Y*: —
• 10Y*: —

QDSIX

• 1D: 0.07%
• 1M: 1.50%
• YTD: 6.42%
• 6M: 7.88%
• 1Y: 15.05%
• 3Y*: 13.91%
• 5Y*: 11.18%
• 10Y*: —

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

LALT vs. QDSIX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
LALT First Trust Multi-Strategy Alternative ETF	10.70%	10.79%	8.77%	0.88%
QDSIX AQR Diversifying Strategies Fund	6.42%	16.36%	9.71%	7.75%

Correlation

The correlation between LALT and QDSIX is 0.41, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.41
Correlation (3Y) Calculated over the trailing 3-year period	0.39
Correlation (All Time) Calculated using the full available price history since Feb 2, 2023	0.38

Return for Risk

LALT vs. QDSIX — Risk / Return Rank

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

LALT

LALT Risk / Return Rank: 93
LALT Sharpe Ratio Rank: 92
LALT Sortino Ratio Rank: 93
LALT Omega Ratio Rank: 93
LALT Calmar Ratio Rank: 95
LALT Martin Ratio Rank: 95

QDSIX

QDSIX Risk / Return Rank: 92
QDSIX Sharpe Ratio Rank: 91
QDSIX Sortino Ratio Rank: 92
QDSIX Omega Ratio Rank: 86
QDSIX Calmar Ratio Rank: 98
QDSIX Martin Ratio Rank: 95

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.

LALT vs. QDSIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Multi-Strategy Alternative ETF (LALT) and AQR Diversifying Strategies Fund (QDSIX). 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.

	LALT	QDSIX	Difference
Sharpe ratio: Return per unit of total volatility	3.28	3.05	+0.24
Sortino ratio: Return per unit of downside risk	4.62	4.56	+0.07
Omega ratio: Gain probability vs. loss probability	1.65	1.59	+0.05
Calmar ratio: Return relative to maximum drawdown	7.79	7.82	-0.03
Martin ratio: Return relative to average drawdown	30.25	22.82	+7.42
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

LALT vs. QDSIX - Sharpe Ratio Comparison

The current LALT Sharpe Ratio is 3.28, which is comparable to the QDSIX Sharpe Ratio of 3.05. The chart below compares the historical Sharpe Ratios of LALT and QDSIX, 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

	LALT	QDSIX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.28	3.05	+0.24
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	1.47	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.62	1.66	-0.04

Drawdowns

LALT vs. QDSIX - Drawdown Comparison

The maximum LALT drawdown since its inception was -6.97%, roughly equal to the maximum QDSIX drawdown of -7.06%. Use the drawdown chart below to compare losses from any high point for LALT and QDSIX.

Drawdown Indicators

	LALT	QDSIX	Difference
Max Drawdown Largest peak-to-trough decline	-6.97%	-7.06%	+0.09%
Max Drawdown (1Y) Largest decline over 1 year	-2.87%	-1.96%	-0.91%
Max Drawdown (3Y) Largest decline over 3 years	-6.97%	-6.90%	-0.07%
Max Drawdown (5Y) Largest decline over 5 years	—	-7.06%	—
Current Drawdown Current decline from peak	-0.80%	0.00%	-0.80%
Average Drawdown Average peak-to-trough decline	-0.98%	-1.44%	+0.46%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.74%	0.67%	+0.07%

Volatility

LALT vs. QDSIX - Volatility Comparison

The current volatility for First Trust Multi-Strategy Alternative ETF (LALT) is 1.23%, while AQR Diversifying Strategies Fund (QDSIX) has a volatility of 1.38%. This indicates that LALT experiences smaller price fluctuations and is considered to be less risky than QDSIX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	LALT	QDSIX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.23%	1.38%	-0.15%
Volatility (6M) Calculated over the trailing 6-month period	5.40%	3.60%	+1.80%
Volatility (1Y) Calculated over the trailing 1-year period	6.81%	5.04%	+1.77%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.78%	7.64%	-1.86%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.78%	7.32%	-1.54%

LALT vs. QDSIX - Expense Ratio Comparison

LALT has a 1.94% expense ratio, which is higher than QDSIX's 0.20% expense ratio.

Dividends

LALT vs. QDSIX - Dividend Comparison

LALT's dividend yield for the trailing twelve months is around 3.68%, more than QDSIX's 2.10% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
LALT First Trust Multi-Strategy Alternative ETF	3.68%	2.03%	2.06%	2.44%	0.00%	0.00%	0.00%
QDSIX AQR Diversifying Strategies Fund	2.10%	2.23%	0.00%	11.35%	8.22%	6.07%	1.93%

Frequently Asked Questions

Can I hold both LALT and QDSIX in my portfolio?

LALT and QDSIX have a correlation of 0.41, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, LALT or QDSIX?

QDSIX has higher volatility (1.38%) compared to LALT (1.23%). In terms of maximum drawdown, LALT dropped -6.97% vs QDSIX's -7.06%.

Which has better risk-adjusted returns?

LALT currently has the higher Sharpe Ratio (3.28 vs 3.05), 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.