LFBE vs. LFAO

Last updated Jun 4, 2026

LFBE (LifeX 2065 Longevity Income ETF) and LFAO (LifeX 2055 Longevity Income ETF) are both Government Bonds funds from Stone Ridge. Both are actively managed. Over the past year, LFBE returned 4.42% vs 4.27% for LFAO. With a 0.99 correlation, they move nearly in lockstep. Both charge a 0.25% expense ratio.

Performance

LFBE vs. LFAO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in LifeX 2065 Longevity Income ETF (LFBE) and LifeX 2055 Longevity Income ETF (LFAO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, LFBE achieves a -0.38% return, which is significantly higher than LFAO's -0.43% return.

LFBE

• 1D: -0.36%
• 1M: 0.65%
• YTD: -0.38%
• 6M: -1.72%
• 1Y: 4.42%
• 3Y*: —
• 5Y*: —
• 10Y*: —

LFAO

• 1D: -0.33%
• 1M: 0.47%
• YTD: -0.43%
• 6M: -1.42%
• 1Y: 4.27%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

LFBE vs. LFAO - Yearly Performance Comparison

	2026 (YTD)	2025
LFBE LifeX 2065 Longevity Income ETF	-0.38%	5.14%
LFAO LifeX 2055 Longevity Income ETF	-0.43%	6.10%

Correlation

The correlation between LFBE and LFAO is 0.99 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.99
Correlation (All Time) Calculated using the full available price history since Jan 7, 2025	0.99

The correlation between LFBE and LFAO has been stable across timeframes, ranging from 0.99 to 0.99 - a consistent structural relationship.

Return for Risk

LFBE vs. LFAO — Risk / Return Rank

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

LFBE

LFBE Risk / Return Rank: 17
LFBE Sharpe Ratio Rank: 18
LFBE Sortino Ratio Rank: 17
LFBE Omega Ratio Rank: 16
LFBE Calmar Ratio Rank: 18
LFBE Martin Ratio Rank: 18

LFAO

LFAO Risk / Return Rank: 19
LFAO Sharpe Ratio Rank: 20
LFAO Sortino Ratio Rank: 19
LFAO Omega Ratio Rank: 18
LFAO Calmar Ratio Rank: 19
LFAO Martin Ratio Rank: 19

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.

LFBE vs. LFAO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for LifeX 2065 Longevity Income ETF (LFBE) and LifeX 2055 Longevity Income ETF (LFAO). 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.

	LFBE	LFAO	Difference
Sharpe ratio: Return per unit of total volatility	0.53	0.61	-0.08
Sortino ratio: Return per unit of downside risk	0.83	0.93	-0.10
Omega ratio: Gain probability vs. loss probability	1.09	1.11	-0.01
Calmar ratio: Return relative to maximum drawdown	0.66	0.73	-0.07
Martin ratio: Return relative to average drawdown	1.72	2.01	-0.28
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

LFBE vs. LFAO - Sharpe Ratio Comparison

The current LFBE Sharpe Ratio is 0.53, which is comparable to the LFAO Sharpe Ratio of 0.61. The chart below compares the historical Sharpe Ratios of LFBE and LFAO, 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

	LFBE	LFAO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.53	0.61	-0.08
Sharpe Ratio (All Time) Calculated using the full available price history	0.36	-0.26	+0.62

Drawdowns

LFBE vs. LFAO - Drawdown Comparison

The maximum LFBE drawdown since its inception was -7.65%, smaller than the maximum LFAO drawdown of -10.12%. Use the drawdown chart below to compare losses from any high point for LFBE and LFAO.

Drawdown Indicators

	LFBE	LFAO	Difference
Max Drawdown Largest peak-to-trough decline	-7.65%	-10.12%	+2.47%
Max Drawdown (1Y) Largest decline over 1 year	-6.76%	-5.86%	-0.90%
Current Drawdown Current decline from peak	-4.11%	-3.67%	-0.44%
Average Drawdown Average peak-to-trough decline	-2.89%	-4.58%	+1.69%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.57%	2.13%	+0.44%

Volatility

LFBE vs. LFAO - Volatility Comparison

LifeX 2065 Longevity Income ETF (LFBE) has a higher volatility of 2.57% compared to LifeX 2055 Longevity Income ETF (LFAO) at 2.25%. This indicates that LFBE's price experiences larger fluctuations and is considered to be riskier than LFAO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	LFBE	LFAO	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.57%	2.25%	+0.32%
Volatility (6M) Calculated over the trailing 6-month period	5.73%	4.91%	+0.82%
Volatility (1Y) Calculated over the trailing 1-year period	8.31%	7.02%	+1.29%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.37%	8.09%	+1.28%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	9.37%	8.09%	+1.28%

LFBE vs. LFAO - Expense Ratio Comparison

Both LFBE and LFAO have an expense ratio of 0.25%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

LFBE vs. LFAO - Dividend Comparison

LFBE's dividend yield for the trailing twelve months is around 8.29%, less than LFAO's 11.00% yield.

Position	TTM	2025	2024
LFAO LifeX 2055 Longevity Income ETF	11.00%	14.33%	1.64%
LFBE LifeX 2065 Longevity Income ETF	8.29%	12.22%	0.00%

Frequently Asked Questions

Can I hold both LFBE and LFAO in my portfolio?

With a correlation of 0.99, LFBE and LFAO move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, LFBE or LFAO?

LFBE has higher volatility (2.57%) compared to LFAO (2.25%). In terms of maximum drawdown, LFBE dropped -7.65% vs LFAO's -10.12%.

Which ETF is better, LFBE or LFAO?

On 1-year performance, LFBE leads with 4.42% vs 4.27% for LFAO. Both ETFs have the same 0.25% expense ratio. On volatility, LFAO has been the lower-risk option at 2.25%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, LFBE or LFAO?

Over the 1-year period, LFBE has performed better with a 4.42% return vs 4.27%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, LFBE or LFAO?

LFBE and LFAO have the same expense ratio: 0.25% per year.

Which ETF pays a higher dividend yield, LFBE or LFAO?

LFAO has the higher dividend yield at 11.00%, compared with 8.29% for LFBE.

Which has better risk-adjusted returns?

LFAO currently has the higher Sharpe Ratio (0.61 vs 0.53), 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.