LSEQ vs. HDG

Last updated Jun 4, 2026

LSEQ (Harbor Long-Short Equity ETF) and HDG (ProShares Hedge Replication) are both Long-Short funds. LSEQ is actively managed, while HDG is passively managed. Over the past year, LSEQ returned 25.44% vs 13.22% for HDG. At a 0.23 correlation, their price movements are largely independent. LSEQ charges 1.70%/yr vs 0.95%/yr for HDG.

Performance

LSEQ vs. HDG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Harbor Long-Short Equity ETF (LSEQ) and ProShares Hedge Replication (HDG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, LSEQ achieves a 27.40% return, which is significantly higher than HDG's 6.40% return.

LSEQ

• 1D: 1.12%
• 1M: 4.34%
• YTD: 27.40%
• 6M: 26.84%
• 1Y: 25.44%
• 3Y*: —
• 5Y*: —
• 10Y*: —

HDG

• 1D: -0.37%
• 1M: 2.07%
• YTD: 6.40%
• 6M: 7.00%
• 1Y: 13.22%
• 3Y*: 7.56%
• 5Y*: 3.02%
• 10Y*: 3.91%

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

LSEQ vs. HDG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
LSEQ Harbor Long-Short Equity ETF	27.40%	4.13%	12.80%	-1.20%
HDG ProShares Hedge Replication	6.40%	7.18%	5.12%	1.92%

Correlation

The correlation between LSEQ and HDG 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 (All Time) Calculated using the full available price history since Dec 5, 2023	0.23

The correlation between LSEQ and HDG shifts across timeframes, from 0.23 (all time) to 0.41 (1 year), reflecting how their relationship changes across market environments.

LSEQ vs. HDG - Sectors Allocation Comparison

Sectors	LSEQ	HDG
Basic Materials	27.3%	4.8%
Consumer Cyclical	17.3%	8.4%
Energy	15.0%	6.1%
Healthcare	14.7%	16.5%
Communication Services	7.0%	2.4%
Industrials	6.5%	17.7%
Consumer Defensive	5.2%	2.4%
Utilities	3.1%	2.9%
Financial Services	1.2%	15.8%
Real Estate	-	6.1%
Technology	-10.9%	17.0%

Return for Risk

LSEQ vs. HDG — Risk / Return Rank

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

LSEQ

LSEQ Risk / Return Rank: 54
LSEQ Sharpe Ratio Rank: 49
LSEQ Sortino Ratio Rank: 48
LSEQ Omega Ratio Rank: 49
LSEQ Calmar Ratio Rank: 69
LSEQ Martin Ratio Rank: 55

HDG

HDG Risk / Return Rank: 73
HDG Sharpe Ratio Rank: 72
HDG Sortino Ratio Rank: 77
HDG Omega Ratio Rank: 76
HDG Calmar Ratio Rank: 67
HDG Martin Ratio Rank: 73

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.

LSEQ vs. HDG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Harbor Long-Short Equity ETF (LSEQ) and ProShares Hedge Replication (HDG). 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.

	LSEQ	HDG	Difference
Sharpe ratio: Return per unit of total volatility	1.70	2.36	-0.66
Sortino ratio: Return per unit of downside risk	2.38	3.50	-1.12
Omega ratio: Gain probability vs. loss probability	1.31	1.46	-0.15
Calmar ratio: Return relative to maximum drawdown	3.45	3.35	+0.11
Martin ratio: Return relative to average drawdown	9.40	13.81	-4.41
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

LSEQ vs. HDG - Sharpe Ratio Comparison

The current LSEQ Sharpe Ratio is 1.70, which is comparable to the HDG Sharpe Ratio of 2.36. The chart below compares the historical Sharpe Ratios of LSEQ and HDG, 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

	LSEQ	HDG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.70	2.36	-0.66
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.42	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.55	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.19	0.43	+0.76

Drawdowns

LSEQ vs. HDG - Drawdown Comparison

The maximum LSEQ drawdown since its inception was -8.35%, smaller than the maximum HDG drawdown of -15.31%. Use the drawdown chart below to compare losses from any high point for LSEQ and HDG.

Drawdown Indicators

	LSEQ	HDG	Difference
Max Drawdown Largest peak-to-trough decline	-8.35%	-15.31%	+6.96%
Max Drawdown (1Y) Largest decline over 1 year	-7.40%	-3.97%	-3.43%
Max Drawdown (3Y) Largest decline over 3 years	—	-7.20%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-15.31%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-15.31%	—
Current Drawdown Current decline from peak	-1.66%	-0.37%	-1.29%
Average Drawdown Average peak-to-trough decline	-3.23%	-2.77%	-0.46%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.78%	0.96%	+1.82%

Volatility

LSEQ vs. HDG - Volatility Comparison

Harbor Long-Short Equity ETF (LSEQ) has a higher volatility of 5.48% compared to ProShares Hedge Replication (HDG) at 2.06%. This indicates that LSEQ's price experiences larger fluctuations and is considered to be riskier than HDG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	LSEQ	HDG	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.48%	2.06%	+3.42%
Volatility (6M) Calculated over the trailing 6-month period	12.75%	4.58%	+8.17%
Volatility (1Y) Calculated over the trailing 1-year period	15.09%	5.64%	+9.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.32%	7.15%	+7.17%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.32%	7.11%	+7.21%

LSEQ vs. HDG - Expense Ratio Comparison

LSEQ has a 1.70% expense ratio, which is higher than HDG's 0.95% expense ratio.

Dividends

LSEQ vs. HDG - Dividend Comparison

LSEQ's dividend yield for the trailing twelve months is around 1.73%, less than HDG's 2.35% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HDG ProShares Hedge Replication	2.35%	2.55%	3.50%	3.48%	0.39%	0.00%	0.08%	1.09%	0.51%	0.00%	0.00%	0.00%
LSEQ Harbor Long-Short Equity ETF	1.73%	2.20%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both LSEQ and HDG in my portfolio?

LSEQ and HDG 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, LSEQ or HDG?

LSEQ has higher volatility (5.48%) compared to HDG (2.06%). In terms of maximum drawdown, LSEQ dropped -8.35% vs HDG's -15.31%.

Which ETF is better, LSEQ or HDG?

On 1-year performance, LSEQ leads with 25.44% vs 13.22% for HDG. On fees, HDG is cheaper at 0.95% per year. On volatility, HDG has been the lower-risk option at 2.06%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, LSEQ or HDG?

Over the 1-year period, LSEQ has performed better with a 25.44% return vs 13.22%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, LSEQ or HDG?

HDG is cheaper with a 0.95% expense ratio, compared with 1.70% for LSEQ.

Which ETF pays a higher dividend yield, LSEQ or HDG?

HDG has the higher dividend yield at 2.35%, compared with 1.73% for LSEQ.

What is the main difference between LSEQ and HDG?

They also come from different issuers: Harbor and ProShares. Their fees differ too: 1.70% for LSEQ and 0.95% for HDG.

Which has better risk-adjusted returns?

HDG currently has the higher Sharpe Ratio (2.36 vs 1.70), 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.