MRGR vs. HDG
MRGR (Proshares Merger ETF) and HDG (ProShares Hedge Replication) are both exchange-traded funds - MRGR is a Hedge Fund fund tracking the S&P Merger Arbitrage Index, while HDG is a Long-Short fund tracking the Merrill Lynch Factor Model - Exchange Series. Both are passively managed. Over the past 10 years, MRGR returned 3.59%/yr vs 4.11%/yr for HDG. At a 0.20 correlation, their price movements are largely independent. MRGR charges 0.75%/yr vs 0.95%/yr for HDG.
Performance
MRGR vs. HDG - Performance Comparison
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Returns By Period
In the year-to-date period, MRGR achieves a 2.38% return, which is significantly lower than HDG's 6.59% return. Over the past 10 years, MRGR has underperformed HDG with an annualized return of 3.59%, while HDG has yielded a comparatively higher 4.11% annualized return.
MRGR
- 1D
- 0.28%
- 1M
- 0.51%
- YTD
- 2.38%
- 6M
- 2.11%
- 1Y
- 11.18%
- 3Y*
- 8.71%
- 5Y*
- 4.15%
- 10Y*
- 3.59%
HDG
- 1D
- -0.88%
- 1M
- 1.11%
- YTD
- 6.59%
- 6M
- 6.37%
- 1Y
- 13.31%
- 3Y*
- 7.67%
- 5Y*
- 2.93%
- 10Y*
- 4.11%
MRGR vs. HDG - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
MRGR Proshares Merger ETF | 2.38% | 11.99% | 5.32% | 4.94% | -4.81% | 6.58% | 1.99% | 4.31% | 3.42% | 2.08% |
HDG ProShares Hedge Replication | 6.59% | 7.18% | 5.12% | 7.14% | -8.48% | 2.97% | 7.45% | 9.58% | -4.52% | 5.59% |
Correlation
The correlation between MRGR and HDG is 0.20, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.20 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.23 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.30 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.25 |
Correlation (All Time) Calculated using the full available price history since Dec 13, 2012 | 0.20 |
The correlation between MRGR and HDG shifts across timeframes, from 0.20 (1 year) to 0.30 (5 years), reflecting how their relationship changes across market environments.
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Return for Risk
MRGR vs. HDG — Risk / Return Rank
MRGR
HDG
MRGR vs. HDG - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Proshares Merger ETF (MRGR) 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.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| MRGR | HDG | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.51 | ||
| Sortino ratioReturn per unit of downside risk | +1.40 | ||
| Omega ratioGain probability vs. loss probability | 1.53 | 1.42 | +0.11 |
| Calmar ratioReturn relative to maximum drawdown | 8.67 | 3.37 | +5.31 |
| Martin ratioReturn relative to average drawdown | 23.70 | 13.61 | +10.09 |
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Drawdowns
MRGR vs. HDG - Drawdown Comparison
The maximum MRGR drawdown since its inception was -13.23%, smaller than the maximum HDG drawdown of -15.31%. Use the drawdown chart below to compare losses from any high point for MRGR and HDG.
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Drawdown Indicators
| MRGR | HDG | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -13.23% | -15.31% | +2.08% |
Max Drawdown (1Y)Largest decline over 1 year | -1.29% | -3.97% | +2.68% |
Max Drawdown (3Y)Largest decline over 3 years | -2.10% | -7.20% | +5.10% |
Max Drawdown (5Y)Largest decline over 5 years | -8.40% | -15.31% | +6.91% |
Max Drawdown (10Y)Largest decline over 10 years | -13.23% | -15.31% | +2.08% |
Current DrawdownCurrent decline from peak | -0.05% | -1.13% | +1.08% |
Average DrawdownAverage peak-to-trough decline | -3.85% | -2.76% | -1.09% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.47% | 0.98% | -0.51% |
Volatility
MRGR vs. HDG - Volatility Comparison
The current volatility for Proshares Merger ETF (MRGR) is 1.27%, while ProShares Hedge Replication (HDG) has a volatility of 3.01%. This indicates that MRGR experiences smaller price fluctuations and is considered to be less risky than HDG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| MRGR | HDG | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.27% | 3.01% | -1.74% |
Volatility (6M)Calculated over the trailing 6-month period | 2.93% | 5.32% | -2.39% |
Volatility (1Y)Calculated over the trailing 1-year period | 4.23% | 6.24% | -2.01% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 3.84% | 7.24% | -3.40% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 5.16% | 7.12% | -1.96% |
MRGR vs. HDG - Expense Ratio Comparison
MRGR has a 0.75% expense ratio, which is lower than HDG's 0.95% expense ratio.
Dividends
MRGR vs. HDG - Dividend Comparison
MRGR's dividend yield for the trailing twelve months is around 2.95%, more 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% |
MRGR Proshares Merger ETF | 2.95% | 3.12% | 3.21% | 2.11% | 0.61% | 0.59% | 0.00% | 0.78% | 1.39% | 0.36% | 0.74% | 0.34% |
Frequently Asked Questions
MRGR and HDG have a correlation of 0.20, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
HDG has higher volatility (3.01%) compared to MRGR (1.27%). In terms of maximum drawdown, MRGR dropped -13.23% vs HDG's -15.31%.
On 10-year performance, HDG leads with 4.11% vs 3.59% for MRGR. On fees, MRGR is cheaper at 0.75% per year. On volatility, MRGR has been the lower-risk option at 1.27%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, HDG has performed better with a 4.11% return vs 3.59%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
MRGR is cheaper with a 0.75% expense ratio, compared with 0.95% for HDG.
MRGR has the higher dividend yield at 2.95%, compared with 2.35% for HDG.
MRGR is categorized as Hedge Fund, while HDG is Long-Short. MRGR tracks S&P Merger Arbitrage Index, while HDG tracks Merrill Lynch Factor Model - Exchange Series. Their fees differ too: 0.75% for MRGR and 0.95% for HDG.
MRGR currently has the higher Sharpe Ratio (2.65 vs 2.14), 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.
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