NATO vs. JEDI

Last updated Aug 4, 2026

NATO (Themes Transatlantic Defense ETF) and JEDI (Defiance Drone and Modern Warfare ETF) are both Aerospace & Defense funds - NATO tracks the Solactive Transatlantic Aerospace and Defense Index while JEDI tracks the BITA Drone & Modern Warfare Select Index. Both are passively managed. Their 0.63 correlation means they have sometimes moved together and sometimes differently. NATO charges 0.35%/yr vs 0.69%/yr for JEDI.

Performance

NATO vs. JEDI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Themes Transatlantic Defense ETF (NATO) and Defiance Drone and Modern Warfare ETF (JEDI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NATO achieves a 11.23% return, which is significantly higher than JEDI's 4.94% return.

NATO

• 1D: 2.40%
• 1M: 0.81%
• 6M: 1.90%
• YTD: 11.23%
• 1Y: 19.00%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 33.53%

JEDI

• 1D: 6.52%
• 1M: -11.38%
• 6M: -5.91%
• YTD: 4.94%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: —

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
JEDI Defiance Drone and Modern Warfare ETF	$2.72M	$3.86M	$7.29M
NATO Themes Transatlantic Defense ETF	$882.24K	$720.46K	$1.15M

NATO vs. JEDI - Yearly Performance Comparison

	2026 (YTD)	2025
NATO Themes Transatlantic Defense ETF	11.23%	1.53%
JEDI Defiance Drone and Modern Warfare ETF	4.94%	-3.42%

Correlation

The correlation between NATO and JEDI is 0.63, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (All Time) Calculated using the full available price history since Sep 26, 2025	0.63

Return for Risk

NATO vs. JEDI — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

NATO

NATO Risk / Return Rank: 33
NATO Sharpe Ratio Rank: 34
NATO Sortino Ratio Rank: 36
NATO Omega Ratio Rank: 33
NATO Calmar Ratio Rank: 34
NATO Martin Ratio Rank: 30

JEDI

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

NATO vs. JEDI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Themes Transatlantic Defense ETF (NATO) and Defiance Drone and Modern Warfare ETF (JEDI). 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.

	NATO	JEDI	Difference
Sharpe ratio: Return per unit of total volatility	0.86	—	—
Sortino ratio: Return per unit of downside risk	1.37	—	—
Omega ratio: Gain probability vs. loss probability	1.16	—	—
Calmar ratio: Return relative to maximum drawdown	1.19	—	—
Martin ratio: Return relative to average drawdown	2.67	—	—

Drawdowns

NATO vs. JEDI - Drawdown Comparison

The maximum NATO drawdown since its inception was -15.99%, smaller than the maximum JEDI drawdown of -48.21%. Use the drawdown chart below to compare losses from any high point for NATO and JEDI.

Drawdown Indicators

	NATO	JEDI	Difference
Max Drawdown Largest peak-to-trough decline	-15.99%	-48.21%	+32.22%
Max Drawdown (1Y) Largest decline over 1 year	-15.99%	—	—
Current Drawdown Current decline from peak	-3.80%	-39.96%	+36.16%
Average Drawdown Average peak-to-trough decline	-4.16%	-14.06%	+9.90%
Ulcer Index Depth and duration of drawdowns from previous peaks	7.13%	—	—

Volatility

Volatility by Period

	NATO	JEDI	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.62%	—	—
Volatility (6M) Calculated over the trailing 6-month period	18.63%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	22.11%	53.81%	-31.70%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.67%	53.81%	-31.14%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.67%	53.81%	-31.14%

NATO vs. JEDI - Expense Ratio Comparison

NATO has a 0.35% expense ratio, which is lower than JEDI's 0.69% expense ratio.

Dividends

NATO vs. JEDI - Dividend Comparison

NATO's dividend yield for the trailing twelve months is around 0.41%, while JEDI has not paid dividends to shareholders.

Position	TTM	2025	2024
JEDI Defiance Drone and Modern Warfare ETF	0.00%	0.00%	0.00%
NATO Themes Transatlantic Defense ETF	0.41%	0.45%	0.08%

Frequently Asked Questions

Can I hold both NATO and JEDI in my portfolio?

NATO and JEDI have a correlation of 0.63, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, NATO or JEDI?

On fees, NATO is cheaper at 0.35% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, NATO or JEDI?

NATO is cheaper with a 0.35% expense ratio, compared with 0.69% for JEDI.

Which ETF pays a higher dividend yield, NATO or JEDI?

NATO has the higher dividend yield at 0.41%, compared with 0.00% for JEDI.

What is the main difference between NATO and JEDI?

NATO tracks Solactive Transatlantic Aerospace and Defense Index, while JEDI tracks BITA Drone & Modern Warfare Select Index. They also come from different issuers: Themes and Defiance. Their fees differ too: 0.35% for NATO and 0.69% for JEDI.