NLSI vs. FXZ

Last updated Jul 12, 2026

NLSI (Neos Long/Short Equity Income ETF) and FXZ (First Trust Materials AlphaDEX Fund) are both exchange-traded funds - NLSI is a Long-Short fund actively managed by Neos, while FXZ is a Materials fund tracking the StrataQuant Materials Index. NLSI is actively managed, while FXZ is passively managed. At a correlation of -0.11, they often move in opposite directions. NLSI charges 2.89%/yr vs 0.67%/yr for FXZ.

Performance

NLSI vs. FXZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Neos Long/Short Equity Income ETF (NLSI) and First Trust Materials AlphaDEX Fund (FXZ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NLSI achieves a 6.57% return, which is significantly lower than FXZ's 20.11% return.

NLSI

• 1D: 0.06%
• 1M: 5.39%
• 6M: 6.88%
• YTD: 6.57%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

FXZ

• 1D: 0.99%
• 1M: -8.30%
• 6M: 10.46%
• YTD: 20.11%
• 1Y: 30.52%
• 3Y*: 7.71%
• 5Y*: 7.85%
• 10Y*: 10.29%

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

NLSI vs. FXZ - Yearly Performance Comparison

	2026 (YTD)	2025
NLSI Neos Long/Short Equity Income ETF	6.57%	2.51%
FXZ First Trust Materials AlphaDEX Fund	20.11%	4.58%

Correlation

The correlation between NLSI and FXZ is -0.11, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (All Time) Calculated using the full available price history since Dec 10, 2025	-0.11

Return for Risk

NLSI vs. FXZ — Risk / Return Rank

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

NLSI

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

FXZ

FXZ Risk / Return Rank: 50
FXZ Sharpe Ratio Rank: 47
FXZ Sortino Ratio Rank: 46
FXZ Omega Ratio Rank: 43
FXZ Calmar Ratio Rank: 59
FXZ Martin Ratio Rank: 57

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.

NLSI vs. FXZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Neos Long/Short Equity Income ETF (NLSI) and First Trust Materials AlphaDEX Fund (FXZ). 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.

	NLSI	FXZ	Difference
Sharpe ratio: Return per unit of total volatility	—	1.31	—
Sortino ratio: Return per unit of downside risk	—	1.89	—
Omega ratio: Gain probability vs. loss probability	—	1.23	—
Calmar ratio: Return relative to maximum drawdown	—	2.34	—
Martin ratio: Return relative to average drawdown	—	7.88	—

Drawdowns

NLSI vs. FXZ - Drawdown Comparison

The maximum NLSI drawdown since its inception was -13.82%, smaller than the maximum FXZ drawdown of -65.46%. Use the drawdown chart below to compare losses from any high point for NLSI and FXZ.

Drawdown Indicators

	NLSI	FXZ	Difference
Max Drawdown Largest peak-to-trough decline	-13.82%	-65.46%	+51.64%
Max Drawdown (1Y) Largest decline over 1 year	—	-12.75%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-33.99%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-33.99%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-49.41%	—
Current Drawdown Current decline from peak	-1.74%	-8.51%	+6.77%
Average Drawdown Average peak-to-trough decline	-5.90%	-11.32%	+5.42%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	3.78%	—

Volatility

Volatility by Period

	NLSI	FXZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	7.20%	—
Volatility (6M) Calculated over the trailing 6-month period	—	17.08%	—
Volatility (1Y) Calculated over the trailing 1-year period	19.27%	22.77%	-3.50%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.27%	24.16%	-4.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.27%	24.89%	-5.62%

NLSI vs. FXZ - Expense Ratio Comparison

NLSI has a 2.89% expense ratio, which is higher than FXZ's 0.67% expense ratio.

Dividends

NLSI vs. FXZ - Dividend Comparison

NLSI's dividend yield for the trailing twelve months is around 2.87%, more than FXZ's 1.41% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FXZ First Trust Materials AlphaDEX Fund	1.41%	1.74%	1.81%	1.97%	1.56%	1.11%	1.51%	1.58%	1.38%	1.01%	1.19%	1.26%
NLSI Neos Long/Short Equity Income ETF	2.87%	0.46%	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 NLSI and FXZ in my portfolio?

NLSI and FXZ have a correlation of -0.11, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, NLSI or FXZ?

On fees, FXZ is cheaper at 0.67% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, NLSI or FXZ?

FXZ is cheaper with a 0.67% expense ratio, compared with 2.89% for NLSI.

Which ETF pays a higher dividend yield, NLSI or FXZ?

NLSI has the higher dividend yield at 2.87%, compared with 1.41% for FXZ.

What is the main difference between NLSI and FXZ?

NLSI is categorized as Long-Short, while FXZ is Materials. They also come from different issuers: Neos and First Trust. Their fees differ too: 2.89% for NLSI and 0.67% for FXZ.