OVL vs. XYLD

Last updated Aug 5, 2026

OVL (Overlay Shares Large Cap Equity ETF) and XYLD (Global X S&P 500 Covered Call ETF) are both Derivative Income funds. OVL is actively managed, while XYLD is passively managed. Over the past 5 years, OVL returned 13.56%/yr vs 7.93%/yr for XYLD. Their correlation of 0.83 means they have usually moved in the same direction. OVL charges 0.79%/yr vs 0.60%/yr for XYLD.

Performance

OVL vs. XYLD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Overlay Shares Large Cap Equity ETF (OVL) and Global X S&P 500 Covered Call ETF (XYLD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, OVL achieves a 15.83% return, which is significantly higher than XYLD's 8.89% return.

OVL

• 1D: 1.92%
• 1M: 3.65%
• 6M: 13.96%
• YTD: 15.83%
• 1Y: 27.20%
• 3Y*: 23.21%
• 5Y*: 13.56%
• 10Y*: —
• ALL TIME*: 17.47%

XYLD

• 1D: 0.24%
• 1M: 2.61%
• 6M: 7.72%
• YTD: 8.89%
• 1Y: 18.65%
• 3Y*: 12.21%
• 5Y*: 7.93%
• 10Y*: 8.30%
• ALL TIME*: 8.43%

*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)
OVL Overlay Shares Large Cap Equity ETF	$9.49M	$8.05M	$6.55M
XYLD Global X S&P 500 Covered Call ETF	$31.68M	$34.09M	$32.56M

OVL vs. XYLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
OVL Overlay Shares Large Cap Equity ETF	15.83%	17.81%	27.91%	28.01%	-22.18%	32.40%	20.17%	8.73%
XYLD Global X S&P 500 Covered Call ETF	8.89%	8.02%	19.49%	11.10%	-12.05%	19.59%	-0.56%	5.64%

Correlation

The correlation between OVL and XYLD is 0.90, meaning they have usually moved in the same direction, including during past declines.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.90
Correlation (3Y) Balances recent behavior with more history.	0.85
Correlation (5Y) Shows whether the relationship held over a longer period.	0.86
Correlation (All Time) Calculated using the full available price history since Oct 1, 2019	0.83

The correlation between OVL and XYLD has been stable across timeframes, ranging from 0.83 to 0.90 - a consistent structural relationship.

OVL vs. XYLD - Sectors Allocation Comparison

Sectors	OVL	XYLD
Technology	39.1%	38.5%
Financial Services	10.9%	11.6%
Communication Services	10.7%	9.9%
Consumer Cyclical	9.9%	9.5%
Healthcare	8.3%	8.9%
Industrials	7.8%	8.4%
Consumer Defensive	4.5%	4.5%
Energy	3.1%	3.0%
Utilities	2.1%	2.2%
Real Estate	1.8%	1.8%
Basic Materials	1.7%	1.7%

Return for Risk

OVL vs. XYLD — Risk / Return Rank

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

OVL

OVL Risk / Return Rank: 73
OVL Sharpe Ratio Rank: 70
OVL Sortino Ratio Rank: 67
OVL Omega Ratio Rank: 68
OVL Calmar Ratio Rank: 79
OVL Martin Ratio Rank: 82

XYLD

XYLD Risk / Return Rank: 92
XYLD Sharpe Ratio Rank: 93
XYLD Sortino Ratio Rank: 93
XYLD Omega Ratio Rank: 95
XYLD Calmar Ratio Rank: 85
XYLD Martin Ratio Rank: 93

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.

OVL vs. XYLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Overlay Shares Large Cap Equity ETF (OVL) and Global X S&P 500 Covered Call ETF (XYLD). 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.

	OVL	XYLD	Difference
Sharpe ratio: Return per unit of total volatility	1.81	2.67	-0.86
Sortino ratio: Return per unit of downside risk	2.46	3.79	-1.32
Omega ratio: Gain probability vs. loss probability	1.32	1.60	-0.28
Calmar ratio: Return relative to maximum drawdown	3.13	3.54	-0.41
Martin ratio: Return relative to average drawdown	12.17	18.41	-6.25

OVL vs. XYLD - Sharpe Ratio Comparison

The current OVL Sharpe Ratio is 1.81, which is lower than the XYLD Sharpe Ratio of 2.67. The chart below compares the historical Sharpe Ratios of OVL and XYLD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

OVL vs. XYLD - Drawdown Comparison

The maximum OVL drawdown since its inception was -35.49%, which is greater than XYLD's maximum drawdown of -33.46%. Use the drawdown chart below to compare losses from any high point for OVL and XYLD.

Drawdown Indicators

	OVL	XYLD	Difference
Max Drawdown Largest peak-to-trough decline	-35.49%	-33.46%	-2.03%
Max Drawdown (1Y) Largest decline over 1 year	-8.73%	-5.29%	-3.44%
Max Drawdown (3Y) Largest decline over 3 years	-21.73%	-15.53%	-6.20%
Max Drawdown (5Y) Largest decline over 5 years	-29.23%	-18.66%	-10.57%
Max Drawdown (10Y) Largest decline over 10 years	—	-33.46%	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-6.61%	-3.67%	-2.94%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.24%	1.02%	+1.22%

Volatility

OVL vs. XYLD - Volatility Comparison

Overlay Shares Large Cap Equity ETF (OVL) has a higher volatility of 4.88% compared to Global X S&P 500 Covered Call ETF (XYLD) at 1.93%. This indicates that OVL's price experiences larger fluctuations and is considered to be riskier than XYLD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	OVL	XYLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.88%	1.93%	+2.95%
Volatility (6M) Calculated over the trailing 6-month period	11.69%	5.98%	+5.71%
Volatility (1Y) Calculated over the trailing 1-year period	15.19%	7.09%	+8.10%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.94%	11.27%	+8.67%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.45%	14.16%	+8.29%

OVL vs. XYLD - Expense Ratio Comparison

OVL has a 0.79% expense ratio, which is higher than XYLD's 0.60% expense ratio.

Dividends

OVL vs. XYLD - Dividend Comparison

OVL's dividend yield for the trailing twelve months is around 7.15%, less than XYLD's 10.45% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
OVL Overlay Shares Large Cap Equity ETF	7.15%	2.99%	3.10%	3.33%	3.85%	3.63%	2.43%	0.50%	0.00%	0.00%	0.00%	0.00%
XYLD Global X S&P 500 Covered Call ETF	10.45%	10.51%	11.54%	10.51%	13.43%	9.07%	7.93%	5.76%	7.12%	5.18%	3.23%	4.65%

Frequently Asked Questions

Can I hold both OVL and XYLD in my portfolio?

OVL and XYLD have a correlation of 0.90, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, OVL or XYLD?

OVL has higher volatility (4.88%) compared to XYLD (1.93%). In terms of maximum drawdown, OVL dropped -35.49% vs XYLD's -33.46%.

Which ETF is better, OVL or XYLD?

On 5-year performance, OVL leads with 13.56% vs 7.93% for XYLD. On fees, XYLD is cheaper at 0.60% per year. On volatility, XYLD has been the lower-risk option at 1.93%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, OVL or XYLD?

Over the 5-year period, OVL has performed better with a 13.56% return vs 7.93%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, OVL or XYLD?

XYLD is cheaper with a 0.60% expense ratio, compared with 0.79% for OVL.

Which ETF pays a higher dividend yield, OVL or XYLD?

XYLD has the higher dividend yield at 10.45%, compared with 7.15% for OVL.

What is the main difference between OVL and XYLD?

They also come from different issuers: Liquid Strategies and Global X. Their fees differ too: 0.79% for OVL and 0.60% for XYLD.

Which has better risk-adjusted returns?

XYLD currently has the higher Sharpe Ratio (2.67 vs 1.81), 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.