QQQY vs. NLY

Last updated Jun 9, 2026

QQQY (Defiance Nasdaq 100 Enhanced Options Income ETF) is Nasdaq-100 fund actively managed by Defiance, while NLY (Annaly Capital Management, Inc.) is a stock. Over the past year, QQQY returned 30.60% vs 25.88% for NLY. At a 0.36 correlation, their price movements are largely independent.

Performance

QQQY vs. NLY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Defiance Nasdaq 100 Enhanced Options Income ETF (QQQY) and Annaly Capital Management, Inc. (NLY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, QQQY achieves a 14.65% return, which is significantly higher than NLY's -3.07% return.

QQQY

• 1D: 1.28%
• 1M: -0.02%
• YTD: 14.65%
• 6M: 14.20%
• 1Y: 30.60%
• 3Y*: —
• 5Y*: —
• 10Y*: —

NLY

• 1D: -1.23%
• 1M: -7.30%
• YTD: -3.07%
• 6M: -1.18%
• 1Y: 25.88%
• 3Y*: 16.16%
• 5Y*: 1.37%
• 10Y*: 5.29%

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

QQQY vs. NLY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
QQQY Defiance Nasdaq 100 Enhanced Options Income ETF	14.65%	14.96%	7.70%	7.19%
NLY Annaly Capital Management, Inc.	-3.07%	40.00%	8.07%	1.74%

Correlation

The correlation between QQQY and NLY is 0.27, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.27
Correlation (All Time) Calculated using the full available price history since Sep 14, 2023	0.36

Return for Risk

QQQY vs. NLY — Risk / Return Rank

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

QQQY

QQQY Risk / Return Rank: 68
QQQY Sharpe Ratio Rank: 72
QQQY Sortino Ratio Rank: 63
QQQY Omega Ratio Rank: 75
QQQY Calmar Ratio Rank: 61
QQQY Martin Ratio Rank: 69

NLY

NLY Risk / Return Rank: 76
NLY Sharpe Ratio Rank: 81
NLY Sortino Ratio Rank: 75
NLY Omega Ratio Rank: 74
NLY Calmar Ratio Rank: 73
NLY Martin Ratio Rank: 77

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.

QQQY vs. NLY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Defiance Nasdaq 100 Enhanced Options Income ETF (QQQY) and Annaly Capital Management, Inc. (NLY). 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.

	QQQY	NLY	Difference
Sharpe ratio: Return per unit of total volatility	2.12	1.40	+0.71
Sortino ratio: Return per unit of downside risk	2.62	1.97	+0.65
Omega ratio: Gain probability vs. loss probability	1.40	1.24	+0.15
Calmar ratio: Return relative to maximum drawdown	2.76	1.75	+1.01
Martin ratio: Return relative to average drawdown	11.59	5.22	+6.37
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

QQQY vs. NLY - Sharpe Ratio Comparison

The current QQQY Sharpe Ratio is 2.12, which is higher than the NLY Sharpe Ratio of 1.40. The chart below compares the historical Sharpe Ratios of QQQY and NLY, 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

	QQQY	NLY	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.12	1.40	+0.71
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.05	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.19	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.11	0.30	+0.81

Drawdowns

QQQY vs. NLY - Drawdown Comparison

The maximum QQQY drawdown since its inception was -19.05%, smaller than the maximum NLY drawdown of -60.09%. Use the drawdown chart below to compare losses from any high point for QQQY and NLY.

Drawdown Indicators

	QQQY	NLY	Difference
Max Drawdown Largest peak-to-trough decline	-19.05%	-60.09%	+41.04%
Max Drawdown (1Y) Largest decline over 1 year	-11.14%	-14.88%	+3.74%
Max Drawdown (3Y) Largest decline over 3 years	—	-26.70%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-51.97%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-60.09%	—
Current Drawdown Current decline from peak	-4.06%	-11.17%	+7.11%
Average Drawdown Average peak-to-trough decline	-2.91%	-13.75%	+10.84%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.65%	4.97%	-2.32%

Volatility

QQQY vs. NLY - Volatility Comparison

Defiance Nasdaq 100 Enhanced Options Income ETF (QQQY) has a higher volatility of 6.53% compared to Annaly Capital Management, Inc. (NLY) at 3.97%. This indicates that QQQY's price experiences larger fluctuations and is considered to be riskier than NLY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	QQQY	NLY	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.53%	3.97%	+2.56%
Volatility (6M) Calculated over the trailing 6-month period	12.41%	14.66%	-2.25%
Volatility (1Y) Calculated over the trailing 1-year period	14.55%	18.56%	-4.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.03%	25.54%	-10.51%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.03%	28.12%	-13.09%

Dividends

QQQY vs. NLY - Dividend Comparison

QQQY's dividend yield for the trailing twelve months is around 35.66%, more than NLY's 13.36% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NLY Annaly Capital Management, Inc.	13.36%	12.52%	14.21%	13.42%	16.70%	11.25%	10.77%	11.15%	12.22%	10.09%	12.04%	12.79%
QQQY Defiance Nasdaq 100 Enhanced Options Income ETF	35.66%	45.34%	83.34%	20.64%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both QQQY and NLY in my portfolio?

QQQY and NLY have a correlation of 0.27, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, QQQY or NLY?

QQQY has higher volatility (6.53%) compared to NLY (3.97%). In terms of maximum drawdown, QQQY dropped -19.05% vs NLY's -60.09%.

Which has better risk-adjusted returns?

QQQY currently has the higher Sharpe Ratio (2.12 vs 1.40), 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.