RAYJ vs. JAPN

Last updated Jun 24, 2026

RAYJ (Rayliant SMDAM Japan Equity ETF) and JAPN (Horizon Kinetics Japan Owner Operator ETF) are both Japan Equities funds. Both are actively managed. Over the past year, RAYJ returned 36.81% vs -19.28% for JAPN. A 0.53 correlation means they provide meaningful diversification when combined. RAYJ charges 0.72%/yr vs 0.85%/yr for JAPN.

Performance

RAYJ vs. JAPN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Rayliant SMDAM Japan Equity ETF (RAYJ) and Horizon Kinetics Japan Owner Operator ETF (JAPN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RAYJ achieves a 25.68% return, which is significantly higher than JAPN's -14.01% return.

RAYJ

• 1D: -4.99%
• 1M: 2.97%
• YTD: 25.68%
• 6M: 25.54%
• 1Y: 36.81%
• 3Y*: —
• 5Y*: —
• 10Y*: —

JAPN

• 1D: -1.93%
• 1M: -2.75%
• YTD: -14.01%
• 6M: -14.07%
• 1Y: -19.28%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

RAYJ vs. JAPN - Yearly Performance Comparison

	2026 (YTD)	2025
RAYJ Rayliant SMDAM Japan Equity ETF	25.68%	15.52%
JAPN Horizon Kinetics Japan Owner Operator ETF	-14.01%	3.10%

Correlation

The correlation between RAYJ and JAPN is 0.51, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.51
Correlation (All Time) Calculated using the full available price history since May 13, 2025	0.53

The correlation between RAYJ and JAPN has been stable across timeframes, ranging from 0.51 to 0.53 - a consistent structural relationship.

Return for Risk

RAYJ vs. JAPN — Risk / Return Rank

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

RAYJ

RAYJ Risk / Return Rank: 50
RAYJ Sharpe Ratio Rank: 48
RAYJ Sortino Ratio Rank: 48
RAYJ Omega Ratio Rank: 44
RAYJ Calmar Ratio Rank: 59
RAYJ Martin Ratio Rank: 53

JAPN

JAPN Risk / Return Rank: 2
JAPN Sharpe Ratio Rank: 1
JAPN Sortino Ratio Rank: 2
JAPN Omega Ratio Rank: 2
JAPN Calmar Ratio Rank: 2
JAPN Martin Ratio Rank: 1

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.

RAYJ vs. JAPN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Rayliant SMDAM Japan Equity ETF (RAYJ) and Horizon Kinetics Japan Owner Operator ETF (JAPN). 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.

	RAYJ	JAPN	Difference
Sharpe ratio: Return per unit of total volatility	1.50	-0.99	+2.50
Sortino ratio: Return per unit of downside risk	2.17	-1.36	+3.53
Omega ratio: Gain probability vs. loss probability	1.27	0.84	+0.42
Calmar ratio: Return relative to maximum drawdown	2.64	-0.81	+3.45
Martin ratio: Return relative to average drawdown	8.31	-1.43	+9.74

RAYJ vs. JAPN - Sharpe Ratio Comparison

The current RAYJ Sharpe Ratio is 1.50, which is higher than the JAPN Sharpe Ratio of -0.99. The chart below compares the historical Sharpe Ratios of RAYJ and JAPN, 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

RAYJ vs. JAPN - Drawdown Comparison

The maximum RAYJ drawdown since its inception was -15.96%, smaller than the maximum JAPN drawdown of -23.94%. Use the drawdown chart below to compare losses from any high point for RAYJ and JAPN.

Drawdown Indicators

	RAYJ	JAPN	Difference
Max Drawdown Largest peak-to-trough decline	-15.96%	-23.94%	+7.98%
Max Drawdown (1Y) Largest decline over 1 year	-14.00%	-23.94%	+9.94%
Current Drawdown Current decline from peak	-4.99%	-23.51%	+18.52%
Average Drawdown Average peak-to-trough decline	-3.52%	-10.03%	+6.51%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.44%	13.52%	-9.08%

Volatility

RAYJ vs. JAPN - Volatility Comparison

Rayliant SMDAM Japan Equity ETF (RAYJ) has a higher volatility of 9.24% compared to Horizon Kinetics Japan Owner Operator ETF (JAPN) at 6.67%. This indicates that RAYJ's price experiences larger fluctuations and is considered to be riskier than JAPN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RAYJ	JAPN	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.24%	6.67%	+2.57%
Volatility (6M) Calculated over the trailing 6-month period	18.92%	16.17%	+2.75%
Volatility (1Y) Calculated over the trailing 1-year period	24.57%	19.48%	+5.09%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.19%	19.56%	+3.63%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.19%	19.56%	+3.63%

RAYJ vs. JAPN - Expense Ratio Comparison

RAYJ has a 0.72% expense ratio, which is lower than JAPN's 0.85% expense ratio.

Dividends

RAYJ vs. JAPN - Dividend Comparison

RAYJ's dividend yield for the trailing twelve months is around 4.49%, more than JAPN's 0.28% yield.

Position	TTM	2025	2024
JAPN Horizon Kinetics Japan Owner Operator ETF	0.28%	0.24%	0.00%
RAYJ Rayliant SMDAM Japan Equity ETF	4.49%	1.72%	0.78%

Frequently Asked Questions

Can I hold both RAYJ and JAPN in my portfolio?

RAYJ and JAPN have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, RAYJ or JAPN?

RAYJ has higher volatility (9.24%) compared to JAPN (6.67%). In terms of maximum drawdown, RAYJ dropped -15.96% vs JAPN's -23.94%.

Which ETF is better, RAYJ or JAPN?

On 1-year performance, RAYJ leads with 36.81% vs -19.28% for JAPN. On fees, RAYJ is cheaper at 0.72% per year. On volatility, JAPN has been the lower-risk option at 6.67%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, RAYJ or JAPN?

Over the 1-year period, RAYJ has performed better with a 36.81% return vs -19.28%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, RAYJ or JAPN?

RAYJ is cheaper with a 0.72% expense ratio, compared with 0.85% for JAPN.

Which ETF pays a higher dividend yield, RAYJ or JAPN?

RAYJ has the higher dividend yield at 4.49%, compared with 0.28% for JAPN.

What is the main difference between RAYJ and JAPN?

They also come from different issuers: Rayliant and Horizon. Their fees differ too: 0.72% for RAYJ and 0.85% for JAPN.

Which has better risk-adjusted returns?

RAYJ currently has the higher Sharpe Ratio (1.50 vs -0.99), 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.