SHDG vs. QQQY

Last updated Aug 5, 2026

SHDG (Soundwatch Hedged Equity ETF) and QQQY (Defiance Nasdaq 100 Enhanced Options Income ETF) are both exchange-traded funds - SHDG is a Options Trading fund actively managed by SoundWatch Capital, while QQQY is a Nasdaq-100 fund actively managed by Defiance. Both are actively managed. Over the past year, SHDG returned 10.89% vs 25.95% for QQQY. Their correlation of 0.81 means they have usually moved in the same direction. SHDG charges 0.53%/yr vs 0.99%/yr for QQQY.

Performance

SHDG vs. QQQY - Performance Comparison

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

Returns By Period

In the year-to-date period, SHDG achieves a 3.73% return, which is significantly lower than QQQY's 17.47% return.

SHDG

• 1D: 1.20%
• 1M: 2.60%
• 6M: 2.72%
• YTD: 3.73%
• 1Y: 10.89%
• 3Y*: 12.35%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 14.57%

QQQY

• 1D: 3.25%
• 1M: 1.46%
• 6M: 17.52%
• YTD: 17.47%
• 1Y: 25.95%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 16.61%

*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)
QQQY Defiance Nasdaq 100 Enhanced Options Income ETF	$2.03M	$2.15M	$2.90M
SHDG Soundwatch Hedged Equity ETF	$64.49K	$89.27K	$138.51K

SHDG vs. QQQY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
SHDG Soundwatch Hedged Equity ETF	3.73%	11.46%	19.66%	2.84%
QQQY Defiance Nasdaq 100 Enhanced Options Income ETF	17.47%	14.96%	7.70%	7.19%

Correlation

The correlation between SHDG and QQQY is 0.80, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.80
Correlation (All Time) Calculated using the full available price history since Sep 14, 2023	0.81

The correlation between SHDG and QQQY has been stable across timeframes, ranging from 0.80 to 0.81 - a consistent structural relationship.

Return for Risk

SHDG vs. QQQY — Risk / Return Rank

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

SHDG

SHDG Risk / Return Rank: 46
SHDG Sharpe Ratio Rank: 48
SHDG Sortino Ratio Rank: 46
SHDG Omega Ratio Rank: 50
SHDG Calmar Ratio Rank: 41
SHDG Martin Ratio Rank: 47

QQQY

QQQY Risk / Return Rank: 56
QQQY Sharpe Ratio Rank: 53
QQQY Sortino Ratio Rank: 51
QQQY Omega Ratio Rank: 55
QQQY Calmar Ratio Rank: 59
QQQY Martin Ratio Rank: 62

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.

SHDG vs. QQQY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Soundwatch Hedged Equity ETF (SHDG) and Defiance Nasdaq 100 Enhanced Options Income ETF (QQQY). 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.

	SHDG	QQQY	Difference
Sharpe ratio: Return per unit of total volatility	1.37	1.48	-0.11
Sortino ratio: Return per unit of downside risk	1.92	2.02	-0.10
Omega ratio: Gain probability vs. loss probability	1.26	1.27	-0.01
Calmar ratio: Return relative to maximum drawdown	1.65	2.34	-0.69
Martin ratio: Return relative to average drawdown	6.04	8.22	-2.18

SHDG vs. QQQY - Sharpe Ratio Comparison

The current SHDG Sharpe Ratio is 1.37, which is comparable to the QQQY Sharpe Ratio of 1.48. The chart below compares the historical Sharpe Ratios of SHDG and QQQY, 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

SHDG vs. QQQY - Drawdown Comparison

The maximum SHDG drawdown since its inception was -15.82%, smaller than the maximum QQQY drawdown of -19.05%. Use the drawdown chart below to compare losses from any high point for SHDG and QQQY.

Drawdown Indicators

	SHDG	QQQY	Difference
Max Drawdown Largest peak-to-trough decline	-15.82%	-19.05%	+3.23%
Max Drawdown (1Y) Largest decline over 1 year	-6.62%	-11.14%	+4.52%
Max Drawdown (3Y) Largest decline over 3 years	-15.82%	—	—
Current Drawdown Current decline from peak	0.00%	-1.71%	+1.71%
Average Drawdown Average peak-to-trough decline	-1.69%	-2.96%	+1.27%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.81%	3.17%	-1.36%

Volatility

SHDG vs. QQQY - Volatility Comparison

The current volatility for Soundwatch Hedged Equity ETF (SHDG) is 3.11%, while Defiance Nasdaq 100 Enhanced Options Income ETF (QQQY) has a volatility of 7.24%. This indicates that SHDG experiences smaller price fluctuations and is considered to be less risky than QQQY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SHDG	QQQY	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.11%	7.24%	-4.13%
Volatility (6M) Calculated over the trailing 6-month period	5.63%	15.55%	-9.92%
Volatility (1Y) Calculated over the trailing 1-year period	8.08%	17.65%	-9.57%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.86%	15.86%	-5.00%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.86%	15.86%	-5.00%

SHDG vs. QQQY - Expense Ratio Comparison

SHDG has a 0.53% expense ratio, which is lower than QQQY's 0.99% expense ratio.

Dividends

SHDG vs. QQQY - Dividend Comparison

SHDG's dividend yield for the trailing twelve months is around 0.48%, less than QQQY's 35.76% yield.

Position	TTM	2025	2024	2023	2022
QQQY Defiance Nasdaq 100 Enhanced Options Income ETF	35.76%	45.34%	83.34%	20.64%	0.00%
SHDG Soundwatch Hedged Equity ETF	0.48%	0.49%	0.62%	1.24%	0.90%

Frequently Asked Questions

Can I hold both SHDG and QQQY in my portfolio?

SHDG and QQQY have a correlation of 0.80, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SHDG or QQQY?

QQQY has higher volatility (7.24%) compared to SHDG (3.11%). In terms of maximum drawdown, SHDG dropped -15.82% vs QQQY's -19.05%.

Which ETF is better, SHDG or QQQY?

On 1-year performance, QQQY leads with 25.95% vs 10.89% for SHDG. On fees, SHDG is cheaper at 0.53% per year. On volatility, SHDG has been the lower-risk option at 3.11%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SHDG or QQQY?

Over the 1-year period, QQQY has performed better with a 25.95% return vs 10.89%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SHDG or QQQY?

SHDG is cheaper with a 0.53% expense ratio, compared with 0.99% for QQQY.

Which ETF pays a higher dividend yield, SHDG or QQQY?

QQQY has the higher dividend yield at 35.76%, compared with 0.48% for SHDG.

What is the main difference between SHDG and QQQY?

SHDG is categorized as Options Trading, while QQQY is Nasdaq-100. They also come from different issuers: SoundWatch Capital and Defiance. Their fees differ too: 0.53% for SHDG and 0.99% for QQQY.

Which has better risk-adjusted returns?

QQQY currently has the higher Sharpe Ratio (1.48 vs 1.37), 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.