SHLD vs. AA

Last updated Jun 9, 2026

SHLD (Global X Defense Tech ETF) is Aerospace & Defense fund tracking the Global X Defense Tech Index, while AA (Alcoa Corporation) is a stock. Over the past year, SHLD returned 8.97% vs 164.65% for AA. At a 0.27 correlation, their price movements are largely independent.

Performance

SHLD vs. AA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Global X Defense Tech ETF (SHLD) and Alcoa Corporation (AA). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SHLD achieves a -2.65% return, which is significantly lower than AA's 38.65% return.

SHLD

• 1D: 0.03%
• 1M: -3.34%
• YTD: -2.65%
• 6M: -0.77%
• 1Y: 8.97%
• 3Y*: —
• 5Y*: —
• 10Y*: —

AA

• 1D: 2.16%
• 1M: 16.43%
• YTD: 38.65%
• 6M: 65.72%
• 1Y: 164.65%
• 3Y*: 29.24%
• 5Y*: 15.22%
• 10Y*: —

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

SHLD vs. AA - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
SHLD Global X Defense Tech ETF	-2.65%	74.16%	35.03%	12.89%
AA Alcoa Corporation	38.65%	42.46%	12.43%	19.18%

Correlation

The correlation between SHLD and AA is 0.29, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.29
Correlation (All Time) Calculated using the full available price history since Sep 14, 2023	0.27

Return for Risk

SHLD vs. AA — Risk / Return Rank

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

SHLD

SHLD Risk / Return Rank: 15
SHLD Sharpe Ratio Rank: 15
SHLD Sortino Ratio Rank: 16
SHLD Omega Ratio Rank: 15
SHLD Calmar Ratio Rank: 15
SHLD Martin Ratio Rank: 15

AA

AA Risk / Return Rank: 95
AA Sharpe Ratio Rank: 96
AA Sortino Ratio Rank: 92
AA Omega Ratio Rank: 90
AA Calmar Ratio Rank: 98
AA Martin Ratio Rank: 97

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.

SHLD vs. AA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Global X Defense Tech ETF (SHLD) and Alcoa Corporation (AA). 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.

	SHLD	AA	Difference
Sharpe ratio: Return per unit of total volatility	0.37	3.11	-2.74
Sortino ratio: Return per unit of downside risk	0.70	3.46	-2.76
Omega ratio: Gain probability vs. loss probability	1.08	1.41	-0.33
Calmar ratio: Return relative to maximum drawdown	0.45	10.49	-10.04
Martin ratio: Return relative to average drawdown	1.16	25.51	-24.35
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SHLD vs. AA - Sharpe Ratio Comparison

The current SHLD Sharpe Ratio is 0.37, which is lower than the AA Sharpe Ratio of 3.11. The chart below compares the historical Sharpe Ratios of SHLD and AA, 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

	SHLD	AA	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.37	3.11	-2.74
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.27	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.98	0.24	+1.74

Drawdowns

SHLD vs. AA - Drawdown Comparison

The maximum SHLD drawdown since its inception was -20.10%, smaller than the maximum AA drawdown of -90.90%. Use the drawdown chart below to compare losses from any high point for SHLD and AA.

Drawdown Indicators

	SHLD	AA	Difference
Max Drawdown Largest peak-to-trough decline	-20.10%	-90.90%	+70.80%
Max Drawdown (1Y) Largest decline over 1 year	-20.10%	-15.80%	-4.30%
Max Drawdown (3Y) Largest decline over 3 years	—	-52.25%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-75.46%	—
Current Drawdown Current decline from peak	-19.16%	-19.12%	-0.04%
Average Drawdown Average peak-to-trough decline	-3.26%	-46.18%	+42.92%
Ulcer Index Depth and duration of drawdowns from previous peaks	7.78%	6.48%	+1.30%

Volatility

SHLD vs. AA - Volatility Comparison

The current volatility for Global X Defense Tech ETF (SHLD) is 7.64%, while Alcoa Corporation (AA) has a volatility of 18.33%. This indicates that SHLD experiences smaller price fluctuations and is considered to be less risky than AA based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SHLD	AA	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.64%	18.33%	-10.69%
Volatility (6M) Calculated over the trailing 6-month period	19.39%	39.63%	-20.24%
Volatility (1Y) Calculated over the trailing 1-year period	24.20%	53.40%	-29.20%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.14%	56.08%	-34.94%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.14%	55.59%	-34.45%

Dividends

SHLD vs. AA - Dividend Comparison

SHLD's dividend yield for the trailing twelve months is around 0.56%, more than AA's 0.54% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
AA Alcoa Corporation	0.54%	0.75%	1.06%	1.18%	0.88%	0.17%	0.00%	0.00%	0.00%	0.00%	0.32%
SHLD Global X Defense Tech ETF	0.56%	0.55%	0.53%	0.26%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both SHLD and AA in my portfolio?

SHLD and AA have a correlation of 0.29, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SHLD or AA?

AA has higher volatility (18.33%) compared to SHLD (7.64%). In terms of maximum drawdown, SHLD dropped -20.10% vs AA's -90.90%.

Which has better risk-adjusted returns?

AA currently has the higher Sharpe Ratio (3.11 vs 0.37), 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.