THEQ vs. XTR

Last updated Jun 5, 2026

THEQ (T. Rowe Price Hedged Equity ETF) and XTR (Global X S&P 500 Tail Risk ETF) are both Equity Hedged funds. THEQ is actively managed, while XTR is passively managed. Over the past year, THEQ returned 18.16% vs 23.35% for XTR. With a 0.96 correlation, they move nearly in lockstep. THEQ charges 0.46%/yr vs 0.25%/yr for XTR.

Performance

THEQ vs. XTR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in T. Rowe Price Hedged Equity ETF (THEQ) and Global X S&P 500 Tail Risk ETF (XTR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, THEQ achieves a 7.47% return, which is significantly lower than XTR's 9.12% return.

THEQ

• 1D: 0.29%
• 1M: 3.15%
• YTD: 7.47%
• 6M: 7.42%
• 1Y: 18.16%
• 3Y*: —
• 5Y*: —
• 10Y*: —

XTR

• 1D: 0.41%
• 1M: 4.62%
• YTD: 9.12%
• 6M: 8.93%
• 1Y: 23.35%
• 3Y*: 18.80%
• 5Y*: —
• 10Y*: —

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

THEQ vs. XTR - Yearly Performance Comparison

	2026 (YTD)	2025
THEQ T. Rowe Price Hedged Equity ETF	7.47%	12.87%
XTR Global X S&P 500 Tail Risk ETF	9.12%	17.94%

Correlation

The correlation between THEQ and XTR is 0.97 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.97
Correlation (All Time) Calculated using the full available price history since Mar 28, 2025	0.96

The correlation between THEQ and XTR has been stable across timeframes, ranging from 0.96 to 0.97 - a consistent structural relationship.

THEQ vs. XTR - Sectors Allocation Comparison

Sectors	THEQ	XTR
Financial Services	84.3%	11.8%
Technology	3.5%	35.6%
Healthcare	1.5%	8.5%
Consumer Defensive	0.9%	4.9%
Utilities	0.7%	2.4%
Communication Services	0.7%	11.2%
Industrials	0.6%	8.3%
Consumer Cyclical	0.6%	10.1%
Energy	0.4%	3.5%
Basic Materials	0.1%	1.8%
Real Estate	0.1%	1.9%

Return for Risk

THEQ vs. XTR — Risk / Return Rank

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

THEQ

THEQ Risk / Return Rank: 65
THEQ Sharpe Ratio Rank: 64
THEQ Sortino Ratio Rank: 65
THEQ Omega Ratio Rank: 64
THEQ Calmar Ratio Rank: 61
THEQ Martin Ratio Rank: 71

XTR

XTR Risk / Return Rank: 64
XTR Sharpe Ratio Rank: 67
XTR Sortino Ratio Rank: 67
XTR Omega Ratio Rank: 64
XTR Calmar Ratio Rank: 57
XTR Martin Ratio Rank: 66

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.

THEQ vs. XTR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for T. Rowe Price Hedged Equity ETF (THEQ) and Global X S&P 500 Tail Risk ETF (XTR). 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.

	THEQ	XTR	Difference
Sharpe ratio: Return per unit of total volatility	2.11	2.18	-0.07
Sortino ratio: Return per unit of downside risk	2.96	3.03	-0.07
Omega ratio: Gain probability vs. loss probability	1.38	1.38	0.00
Calmar ratio: Return relative to maximum drawdown	2.95	2.76	+0.20
Martin ratio: Return relative to average drawdown	13.04	11.76	+1.27
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

THEQ vs. XTR - Sharpe Ratio Comparison

The current THEQ Sharpe Ratio is 2.11, which is comparable to the XTR Sharpe Ratio of 2.18. The chart below compares the historical Sharpe Ratios of THEQ and XTR, 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

	THEQ	XTR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.11	2.18	-0.07
Sharpe Ratio (All Time) Calculated using the full available price history	1.54	0.73	+0.81

Drawdowns

THEQ vs. XTR - Drawdown Comparison

The maximum THEQ drawdown since its inception was -8.08%, smaller than the maximum XTR drawdown of -20.83%. Use the drawdown chart below to compare losses from any high point for THEQ and XTR.

Drawdown Indicators

	THEQ	XTR	Difference
Max Drawdown Largest peak-to-trough decline	-8.08%	-20.83%	+12.75%
Max Drawdown (1Y) Largest decline over 1 year	-6.17%	-8.51%	+2.34%
Max Drawdown (3Y) Largest decline over 3 years	—	-14.35%	—
Current Drawdown Current decline from peak	-0.21%	-0.23%	+0.02%
Average Drawdown Average peak-to-trough decline	-1.00%	-5.94%	+4.94%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.40%	1.99%	-0.59%

Volatility

THEQ vs. XTR - Volatility Comparison

The current volatility for T. Rowe Price Hedged Equity ETF (THEQ) is 2.20%, while Global X S&P 500 Tail Risk ETF (XTR) has a volatility of 2.94%. This indicates that THEQ experiences smaller price fluctuations and is considered to be less risky than XTR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	THEQ	XTR	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.20%	2.94%	-0.74%
Volatility (6M) Calculated over the trailing 6-month period	6.47%	8.16%	-1.69%
Volatility (1Y) Calculated over the trailing 1-year period	8.65%	10.75%	-2.10%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	11.54%	13.78%	-2.24%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	11.54%	13.78%	-2.24%

THEQ vs. XTR - Expense Ratio Comparison

THEQ has a 0.46% expense ratio, which is higher than XTR's 0.25% expense ratio.

Dividends

THEQ vs. XTR - Dividend Comparison

THEQ's dividend yield for the trailing twelve months is around 0.74%, less than XTR's 16.33% yield.

Position	TTM	2025	2024	2023	2022	2021
THEQ T. Rowe Price Hedged Equity ETF	0.74%	0.79%	0.00%	0.00%	0.00%	0.00%
XTR Global X S&P 500 Tail Risk ETF	16.33%	17.82%	20.89%	1.09%	1.08%	2.32%

Frequently Asked Questions

Can I hold both THEQ and XTR in my portfolio?

With a correlation of 0.97, THEQ and XTR move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, THEQ or XTR?

XTR has higher volatility (2.94%) compared to THEQ (2.20%). In terms of maximum drawdown, THEQ dropped -8.08% vs XTR's -20.83%.

Which ETF is better, THEQ or XTR?

On 1-year performance, XTR leads with 23.35% vs 18.16% for THEQ. On fees, XTR is cheaper at 0.25% per year. On volatility, THEQ has been the lower-risk option at 2.20%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, THEQ or XTR?

Over the 1-year period, XTR has performed better with a 23.35% return vs 18.16%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, THEQ or XTR?

XTR is cheaper with a 0.25% expense ratio, compared with 0.46% for THEQ.

Which ETF pays a higher dividend yield, THEQ or XTR?

XTR has the higher dividend yield at 16.33%, compared with 0.74% for THEQ.

What is the main difference between THEQ and XTR?

They also come from different issuers: T. Rowe Price and Global X. Their fees differ too: 0.46% for THEQ and 0.25% for XTR.

Which has better risk-adjusted returns?

XTR currently has the higher Sharpe Ratio (2.18 vs 2.11), 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.