USE vs. USO

Last updated Jun 5, 2026

USE (USCF Energy Commodity Strategy Absolute Return Fund) and USO (United States Oil Fund LP) are both exchange-traded funds - USE is a Commodities fund actively managed by USCF, while USO is a Oil & Gas fund tracking the Front Month Light Sweet Crude Oil. USE is actively managed, while USO is passively managed. Over the past 3 years, USE returned 16.68%/yr vs 28.78%/yr for USO. Their correlation of 0.84 suggests significant overlap in exposure. USE charges 0.79%/yr vs 0.86%/yr for USO.

Performance

USE vs. USO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in USCF Energy Commodity Strategy Absolute Return Fund (USE) and United States Oil Fund LP (USO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, USE achieves a 44.75% return, which is significantly lower than USO's 97.72% return.

USE

• 1D: -2.65%
• 1M: -3.52%
• YTD: 44.75%
• 6M: 49.10%
• 1Y: 38.24%
• 3Y*: 16.68%
• 5Y*: —
• 10Y*: —

USO

• 1D: -2.92%
• 1M: -5.15%
• YTD: 97.72%
• 6M: 91.54%
• 1Y: 97.20%
• 3Y*: 28.78%
• 5Y*: 23.67%
• 10Y*: 3.57%

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

USE vs. USO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
USE USCF Energy Commodity Strategy Absolute Return Fund	44.75%	-14.97%	22.58%	9.98%
USO United States Oil Fund LP	97.72%	-8.46%	13.35%	9.80%

Correlation

The correlation between USE and USO is 0.77, 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	0.77
Correlation (3Y) Calculated over the trailing 3-year period	0.83
Correlation (All Time) Calculated using the full available price history since May 5, 2023	0.84

The correlation between USE and USO has been stable across timeframes, ranging from 0.77 to 0.84 - a consistent structural relationship.

Return for Risk

USE vs. USO — Risk / Return Rank

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

USE

USE Risk / Return Rank: 31
USE Sharpe Ratio Rank: 34
USE Sortino Ratio Rank: 35
USE Omega Ratio Rank: 33
USE Calmar Ratio Rank: 30
USE Martin Ratio Rank: 23

USO

USO Risk / Return Rank: 66
USO Sharpe Ratio Rank: 68
USO Sortino Ratio Rank: 61
USO Omega Ratio Rank: 62
USO Calmar Ratio Rank: 86
USO Martin Ratio Rank: 54

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.

USE vs. USO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for USCF Energy Commodity Strategy Absolute Return Fund (USE) and United States Oil Fund LP (USO). 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.

	USE	USO	Difference
Sharpe ratio: Return per unit of total volatility	1.22	2.21	-0.99
Sortino ratio: Return per unit of downside risk	1.82	2.80	-0.98
Omega ratio: Gain probability vs. loss probability	1.22	1.37	-0.15
Calmar ratio: Return relative to maximum drawdown	1.46	4.79	-3.33
Martin ratio: Return relative to average drawdown	2.88	9.00	-6.12
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

USE vs. USO - Sharpe Ratio Comparison

The current USE Sharpe Ratio is 1.22, which is lower than the USO Sharpe Ratio of 2.21. The chart below compares the historical Sharpe Ratios of USE and USO, 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

	USE	USO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.22	2.21	-0.99
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.66	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.09	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.66	-0.18	+0.84

Drawdowns

USE vs. USO - Drawdown Comparison

The maximum USE drawdown since its inception was -26.24%, smaller than the maximum USO drawdown of -98.19%. Use the drawdown chart below to compare losses from any high point for USE and USO.

Drawdown Indicators

	USE	USO	Difference
Max Drawdown Largest peak-to-trough decline	-26.24%	-98.19%	+71.95%
Max Drawdown (1Y) Largest decline over 1 year	-26.24%	-20.39%	-5.85%
Max Drawdown (3Y) Largest decline over 3 years	-26.24%	-26.05%	-0.19%
Max Drawdown (5Y) Largest decline over 5 years	—	-36.23%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-86.75%	—
Current Drawdown Current decline from peak	-6.98%	-85.45%	+78.47%
Average Drawdown Average peak-to-trough decline	-7.96%	-75.30%	+67.34%
Ulcer Index Depth and duration of drawdowns from previous peaks	13.33%	10.84%	+2.49%

Volatility

USE vs. USO - Volatility Comparison

The current volatility for USCF Energy Commodity Strategy Absolute Return Fund (USE) is 11.24%, while United States Oil Fund LP (USO) has a volatility of 14.97%. This indicates that USE experiences smaller price fluctuations and is considered to be less risky than USO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	USE	USO	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.24%	14.97%	-3.73%
Volatility (6M) Calculated over the trailing 6-month period	26.03%	38.35%	-12.32%
Volatility (1Y) Calculated over the trailing 1-year period	31.58%	44.32%	-12.74%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	27.08%	36.09%	-9.01%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	27.08%	39.00%	-11.92%

USE vs. USO - Expense Ratio Comparison

USE has a 0.79% expense ratio, which is lower than USO's 0.86% expense ratio.

Dividends

USE vs. USO - Dividend Comparison

USE's dividend yield for the trailing twelve months is around 2.11%, while USO has not paid dividends to shareholders.

Position	TTM	2025	2024	2023
USE USCF Energy Commodity Strategy Absolute Return Fund	2.11%	3.06%	38.65%	4.83%
USO United States Oil Fund LP	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both USE and USO in my portfolio?

USE and USO have a correlation of 0.77, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, USE or USO?

USO has higher volatility (14.97%) compared to USE (11.24%). In terms of maximum drawdown, USE dropped -26.24% vs USO's -98.19%.

Which ETF is better, USE or USO?

On 3-year performance, USO leads with 28.78% vs 16.68% for USE. On fees, USE is cheaper at 0.79% per year. On volatility, USE has been the lower-risk option at 11.24%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, USE or USO?

Over the 3-year period, USO has performed better with a 28.78% return vs 16.68%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, USE or USO?

USE is cheaper with a 0.79% expense ratio, compared with 0.86% for USO.

Which ETF pays a higher dividend yield, USE or USO?

USE has the higher dividend yield at 2.11%, compared with 0.00% for USO.

What is the main difference between USE and USO?

USE is categorized as Commodities, while USO is Oil & Gas. Their fees differ too: 0.79% for USE and 0.86% for USO.

Which has better risk-adjusted returns?

USO currently has the higher Sharpe Ratio (2.21 vs 1.22), 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.