WDAF vs. XDEF

Last updated Aug 4, 2026

WDAF (WisdomTree Asia Defense Fund) and XDEF (Xtrackers Europe Defense Technologies ETF) are both Aerospace & Defense funds - WDAF tracks the WisdomTree Asia Defense Index while XDEF tracks the STOXX Europe Total Market Defence, Space and Cybersecurity Innovation 50-25 Index. Both are passively managed. Their 0.46 correlation means their historical movements had little consistent relationship. WDAF charges 0.45%/yr vs 0.35%/yr for XDEF.

Performance

WDAF vs. XDEF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in WisdomTree Asia Defense Fund (WDAF) and Xtrackers Europe Defense Technologies ETF (XDEF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

WDAF

• 1D: 1.89%
• 1M: -7.97%
• 6M: -12.60%
• YTD: 1.82%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: —

XDEF

• 1D: 2.15%
• 1M: 3.31%
• 6M: -99.15%
• YTD: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: —

*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)
WDAF WisdomTree Asia Defense Fund	$216.97K	$187.82K	$494.71K
XDEF Xtrackers Europe Defense Technologies ETF	$25.98K	$19.67K	$27.62K

WDAF vs. XDEF - Yearly Performance Comparison

	2026 (YTD)
WDAF WisdomTree Asia Defense Fund	1.82%
XDEF Xtrackers Europe Defense Technologies ETF	-99.08%

Correlation

The correlation between WDAF and XDEF is 0.46, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jan 2, 2026	0.46

Return for Risk

WDAF vs. XDEF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree Asia Defense Fund (WDAF) and Xtrackers Europe Defense Technologies ETF (XDEF). 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Drawdowns

WDAF vs. XDEF - Drawdown Comparison

The maximum WDAF drawdown since its inception was -28.19%, smaller than the maximum XDEF drawdown of -99.30%. Use the drawdown chart below to compare losses from any high point for WDAF and XDEF.

Drawdown Indicators

	WDAF	XDEF	Difference
Max Drawdown Largest peak-to-trough decline	-28.19%	-99.30%	+71.11%
Current Drawdown Current decline from peak	-23.59%	-99.19%	+75.60%
Average Drawdown Average peak-to-trough decline	-8.53%	-78.05%	+69.52%

Volatility

Volatility by Period

	WDAF	XDEF	Difference
Volatility (1Y) Calculated over the trailing 1-year period	33.45%	133.92%	-100.47%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	33.45%	133.92%	-100.47%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	33.45%	133.92%	-100.47%

WDAF vs. XDEF - Expense Ratio Comparison

WDAF has a 0.45% expense ratio, which is higher than XDEF's 0.35% expense ratio.

Dividends

WDAF vs. XDEF - Dividend Comparison

WDAF's dividend yield for the trailing twelve months is around 0.13%, less than XDEF's 1.38% yield.

Position	TTM	2025
WDAF WisdomTree Asia Defense Fund	0.13%	0.13%
XDEF Xtrackers Europe Defense Technologies ETF	1.38%	0.00%

Frequently Asked Questions

Can I hold both WDAF and XDEF in my portfolio?

WDAF and XDEF have a correlation of 0.46, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, WDAF or XDEF?

On fees, XDEF is cheaper at 0.35% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, WDAF or XDEF?

XDEF is cheaper with a 0.35% expense ratio, compared with 0.45% for WDAF.

Which ETF pays a higher dividend yield, WDAF or XDEF?

XDEF has the higher dividend yield at 1.38%, compared with 0.13% for WDAF.

What is the main difference between WDAF and XDEF?

WDAF tracks WisdomTree Asia Defense Index, while XDEF tracks STOXX Europe Total Market Defence, Space and Cybersecurity Innovation 50-25 Index. They also come from different issuers: WisdomTree and Xtrackers. Their fees differ too: 0.45% for WDAF and 0.35% for XDEF.