WEED vs. MJ

Last updated Jun 3, 2026

WEED (Roundhill Cannabis ETF) and MJ (ETFMG Alternative Harvest ETF) are both exchange-traded funds - WEED is a Cannabis fund actively managed by Roundhill, while MJ is a Small Cap Blend Equities fund tracking the Prime Alternative Harvest Index. WEED is actively managed, while MJ is passively managed. Over the past 3 years, WEED returned 0.38%/yr vs -6.84%/yr for MJ. Their correlation of 0.82 suggests significant overlap in exposure. WEED charges 0.40%/yr vs 0.75%/yr for MJ.

Performance

WEED vs. MJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Roundhill Cannabis ETF (WEED) and ETFMG Alternative Harvest ETF (MJ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, WEED achieves a 10.55% return, which is significantly higher than MJ's -11.18% return.

WEED

• 1D: -1.74%
• 1M: -0.96%
• YTD: 10.55%
• 6M: 40.28%
• 1Y: 111.52%
• 3Y*: 0.38%
• 5Y*: —
• 10Y*: —

MJ

• 1D: -1.49%
• 1M: -3.54%
• YTD: -11.18%
• 6M: 4.84%
• 1Y: 45.84%
• 3Y*: -6.84%
• 5Y*: -35.08%
• 10Y*: —

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

WEED vs. MJ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
WEED Roundhill Cannabis ETF	10.55%	19.40%	-44.93%	0.87%	-60.22%
MJ ETFMG Alternative Harvest ETF	-11.18%	13.07%	-23.97%	-24.18%	-51.92%

Correlation

The correlation between WEED and MJ is 0.88, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.88
Correlation (3Y) Calculated over the trailing 3-year period	0.84
Correlation (All Time) Calculated using the full available price history since Apr 21, 2022	0.82

The correlation between WEED and MJ has been stable across timeframes, ranging from 0.82 to 0.88 - a consistent structural relationship.

WEED vs. MJ - Sectors Allocation Comparison

Sectors	WEED	MJ
Healthcare	60.0%	76.5%
Consumer Defensive	17.3%	18.6%
Real Estate	16.3%	3.0%
Technology	6.3%	0.6%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	0.9%
Energy	-	-
Financial Services	-	0.3%
Industrials	-	-
Utilities	-	-

Return for Risk

WEED vs. MJ — Risk / Return Rank

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

WEED

WEED Risk / Return Rank: 35
WEED Sharpe Ratio Rank: 27
WEED Sortino Ratio Rank: 43
WEED Omega Ratio Rank: 40
WEED Calmar Ratio Rank: 40
WEED Martin Ratio Rank: 27

MJ

MJ Risk / Return Rank: 22
MJ Sharpe Ratio Rank: 17
MJ Sortino Ratio Rank: 29
MJ Omega Ratio Rank: 27
MJ Calmar Ratio Rank: 20
MJ Martin Ratio Rank: 16

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.

WEED vs. MJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Roundhill Cannabis ETF (WEED) and ETFMG Alternative Harvest ETF (MJ). 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.

	WEED	MJ	Difference
Sharpe ratio Return per unit of total volatility	1.00	0.53	+0.47
Sortino ratio Return per unit of downside risk	2.19	1.59	+0.60
Omega ratio Gain probability vs. loss probability	1.26	1.18	+0.08
Calmar ratio Return relative to maximum drawdown	2.05	0.89	+1.16
Martin ratio Return relative to average drawdown	3.85	1.61	+2.25
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

WEED vs. MJ - Sharpe Ratio Comparison

The current WEED Sharpe Ratio is 1.00, which is higher than the MJ Sharpe Ratio of 0.53. The chart below compares the historical Sharpe Ratios of WEED and MJ, 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

	WEED	MJ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.00	0.53	+0.47
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	-0.59	—
Sharpe Ratio (All Time) Calculated using the full available price history	-0.31	-0.48	+0.16

Drawdowns

WEED vs. MJ - Drawdown Comparison

The maximum WEED drawdown since its inception was -88.07%, smaller than the maximum MJ drawdown of -96.55%. Use the drawdown chart below to compare losses from any high point for WEED and MJ.

Drawdown Indicators

	WEED	MJ	Difference
Max Drawdown Largest peak-to-trough decline	-88.07%	-96.55%	+8.48%
Max Drawdown (1Y) Largest decline over 1 year	-54.01%	-48.66%	-5.35%
Max Drawdown (3Y) Largest decline over 3 years	-81.50%	-69.73%	-11.77%
Max Drawdown (5Y) Largest decline over 5 years	—	-93.27%	—
Current Drawdown Current decline from peak	-70.84%	-94.27%	+23.43%
Average Drawdown Average peak-to-trough decline	-62.73%	-69.19%	+6.46%
Ulcer Index Depth and duration of drawdowns from previous peaks	28.69%	26.97%	+1.72%

Volatility

WEED vs. MJ - Volatility Comparison

Roundhill Cannabis ETF (WEED) has a higher volatility of 18.95% compared to ETFMG Alternative Harvest ETF (MJ) at 11.59%. This indicates that WEED's price experiences larger fluctuations and is considered to be riskier than MJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	WEED	MJ	Difference
Volatility (1M) Calculated over the trailing 1-month period	18.95%	11.59%	+7.36%
Volatility (6M) Calculated over the trailing 6-month period	81.52%	59.67%	+21.85%
Volatility (1Y) Calculated over the trailing 1-year period	112.46%	86.65%	+25.81%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	82.62%	59.87%	+22.75%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	82.62%	55.74%	+26.88%

WEED vs. MJ - Expense Ratio Comparison

WEED has a 0.40% expense ratio, which is lower than MJ's 0.75% expense ratio.

Dividends

WEED vs. MJ - Dividend Comparison

WEED has not paid dividends to shareholders, while MJ's dividend yield for the trailing twelve months is around 2.23%.

Position	TTM	2025	2024
MJ ETFMG Alternative Harvest ETF	2.23%	1.98%	13.80%
WEED Roundhill Cannabis ETF	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both WEED and MJ in my portfolio?

WEED and MJ have a correlation of 0.88, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, WEED or MJ?

WEED has higher volatility (18.95%) compared to MJ (11.59%). In terms of maximum drawdown, WEED dropped -88.07% vs MJ's -96.55%.

Which ETF is better, WEED or MJ?

On 3-year performance, WEED leads with 0.38% vs -6.84% for MJ. On fees, WEED is cheaper at 0.40% per year. On volatility, MJ has been the lower-risk option at 11.59%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, WEED or MJ?

Over the 3-year period, WEED has performed better with a 0.38% return vs -6.84%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, WEED or MJ?

WEED is cheaper with a 0.40% expense ratio, compared with 0.75% for MJ.

Which ETF pays a higher dividend yield, WEED or MJ?

MJ has the higher dividend yield at 2.23%, compared with 0.00% for WEED.

What is the main difference between WEED and MJ?

WEED is categorized as Cannabis, while MJ is Small Cap Blend Equities. They also come from different issuers: Roundhill and ETFMG. Their fees differ too: 0.40% for WEED and 0.75% for MJ.

Which has better risk-adjusted returns?

WEED currently has the higher Sharpe Ratio (1.00 vs 0.53), 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.