XDEF vs. WDAF

Last updated Jun 4, 2026

XDEF (Xtrackers Europe Defense Technologies ETF) and WDAF (WisdomTree Asia Defense Fund) are both Aerospace & Defense funds - XDEF tracks the STOXX Europe Total Market Defence, Space and Cybersecurity Innovation 50-25 Index while WDAF tracks the WisdomTree Asia Defense Index. Both are passively managed. At a 0.45 correlation, their price movements are largely independent. XDEF charges 0.35%/yr vs 0.45%/yr for WDAF.

Performance

XDEF vs. WDAF - Performance Comparison

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

Returns By Period

XDEF

• 1D: -2.06%
• 1M: -2.01%
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

WDAF

• 1D: -1.56%
• 1M: -13.31%
• YTD: 11.85%
• 6M: 16.15%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

XDEF vs. WDAF - Yearly Performance Comparison

	2026 (YTD)
XDEF Xtrackers Europe Defense Technologies ETF	-99.17%
WDAF WisdomTree Asia Defense Fund	10.08%

Correlation

The correlation between XDEF and WDAF is 0.45, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jan 5, 2026	0.45

Return for Risk

XDEF vs. WDAF - Risk-Adjusted Trends Comparison

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

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

Sharpe Ratios by Period

	XDEF	WDAF	Difference
Sharpe Ratio (All Time) Calculated using the full available price history	-0.64	0.15	-0.78

Drawdowns

XDEF vs. WDAF - Drawdown Comparison

The maximum XDEF drawdown since its inception was -99.30%, which is greater than WDAF's maximum drawdown of -18.21%. Use the drawdown chart below to compare losses from any high point for XDEF and WDAF.

Drawdown Indicators

	XDEF	WDAF	Difference
Max Drawdown Largest peak-to-trough decline	-99.30%	-18.21%	-81.09%
Current Drawdown Current decline from peak	-99.26%	-16.06%	-83.20%
Average Drawdown Average peak-to-trough decline	-70.45%	-6.09%	-64.36%

Volatility

Volatility by Period

	XDEF	WDAF	Difference
Volatility (1Y) Calculated over the trailing 1-year period	157.63%	32.10%	+125.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	157.63%	32.10%	+125.53%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	157.63%	32.10%	+125.53%

XDEF vs. WDAF - Expense Ratio Comparison

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

Dividends

XDEF vs. WDAF - Dividend Comparison

XDEF has not paid dividends to shareholders, while WDAF's dividend yield for the trailing twelve months is around 0.12%.

Position	TTM	2025
WDAF WisdomTree Asia Defense Fund	0.12%	0.13%
XDEF Xtrackers Europe Defense Technologies ETF	0.00%	0.00%

Frequently Asked Questions

Can I hold both XDEF and WDAF in my portfolio?

XDEF and WDAF have a correlation of 0.45, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, XDEF or WDAF?

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, XDEF or WDAF?

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

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

WDAF has the higher dividend yield at 0.12%, compared with 0.00% for XDEF.

What is the main difference between XDEF and WDAF?

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