ZSEP vs. BUFP

Last updated Aug 1, 2026

ZSEP (Innovator Equity Defined Protection ETF - 1 Yr September) and BUFP (PGIM Laddered S&P 500 Buffer 12 ETF) are both Defined Outcome funds. ZSEP is actively managed, while BUFP is passively managed. Over the past year, ZSEP returned 6.50% vs 14.24% for BUFP. Their 0.77 correlation means they have sometimes moved together and sometimes differently. ZSEP charges 0.79%/yr vs 0.50%/yr for BUFP.

Performance

ZSEP vs. BUFP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Innovator Equity Defined Protection ETF - 1 Yr September (ZSEP) and PGIM Laddered S&P 500 Buffer 12 ETF (BUFP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZSEP achieves a 3.46% return, which is significantly lower than BUFP's 7.12% return.

ZSEP

• 1D: 0.13%
• 1M: 0.43%
• 6M: 3.08%
• YTD: 3.46%
• 1Y: 6.50%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 6.15%

BUFP

• 1D: 0.44%
• 1M: 0.69%
• 6M: 6.15%
• YTD: 7.12%
• 1Y: 14.24%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 12.53%

*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)
BUFP PGIM Laddered S&P 500 Buffer 12 ETF	$1.13M	$1.22M	$1.53M
ZSEP Innovator Equity Defined Protection ETF - 1 Yr September	$67.71K	$172.39K	$462.24K

ZSEP vs. BUFP - Yearly Performance Comparison

	2026 (YTD)	2025	2024
ZSEP Innovator Equity Defined Protection ETF - 1 Yr September	3.46%	6.78%	1.42%
BUFP PGIM Laddered S&P 500 Buffer 12 ETF	7.12%	12.92%	3.24%

Correlation

The correlation between ZSEP and BUFP is 0.72, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.72
Correlation (All Time) Calculated using the full available price history since Sep 3, 2024	0.77

The correlation between ZSEP and BUFP has been stable across timeframes, ranging from 0.72 to 0.77 - a consistent structural relationship.

Return for Risk

ZSEP vs. BUFP — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

ZSEP

ZSEP Risk / Return Rank: 94
ZSEP Sharpe Ratio Rank: 94
ZSEP Sortino Ratio Rank: 94
ZSEP Omega Ratio Rank: 94
ZSEP Calmar Ratio Rank: 92
ZSEP Martin Ratio Rank: 95

BUFP

BUFP Risk / Return Rank: 88
BUFP Sharpe Ratio Rank: 86
BUFP Sortino Ratio Rank: 88
BUFP Omega Ratio Rank: 90
BUFP Calmar Ratio Rank: 82
BUFP Martin Ratio Rank: 92

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

ZSEP vs. BUFP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Innovator Equity Defined Protection ETF - 1 Yr September (ZSEP) and PGIM Laddered S&P 500 Buffer 12 ETF (BUFP). 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.

	ZSEP	BUFP	Difference
Sharpe ratio: Return per unit of total volatility	2.59	2.06	+0.53
Sortino ratio: Return per unit of downside risk	3.88	3.03	+0.85
Omega ratio: Gain probability vs. loss probability	1.51	1.41	+0.10
Calmar ratio: Return relative to maximum drawdown	4.26	3.02	+1.25
Martin ratio: Return relative to average drawdown	21.67	16.13	+5.54

ZSEP vs. BUFP - Sharpe Ratio Comparison

The current ZSEP Sharpe Ratio is 2.59, which is comparable to the BUFP Sharpe Ratio of 2.06. The chart below compares the historical Sharpe Ratios of ZSEP and BUFP, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

ZSEP vs. BUFP - Drawdown Comparison

The maximum ZSEP drawdown since its inception was -3.97%, smaller than the maximum BUFP drawdown of -11.98%. Use the drawdown chart below to compare losses from any high point for ZSEP and BUFP.

Drawdown Indicators

	ZSEP	BUFP	Difference
Max Drawdown Largest peak-to-trough decline	-3.97%	-11.98%	+8.01%
Max Drawdown (1Y) Largest decline over 1 year	-1.45%	-4.41%	+2.96%
Current Drawdown Current decline from peak	0.00%	-0.12%	+0.12%
Average Drawdown Average peak-to-trough decline	-0.35%	-0.97%	+0.62%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.29%	0.83%	-0.54%

Volatility

ZSEP vs. BUFP - Volatility Comparison

The current volatility for Innovator Equity Defined Protection ETF - 1 Yr September (ZSEP) is 0.45%, while PGIM Laddered S&P 500 Buffer 12 ETF (BUFP) has a volatility of 1.63%. This indicates that ZSEP experiences smaller price fluctuations and is considered to be less risky than BUFP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZSEP	BUFP	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.45%	1.63%	-1.18%
Volatility (6M) Calculated over the trailing 6-month period	1.76%	5.23%	-3.47%
Volatility (1Y) Calculated over the trailing 1-year period	2.38%	6.48%	-4.10%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.23%	9.30%	-6.07%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.23%	9.30%	-6.07%

ZSEP vs. BUFP - Expense Ratio Comparison

ZSEP has a 0.79% expense ratio, which is higher than BUFP's 0.50% expense ratio.

Dividends

ZSEP vs. BUFP - Dividend Comparison

ZSEP has not paid dividends to shareholders, while BUFP's dividend yield for the trailing twelve months is around 0.01%.

Position	TTM	2025	2024
BUFP PGIM Laddered S&P 500 Buffer 12 ETF	0.01%	0.01%	0.02%
ZSEP Innovator Equity Defined Protection ETF - 1 Yr September	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both ZSEP and BUFP in my portfolio?

ZSEP and BUFP have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ZSEP or BUFP?

BUFP has higher volatility (1.63%) compared to ZSEP (0.45%). In terms of maximum drawdown, ZSEP dropped -3.97% vs BUFP's -11.98%.

Which ETF is better, ZSEP or BUFP?

On 1-year performance, BUFP leads with 14.24% vs 6.50% for ZSEP. On fees, BUFP is cheaper at 0.50% per year. On volatility, ZSEP has been the lower-risk option at 0.45%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ZSEP or BUFP?

Over the 1-year period, BUFP has performed better with a 14.24% return vs 6.50%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ZSEP or BUFP?

BUFP is cheaper with a 0.50% expense ratio, compared with 0.79% for ZSEP.

Which ETF pays a higher dividend yield, ZSEP or BUFP?

BUFP has the higher dividend yield at 0.01%, compared with 0.00% for ZSEP.

What is the main difference between ZSEP and BUFP?

They also come from different issuers: Innovator and PGIM. Their fees differ too: 0.79% for ZSEP and 0.50% for BUFP.

Which has better risk-adjusted returns?

ZSEP currently has the higher Sharpe Ratio (2.59 vs 2.06), 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.