ZSEP vs. LJUL

Last updated Jun 23, 2026

ZSEP (Innovator Equity Defined Protection ETF - 1 Yr September) and LJUL (Innovator Premium Income 15 Buffer ETF - July) are both Defined Outcome funds from Innovator. Both are actively managed. Over the past year, ZSEP returned 7.42% vs 5.58% for LJUL. A 0.61 correlation means they provide meaningful diversification when combined. Both charge a 0.79% expense ratio.

Performance

ZSEP vs. LJUL - 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 Innovator Premium Income 15 Buffer ETF - July (LJUL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZSEP achieves a 2.69% return, which is significantly higher than LJUL's 2.02% return.

ZSEP

• 1D: 0.02%
• 1M: 0.27%
• YTD: 2.69%
• 6M: 2.84%
• 1Y: 7.42%
• 3Y*: —
• 5Y*: —
• 10Y*: —

LJUL

• 1D: 0.04%
• 1M: 0.27%
• YTD: 2.02%
• 6M: 2.09%
• 1Y: 5.58%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

ZSEP vs. LJUL - Yearly Performance Comparison

	2026 (YTD)	2025	2024
ZSEP Innovator Equity Defined Protection ETF - 1 Yr September	2.69%	6.78%	1.42%
LJUL Innovator Premium Income 15 Buffer ETF - July	2.02%	5.91%	1.89%

Correlation

The correlation between ZSEP and LJUL is 0.55, 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	0.55
Correlation (All Time) Calculated using the full available price history since Sep 3, 2024	0.61

The correlation between ZSEP and LJUL has been stable across timeframes, ranging from 0.55 to 0.61 - a consistent structural relationship.

Return for Risk

ZSEP vs. LJUL — Risk / Return Rank

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

ZSEP

ZSEP Risk / Return Rank: 93
ZSEP Sharpe Ratio Rank: 92
ZSEP Sortino Ratio Rank: 94
ZSEP Omega Ratio Rank: 94
ZSEP Calmar Ratio Rank: 89
ZSEP Martin Ratio Rank: 94

LJUL

LJUL Risk / Return Rank: 97
LJUL Sharpe Ratio Rank: 95
LJUL Sortino Ratio Rank: 97
LJUL Omega Ratio Rank: 97
LJUL Calmar Ratio Rank: 97
LJUL Martin Ratio Rank: 98

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.

ZSEP vs. LJUL - 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 Innovator Premium Income 15 Buffer ETF - July (LJUL). 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	LJUL	Difference
Sharpe ratio: Return per unit of total volatility	3.08	3.55	-0.46
Sortino ratio: Return per unit of downside risk	4.73	5.81	-1.08
Omega ratio: Gain probability vs. loss probability	1.64	1.88	-0.24
Calmar ratio: Return relative to maximum drawdown	5.14	10.68	-5.54
Martin ratio: Return relative to average drawdown	26.26	53.94	-27.68

ZSEP vs. LJUL - Sharpe Ratio Comparison

The current ZSEP Sharpe Ratio is 3.08, which is comparable to the LJUL Sharpe Ratio of 3.55. The chart below compares the historical Sharpe Ratios of ZSEP and LJUL, 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. LJUL - Drawdown Comparison

The maximum ZSEP drawdown since its inception was -3.97%, smaller than the maximum LJUL drawdown of -4.85%. Use the drawdown chart below to compare losses from any high point for ZSEP and LJUL.

Drawdown Indicators

	ZSEP	LJUL	Difference
Max Drawdown Largest peak-to-trough decline	-3.97%	-4.85%	+0.88%
Max Drawdown (1Y) Largest decline over 1 year	-1.45%	-0.52%	-0.93%
Current Drawdown Current decline from peak	-0.15%	0.00%	-0.15%
Average Drawdown Average peak-to-trough decline	-0.36%	-0.69%	+0.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.28%	0.10%	+0.18%

Volatility

ZSEP vs. LJUL - Volatility Comparison

Innovator Equity Defined Protection ETF - 1 Yr September (ZSEP) has a higher volatility of 0.51% compared to Innovator Premium Income 15 Buffer ETF - July (LJUL) at 0.13%. This indicates that ZSEP's price experiences larger fluctuations and is considered to be riskier than LJUL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZSEP	LJUL	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.51%	0.13%	+0.38%
Volatility (6M) Calculated over the trailing 6-month period	1.86%	1.05%	+0.81%
Volatility (1Y) Calculated over the trailing 1-year period	2.42%	1.58%	+0.84%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.31%	4.30%	-0.99%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.31%	4.30%	-0.99%

ZSEP vs. LJUL - Expense Ratio Comparison

Both ZSEP and LJUL have an expense ratio of 0.79%.

Dividends

ZSEP vs. LJUL - Dividend Comparison

ZSEP has not paid dividends to shareholders, while LJUL's dividend yield for the trailing twelve months is around 5.22%.

Position	TTM	2025	2024
LJUL Innovator Premium Income 15 Buffer ETF - July	5.22%	5.36%	2.78%
ZSEP Innovator Equity Defined Protection ETF - 1 Yr September	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both ZSEP and LJUL in my portfolio?

ZSEP and LJUL have a correlation of 0.55, 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 LJUL?

ZSEP has higher volatility (0.51%) compared to LJUL (0.13%). In terms of maximum drawdown, ZSEP dropped -3.97% vs LJUL's -4.85%.

Which ETF is better, ZSEP or LJUL?

On 1-year performance, ZSEP leads with 7.42% vs 5.58% for LJUL. Both ETFs have the same 0.79% expense ratio. On volatility, LJUL has been the lower-risk option at 0.13%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ZSEP or LJUL?

Over the 1-year period, ZSEP has performed better with a 7.42% return vs 5.58%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ZSEP or LJUL?

ZSEP and LJUL have the same expense ratio: 0.79% per year.

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

LJUL has the higher dividend yield at 5.22%, compared with 0.00% for ZSEP.

Which has better risk-adjusted returns?

LJUL currently has the higher Sharpe Ratio (3.55 vs 3.08), 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.