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FAAR vs MAXI

First Trust Alternative Absolute Return Strategy ETF vs Simplify Bitcoin Strategy ETF

FAAR

First Trust Alternative Absolute Return Strategy ETF

Annual cost

0.98%

Fund size

$176M

MAXI

Simplify Bitcoin Strategy ETF

Annual cost

1.31%

Fund size

$31M

Key differences

Both FAAR and MAXI are alternative ETFs. FAAR charges 0.98% a year and MAXI 1.31%. The main difference: FAAR follows a long short strategy; MAXI uses option income.

  • FAAR follows a long short strategy; MAXI uses option income.
  • FAAR costs 0.33% less per year.
  • FAAR is much larger than MAXI. Larger funds are usually more liquid and less likely to close.
  • Over the last three years, MAXI has delivered higher annualized returns.
  • FAAR has a longer track record, which may reduce uncertainty around long-term behavior.

Side-by-side comparison

FAARMAXI
Annual cost (TER)0.98%1.31%
Fund size (AUM)$176M$31M
Since20162022
Dividend yield9.19%57.40%
Asset classalternativealternative
Regionnorth americanorth america
Strategylong shortoption income
CAGR 1Y+33.2%-62.1%
CAGR 3Y+11.1%+12.2%
CAGR 5Y+7.4%N/A
Sharpe 3Y0.670.45
Volatility 1Y13.49%65.36%
Max drawdown-18.03%-68.11%

Beyond the comparison: Beacon helps you build, track, and project a portfolio with the ETFs you pick.

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