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HEQT vs FESM

Simplify Hedged Equity ETF vs Fidelity Enhanced Small Cap Core ETF

HEQT

Simplify Hedged Equity ETF

Simplify Asset Management

Annual cost

0.43%

Fund size

$321M

FESM

Fidelity Enhanced Small Cap Core ETF

Fidelity Investments

Annual cost

0.28%

Fund size

$5.0B

Key differences

  • FESM costs 0.15% less per year.
  • FESM is significantly larger than HEQT — larger funds tend to be more liquid and less likely to close.
  • HEQT is classified as alternative, while FESM is equity — different risk/return profiles.
  • HEQT follows a option income strategy; FESM uses index enhanced.
  • FESM has a longer track record, which may reduce uncertainty around long-term behavior.

Side-by-side comparison

HEQTFESM
Annual cost (TER)0.43%0.28%
Fund size (AUM)$321M$5.0B
Since20212007
Dividend yield1.21%0.55%
Asset classalternativeequity
Regionnorth americanorth america
Strategyoption incomeindex enhanced
CAGR 1Y+15.3%+52.9%
CAGR 3Y+13.9%N/A
CAGR 5YN/AN/A
Sharpe 3Y1.24N/A
Volatility 1Y6.50%19.05%
Max drawdown-11.51%-26.93%

Green dot indicates the better value for that metric. Performance data is historical and does not predict future results.

Similar to HEQT and FESM