AAATX vs. FRQKX

Last updated Jun 24, 2026

AAATX (American Funds 2010 Target Date Retirement Fund) and FRQKX (Fidelity Managed Retirement 2010 Fund Class K) are both Target Retirement Date funds. Over the past 5 years, AAATX returned 5.07%/yr vs 2.83%/yr for FRQKX. Their correlation of 0.89 suggests significant overlap in exposure. AAATX charges 0.34%/yr vs 0.36%/yr for FRQKX.

Performance

AAATX vs. FRQKX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Funds 2010 Target Date Retirement Fund (AAATX) and Fidelity Managed Retirement 2010 Fund Class K (FRQKX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, AAATX achieves a 3.43% return, which is significantly lower than FRQKX's 3.66% return.

AAATX

• 1D: -0.24%
• 1M: 0.16%
• YTD: 3.43%
• 6M: 3.41%
• 1Y: 10.23%
• 3Y*: 9.91%
• 5Y*: 5.07%
• 10Y*: 6.26%

FRQKX

• 1D: 0.00%
• 1M: 0.67%
• YTD: 3.66%
• 6M: 3.65%
• 1Y: 9.22%
• 3Y*: 7.28%
• 5Y*: 2.83%
• 10Y*: —

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

AAATX vs. FRQKX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
AAATX American Funds 2010 Target Date Retirement Fund	3.43%	12.73%	7.83%	8.44%	-9.50%	9.02%	8.84%	4.51%
FRQKX Fidelity Managed Retirement 2010 Fund Class K	3.66%	9.91%	4.42%	8.62%	-12.30%	3.95%	9.68%	3.94%

Correlation

The correlation between AAATX and FRQKX is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.90
Correlation (3Y) Calculated over the trailing 3-year period	0.89
Correlation (5Y) Calculated over the trailing 5-year period	0.90
Correlation (All Time) Calculated using the full available price history since Aug 1, 2019	0.89

The correlation between AAATX and FRQKX has been stable across timeframes, ranging from 0.89 to 0.90 - a consistent structural relationship.

Return for Risk

AAATX vs. FRQKX — Risk / Return Rank

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

AAATX

AAATX Risk / Return Rank: 58
AAATX Sharpe Ratio Rank: 62
AAATX Sortino Ratio Rank: 65
AAATX Omega Ratio Rank: 65
AAATX Calmar Ratio Rank: 44
AAATX Martin Ratio Rank: 53

FRQKX

FRQKX Risk / Return Rank: 68
FRQKX Sharpe Ratio Rank: 69
FRQKX Sortino Ratio Rank: 72
FRQKX Omega Ratio Rank: 76
FRQKX Calmar Ratio Rank: 60
FRQKX Martin Ratio Rank: 65

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.

AAATX vs. FRQKX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Funds 2010 Target Date Retirement Fund (AAATX) and Fidelity Managed Retirement 2010 Fund Class K (FRQKX). 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.

	AAATX	FRQKX	Difference
Sharpe ratio: Return per unit of total volatility	2.12	2.23	-0.11
Sortino ratio: Return per unit of downside risk	3.07	3.23	-0.16
Omega ratio: Gain probability vs. loss probability	1.41	1.45	-0.04
Calmar ratio: Return relative to maximum drawdown	2.41	2.84	-0.44
Martin ratio: Return relative to average drawdown	10.23	11.89	-1.67

AAATX vs. FRQKX - Sharpe Ratio Comparison

The current AAATX Sharpe Ratio is 2.12, which is comparable to the FRQKX Sharpe Ratio of 2.23. The chart below compares the historical Sharpe Ratios of AAATX and FRQKX, 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

AAATX vs. FRQKX - Drawdown Comparison

The maximum AAATX drawdown since its inception was -40.44%, which is greater than FRQKX's maximum drawdown of -16.97%. Use the drawdown chart below to compare losses from any high point for AAATX and FRQKX.

Drawdown Indicators

	AAATX	FRQKX	Difference
Max Drawdown Largest peak-to-trough decline	-40.44%	-16.97%	-23.47%
Max Drawdown (1Y) Largest decline over 1 year	-4.42%	-3.42%	-1.00%
Max Drawdown (3Y) Largest decline over 3 years	-5.57%	-5.17%	-0.40%
Max Drawdown (5Y) Largest decline over 5 years	-14.99%	-16.97%	+1.98%
Max Drawdown (10Y) Largest decline over 10 years	-15.13%	—	—
Current Drawdown Current decline from peak	-0.71%	-0.42%	-0.29%
Average Drawdown Average peak-to-trough decline	-4.33%	-3.84%	-0.49%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.04%	0.82%	+0.22%

Volatility

AAATX vs. FRQKX - Volatility Comparison

The current volatility for American Funds 2010 Target Date Retirement Fund (AAATX) is 1.74%, while Fidelity Managed Retirement 2010 Fund Class K (FRQKX) has a volatility of 2.02%. This indicates that AAATX experiences smaller price fluctuations and is considered to be less risky than FRQKX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AAATX	FRQKX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.74%	2.02%	-0.28%
Volatility (6M) Calculated over the trailing 6-month period	4.04%	3.71%	+0.33%
Volatility (1Y) Calculated over the trailing 1-year period	5.02%	4.37%	+0.65%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.55%	5.60%	+0.95%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.69%	5.78%	+0.91%

AAATX vs. FRQKX - Expense Ratio Comparison

AAATX has a 0.34% expense ratio, which is lower than FRQKX's 0.36% expense ratio.

Dividends

AAATX vs. FRQKX - Dividend Comparison

AAATX's dividend yield for the trailing twelve months is around 6.61%, more than FRQKX's 3.42% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AAATX American Funds 2010 Target Date Retirement Fund	6.61%	6.84%	5.16%	3.53%	3.41%	3.78%	3.72%	3.48%	3.79%	2.51%	2.67%	4.60%
FRQKX Fidelity Managed Retirement 2010 Fund Class K	3.42%	3.09%	2.91%	2.86%	5.12%	6.11%	3.61%	2.57%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both AAATX and FRQKX in my portfolio?

With a correlation of 0.90, AAATX and FRQKX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, AAATX or FRQKX?

FRQKX has higher volatility (2.02%) compared to AAATX (1.74%). In terms of maximum drawdown, AAATX dropped -40.44% vs FRQKX's -16.97%.

Which has better risk-adjusted returns?

FRQKX currently has the higher Sharpe Ratio (2.23 vs 2.12), 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.