AACTX vs. LTIUX
AACTX (American Funds 2020 Target Date Retirement Fund) and LTIUX (Principal LifeTime 2035 Fund) are both Target Retirement Date funds. Over the past 10 years, AACTX returned 6.89%/yr vs 9.26%/yr for LTIUX. Their 0.95 correlation means they have historically moved very closely together. AACTX charges 0.33%/yr vs 0.01%/yr for LTIUX.
Performance
AACTX vs. LTIUX - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, AACTX achieves a 4.73% return, which is significantly lower than LTIUX's 5.87% return. Over the past 10 years, AACTX has underperformed LTIUX with an annualized return of 6.89%, while LTIUX has yielded a comparatively higher 9.26% annualized return.
AACTX
- 1D
- 0.47%
- 1M
- -0.20%
- 6M
- 2.91%
- YTD
- 4.73%
- 1Y
- 10.56%
- 3Y*
- 10.38%
- 5Y*
- 5.43%
- 10Y*
- 6.89%
- ALL TIME*
- 5.87%
LTIUX
- 1D
- 1.15%
- 1M
- -0.07%
- 6M
- 3.84%
- YTD
- 5.87%
- 1Y
- 12.88%
- 3Y*
- 12.79%
- 5Y*
- 6.41%
- 10Y*
- 9.26%
- ALL TIME*
- 7.38%
Liquidity Comparison
| Position | Avg. Volume Value (2W) | Avg. Volume Value (1M) | Avg. Volume Value (3M) |
|---|---|---|---|
| $0.00 | $0.00 | $0.00 | |
| $0.00 | $0.00 | $0.00 |
AACTX vs. LTIUX - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
AACTX American Funds 2020 Target Date Retirement Fund | 4.73% | 13.91% | 8.63% | 10.06% | -11.29% | 10.28% | 10.61% | 15.25% | -3.03% | 12.46% |
LTIUX Principal LifeTime 2035 Fund | 5.87% | 14.26% | 14.13% | 16.51% | -17.48% | 14.07% | 15.70% | 23.48% | -7.37% | 19.69% |
Correlation
The correlation between AACTX and LTIUX is 0.93, meaning they have usually moved in the same direction, including during past declines.
| Correlation | |
|---|---|
Correlation (1Y) Focuses on recent behavior, but can change the most. | 0.93 |
Correlation (3Y) Balances recent behavior with more history. | 0.92 |
Correlation (5Y) Shows whether the relationship held over a longer period. | 0.93 |
Correlation (10Y) Provides a long-term view across more market conditions. | 0.93 |
Correlation (All Time) Calculated using the full available price history since Mar 3, 2008 | 0.95 |
The correlation between AACTX and LTIUX has been stable across timeframes, ranging from 0.92 to 0.95 - a consistent structural relationship.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
AACTX vs. LTIUX — Risk / Return Rank
AACTX
LTIUX
AACTX vs. LTIUX - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for American Funds 2020 Target Date Retirement Fund (AACTX) and Principal LifeTime 2035 Fund (LTIUX). 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.
| AACTX | LTIUX | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.47 | ||
| Sortino ratioReturn per unit of downside risk | +0.67 | ||
| Omega ratioGain probability vs. loss probability | 1.33 | 1.23 | +0.09 |
| Calmar ratioReturn relative to maximum drawdown | 2.00 | 1.79 | +0.21 |
| Martin ratioReturn relative to average drawdown | 8.68 | 7.66 | +1.02 |
Loading charts...
Drawdowns
AACTX vs. LTIUX - Drawdown Comparison
The maximum AACTX drawdown since its inception was -46.28%, smaller than the maximum LTIUX drawdown of -49.65%. Use the drawdown chart below to compare losses from any high point for AACTX and LTIUX.
Loading charts...
Drawdown Indicators
| AACTX | LTIUX | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -46.28% | -49.65% | +3.37% |
Max Drawdown (1Y)Largest decline over 1 year | -5.12% | -6.57% | +1.45% |
Max Drawdown (3Y)Largest decline over 3 years | -6.06% | -11.08% | +5.02% |
Max Drawdown (5Y)Largest decline over 5 years | -17.18% | -24.23% | +7.05% |
Max Drawdown (10Y)Largest decline over 10 years | -17.18% | -28.12% | +10.94% |
Current DrawdownCurrent decline from peak | -0.47% | -0.85% | +0.38% |
Average DrawdownAverage peak-to-trough decline | -5.49% | -6.66% | +1.17% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 1.18% | 1.53% | -0.35% |
Volatility
AACTX vs. LTIUX - Volatility Comparison
The current volatility for American Funds 2020 Target Date Retirement Fund (AACTX) is 1.32%, while Principal LifeTime 2035 Fund (LTIUX) has a volatility of 2.54%. This indicates that AACTX experiences smaller price fluctuations and is considered to be less risky than LTIUX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
Loading charts...
Volatility by Period
| AACTX | LTIUX | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 1.32% | 2.54% | -1.22% |
Volatility (6M)Calculated over the trailing 6-month period | 4.74% | 7.73% | -2.99% |
Volatility (1Y)Calculated over the trailing 1-year period | 5.90% | 9.32% | -3.42% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 7.50% | 11.91% | -4.41% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 7.72% | 12.43% | -4.71% |
AACTX vs. LTIUX - Expense Ratio Comparison
AACTX has a 0.33% expense ratio, which is higher than LTIUX's 0.01% expense ratio.
Dividends
AACTX vs. LTIUX - Dividend Comparison
AACTX's dividend yield for the trailing twelve months is around 7.45%, less than LTIUX's 8.53% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
AACTX American Funds 2020 Target Date Retirement Fund | 7.45% | 7.80% | 5.18% | 3.25% | 3.95% | 6.30% | 4.22% | 3.96% | 4.16% | 2.52% | 2.99% | 4.12% |
LTIUX Principal LifeTime 2035 Fund | 8.53% | 9.03% | 9.46% | 4.17% | 7.50% | 7.06% | 5.35% | 7.28% | 7.75% | 5.46% | 4.28% | 5.59% |
Frequently Asked Questions
With a correlation of 0.93, AACTX and LTIUX 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.
LTIUX has higher volatility (2.54%) compared to AACTX (1.32%). In terms of maximum drawdown, AACTX dropped -46.28% vs LTIUX's -49.65%.
AACTX currently has the higher Sharpe Ratio (1.73 vs 1.26), 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.
Find the right allocation for AACTX and LTIUX
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer