ARCC vs. BRO
ARCC (Ares Capital Corporation) and BRO (Brown & Brown, Inc.) are both stocks. Both are in the Financial Services sector — ARCC in Asset Management, BRO in Insurance Brokers. Over the past 10 years, ARCC returned 12.48%/yr vs 15.04%/yr for BRO. At a 0.36 correlation, their price movements are largely independent.
Performance
ARCC vs. BRO - Performance Comparison
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Returns By Period
In the year-to-date period, ARCC achieves a -1.16% return, which is significantly higher than BRO's -13.05% return. Over the past 10 years, ARCC has underperformed BRO with an annualized return of 12.48%, while BRO has yielded a comparatively higher 15.04% annualized return.
ARCC
- 1D
- -0.99%
- 1M
- 5.27%
- 6M
- -4.32%
- YTD
- -1.16%
- 1Y
- -9.88%
- 3Y*
- 8.83%
- 5Y*
- 8.74%
- 10Y*
- 12.48%
- ALL TIME*
- 12.05%
BRO
- 1D
- -0.59%
- 1M
- 16.65%
- 6M
- -13.38%
- YTD
- -13.05%
- 1Y
- -33.02%
- 3Y*
- -0.37%
- 5Y*
- 6.03%
- 10Y*
- 15.04%
- ALL TIME*
- 14.93%
ARCC vs. BRO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
ARCC Ares Capital Corporation | -1.16% | 1.07% | 19.78% | 20.03% | -3.84% | 36.14% | 0.86% | 31.30% | 8.81% | 4.50% |
BRO Brown & Brown, Inc. | -13.05% | -21.37% | 44.32% | 25.73% | -18.39% | 49.31% | 21.06% | 44.67% | 8.30% | 16.15% |
Correlation
The correlation between ARCC and BRO is 0.11, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.11 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.21 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.30 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.32 |
Correlation (All Time) Calculated using the full available price history since Oct 6, 2004 | 0.36 |
Over the past year, the correlation between ARCC and BRO has dropped to 0.11 - well below their long-term average of 0.36, suggesting their price drivers have been diverging.
Fundamentals
ARCC:
$13.63B
BRO:
$23.37B
ARCC:
$1.62
BRO:
$5.13
ARCC:
11.70
BRO:
13.43
ARCC:
1.75
BRO:
0.99
ARCC:
5.11
BRO:
2.40
ARCC:
$2.63B
BRO:
$6.43B
ARCC:
$1.86B
BRO:
$3.82B
ARCC:
$2.05B
BRO:
$1.51B
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Return for Risk
ARCC vs. BRO — Risk / Return Rank
ARCC
BRO
ARCC vs. BRO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Ares Capital Corporation (ARCC) and Brown & Brown, Inc. (BRO). 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.
| ARCC | BRO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.57 | ||
| Sortino ratioReturn per unit of downside risk | +0.86 | ||
| Omega ratioGain probability vs. loss probability | 0.93 | 0.81 | +0.12 |
| Calmar ratioReturn relative to maximum drawdown | -0.53 | -0.71 | +0.18 |
| Martin ratioReturn relative to average drawdown | -0.91 | -1.17 | +0.26 |
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Drawdowns
ARCC vs. BRO - Drawdown Comparison
The maximum ARCC drawdown since its inception was -79.36%, which is greater than BRO's maximum drawdown of -55.85%. Use the drawdown chart below to compare losses from any high point for ARCC and BRO.
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Drawdown Indicators
| ARCC | BRO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -79.36% | -55.85% | -23.51% |
Max Drawdown (1Y)Largest decline over 1 year | -18.86% | -46.93% | +28.07% |
Max Drawdown (3Y)Largest decline over 3 years | -19.35% | -55.85% | +36.50% |
Max Drawdown (5Y)Largest decline over 5 years | -21.76% | -55.85% | +34.09% |
Max Drawdown (10Y)Largest decline over 10 years | -56.77% | -55.85% | -0.92% |
Current DrawdownCurrent decline from peak | -10.03% | -44.02% | +33.99% |
Average DrawdownAverage peak-to-trough decline | -9.12% | -13.63% | +4.51% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 11.21% | 28.61% | -17.40% |
Volatility
ARCC vs. BRO - Volatility Comparison
The current volatility for Ares Capital Corporation (ARCC) is 4.12%, while Brown & Brown, Inc. (BRO) has a volatility of 11.02%. This indicates that ARCC experiences smaller price fluctuations and is considered to be less risky than BRO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| ARCC | BRO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 4.12% | 11.02% | -6.90% |
Volatility (6M)Calculated over the trailing 6-month period | 14.85% | 23.89% | -9.04% |
Volatility (1Y)Calculated over the trailing 1-year period | 18.90% | 30.37% | -11.47% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 19.99% | 25.27% | -5.28% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 25.58% | 23.84% | +1.74% |
Dividends
ARCC vs. BRO - Dividend Comparison
ARCC's dividend yield for the trailing twelve months is around 10.12%, more than BRO's 0.94% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
ARCC Ares Capital Corporation | 10.12% | 9.49% | 8.77% | 9.59% | 10.12% | 7.65% | 9.47% | 9.01% | 9.88% | 9.67% | 9.22% | 11.02% |
BRO Brown & Brown, Inc. | 0.94% | 0.77% | 0.53% | 0.67% | 0.74% | 0.54% | 0.73% | 0.82% | 1.11% | 1.08% | 1.12% | 1.41% |
Financials
ARCC vs. BRO - Financials Comparison
This section allows you to compare key financial metrics between Ares Capital Corporation and Brown & Brown, Inc.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
ARCC vs. BRO - Profitability Comparison
ARCC - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jul 2026, Ares Capital Corporation reported a gross profit of 550.00M and revenue of 763.00M. Therefore, the gross margin over that period was 72.1%.
BRO - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jul 2026, Brown & Brown, Inc. reported a gross profit of 994.00M and revenue of 1.90B. Therefore, the gross margin over that period was 52.3%.
ARCC - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jul 2026, Ares Capital Corporation reported an operating income of 404.00M and revenue of 763.00M, resulting in an operating margin of 53.0%.
BRO - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jul 2026, Brown & Brown, Inc. reported an operating income of 0.00 and revenue of 1.90B, resulting in an operating margin of 0.0%.
ARCC - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jul 2026, Ares Capital Corporation reported a net income of 92.00M and revenue of 763.00M, resulting in a net margin of 12.1%.
BRO - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jul 2026, Brown & Brown, Inc. reported a net income of 426.00M and revenue of 1.90B, resulting in a net margin of 22.4%.
Frequently Asked Questions
ARCC and BRO have a correlation of 0.11, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
BRO has higher volatility (11.02%) compared to ARCC (4.12%). In terms of maximum drawdown, ARCC dropped -79.36% vs BRO's -55.85%.
ARCC currently has the higher Sharpe Ratio (-0.53 vs -1.09), 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.
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