CAAA vs. GRID

Last updated Jun 24, 2026

CAAA (First Trust Commercial Mortgage Opportunities ETF) and GRID (First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund) are both exchange-traded funds - CAAA is a Intermediate Core-Plus Bond fund actively managed by First Trust, while GRID is a Alternative Energy Equities fund tracking the Nasdaq Clean Edge Smart Grid Infrastructure Index. CAAA is actively managed, while GRID is passively managed. Over the past year, CAAA returned 4.50% vs 42.41% for GRID. At a 0.15 correlation, their price movements are largely independent. CAAA charges 0.55%/yr vs 0.70%/yr for GRID.

Performance

CAAA vs. GRID - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Commercial Mortgage Opportunities ETF (CAAA) and First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CAAA achieves a 0.74% return, which is significantly lower than GRID's 23.40% return.

CAAA

• 1D: -0.22%
• 1M: 0.55%
• YTD: 0.74%
• 6M: 0.86%
• 1Y: 4.50%
• 3Y*: —
• 5Y*: —
• 10Y*: —

GRID

• 1D: -4.46%
• 1M: -1.96%
• YTD: 23.40%
• 6M: 22.11%
• 1Y: 42.41%
• 3Y*: 24.21%
• 5Y*: 16.63%
• 10Y*: 19.95%

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

CAAA vs. GRID - Yearly Performance Comparison

	2026 (YTD)	2025	2024
CAAA First Trust Commercial Mortgage Opportunities ETF	0.74%	8.03%	4.65%
GRID First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund	23.40%	29.65%	11.66%

Correlation

The correlation between CAAA and GRID is 0.19, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.19
Correlation (All Time) Calculated using the full available price history since Feb 28, 2024	0.15

Return for Risk

CAAA vs. GRID — Risk / Return Rank

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

CAAA

CAAA Risk / Return Rank: 45
CAAA Sharpe Ratio Rank: 45
CAAA Sortino Ratio Rank: 47
CAAA Omega Ratio Rank: 44
CAAA Calmar Ratio Rank: 47
CAAA Martin Ratio Rank: 42

GRID

GRID Risk / Return Rank: 65
GRID Sharpe Ratio Rank: 63
GRID Sortino Ratio Rank: 57
GRID Omega Ratio Rank: 60
GRID Calmar Ratio Rank: 74
GRID Martin Ratio Rank: 72

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.

CAAA vs. GRID - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Commercial Mortgage Opportunities ETF (CAAA) and First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID). 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.

	CAAA	GRID	Difference
Sharpe ratio: Return per unit of total volatility	1.47	2.01	-0.54
Sortino ratio: Return per unit of downside risk	2.20	2.63	-0.43
Omega ratio: Gain probability vs. loss probability	1.27	1.35	-0.09
Calmar ratio: Return relative to maximum drawdown	2.17	3.63	-1.46
Martin ratio: Return relative to average drawdown	6.45	12.92	-6.47

CAAA vs. GRID - Sharpe Ratio Comparison

The current CAAA Sharpe Ratio is 1.47, which is comparable to the GRID Sharpe Ratio of 2.01. The chart below compares the historical Sharpe Ratios of CAAA and GRID, 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

CAAA vs. GRID - Drawdown Comparison

The maximum CAAA drawdown since its inception was -2.24%, smaller than the maximum GRID drawdown of -40.56%. Use the drawdown chart below to compare losses from any high point for CAAA and GRID.

Drawdown Indicators

	CAAA	GRID	Difference
Max Drawdown Largest peak-to-trough decline	-2.24%	-40.56%	+38.32%
Max Drawdown (1Y) Largest decline over 1 year	-2.08%	-11.73%	+9.65%
Max Drawdown (3Y) Largest decline over 3 years	—	-20.77%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-29.64%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-40.56%	—
Current Drawdown Current decline from peak	-0.87%	-5.55%	+4.68%
Average Drawdown Average peak-to-trough decline	-0.56%	-8.42%	+7.86%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.70%	3.29%	-2.59%

Volatility

CAAA vs. GRID - Volatility Comparison

The current volatility for First Trust Commercial Mortgage Opportunities ETF (CAAA) is 1.01%, while First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID) has a volatility of 10.12%. This indicates that CAAA experiences smaller price fluctuations and is considered to be less risky than GRID based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CAAA	GRID	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.01%	10.12%	-9.11%
Volatility (6M) Calculated over the trailing 6-month period	2.25%	18.23%	-15.98%
Volatility (1Y) Calculated over the trailing 1-year period	3.10%	21.26%	-18.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.21%	21.37%	-18.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.21%	22.80%	-19.59%

CAAA vs. GRID - Expense Ratio Comparison

CAAA has a 0.55% expense ratio, which is lower than GRID's 0.70% expense ratio.

Dividends

CAAA vs. GRID - Dividend Comparison

CAAA's dividend yield for the trailing twelve months is around 5.29%, more than GRID's 0.80% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CAAA First Trust Commercial Mortgage Opportunities ETF	5.29%	6.09%	4.01%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
GRID First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund	0.80%	1.01%	1.06%	1.23%	1.26%	0.63%	0.68%	1.26%	1.28%	1.07%	1.07%	1.23%

Frequently Asked Questions

Can I hold both CAAA and GRID in my portfolio?

CAAA and GRID have a correlation of 0.19, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CAAA or GRID?

GRID has higher volatility (10.12%) compared to CAAA (1.01%). In terms of maximum drawdown, CAAA dropped -2.24% vs GRID's -40.56%.

Which ETF is better, CAAA or GRID?

On 1-year performance, GRID leads with 42.41% vs 4.50% for CAAA. On fees, CAAA is cheaper at 0.55% per year. On volatility, CAAA has been the lower-risk option at 1.01%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, CAAA or GRID?

Over the 1-year period, GRID has performed better with a 42.41% return vs 4.50%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, CAAA or GRID?

CAAA is cheaper with a 0.55% expense ratio, compared with 0.70% for GRID.

Which ETF pays a higher dividend yield, CAAA or GRID?

CAAA has the higher dividend yield at 5.29%, compared with 0.80% for GRID.

What is the main difference between CAAA and GRID?

CAAA is categorized as Intermediate Core-Plus Bond, while GRID is Alternative Energy Equities. Their fees differ too: 0.55% for CAAA and 0.70% for GRID.

Which has better risk-adjusted returns?

GRID currently has the higher Sharpe Ratio (2.01 vs 1.47), 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.