CLOA vs. AAA

Last updated Jun 23, 2026

CLOA (iShares AAA CLO Active ETF) and AAA (AAF First Priority CLO Bond ETF) are both CLO funds. Both are actively managed. Over the past 3 years, CLOA returned 6.62%/yr vs 6.36%/yr for AAA. At a 0.15 correlation, their price movements are largely independent. CLOA charges 0.20%/yr vs 0.25%/yr for AAA.

Performance

CLOA vs. AAA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares AAA CLO Active ETF (CLOA) and AAF First Priority CLO Bond ETF (AAA). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CLOA achieves a 2.27% return, which is significantly higher than AAA's 2.06% return.

CLOA

• 1D: 0.09%
• 1M: 0.26%
• YTD: 2.27%
• 6M: 2.47%
• 1Y: 5.23%
• 3Y*: 6.62%
• 5Y*: —
• 10Y*: —

AAA

• 1D: 0.07%
• 1M: 0.62%
• YTD: 2.06%
• 6M: 2.76%
• 1Y: 5.10%
• 3Y*: 6.36%
• 5Y*: 4.67%
• 10Y*: —

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

CLOA vs. AAA - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
CLOA iShares AAA CLO Active ETF	2.27%	5.44%	7.25%	8.38%
AAA AAF First Priority CLO Bond ETF	2.06%	4.92%	6.85%	8.83%

Correlation

The correlation between CLOA and AAA is 0.01, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.01
Correlation (3Y) Calculated over the trailing 3-year period	0.11
Correlation (All Time) Calculated using the full available price history since Jan 12, 2023	0.15

The correlation between CLOA and AAA shifts across timeframes, from 0.01 (1 year) to 0.15 (all time), reflecting how their relationship changes across market environments.

Return for Risk

CLOA vs. AAA — Risk / Return Rank

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

CLOA

CLOA Risk / Return Rank: 99
CLOA Sharpe Ratio Rank: 99
CLOA Sortino Ratio Rank: 99
CLOA Omega Ratio Rank: 99
CLOA Calmar Ratio Rank: 99
CLOA Martin Ratio Rank: 99

AAA

AAA Risk / Return Rank: 85
AAA Sharpe Ratio Rank: 71
AAA Sortino Ratio Rank: 87
AAA Omega Ratio Rank: 77
AAA Calmar Ratio Rank: 96
AAA Martin Ratio Rank: 94

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.

CLOA vs. AAA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares AAA CLO Active ETF (CLOA) and AAF First Priority CLO Bond ETF (AAA). 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.

	CLOA	AAA	Difference
Sharpe ratio: Return per unit of total volatility	7.58	2.21	+5.37
Sortino ratio: Return per unit of downside risk	14.27	3.73	+10.54
Omega ratio: Gain probability vs. loss probability	3.43	1.44	+1.99
Calmar ratio: Return relative to maximum drawdown	29.72	8.50	+21.22
Martin ratio: Return relative to average drawdown	151.56	25.11	+126.45

CLOA vs. AAA - Sharpe Ratio Comparison

The current CLOA Sharpe Ratio is 7.58, which is higher than the AAA Sharpe Ratio of 2.21. The chart below compares the historical Sharpe Ratios of CLOA and AAA, 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

CLOA vs. AAA - Drawdown Comparison

The maximum CLOA drawdown since its inception was -1.34%, smaller than the maximum AAA drawdown of -2.63%. Use the drawdown chart below to compare losses from any high point for CLOA and AAA.

Drawdown Indicators

	CLOA	AAA	Difference
Max Drawdown Largest peak-to-trough decline	-1.34%	-2.63%	+1.29%
Max Drawdown (1Y) Largest decline over 1 year	-0.18%	-0.60%	+0.42%
Max Drawdown (3Y) Largest decline over 3 years	-1.13%	-2.40%	+1.27%
Max Drawdown (5Y) Largest decline over 5 years	—	-2.63%	—
Current Drawdown Current decline from peak	0.00%	-0.03%	+0.03%
Average Drawdown Average peak-to-trough decline	-0.05%	-0.31%	+0.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.03%	0.20%	-0.17%

Volatility

CLOA vs. AAA - Volatility Comparison

The current volatility for iShares AAA CLO Active ETF (CLOA) is 0.15%, while AAF First Priority CLO Bond ETF (AAA) has a volatility of 0.77%. This indicates that CLOA experiences smaller price fluctuations and is considered to be less risky than AAA based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CLOA	AAA	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.15%	0.77%	-0.62%
Volatility (6M) Calculated over the trailing 6-month period	0.49%	1.79%	-1.30%
Volatility (1Y) Calculated over the trailing 1-year period	0.69%	2.32%	-1.63%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.31%	2.29%	-0.98%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.31%	2.15%	-0.84%

CLOA vs. AAA - Expense Ratio Comparison

CLOA has a 0.20% expense ratio, which is lower than AAA's 0.25% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

CLOA vs. AAA - Dividend Comparison

CLOA's dividend yield for the trailing twelve months is around 4.95%, more than AAA's 4.89% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
AAA AAF First Priority CLO Bond ETF	4.89%	5.11%	6.17%	6.11%	2.78%	1.06%	0.32%
CLOA iShares AAA CLO Active ETF	4.95%	5.35%	6.01%	5.88%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both CLOA and AAA in my portfolio?

CLOA and AAA have a correlation of 0.01, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CLOA or AAA?

AAA has higher volatility (0.77%) compared to CLOA (0.15%). In terms of maximum drawdown, CLOA dropped -1.34% vs AAA's -2.63%.

Which ETF is better, CLOA or AAA?

On 3-year performance, CLOA leads with 6.62% vs 6.36% for AAA. On fees, CLOA is cheaper at 0.20% per year. On volatility, CLOA has been the lower-risk option at 0.15%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, CLOA or AAA?

Over the 3-year period, CLOA has performed better with a 6.62% return vs 6.36%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, CLOA or AAA?

CLOA is cheaper with a 0.20% expense ratio, compared with 0.25% for AAA.

Which ETF pays a higher dividend yield, CLOA or AAA?

CLOA has the higher dividend yield at 4.95%, compared with 4.89% for AAA.

What is the main difference between CLOA and AAA?

They also come from different issuers: BlackRock and Alternative Access Funds LLC. Their fees differ too: 0.20% for CLOA and 0.25% for AAA.

Which has better risk-adjusted returns?

CLOA currently has the higher Sharpe Ratio (7.58 vs 2.21), 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.