CMCI vs. FAAR

Last updated Jun 4, 2026

CMCI (VanEck CMCI Commodity Strategy ETF) and FAAR (First Trust Alternative Absolute Return Strategy ETF) are both Commodities funds. CMCI is passively managed, while FAAR is actively managed. Over the past year, CMCI returned 30.85% vs 40.73% for FAAR. A 0.52 correlation means they provide meaningful diversification when combined. CMCI charges 0.65%/yr vs 0.95%/yr for FAAR.

Performance

CMCI vs. FAAR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in VanEck CMCI Commodity Strategy ETF (CMCI) and First Trust Alternative Absolute Return Strategy ETF (FAAR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CMCI achieves a 23.01% return, which is significantly lower than FAAR's 25.73% return.

CMCI

• 1D: -0.31%
• 1M: -0.41%
• YTD: 23.01%
• 6M: 23.83%
• 1Y: 30.85%
• 3Y*: —
• 5Y*: —
• 10Y*: —

FAAR

• 1D: 0.01%
• 1M: -0.79%
• YTD: 25.73%
• 6M: 23.17%
• 1Y: 40.73%
• 3Y*: 11.79%
• 5Y*: 8.07%
• 10Y*: 5.17%

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

CMCI vs. FAAR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
CMCI VanEck CMCI Commodity Strategy ETF	23.01%	7.90%	5.68%	-2.87%
FAAR First Trust Alternative Absolute Return Strategy ETF	25.73%	8.07%	5.97%	-2.85%

Correlation

The correlation between CMCI and FAAR is 0.70, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.70
Correlation (All Time) Calculated using the full available price history since Aug 24, 2023	0.52

The correlation between CMCI and FAAR shifts across timeframes, from 0.52 (all time) to 0.70 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

CMCI vs. FAAR — Risk / Return Rank

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

CMCI

CMCI Risk / Return Rank: 81
CMCI Sharpe Ratio Rank: 78
CMCI Sortino Ratio Rank: 76
CMCI Omega Ratio Rank: 77
CMCI Calmar Ratio Rank: 92
CMCI Martin Ratio Rank: 81

FAAR

FAAR Risk / Return Rank: 90
FAAR Sharpe Ratio Rank: 89
FAAR Sortino Ratio Rank: 90
FAAR Omega Ratio Rank: 84
FAAR Calmar Ratio Rank: 95
FAAR Martin Ratio Rank: 92

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.

CMCI vs. FAAR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for VanEck CMCI Commodity Strategy ETF (CMCI) and First Trust Alternative Absolute Return Strategy ETF (FAAR). 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.

	CMCI	FAAR	Difference
Sharpe ratio: Return per unit of total volatility	2.54	3.04	-0.49
Sortino ratio: Return per unit of downside risk	3.42	4.23	-0.81
Omega ratio: Gain probability vs. loss probability	1.46	1.52	-0.06
Calmar ratio: Return relative to maximum drawdown	6.16	8.44	-2.28
Martin ratio: Return relative to average drawdown	16.15	23.64	-7.49
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

CMCI vs. FAAR - Sharpe Ratio Comparison

The current CMCI Sharpe Ratio is 2.54, which is comparable to the FAAR Sharpe Ratio of 3.04. The chart below compares the historical Sharpe Ratios of CMCI and FAAR, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	CMCI	FAAR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.54	3.04	-0.49
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.62	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.45	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.94	0.45	+0.49

Drawdowns

CMCI vs. FAAR - Drawdown Comparison

The maximum CMCI drawdown since its inception was -11.54%, smaller than the maximum FAAR drawdown of -18.03%. Use the drawdown chart below to compare losses from any high point for CMCI and FAAR.

Drawdown Indicators

	CMCI	FAAR	Difference
Max Drawdown Largest peak-to-trough decline	-11.54%	-18.03%	+6.49%
Max Drawdown (1Y) Largest decline over 1 year	-5.03%	-4.85%	-0.18%
Max Drawdown (3Y) Largest decline over 3 years	—	-11.54%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-18.03%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-18.03%	—
Current Drawdown Current decline from peak	-3.12%	-1.11%	-2.01%
Average Drawdown Average peak-to-trough decline	-3.54%	-7.85%	+4.31%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.92%	1.73%	+0.19%

Volatility

CMCI vs. FAAR - Volatility Comparison

VanEck CMCI Commodity Strategy ETF (CMCI) has a higher volatility of 4.25% compared to First Trust Alternative Absolute Return Strategy ETF (FAAR) at 2.44%. This indicates that CMCI's price experiences larger fluctuations and is considered to be riskier than FAAR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CMCI	FAAR	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.25%	2.44%	+1.81%
Volatility (6M) Calculated over the trailing 6-month period	10.14%	9.72%	+0.42%
Volatility (1Y) Calculated over the trailing 1-year period	12.19%	13.48%	-1.29%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.63%	13.02%	-0.39%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	12.63%	11.51%	+1.12%

CMCI vs. FAAR - Expense Ratio Comparison

CMCI has a 0.65% expense ratio, which is lower than FAAR's 0.95% expense ratio.

Dividends

CMCI vs. FAAR - Dividend Comparison

CMCI's dividend yield for the trailing twelve months is around 8.04%, less than FAAR's 9.15% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
CMCI VanEck CMCI Commodity Strategy ETF	8.04%	9.89%	3.93%	1.64%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
FAAR First Trust Alternative Absolute Return Strategy ETF	9.15%	11.63%	3.45%	3.20%	5.82%	6.49%	3.05%	1.02%	0.58%	2.83%

Frequently Asked Questions

Can I hold both CMCI and FAAR in my portfolio?

CMCI and FAAR have a correlation of 0.70, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CMCI or FAAR?

CMCI has higher volatility (4.25%) compared to FAAR (2.44%). In terms of maximum drawdown, CMCI dropped -11.54% vs FAAR's -18.03%.

Which ETF is better, CMCI or FAAR?

On 1-year performance, FAAR leads with 40.73% vs 30.85% for CMCI. On fees, CMCI is cheaper at 0.65% per year. On volatility, FAAR has been the lower-risk option at 2.44%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, CMCI or FAAR?

Over the 1-year period, FAAR has performed better with a 40.73% return vs 30.85%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, CMCI or FAAR?

CMCI is cheaper with a 0.65% expense ratio, compared with 0.95% for FAAR.

Which ETF pays a higher dividend yield, CMCI or FAAR?

FAAR has the higher dividend yield at 9.15%, compared with 8.04% for CMCI.

What is the main difference between CMCI and FAAR?

They also come from different issuers: VanEck and First Trust. Their fees differ too: 0.65% for CMCI and 0.95% for FAAR.

Which has better risk-adjusted returns?

FAAR currently has the higher Sharpe Ratio (3.04 vs 2.54), 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.