FCLO vs. AAA

Last updated Jun 4, 2026

FCLO (Fidelity CLO ETF) and AAA (AAF First Priority CLO Bond ETF) are both CLO funds. Both are actively managed. At a 0.26 correlation, their price movements are largely independent. FCLO charges 0.45%/yr vs 0.25%/yr for AAA.

Performance

FCLO vs. AAA - Performance Comparison

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

Returns By Period

FCLO

• 1D: 0.02%
• 1M: 0.50%
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

AAA

• 1D: -0.22%
• 1M: 0.67%
• YTD: 1.86%
• 6M: 2.19%
• 1Y: 5.39%
• 3Y*: 6.50%
• 5Y*: 4.64%
• 10Y*: —

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

FCLO vs. AAA - Yearly Performance Comparison

	2026 (YTD)
FCLO Fidelity CLO ETF	1.70%
AAA AAF First Priority CLO Bond ETF	1.57%

Correlation

The correlation between FCLO and AAA is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (All Time) Calculated using the full available price history since Feb 13, 2026	0.26

Return for Risk

FCLO vs. AAA — Risk / Return Rank

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

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.

FCLO vs. AAA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity CLO ETF (FCLO) 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.

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

Sharpe Ratios by Period

	FCLO	AAA	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	2.36	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	2.05	—
Sharpe Ratio (All Time) Calculated using the full available price history	3.96	1.93	+2.03

Drawdowns

FCLO vs. AAA - Drawdown Comparison

The maximum FCLO drawdown since its inception was -0.58%, smaller than the maximum AAA drawdown of -2.63%. Use the drawdown chart below to compare losses from any high point for FCLO and AAA.

Drawdown Indicators

	FCLO	AAA	Difference
Max Drawdown Largest peak-to-trough decline	-0.58%	-2.63%	+2.05%
Max Drawdown (1Y) Largest decline over 1 year	—	-0.60%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-2.40%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-2.63%	—
Current Drawdown Current decline from peak	0.00%	-0.22%	+0.22%
Average Drawdown Average peak-to-trough decline	-0.09%	-0.30%	+0.21%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	0.19%	—

Volatility

Volatility by Period

	FCLO	AAA	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	0.74%	—
Volatility (6M) Calculated over the trailing 6-month period	—	1.76%	—
Volatility (1Y) Calculated over the trailing 1-year period	1.46%	2.30%	-0.84%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	1.46%	2.28%	-0.82%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	1.46%	2.15%	-0.69%

FCLO vs. AAA - Expense Ratio Comparison

FCLO has a 0.45% expense ratio, which is higher than AAA's 0.25% expense ratio.

Dividends

FCLO vs. AAA - Dividend Comparison

FCLO's dividend yield for the trailing twelve months is around 1.56%, less than AAA's 4.90% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
AAA AAF First Priority CLO Bond ETF	4.90%	5.11%	6.17%	6.11%	2.78%	1.06%	0.32%
FCLO Fidelity CLO ETF	1.56%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FCLO and AAA in my portfolio?

FCLO and AAA have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, FCLO or AAA?

On fees, AAA is cheaper at 0.25% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, FCLO or AAA?

AAA is cheaper with a 0.25% expense ratio, compared with 0.45% for FCLO.

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

AAA has the higher dividend yield at 4.90%, compared with 1.56% for FCLO.

What is the main difference between FCLO and AAA?

They also come from different issuers: Fidelity and Alternative Access Funds LLC. Their fees differ too: 0.45% for FCLO and 0.25% for AAA.