FCVT vs. VRP

Last updated Jun 4, 2026

FCVT (First Trust SSI Strategic Convertible Securities ETF) and VRP (Invesco Variable Rate Preferred ETF) are both Preferred Stock/Convertible Bonds funds. FCVT is actively managed, while VRP is passively managed. Over the past 10 years, FCVT returned 12.36%/yr vs 5.23%/yr for VRP. At a 0.38 correlation, their price movements are largely independent. FCVT charges 0.95%/yr vs 0.50%/yr for VRP.

Performance

FCVT vs. VRP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust SSI Strategic Convertible Securities ETF (FCVT) and Invesco Variable Rate Preferred ETF (VRP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FCVT achieves a 25.61% return, which is significantly higher than VRP's 2.11% return. Over the past 10 years, FCVT has outperformed VRP with an annualized return of 12.36%, while VRP has yielded a comparatively lower 5.23% annualized return.

FCVT

• 1D: -1.20%
• 1M: 7.08%
• YTD: 25.61%
• 6M: 25.00%
• 1Y: 47.07%
• 3Y*: 21.35%
• 5Y*: 7.58%
• 10Y*: 12.36%

VRP

• 1D: -0.12%
• 1M: 0.66%
• YTD: 2.11%
• 6M: 2.32%
• 1Y: 6.96%
• 3Y*: 9.76%
• 5Y*: 4.38%
• 10Y*: 5.23%

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

FCVT vs. VRP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FCVT First Trust SSI Strategic Convertible Securities ETF	25.61%	19.60%	11.92%	7.12%	-20.88%	4.23%	51.02%	22.30%	-2.28%	12.66%
VRP Invesco Variable Rate Preferred ETF	2.11%	7.34%	11.10%	10.35%	-9.00%	4.20%	5.11%	18.84%	-6.62%	9.26%

Correlation

The correlation between FCVT and VRP is 0.39, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.39
Correlation (3Y) Calculated over the trailing 3-year period	0.39
Correlation (5Y) Calculated over the trailing 5-year period	0.45
Correlation (10Y) Calculated over the trailing 10-year period	0.39
Correlation (All Time) Calculated using the full available price history since Nov 5, 2015	0.38

FCVT vs. VRP - Sectors Allocation Comparison

Sectors	FCVT	VRP
Utilities	1.3%	17.0%
Consumer Cyclical	0.7%	0.7%
Financial Services	0.7%	41.3%
Healthcare	0.7%	1.7%
Basic Materials	-	0.2%
Communication Services	-	4.5%
Consumer Defensive	-	0.3%
Energy	-	7.5%
Industrials	-	1.4%
Real Estate	-	2.8%
Technology	-	-

Return for Risk

FCVT vs. VRP — Risk / Return Rank

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

FCVT

FCVT Risk / Return Rank: 87
FCVT Sharpe Ratio Rank: 88
FCVT Sortino Ratio Rank: 83
FCVT Omega Ratio Rank: 82
FCVT Calmar Ratio Rank: 90
FCVT Martin Ratio Rank: 90

VRP

VRP Risk / Return Rank: 71
VRP Sharpe Ratio Rank: 73
VRP Sortino Ratio Rank: 77
VRP Omega Ratio Rank: 85
VRP Calmar Ratio Rank: 48
VRP Martin Ratio Rank: 70

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.

FCVT vs. VRP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust SSI Strategic Convertible Securities ETF (FCVT) and Invesco Variable Rate Preferred ETF (VRP). 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.

	FCVT	VRP	Difference
Sharpe ratio: Return per unit of total volatility	2.97	2.42	+0.54
Sortino ratio: Return per unit of downside risk	3.76	3.51	+0.25
Omega ratio: Gain probability vs. loss probability	1.50	1.53	-0.04
Calmar ratio: Return relative to maximum drawdown	5.58	2.42	+3.16
Martin ratio: Return relative to average drawdown	20.90	13.02	+7.87
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FCVT vs. VRP - Sharpe Ratio Comparison

The current FCVT Sharpe Ratio is 2.97, which is comparable to the VRP Sharpe Ratio of 2.42. The chart below compares the historical Sharpe Ratios of FCVT and VRP, 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

	FCVT	VRP	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.97	2.42	+0.54
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.54	0.67	-0.13
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.83	0.36	+0.47
Sharpe Ratio (All Time) Calculated using the full available price history	0.68	0.38	+0.30

Drawdowns

FCVT vs. VRP - Drawdown Comparison

The maximum FCVT drawdown since its inception was -31.79%, smaller than the maximum VRP drawdown of -46.04%. Use the drawdown chart below to compare losses from any high point for FCVT and VRP.

Drawdown Indicators

	FCVT	VRP	Difference
Max Drawdown Largest peak-to-trough decline	-31.79%	-46.04%	+14.25%
Max Drawdown (1Y) Largest decline over 1 year	-8.47%	-2.89%	-5.58%
Max Drawdown (3Y) Largest decline over 3 years	-15.06%	-4.26%	-10.80%
Max Drawdown (5Y) Largest decline over 5 years	-30.43%	-13.76%	-16.67%
Max Drawdown (10Y) Largest decline over 10 years	-31.79%	-46.04%	+14.25%
Current Drawdown Current decline from peak	-1.20%	-0.12%	-1.08%
Average Drawdown Average peak-to-trough decline	-10.36%	-2.31%	-8.05%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.26%	0.54%	+1.72%

Volatility

FCVT vs. VRP - Volatility Comparison

First Trust SSI Strategic Convertible Securities ETF (FCVT) has a higher volatility of 6.07% compared to Invesco Variable Rate Preferred ETF (VRP) at 0.66%. This indicates that FCVT's price experiences larger fluctuations and is considered to be riskier than VRP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FCVT	VRP	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.07%	0.66%	+5.41%
Volatility (6M) Calculated over the trailing 6-month period	12.99%	2.33%	+10.66%
Volatility (1Y) Calculated over the trailing 1-year period	15.94%	2.88%	+13.06%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.09%	6.55%	+7.54%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.85%	14.53%	+0.32%

FCVT vs. VRP - Expense Ratio Comparison

FCVT has a 0.95% expense ratio, which is higher than VRP's 0.50% expense ratio.

Dividends

FCVT vs. VRP - Dividend Comparison

FCVT's dividend yield for the trailing twelve months is around 1.19%, less than VRP's 6.30% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FCVT First Trust SSI Strategic Convertible Securities ETF	1.19%	1.98%	1.30%	1.76%	3.71%	23.07%	1.72%	1.60%	1.85%	2.18%	1.88%	0.59%
VRP Invesco Variable Rate Preferred ETF	6.30%	6.53%	5.78%	6.61%	5.38%	4.25%	4.17%	4.71%	5.28%	4.69%	5.10%	5.02%

Frequently Asked Questions

Can I hold both FCVT and VRP in my portfolio?

FCVT and VRP have a correlation of 0.39, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FCVT or VRP?

FCVT has higher volatility (6.07%) compared to VRP (0.66%). In terms of maximum drawdown, FCVT dropped -31.79% vs VRP's -46.04%.

Which ETF is better, FCVT or VRP?

On 10-year performance, FCVT leads with 12.36% vs 5.23% for VRP. On fees, VRP is cheaper at 0.50% per year. On volatility, VRP has been the lower-risk option at 0.66%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FCVT or VRP?

Over the 10-year period, FCVT has performed better with a 12.36% return vs 5.23%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FCVT or VRP?

VRP is cheaper with a 0.50% expense ratio, compared with 0.95% for FCVT.

Which ETF pays a higher dividend yield, FCVT or VRP?

VRP has the higher dividend yield at 6.30%, compared with 1.19% for FCVT.

What is the main difference between FCVT and VRP?

They also come from different issuers: First Trust and Invesco. Their fees differ too: 0.95% for FCVT and 0.50% for VRP.

Which has better risk-adjusted returns?

FCVT currently has the higher Sharpe Ratio (2.97 vs 2.42), 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.