FEUZ vs. FEP

Last updated Jun 24, 2026

FEUZ (First Trust Eurozone AlphaDEX ETF) and FEP (First Trust Europe AlphaDEX Fund) are both Europe Equities funds from First Trust - FEUZ tracks the NASDAQ AlphaDEX Eurozone Index while FEP tracks the Defined Europe Index. Both are passively managed. Over the past 10 years, FEUZ returned 11.16%/yr vs 11.19%/yr for FEP. Their correlation of 0.83 suggests significant overlap in exposure. Both charge a 0.80% expense ratio.

Performance

FEUZ vs. FEP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Eurozone AlphaDEX ETF (FEUZ) and First Trust Europe AlphaDEX Fund (FEP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FEUZ achieves a 9.90% return, which is significantly higher than FEP's 7.28% return. Both investments have delivered pretty close results over the past 10 years, with FEUZ having a 11.16% annualized return and FEP not far ahead at 11.19%.

FEUZ

• 1D: -0.72%
• 1M: -0.37%
• YTD: 9.90%
• 6M: 10.07%
• 1Y: 29.77%
• 3Y*: 23.49%
• 5Y*: 10.32%
• 10Y*: 11.16%

FEP

• 1D: -1.39%
• 1M: -2.05%
• YTD: 7.28%
• 6M: 7.31%
• 1Y: 27.23%
• 3Y*: 23.84%
• 5Y*: 9.54%
• 10Y*: 11.19%

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

FEUZ vs. FEP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FEUZ First Trust Eurozone AlphaDEX ETF	9.90%	56.34%	1.64%	17.24%	-19.83%	11.93%	5.04%	22.06%	-20.61%	36.70%
FEP First Trust Europe AlphaDEX Fund	7.28%	55.72%	3.38%	16.85%	-22.97%	17.03%	4.12%	24.83%	-19.00%	36.27%

Correlation

The correlation between FEUZ and FEP is 0.95 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.95
Correlation (3Y) Calculated over the trailing 3-year period	0.93
Correlation (5Y) Calculated over the trailing 5-year period	0.90
Correlation (10Y) Calculated over the trailing 10-year period	0.85
Correlation (All Time) Calculated using the full available price history since Oct 27, 2014	0.83

The correlation between FEUZ and FEP shifts across timeframes, from 0.83 (all time) to 0.95 (1 year), reflecting how their relationship changes across market environments.

FEUZ vs. FEP - Sectors Allocation Comparison

Sectors	FEUZ	FEP
Industrials	28.1%	26.0%
Financial Services	10.6%	10.0%
Energy	10.0%	10.2%
Consumer Cyclical	9.7%	11.1%
Utilities	7.9%	6.8%
Basic Materials	7.7%	11.6%
Technology	6.6%	3.2%
Real Estate	5.7%	5.0%
Consumer Defensive	5.2%	7.8%
Healthcare	5.0%	4.7%
Communication Services	3.6%	3.6%

Return for Risk

FEUZ vs. FEP — Risk / Return Rank

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

FEUZ

FEUZ Risk / Return Rank: 53
FEUZ Sharpe Ratio Rank: 54
FEUZ Sortino Ratio Rank: 52
FEUZ Omega Ratio Rank: 52
FEUZ Calmar Ratio Rank: 52
FEUZ Martin Ratio Rank: 56

FEP

FEP Risk / Return Rank: 49
FEP Sharpe Ratio Rank: 49
FEP Sortino Ratio Rank: 48
FEP Omega Ratio Rank: 47
FEP Calmar Ratio Rank: 49
FEP Martin Ratio Rank: 53

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.

FEUZ vs. FEP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Eurozone AlphaDEX ETF (FEUZ) and First Trust Europe AlphaDEX Fund (FEP). 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.

	FEUZ	FEP	Difference
Sharpe ratio: Return per unit of total volatility	1.71	1.59	+0.11
Sortino ratio: Return per unit of downside risk	2.35	2.22	+0.13
Omega ratio: Gain probability vs. loss probability	1.30	1.29	+0.02
Calmar ratio: Return relative to maximum drawdown	2.39	2.25	+0.14
Martin ratio: Return relative to average drawdown	9.02	8.64	+0.38

FEUZ vs. FEP - Sharpe Ratio Comparison

The current FEUZ Sharpe Ratio is 1.71, which is comparable to the FEP Sharpe Ratio of 1.59. The chart below compares the historical Sharpe Ratios of FEUZ and FEP, 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

FEUZ vs. FEP - Drawdown Comparison

The maximum FEUZ drawdown since its inception was -48.08%, roughly equal to the maximum FEP drawdown of -46.05%. Use the drawdown chart below to compare losses from any high point for FEUZ and FEP.

Drawdown Indicators

	FEUZ	FEP	Difference
Max Drawdown Largest peak-to-trough decline	-48.08%	-46.05%	-2.03%
Max Drawdown (1Y) Largest decline over 1 year	-12.49%	-12.13%	-0.36%
Max Drawdown (3Y) Largest decline over 3 years	-18.02%	-15.83%	-2.19%
Max Drawdown (5Y) Largest decline over 5 years	-38.64%	-38.99%	+0.35%
Max Drawdown (10Y) Largest decline over 10 years	-48.08%	-46.05%	-2.03%
Current Drawdown Current decline from peak	-2.62%	-3.89%	+1.27%
Average Drawdown Average peak-to-trough decline	-10.45%	-11.99%	+1.54%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.31%	3.16%	+0.15%

Volatility

FEUZ vs. FEP - Volatility Comparison

The current volatility for First Trust Eurozone AlphaDEX ETF (FEUZ) is 4.88%, while First Trust Europe AlphaDEX Fund (FEP) has a volatility of 5.32%. This indicates that FEUZ experiences smaller price fluctuations and is considered to be less risky than FEP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FEUZ	FEP	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.88%	5.32%	-0.44%
Volatility (6M) Calculated over the trailing 6-month period	14.86%	14.58%	+0.28%
Volatility (1Y) Calculated over the trailing 1-year period	17.54%	17.18%	+0.36%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.99%	19.72%	+2.27%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.51%	20.33%	+1.18%

FEUZ vs. FEP - Expense Ratio Comparison

Both FEUZ and FEP have an expense ratio of 0.80%.

Dividends

FEUZ vs. FEP - Dividend Comparison

FEUZ's dividend yield for the trailing twelve months is around 2.40%, less than FEP's 3.05% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FEP First Trust Europe AlphaDEX Fund	3.05%	3.33%	4.94%	3.27%	3.00%	3.49%	2.32%	2.63%	2.62%	1.65%	2.14%	2.20%
FEUZ First Trust Eurozone AlphaDEX ETF	2.40%	2.81%	2.01%	2.95%	3.14%	2.52%	1.46%	1.93%	2.46%	1.29%	2.12%	1.09%

Frequently Asked Questions

Can I hold both FEUZ and FEP in my portfolio?

With a correlation of 0.95, FEUZ and FEP move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, FEUZ or FEP?

FEP has higher volatility (5.32%) compared to FEUZ (4.88%). In terms of maximum drawdown, FEUZ dropped -48.08% vs FEP's -46.05%.

Which ETF is better, FEUZ or FEP?

On 10-year performance, FEP leads with 11.19% vs 11.16% for FEUZ. Both ETFs have the same 0.80% expense ratio. On volatility, FEUZ has been the lower-risk option at 4.88%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FEUZ or FEP?

Over the 10-year period, FEP has performed better with a 11.19% return vs 11.16%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FEUZ or FEP?

FEUZ and FEP have the same expense ratio: 0.80% per year.

Which ETF pays a higher dividend yield, FEUZ or FEP?

FEP has the higher dividend yield at 3.05%, compared with 2.40% for FEUZ.

What is the main difference between FEUZ and FEP?

FEUZ tracks NASDAQ AlphaDEX Eurozone Index, while FEP tracks Defined Europe Index.

Which has better risk-adjusted returns?

FEUZ currently has the higher Sharpe Ratio (1.71 vs 1.59), 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.