FFFFX vs. AVFIX

Last updated Jun 4, 2026

FFFFX (Fidelity Freedom 2040 Fund) and AVFIX (American Beacon Small Cap Value Fund) are both mutual funds - FFFFX is a Target Retirement Date fund managed by Fidelity, while AVFIX is a Small Cap Value Equities fund managed by American Beacon. Over the past 10 years, FFFFX returned 11.98%/yr vs 10.40%/yr for AVFIX. Their correlation of 0.86 suggests significant overlap in exposure. FFFFX charges 0.75%/yr vs 0.81%/yr for AVFIX.

Performance

FFFFX vs. AVFIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Freedom 2040 Fund (FFFFX) and American Beacon Small Cap Value Fund (AVFIX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FFFFX achieves a 12.13% return, which is significantly lower than AVFIX's 22.40% return. Over the past 10 years, FFFFX has outperformed AVFIX with an annualized return of 11.98%, while AVFIX has yielded a comparatively lower 10.40% annualized return.

FFFFX

• 1D: 0.56%
• 1M: 4.48%
• YTD: 12.13%
• 6M: 13.76%
• 1Y: 28.02%
• 3Y*: 19.14%
• 5Y*: 9.53%
• 10Y*: 11.98%

AVFIX

• 1D: 1.71%
• 1M: 4.91%
• YTD: 22.40%
• 6M: 21.65%
• 1Y: 39.93%
• 3Y*: 16.35%
• 5Y*: 8.44%
• 10Y*: 10.40%

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

FFFFX vs. AVFIX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FFFFX Fidelity Freedom 2040 Fund	12.13%	22.01%	13.20%	20.06%	-18.31%	16.57%	18.24%	25.38%	-8.94%	22.26%
AVFIX American Beacon Small Cap Value Fund	22.40%	4.91%	7.48%	16.76%	-8.03%	28.32%	4.05%	23.52%	-15.78%	8.74%

Correlation

The correlation between FFFFX and AVFIX is 0.73, 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	0.73
Correlation (3Y) Calculated over the trailing 3-year period	0.76
Correlation (5Y) Calculated over the trailing 5-year period	0.81
Correlation (10Y) Calculated over the trailing 10-year period	0.80
Correlation (All Time) Calculated using the full available price history since Sep 7, 2000	0.86

The correlation between FFFFX and AVFIX shifts across timeframes, from 0.73 (1 year) to 0.86 (all time), reflecting how their relationship changes across market environments.

Return for Risk

FFFFX vs. AVFIX — Risk / Return Rank

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

FFFFX

FFFFX Risk / Return Rank: 72
FFFFX Sharpe Ratio Rank: 74
FFFFX Sortino Ratio Rank: 69
FFFFX Omega Ratio Rank: 70
FFFFX Calmar Ratio Rank: 71
FFFFX Martin Ratio Rank: 76

AVFIX

AVFIX Risk / Return Rank: 68
AVFIX Sharpe Ratio Rank: 62
AVFIX Sortino Ratio Rank: 61
AVFIX Omega Ratio Rank: 52
AVFIX Calmar Ratio Rank: 90
AVFIX Martin Ratio Rank: 76

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.

FFFFX vs. AVFIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Freedom 2040 Fund (FFFFX) and American Beacon Small Cap Value Fund (AVFIX). 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.

	FFFFX	AVFIX	Difference
Sharpe ratio Return per unit of total volatility	2.50	2.31	+0.19
Sortino ratio Return per unit of downside risk	3.46	3.28	+0.18
Omega ratio Gain probability vs. loss probability	1.47	1.40	+0.07
Calmar ratio Return relative to maximum drawdown	3.27	4.67	-1.40
Martin ratio Return relative to average drawdown	14.39	14.33	+0.06
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FFFFX vs. AVFIX - Sharpe Ratio Comparison

The current FFFFX Sharpe Ratio is 2.50, which is comparable to the AVFIX Sharpe Ratio of 2.31. The chart below compares the historical Sharpe Ratios of FFFFX and AVFIX, 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

	FFFFX	AVFIX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.50	2.31	+0.19
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.67	0.38	+0.29
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.80	0.43	+0.37
Sharpe Ratio (All Time) Calculated using the full available price history	0.38	0.45	-0.07

Drawdowns

FFFFX vs. AVFIX - Drawdown Comparison

The maximum FFFFX drawdown since its inception was -54.10%, smaller than the maximum AVFIX drawdown of -61.40%. Use the drawdown chart below to compare losses from any high point for FFFFX and AVFIX.

Drawdown Indicators

	FFFFX	AVFIX	Difference
Max Drawdown Largest peak-to-trough decline	-54.10%	-61.40%	+7.30%
Max Drawdown (1Y) Largest decline over 1 year	-8.71%	-9.17%	+0.46%
Max Drawdown (3Y) Largest decline over 3 years	-14.08%	-28.94%	+14.86%
Max Drawdown (5Y) Largest decline over 5 years	-27.21%	-28.94%	+1.73%
Max Drawdown (10Y) Largest decline over 10 years	-30.93%	-49.78%	+18.85%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-11.14%	-9.21%	-1.93%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.97%	2.98%	-1.01%

Volatility

FFFFX vs. AVFIX - Volatility Comparison

The current volatility for Fidelity Freedom 2040 Fund (FFFFX) is 3.76%, while American Beacon Small Cap Value Fund (AVFIX) has a volatility of 5.07%. This indicates that FFFFX experiences smaller price fluctuations and is considered to be less risky than AVFIX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FFFFX	AVFIX	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.76%	5.07%	-1.31%
Volatility (6M) Calculated over the trailing 6-month period	9.36%	12.45%	-3.09%
Volatility (1Y) Calculated over the trailing 1-year period	11.39%	18.57%	-7.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.37%	22.48%	-8.11%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.07%	24.53%	-9.46%

FFFFX vs. AVFIX - Expense Ratio Comparison

FFFFX has a 0.75% expense ratio, which is lower than AVFIX's 0.81% expense ratio.

Dividends

FFFFX vs. AVFIX - Dividend Comparison

FFFFX's dividend yield for the trailing twelve months is around 6.35%, less than AVFIX's 8.74% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AVFIX American Beacon Small Cap Value Fund	8.74%	10.70%	8.67%	4.91%	17.72%	11.86%	0.88%	1.84%	15.05%	9.66%	3.04%	6.00%
FFFFX Fidelity Freedom 2040 Fund	6.35%	5.07%	2.63%	1.72%	12.33%	12.09%	5.67%	6.69%	7.97%	4.37%	4.05%	4.81%

Frequently Asked Questions

Can I hold both FFFFX and AVFIX in my portfolio?

FFFFX and AVFIX have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FFFFX or AVFIX?

AVFIX has higher volatility (5.07%) compared to FFFFX (3.76%). In terms of maximum drawdown, FFFFX dropped -54.10% vs AVFIX's -61.40%.

Which has better risk-adjusted returns?

FFFFX currently has the higher Sharpe Ratio (2.50 vs 2.31), 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.