FIAX vs. ILS

Last updated Jun 25, 2026

FIAX (Nicholas Fixed Income Alternative ETF) and ILS (Brookmont Catastrophic Bond ETF) are both Nontraditional Bonds funds. Both are actively managed. Over the past year, FIAX returned 4.10% vs 5.66% for ILS. At a 0.07 correlation, their price movements are largely independent. FIAX charges 1.04%/yr vs 1.58%/yr for ILS.

Performance

FIAX vs. ILS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Nicholas Fixed Income Alternative ETF (FIAX) and Brookmont Catastrophic Bond ETF (ILS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FIAX achieves a 1.52% return, which is significantly higher than ILS's 0.48% return.

FIAX

• 1D: 0.14%
• 1M: 0.73%
• YTD: 1.52%
• 6M: 1.41%
• 1Y: 4.10%
• 3Y*: 3.41%
• 5Y*: —
• 10Y*: —

ILS

• 1D: -1.75%
• 1M: -0.51%
• YTD: 0.48%
• 6M: 0.53%
• 1Y: 5.66%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

FIAX vs. ILS - Yearly Performance Comparison

	2026 (YTD)	2025
FIAX Nicholas Fixed Income Alternative ETF	1.52%	3.40%
ILS Brookmont Catastrophic Bond ETF	0.48%	3.54%

Correlation

The correlation between FIAX and ILS is 0.05, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.05
Correlation (All Time) Calculated using the full available price history since Apr 1, 2025	0.07

Return for Risk

FIAX vs. ILS — Risk / Return Rank

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

FIAX

FIAX Risk / Return Rank: 34
FIAX Sharpe Ratio Rank: 30
FIAX Sortino Ratio Rank: 29
FIAX Omega Ratio Rank: 29
FIAX Calmar Ratio Rank: 38
FIAX Martin Ratio Rank: 43

ILS

ILS Risk / Return Rank: 74
ILS Sharpe Ratio Rank: 62
ILS Sortino Ratio Rank: 57
ILS Omega Ratio Rank: 83
ILS Calmar Ratio Rank: 72
ILS Martin Ratio Rank: 96

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.

FIAX vs. ILS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Nicholas Fixed Income Alternative ETF (FIAX) and Brookmont Catastrophic Bond ETF (ILS). 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.

	FIAX	ILS	Difference
Sharpe ratio: Return per unit of total volatility	1.00	1.83	-0.82
Sortino ratio: Return per unit of downside risk	1.47	2.42	-0.95
Omega ratio: Gain probability vs. loss probability	1.18	1.44	-0.25
Calmar ratio: Return relative to maximum drawdown	1.72	3.25	-1.54
Martin ratio: Return relative to average drawdown	6.24	30.49	-24.24

FIAX vs. ILS - Sharpe Ratio Comparison

The current FIAX Sharpe Ratio is 1.00, which is lower than the ILS Sharpe Ratio of 1.83. The chart below compares the historical Sharpe Ratios of FIAX and ILS, 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

FIAX vs. ILS - Drawdown Comparison

The maximum FIAX drawdown since its inception was -6.26%, which is greater than ILS's maximum drawdown of -2.46%. Use the drawdown chart below to compare losses from any high point for FIAX and ILS.

Drawdown Indicators

	FIAX	ILS	Difference
Max Drawdown Largest peak-to-trough decline	-6.26%	-2.46%	-3.80%
Max Drawdown (1Y) Largest decline over 1 year	-2.40%	-1.75%	-0.65%
Max Drawdown (3Y) Largest decline over 3 years	-6.26%	—	—
Current Drawdown Current decline from peak	-0.09%	-1.75%	+1.66%
Average Drawdown Average peak-to-trough decline	-0.84%	-0.54%	-0.30%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.66%	0.19%	+0.47%

Volatility

FIAX vs. ILS - Volatility Comparison

The current volatility for Nicholas Fixed Income Alternative ETF (FIAX) is 0.84%, while Brookmont Catastrophic Bond ETF (ILS) has a volatility of 1.95%. This indicates that FIAX experiences smaller price fluctuations and is considered to be less risky than ILS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FIAX	ILS	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.84%	1.95%	-1.11%
Volatility (6M) Calculated over the trailing 6-month period	3.39%	2.45%	+0.94%
Volatility (1Y) Calculated over the trailing 1-year period	4.12%	3.12%	+1.00%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.03%	4.09%	-0.06%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.03%	4.09%	-0.06%

FIAX vs. ILS - Expense Ratio Comparison

FIAX has a 1.04% expense ratio, which is lower than ILS's 1.58% expense ratio.

Dividends

FIAX vs. ILS - Dividend Comparison

FIAX's dividend yield for the trailing twelve months is around 8.20%, which matches ILS's 8.20% yield.

Position	TTM	2025	2024	2023
FIAX Nicholas Fixed Income Alternative ETF	8.20%	8.17%	8.11%	4.81%
ILS Brookmont Catastrophic Bond ETF	8.20%	6.06%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FIAX and ILS in my portfolio?

FIAX and ILS have a correlation of 0.05, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FIAX or ILS?

ILS has higher volatility (1.95%) compared to FIAX (0.84%). In terms of maximum drawdown, FIAX dropped -6.26% vs ILS's -2.46%.

Which ETF is better, FIAX or ILS?

On 1-year performance, ILS leads with 5.66% vs 4.10% for FIAX. On fees, FIAX is cheaper at 1.04% per year. On volatility, FIAX has been the lower-risk option at 0.84%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FIAX or ILS?

Over the 1-year period, ILS has performed better with a 5.66% return vs 4.10%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FIAX or ILS?

FIAX is cheaper with a 1.04% expense ratio, compared with 1.58% for ILS.

Which ETF pays a higher dividend yield, FIAX or ILS?

FIAX and ILS have nearly identical dividend yields, around 8.20%.

What is the main difference between FIAX and ILS?

They also come from different issuers: Nicholas and Brookmont. Their fees differ too: 1.04% for FIAX and 1.58% for ILS.

Which has better risk-adjusted returns?

ILS currently has the higher Sharpe Ratio (1.83 vs 1.00), 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.