FLCO vs. MILK

Last updated Jun 5, 2026

FLCO (Franklin Liberty Investment Grade Corporate ETF) and MILK (Pacer US Cash Cows Bond ETF) are both Corporate Bonds funds. FLCO is actively managed, while MILK is passively managed. Over the past year, FLCO returned 5.18% vs 8.65% for MILK. Their correlation of 0.93 suggests significant overlap in exposure. FLCO charges 0.35%/yr vs 0.49%/yr for MILK.

Performance

FLCO vs. MILK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin Liberty Investment Grade Corporate ETF (FLCO) and Pacer US Cash Cows Bond ETF (MILK). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLCO achieves a 0.59% return, which is significantly lower than MILK's 2.40% return.

FLCO

• 1D: 0.19%
• 1M: 0.47%
• YTD: 0.59%
• 6M: 0.59%
• 1Y: 5.18%
• 3Y*: 5.11%
• 5Y*: 0.21%
• 10Y*: —

MILK

• 1D: 0.21%
• 1M: 0.88%
• YTD: 2.40%
• 6M: 2.05%
• 1Y: 8.65%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

FLCO vs. MILK - Yearly Performance Comparison

	2026 (YTD)	2025	2024
FLCO Franklin Liberty Investment Grade Corporate ETF	0.59%	7.53%	-0.20%
MILK Pacer US Cash Cows Bond ETF	2.40%	7.49%	-0.35%

Correlation

The correlation between FLCO and MILK is 0.94, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.94
Correlation (All Time) Calculated using the full available price history since Dec 19, 2024	0.93

The correlation between FLCO and MILK has been stable across timeframes, ranging from 0.93 to 0.94 - a consistent structural relationship.

Return for Risk

FLCO vs. MILK — Risk / Return Rank

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

FLCO

FLCO Risk / Return Rank: 35
FLCO Sharpe Ratio Rank: 33
FLCO Sortino Ratio Rank: 33
FLCO Omega Ratio Rank: 31
FLCO Calmar Ratio Rank: 39
FLCO Martin Ratio Rank: 37

MILK

MILK Risk / Return Rank: 50
MILK Sharpe Ratio Rank: 50
MILK Sortino Ratio Rank: 51
MILK Omega Ratio Rank: 49
MILK Calmar Ratio Rank: 48
MILK Martin Ratio Rank: 51

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.

FLCO vs. MILK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin Liberty Investment Grade Corporate ETF (FLCO) and Pacer US Cash Cows Bond ETF (MILK). 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.

	FLCO	MILK	Difference
Sharpe ratio: Return per unit of total volatility	1.19	1.68	-0.50
Sortino ratio: Return per unit of downside risk	1.75	2.43	-0.69
Omega ratio: Gain probability vs. loss probability	1.20	1.30	-0.09
Calmar ratio: Return relative to maximum drawdown	1.88	2.32	-0.43
Martin ratio: Return relative to average drawdown	5.66	8.35	-2.68
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FLCO vs. MILK - Sharpe Ratio Comparison

The current FLCO Sharpe Ratio is 1.19, which is comparable to the MILK Sharpe Ratio of 1.68. The chart below compares the historical Sharpe Ratios of FLCO and MILK, 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

	FLCO	MILK	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.19	1.68	-0.50
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.03	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.32	0.99	-0.67

Drawdowns

FLCO vs. MILK - Drawdown Comparison

The maximum FLCO drawdown since its inception was -22.71%, which is greater than MILK's maximum drawdown of -6.16%. Use the drawdown chart below to compare losses from any high point for FLCO and MILK.

Drawdown Indicators

	FLCO	MILK	Difference
Max Drawdown Largest peak-to-trough decline	-22.71%	-6.16%	-16.55%
Max Drawdown (1Y) Largest decline over 1 year	-2.76%	-3.75%	+0.99%
Max Drawdown (3Y) Largest decline over 3 years	-6.59%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-22.48%	—	—
Current Drawdown Current decline from peak	-2.18%	-0.03%	-2.15%
Average Drawdown Average peak-to-trough decline	-5.88%	-1.09%	-4.79%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.92%	1.04%	-0.12%

Volatility

FLCO vs. MILK - Volatility Comparison

The current volatility for Franklin Liberty Investment Grade Corporate ETF (FLCO) is 1.42%, while Pacer US Cash Cows Bond ETF (MILK) has a volatility of 1.54%. This indicates that FLCO experiences smaller price fluctuations and is considered to be less risky than MILK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLCO	MILK	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.42%	1.54%	-0.12%
Volatility (6M) Calculated over the trailing 6-month period	3.25%	3.77%	-0.52%
Volatility (1Y) Calculated over the trailing 1-year period	4.43%	5.21%	-0.78%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.14%	6.68%	+0.46%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.83%	6.68%	+0.15%

FLCO vs. MILK - Expense Ratio Comparison

FLCO has a 0.35% expense ratio, which is lower than MILK's 0.49% expense ratio.

Dividends

FLCO vs. MILK - Dividend Comparison

FLCO's dividend yield for the trailing twelve months is around 4.65%, less than MILK's 7.02% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
FLCO Franklin Liberty Investment Grade Corporate ETF	4.65%	4.60%	4.63%	3.83%	3.85%	2.85%	3.99%	3.39%	3.86%	3.33%	0.51%
MILK Pacer US Cash Cows Bond ETF	7.02%	6.97%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FLCO and MILK in my portfolio?

With a correlation of 0.94, FLCO and MILK 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, FLCO or MILK?

MILK has higher volatility (1.54%) compared to FLCO (1.42%). In terms of maximum drawdown, FLCO dropped -22.71% vs MILK's -6.16%.

Which ETF is better, FLCO or MILK?

On 1-year performance, MILK leads with 8.65% vs 5.18% for FLCO. On fees, FLCO is cheaper at 0.35% per year. On volatility, FLCO has been the lower-risk option at 1.42%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLCO or MILK?

Over the 1-year period, MILK has performed better with a 8.65% return vs 5.18%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLCO or MILK?

FLCO is cheaper with a 0.35% expense ratio, compared with 0.49% for MILK.

Which ETF pays a higher dividend yield, FLCO or MILK?

MILK has the higher dividend yield at 7.02%, compared with 4.65% for FLCO.

What is the main difference between FLCO and MILK?

They also come from different issuers: Franklin Templeton and Pacer. Their fees differ too: 0.35% for FLCO and 0.49% for MILK.

Which has better risk-adjusted returns?

MILK currently has the higher Sharpe Ratio (1.68 vs 1.19), 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.