FLHY vs. HIIFX

Last updated Jun 4, 2026

FLHY (Franklin Liberty High Yield Corporate ETF) and HIIFX (Catalyst/SMH High Income Fund) are both High Yield Bonds funds. Over the past 5 years, FLHY returned 4.73%/yr vs 5.75%/yr for HIIFX. At a 0.44 correlation, their price movements are largely independent. FLHY charges 0.40%/yr vs 1.49%/yr for HIIFX.

Performance

FLHY vs. HIIFX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin Liberty High Yield Corporate ETF (FLHY) and Catalyst/SMH High Income Fund (HIIFX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLHY achieves a 1.75% return, which is significantly lower than HIIFX's 3.38% return.

FLHY

• 1D: -0.19%
• 1M: 0.40%
• YTD: 1.75%
• 6M: 2.35%
• 1Y: 7.80%
• 3Y*: 9.26%
• 5Y*: 4.73%
• 10Y*: —

HIIFX

• 1D: 0.25%
• 1M: 1.05%
• YTD: 3.38%
• 6M: 3.82%
• 1Y: 20.17%
• 3Y*: 13.25%
• 5Y*: 5.75%
• 10Y*: 7.79%

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

FLHY vs. HIIFX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
FLHY Franklin Liberty High Yield Corporate ETF	1.75%	9.26%	8.70%	13.40%	-10.45%	4.27%	7.77%	16.39%	-1.31%
HIIFX Catalyst/SMH High Income Fund	3.38%	15.31%	8.33%	16.44%	-13.48%	8.03%	10.00%	8.36%	-1.83%

Correlation

The correlation between FLHY and HIIFX is 0.57, 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	0.57
Correlation (3Y) Calculated over the trailing 3-year period	0.52
Correlation (5Y) Calculated over the trailing 5-year period	0.47
Correlation (All Time) Calculated using the full available price history since Jun 4, 2018	0.44

The correlation between FLHY and HIIFX shifts across timeframes, from 0.44 (all time) to 0.57 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

FLHY vs. HIIFX — Risk / Return Rank

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

FLHY

FLHY Risk / Return Rank: 67
FLHY Sharpe Ratio Rank: 60
FLHY Sortino Ratio Rank: 67
FLHY Omega Ratio Rank: 66
FLHY Calmar Ratio Rank: 65
FLHY Martin Ratio Rank: 78

HIIFX

HIIFX Risk / Return Rank: 85
HIIFX Sharpe Ratio Rank: 90
HIIFX Sortino Ratio Rank: 90
HIIFX Omega Ratio Rank: 85
HIIFX Calmar Ratio Rank: 87
HIIFX Martin Ratio Rank: 75

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.

FLHY vs. HIIFX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin Liberty High Yield Corporate ETF (FLHY) and Catalyst/SMH High Income Fund (HIIFX). 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.

	FLHY	HIIFX	Difference
Sharpe ratio: Return per unit of total volatility	2.05	3.01	-0.96
Sortino ratio: Return per unit of downside risk	3.13	4.39	-1.26
Omega ratio: Gain probability vs. loss probability	1.40	1.58	-0.17
Calmar ratio: Return relative to maximum drawdown	3.22	4.28	-1.06
Martin ratio: Return relative to average drawdown	15.12	14.15	+0.97
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FLHY vs. HIIFX - Sharpe Ratio Comparison

The current FLHY Sharpe Ratio is 2.05, which is lower than the HIIFX Sharpe Ratio of 3.01. The chart below compares the historical Sharpe Ratios of FLHY and HIIFX, 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

	FLHY	HIIFX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.05	3.01	-0.96
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.69	0.89	-0.20
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	1.31	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.73	0.21	+0.52

Drawdowns

FLHY vs. HIIFX - Drawdown Comparison

The maximum FLHY drawdown since its inception was -22.58%, smaller than the maximum HIIFX drawdown of -51.29%. Use the drawdown chart below to compare losses from any high point for FLHY and HIIFX.

Drawdown Indicators

	FLHY	HIIFX	Difference
Max Drawdown Largest peak-to-trough decline	-22.58%	-51.29%	+28.71%
Max Drawdown (1Y) Largest decline over 1 year	-2.43%	-4.89%	+2.46%
Max Drawdown (3Y) Largest decline over 3 years	-4.49%	-8.46%	+3.97%
Max Drawdown (5Y) Largest decline over 5 years	-15.19%	-18.58%	+3.39%
Max Drawdown (10Y) Largest decline over 10 years	—	-18.58%	—
Current Drawdown Current decline from peak	-0.19%	0.00%	-0.19%
Average Drawdown Average peak-to-trough decline	-2.54%	-15.27%	+12.73%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.52%	1.48%	-0.96%

Volatility

FLHY vs. HIIFX - Volatility Comparison

The current volatility for Franklin Liberty High Yield Corporate ETF (FLHY) is 1.24%, while Catalyst/SMH High Income Fund (HIIFX) has a volatility of 1.47%. This indicates that FLHY experiences smaller price fluctuations and is considered to be less risky than HIIFX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLHY	HIIFX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.24%	1.47%	-0.23%
Volatility (6M) Calculated over the trailing 6-month period	2.98%	4.52%	-1.54%
Volatility (1Y) Calculated over the trailing 1-year period	3.83%	6.98%	-3.15%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.94%	6.51%	+0.43%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	8.11%	5.98%	+2.13%

FLHY vs. HIIFX - Expense Ratio Comparison

FLHY has a 0.40% expense ratio, which is lower than HIIFX's 1.49% expense ratio.

Dividends

FLHY vs. HIIFX - Dividend Comparison

FLHY's dividend yield for the trailing twelve months is around 6.47%, more than HIIFX's 5.47% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FLHY Franklin Liberty High Yield Corporate ETF	6.47%	6.53%	6.51%	6.26%	6.54%	5.76%	5.47%	5.61%	4.27%	0.00%	0.00%	0.00%
HIIFX Catalyst/SMH High Income Fund	5.47%	4.65%	6.03%	6.55%	6.64%	4.03%	5.00%	5.37%	5.61%	5.50%	6.81%	12.14%

Frequently Asked Questions

Can I hold both FLHY and HIIFX in my portfolio?

FLHY and HIIFX have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FLHY or HIIFX?

HIIFX has higher volatility (1.47%) compared to FLHY (1.24%). In terms of maximum drawdown, FLHY dropped -22.58% vs HIIFX's -51.29%.

Which has better risk-adjusted returns?

HIIFX currently has the higher Sharpe Ratio (3.01 vs 2.04), 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.