FPE vs. KNG

Last updated Jun 4, 2026

FPE (First Trust Preferred Securities & Income ETF) and KNG (FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF) are both exchange-traded funds - FPE is a Preferred Stock/Convertible Bonds fund actively managed by First Trust, while KNG is a Dividend fund tracking the Cboe S&P 500 Dividend Aristocrats Target Income Index Monthly Series. FPE is actively managed, while KNG is passively managed. Over the past 5 years, FPE returned 3.08%/yr vs 4.31%/yr for KNG. At a 0.44 correlation, their price movements are largely independent. FPE charges 0.85%/yr vs 0.75%/yr for KNG.

Performance

FPE vs. KNG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Preferred Securities & Income ETF (FPE) and FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FPE achieves a 0.97% return, which is significantly lower than KNG's 2.20% return.

FPE

• 1D: -0.11%
• 1M: 0.16%
• YTD: 0.97%
• 6M: 1.26%
• 1Y: 8.50%
• 3Y*: 10.04%
• 5Y*: 3.08%
• 10Y*: 5.04%

KNG

• 1D: -0.04%
• 1M: 0.89%
• YTD: 2.20%
• 6M: 2.33%
• 1Y: 7.44%
• 3Y*: 7.06%
• 5Y*: 4.31%
• 10Y*: —

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

FPE vs. KNG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
FPE First Trust Preferred Securities & Income ETF	0.97%	9.21%	11.17%	6.84%	-12.77%	5.24%	6.00%	18.15%	-3.61%
KNG FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF	2.20%	6.63%	5.99%	7.48%	-7.03%	24.78%	7.21%	26.64%	-0.84%

Correlation

The correlation between FPE and KNG is 0.43, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.43
Correlation (3Y) Calculated over the trailing 3-year period	0.46
Correlation (5Y) Calculated over the trailing 5-year period	0.50
Correlation (All Time) Calculated using the full available price history since Mar 28, 2018	0.44

FPE vs. KNG - Sectors Allocation Comparison

Sectors	FPE	KNG
Financial Services	9.2%	12.7%
Utilities	3.1%	6.1%
Real Estate	2.3%	4.4%
Consumer Defensive	0.8%	23.5%
Communication Services	0.4%	-
Industrials	0.4%	20.3%
Basic Materials	-	10.2%
Consumer Cyclical	-	5.5%
Energy	-	3.0%
Healthcare	-	10.1%
Technology	-	4.3%

Return for Risk

FPE vs. KNG — Risk / Return Rank

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

FPE

FPE Risk / Return Rank: 61
FPE Sharpe Ratio Rank: 65
FPE Sortino Ratio Rank: 67
FPE Omega Ratio Rank: 77
FPE Calmar Ratio Rank: 42
FPE Martin Ratio Rank: 54

KNG

KNG Risk / Return Rank: 20
KNG Sharpe Ratio Rank: 21
KNG Sortino Ratio Rank: 21
KNG Omega Ratio Rank: 19
KNG Calmar Ratio Rank: 20
KNG Martin Ratio Rank: 19

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.

FPE vs. KNG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Preferred Securities & Income ETF (FPE) and FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG). 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.

	FPE	KNG	Difference
Sharpe ratio: Return per unit of total volatility	2.22	0.73	+1.48
Sortino ratio: Return per unit of downside risk	3.15	1.15	+2.01
Omega ratio: Gain probability vs. loss probability	1.47	1.13	+0.34
Calmar ratio: Return relative to maximum drawdown	2.09	0.87	+1.22
Martin ratio: Return relative to average drawdown	9.47	2.25	+7.22
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FPE vs. KNG - Sharpe Ratio Comparison

The current FPE Sharpe Ratio is 2.22, which is higher than the KNG Sharpe Ratio of 0.73. The chart below compares the historical Sharpe Ratios of FPE and KNG, 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

	FPE	KNG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.22	0.73	+1.48
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.47	0.32	+0.15
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.50	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.53	0.49	+0.03

Drawdowns

FPE vs. KNG - Drawdown Comparison

The maximum FPE drawdown since its inception was -33.35%, smaller than the maximum KNG drawdown of -35.12%. Use the drawdown chart below to compare losses from any high point for FPE and KNG.

Drawdown Indicators

	FPE	KNG	Difference
Max Drawdown Largest peak-to-trough decline	-33.35%	-35.12%	+1.77%
Max Drawdown (1Y) Largest decline over 1 year	-4.08%	-8.61%	+4.53%
Max Drawdown (3Y) Largest decline over 3 years	-4.66%	-14.24%	+9.58%
Max Drawdown (5Y) Largest decline over 5 years	-19.65%	-18.20%	-1.45%
Max Drawdown (10Y) Largest decline over 10 years	-33.35%	—	—
Current Drawdown Current decline from peak	-0.84%	-5.89%	+5.05%
Average Drawdown Average peak-to-trough decline	-3.33%	-4.13%	+0.80%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.90%	3.32%	-2.42%

Volatility

FPE vs. KNG - Volatility Comparison

The current volatility for First Trust Preferred Securities & Income ETF (FPE) is 1.10%, while FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG) has a volatility of 2.29%. This indicates that FPE experiences smaller price fluctuations and is considered to be less risky than KNG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FPE	KNG	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.10%	2.29%	-1.19%
Volatility (6M) Calculated over the trailing 6-month period	3.09%	7.39%	-4.30%
Volatility (1Y) Calculated over the trailing 1-year period	3.85%	10.19%	-6.34%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.61%	13.59%	-6.98%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.17%	17.18%	-7.01%

FPE vs. KNG - Expense Ratio Comparison

FPE has a 0.85% expense ratio, which is higher than KNG's 0.75% expense ratio.

Dividends

FPE vs. KNG - Dividend Comparison

FPE's dividend yield for the trailing twelve months is around 5.84%, less than KNG's 8.67% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FPE First Trust Preferred Securities & Income ETF	5.84%	5.81%	5.68%	6.03%	5.67%	4.48%	4.88%	5.32%	6.14%	5.39%	5.97%	5.49%
KNG FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF	8.67%	8.61%	9.08%	5.91%	4.00%	3.45%	3.62%	4.09%	3.46%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FPE and KNG in my portfolio?

FPE and KNG have a correlation of 0.43, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FPE or KNG?

KNG has higher volatility (2.29%) compared to FPE (1.10%). In terms of maximum drawdown, FPE dropped -33.35% vs KNG's -35.12%.

Which ETF is better, FPE or KNG?

On 5-year performance, KNG leads with 4.31% vs 3.08% for FPE. On fees, KNG is cheaper at 0.75% per year. On volatility, FPE has been the lower-risk option at 1.10%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FPE or KNG?

Over the 5-year period, KNG has performed better with a 4.31% return vs 3.08%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FPE or KNG?

KNG is cheaper with a 0.75% expense ratio, compared with 0.85% for FPE.

Which ETF pays a higher dividend yield, FPE or KNG?

KNG has the higher dividend yield at 8.67%, compared with 5.84% for FPE.

What is the main difference between FPE and KNG?

FPE is categorized as Preferred Stock/Convertible Bonds, while KNG is Dividend. Their fees differ too: 0.85% for FPE and 0.75% for KNG.

Which has better risk-adjusted returns?

FPE currently has the higher Sharpe Ratio (2.22 vs 0.73), 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.