FPE vs. VTV

Last updated Jun 4, 2026

FPE (First Trust Preferred Securities & Income ETF) and VTV (Vanguard Value ETF) are both exchange-traded funds - FPE is a Preferred Stock/Convertible Bonds fund actively managed by First Trust, while VTV is a Large Cap Value Equities fund tracking the CRSP US Large Cap Value Index. FPE is actively managed, while VTV is passively managed. Over the past 10 years, FPE returned 5.04%/yr vs 12.48%/yr for VTV. At a 0.38 correlation, their price movements are largely independent. FPE charges 0.85%/yr vs 0.04%/yr for VTV.

Performance

FPE vs. VTV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Preferred Securities & Income ETF (FPE) and Vanguard Value ETF (VTV). 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 VTV's 12.30% return. Over the past 10 years, FPE has underperformed VTV with an annualized return of 5.04%, while VTV has yielded a comparatively higher 12.48% annualized 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%

VTV

• 1D: 0.01%
• 1M: 4.23%
• YTD: 12.30%
• 6M: 13.12%
• 1Y: 26.25%
• 3Y*: 18.28%
• 5Y*: 11.24%
• 10Y*: 12.48%

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

FPE vs. VTV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FPE First Trust Preferred Securities & Income ETF	0.97%	9.21%	11.17%	6.84%	-12.77%	5.24%	6.00%	18.15%	-4.98%	11.26%
VTV Vanguard Value ETF	12.30%	15.27%	15.95%	9.32%	-2.09%	26.53%	2.33%	25.66%	-5.47%	17.15%

Correlation

The correlation between FPE and VTV is 0.56, 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	0.56
Correlation (3Y) Calculated over the trailing 3-year period	0.51
Correlation (5Y) Calculated over the trailing 5-year period	0.52
Correlation (10Y) Calculated over the trailing 10-year period	0.43
Correlation (All Time) Calculated using the full available price history since Feb 13, 2013	0.38

The correlation between FPE and VTV shifts across timeframes, from 0.38 (all time) to 0.56 (1 year), reflecting how their relationship changes across market environments.

FPE vs. VTV - Sectors Allocation Comparison

Sectors	FPE	VTV
Financial Services	9.2%	22.3%
Utilities	3.1%	5.2%
Real Estate	2.3%	2.8%
Consumer Defensive	0.8%	9.4%
Communication Services	0.4%	3.3%
Industrials	0.4%	14.0%
Basic Materials	-	3.1%
Consumer Cyclical	-	4.0%
Energy	-	8.1%
Healthcare	-	14.5%
Technology	-	13.4%

Return for Risk

FPE vs. VTV — 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

VTV

VTV Risk / Return Rank: 79
VTV Sharpe Ratio Rank: 78
VTV Sortino Ratio Rank: 82
VTV Omega Ratio Rank: 77
VTV Calmar Ratio Rank: 79
VTV Martin Ratio Rank: 79

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. VTV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Preferred Securities & Income ETF (FPE) and Vanguard Value ETF (VTV). 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	VTV	Difference
Sharpe ratio Return per unit of total volatility	2.22	2.61	-0.39
Sortino ratio Return per unit of downside risk	3.15	3.74	-0.59
Omega ratio Gain probability vs. loss probability	1.47	1.47	0.00
Calmar ratio Return relative to maximum drawdown	2.09	4.15	-2.06
Martin ratio Return relative to average drawdown	9.47	15.69	-6.22
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. VTV - Sharpe Ratio Comparison

The current FPE Sharpe Ratio is 2.22, which is comparable to the VTV Sharpe Ratio of 2.61. The chart below compares the historical Sharpe Ratios of FPE and VTV, 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	VTV	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.22	2.61	-0.39
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.47	0.81	-0.35
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.50	0.75	-0.25
Sharpe Ratio (All Time) Calculated using the full available price history	0.53	0.51	+0.01

Drawdowns

FPE vs. VTV - Drawdown Comparison

The maximum FPE drawdown since its inception was -33.35%, smaller than the maximum VTV drawdown of -59.27%. Use the drawdown chart below to compare losses from any high point for FPE and VTV.

Drawdown Indicators

	FPE	VTV	Difference
Max Drawdown Largest peak-to-trough decline	-33.35%	-59.27%	+25.92%
Max Drawdown (1Y) Largest decline over 1 year	-4.08%	-6.35%	+2.27%
Max Drawdown (3Y) Largest decline over 3 years	-4.66%	-14.52%	+9.86%
Max Drawdown (5Y) Largest decline over 5 years	-19.65%	-17.04%	-2.61%
Max Drawdown (10Y) Largest decline over 10 years	-33.35%	-36.78%	+3.43%
Current Drawdown Current decline from peak	-0.84%	0.00%	-0.84%
Average Drawdown Average peak-to-trough decline	-3.33%	-7.87%	+4.54%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.90%	1.68%	-0.78%

Volatility

FPE vs. VTV - Volatility Comparison

The current volatility for First Trust Preferred Securities & Income ETF (FPE) is 1.10%, while Vanguard Value ETF (VTV) has a volatility of 2.52%. This indicates that FPE experiences smaller price fluctuations and is considered to be less risky than VTV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FPE	VTV	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.10%	2.52%	-1.42%
Volatility (6M) Calculated over the trailing 6-month period	3.09%	7.55%	-4.46%
Volatility (1Y) Calculated over the trailing 1-year period	3.85%	10.11%	-6.26%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.61%	13.88%	-7.27%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.17%	16.67%	-6.50%

FPE vs. VTV - Expense Ratio Comparison

FPE has a 0.85% expense ratio, which is higher than VTV's 0.04% expense ratio.

Dividends

FPE vs. VTV - Dividend Comparison

FPE's dividend yield for the trailing twelve months is around 5.84%, more than VTV's 1.86% 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%
VTV Vanguard Value ETF	1.86%	2.05%	2.31%	2.46%	2.52%	2.15%	2.56%	2.50%	2.73%	2.29%	2.44%	2.60%

Frequently Asked Questions

Can I hold both FPE and VTV in my portfolio?

FPE and VTV have a correlation of 0.56, 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 VTV?

VTV has higher volatility (2.52%) compared to FPE (1.10%). In terms of maximum drawdown, FPE dropped -33.35% vs VTV's -59.27%.

Which ETF is better, FPE or VTV?

On 10-year performance, VTV leads with 12.48% vs 5.04% for FPE. On fees, VTV is cheaper at 0.04% 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 VTV?

Over the 10-year period, VTV has performed better with a 12.48% return vs 5.04%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FPE or VTV?

VTV is cheaper with a 0.04% expense ratio, compared with 0.85% for FPE.

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

FPE has the higher dividend yield at 5.84%, compared with 1.86% for VTV.

What is the main difference between FPE and VTV?

FPE is categorized as Preferred Stock/Convertible Bonds, while VTV is Large Cap Value Equities. They also come from different issuers: First Trust and Vanguard. Their fees differ too: 0.85% for FPE and 0.04% for VTV.

Which has better risk-adjusted returns?

VTV currently has the higher Sharpe Ratio (2.61 vs 2.22), 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.