FPEI vs. KNG

Last updated Jun 4, 2026

FPEI (First Trust Institutional Preferred Securities & Income ETF) and KNG (FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF) are both exchange-traded funds - FPEI 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. FPEI is actively managed, while KNG is passively managed. Over the past 5 years, FPEI returned 4.20%/yr vs 4.31%/yr for KNG. At a 0.39 correlation, their price movements are largely independent. FPEI charges 0.85%/yr vs 0.75%/yr for KNG.

Performance

FPEI vs. KNG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Institutional Preferred Securities & Income ETF (FPEI) 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, FPEI achieves a 1.56% return, which is significantly lower than KNG's 2.20% return.

FPEI

• 1D: -0.10%
• 1M: 0.94%
• YTD: 1.56%
• 6M: 1.80%
• 1Y: 8.60%
• 3Y*: 10.69%
• 5Y*: 4.20%
• 10Y*: —

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)

FPEI vs. KNG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
FPEI First Trust Institutional Preferred Securities & Income ETF	1.56%	9.82%	10.94%	6.29%	-8.19%	4.63%	7.08%	15.86%	-2.68%
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 FPEI and KNG is 0.39, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.39
Correlation (3Y) Calculated over the trailing 3-year period	0.45
Correlation (5Y) Calculated over the trailing 5-year period	0.46
Correlation (All Time) Calculated using the full available price history since Mar 28, 2018	0.39

Return for Risk

FPEI vs. KNG — Risk / Return Rank

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

FPEI

FPEI Risk / Return Rank: 70
FPEI Sharpe Ratio Rank: 71
FPEI Sortino Ratio Rank: 82
FPEI Omega Ratio Rank: 87
FPEI Calmar Ratio Rank: 48
FPEI Martin Ratio Rank: 65

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.

FPEI vs. KNG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Institutional Preferred Securities & Income ETF (FPEI) 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.

	FPEI	KNG	Difference
Sharpe ratio Return per unit of total volatility	2.34	0.73	+1.61
Sortino ratio Return per unit of downside risk	3.73	1.15	+2.58
Omega ratio Gain probability vs. loss probability	1.54	1.13	+0.41
Calmar ratio Return relative to maximum drawdown	2.38	0.87	+1.51
Martin ratio Return relative to average drawdown	11.84	2.25	+9.59
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FPEI vs. KNG - Sharpe Ratio Comparison

The current FPEI Sharpe Ratio is 2.34, which is higher than the KNG Sharpe Ratio of 0.73. The chart below compares the historical Sharpe Ratios of FPEI 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

	FPEI	KNG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.34	0.73	+1.61
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.71	0.32	+0.39
Sharpe Ratio (All Time) Calculated using the full available price history	0.57	0.49	+0.07

Drawdowns

FPEI vs. KNG - Drawdown Comparison

The maximum FPEI drawdown since its inception was -27.51%, smaller than the maximum KNG drawdown of -35.12%. Use the drawdown chart below to compare losses from any high point for FPEI and KNG.

Drawdown Indicators

	FPEI	KNG	Difference
Max Drawdown Largest peak-to-trough decline	-27.51%	-35.12%	+7.61%
Max Drawdown (1Y) Largest decline over 1 year	-3.63%	-8.61%	+4.98%
Max Drawdown (3Y) Largest decline over 3 years	-4.26%	-14.24%	+9.98%
Max Drawdown (5Y) Largest decline over 5 years	-16.46%	-18.20%	+1.74%
Current Drawdown Current decline from peak	-0.16%	-5.89%	+5.73%
Average Drawdown Average peak-to-trough decline	-3.06%	-4.13%	+1.07%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.73%	3.32%	-2.59%

Volatility

FPEI vs. KNG - Volatility Comparison

The current volatility for First Trust Institutional Preferred Securities & Income ETF (FPEI) is 0.95%, while FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG) has a volatility of 2.29%. This indicates that FPEI 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

	FPEI	KNG	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.95%	2.29%	-1.34%
Volatility (6M) Calculated over the trailing 6-month period	3.06%	7.39%	-4.33%
Volatility (1Y) Calculated over the trailing 1-year period	3.69%	10.19%	-6.50%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.97%	13.59%	-7.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	8.86%	17.18%	-8.32%

FPEI vs. KNG - Expense Ratio Comparison

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

Dividends

FPEI vs. KNG - Dividend Comparison

FPEI's dividend yield for the trailing twelve months is around 5.72%, less than KNG's 8.67% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
FPEI First Trust Institutional Preferred Securities & Income ETF	5.72%	5.62%	5.55%	5.76%	5.20%	4.46%	4.90%	5.02%	5.81%	1.50%
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%

Frequently Asked Questions

Can I hold both FPEI and KNG in my portfolio?

FPEI and KNG have a correlation of 0.39, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FPEI or KNG?

KNG has higher volatility (2.29%) compared to FPEI (0.95%). In terms of maximum drawdown, FPEI dropped -27.51% vs KNG's -35.12%.

Which ETF is better, FPEI or KNG?

On 5-year performance, KNG leads with 4.31% vs 4.20% for FPEI. On fees, KNG is cheaper at 0.75% per year. On volatility, FPEI has been the lower-risk option at 0.95%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FPEI or KNG?

Over the 5-year period, KNG has performed better with a 4.31% return vs 4.20%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FPEI or KNG?

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

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

KNG has the higher dividend yield at 8.67%, compared with 5.72% for FPEI.

What is the main difference between FPEI and KNG?

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

Which has better risk-adjusted returns?

FPEI currently has the higher Sharpe Ratio (2.34 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.