FRHMX vs. FCQTX

Last updated Jun 4, 2026

FRHMX (Fidelity Managed Retirement Income Fund Class K6) and FCQTX (American Funds 2065 Target Date Retirement Fund) are both Target Retirement Date funds. Over the past 5 years, FRHMX returned 3.09%/yr vs 10.23%/yr for FCQTX. A 0.73 correlation means they provide meaningful diversification when combined. FRHMX charges 0.25%/yr vs 0.01%/yr for FCQTX.

Performance

FRHMX vs. FCQTX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Managed Retirement Income Fund Class K6 (FRHMX) and American Funds 2065 Target Date Retirement Fund (FCQTX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FRHMX achieves a 4.14% return, which is significantly lower than FCQTX's 11.15% return.

FRHMX

• 1D: 0.21%
• 1M: 1.57%
• YTD: 4.14%
• 6M: 4.37%
• 1Y: 10.63%
• 3Y*: 7.75%
• 5Y*: 3.09%
• 10Y*: —

FCQTX

• 1D: 0.22%
• 1M: 4.96%
• YTD: 11.15%
• 6M: 11.88%
• 1Y: 26.60%
• 3Y*: 19.82%
• 5Y*: 10.23%
• 10Y*: —

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

FRHMX vs. FCQTX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
FRHMX Fidelity Managed Retirement Income Fund Class K6	4.14%	10.02%	4.50%	8.28%	-11.48%	2.98%	13.36%
FCQTX American Funds 2065 Target Date Retirement Fund	11.15%	20.74%	15.64%	21.56%	-19.63%	17.34%	47.06%

Correlation

The correlation between FRHMX and FCQTX is 0.80, 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	0.80
Correlation (3Y) Calculated over the trailing 3-year period	0.72
Correlation (5Y) Calculated over the trailing 5-year period	0.70
Correlation (All Time) Calculated using the full available price history since Mar 30, 2020	0.73

The correlation between FRHMX and FCQTX has been stable across timeframes, ranging from 0.70 to 0.80 - a consistent structural relationship.

Return for Risk

FRHMX vs. FCQTX — Risk / Return Rank

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

FRHMX

FRHMX Risk / Return Rank: 75
FRHMX Sharpe Ratio Rank: 79
FRHMX Sortino Ratio Rank: 80
FRHMX Omega Ratio Rank: 79
FRHMX Calmar Ratio Rank: 66
FRHMX Martin Ratio Rank: 70

FCQTX

FCQTX Risk / Return Rank: 58
FCQTX Sharpe Ratio Rank: 59
FCQTX Sortino Ratio Rank: 56
FCQTX Omega Ratio Rank: 56
FCQTX Calmar Ratio Rank: 53
FCQTX Martin Ratio Rank: 64

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.

FRHMX vs. FCQTX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Managed Retirement Income Fund Class K6 (FRHMX) and American Funds 2065 Target Date Retirement Fund (FCQTX). 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.

	FRHMX	FCQTX	Difference
Sharpe ratio: Return per unit of total volatility	2.58	2.26	+0.31
Sortino ratio: Return per unit of downside risk	3.80	3.16	+0.64
Omega ratio: Gain probability vs. loss probability	1.52	1.42	+0.10
Calmar ratio: Return relative to maximum drawdown	3.13	2.77	+0.36
Martin ratio: Return relative to average drawdown	13.40	12.56	+0.83
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FRHMX vs. FCQTX - Sharpe Ratio Comparison

The current FRHMX Sharpe Ratio is 2.58, which is comparable to the FCQTX Sharpe Ratio of 2.26. The chart below compares the historical Sharpe Ratios of FRHMX and FCQTX, 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

	FRHMX	FCQTX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.58	2.26	+0.31
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.59	0.70	-0.11
Sharpe Ratio (All Time) Calculated using the full available price history	0.82	1.12	-0.30

Drawdowns

FRHMX vs. FCQTX - Drawdown Comparison

The maximum FRHMX drawdown since its inception was -15.96%, smaller than the maximum FCQTX drawdown of -27.34%. Use the drawdown chart below to compare losses from any high point for FRHMX and FCQTX.

Drawdown Indicators

	FRHMX	FCQTX	Difference
Max Drawdown Largest peak-to-trough decline	-15.96%	-27.34%	+11.38%
Max Drawdown (1Y) Largest decline over 1 year	-3.42%	-9.83%	+6.41%
Max Drawdown (3Y) Largest decline over 3 years	-4.90%	-15.53%	+10.63%
Max Drawdown (5Y) Largest decline over 5 years	-15.96%	-27.34%	+11.38%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-3.50%	-5.89%	+2.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.80%	2.16%	-1.36%

Volatility

FRHMX vs. FCQTX - Volatility Comparison

The current volatility for Fidelity Managed Retirement Income Fund Class K6 (FRHMX) is 1.67%, while American Funds 2065 Target Date Retirement Fund (FCQTX) has a volatility of 3.53%. This indicates that FRHMX experiences smaller price fluctuations and is considered to be less risky than FCQTX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FRHMX	FCQTX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.67%	3.53%	-1.86%
Volatility (6M) Calculated over the trailing 6-month period	3.43%	9.66%	-6.23%
Volatility (1Y) Calculated over the trailing 1-year period	4.16%	12.03%	-7.87%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	5.29%	14.72%	-9.43%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.15%	15.05%	-9.90%

FRHMX vs. FCQTX - Expense Ratio Comparison

FRHMX has a 0.25% expense ratio, which is higher than FCQTX's 0.01% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

FRHMX vs. FCQTX - Dividend Comparison

FRHMX's dividend yield for the trailing twelve months is around 3.25%, less than FCQTX's 4.20% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019
FCQTX American Funds 2065 Target Date Retirement Fund	4.20%	4.67%	2.80%	1.99%	3.96%	1.54%	0.72%	0.00%
FRHMX Fidelity Managed Retirement Income Fund Class K6	3.25%	3.22%	3.24%	3.02%	4.77%	3.78%	2.61%	1.95%

Frequently Asked Questions

Can I hold both FRHMX and FCQTX in my portfolio?

FRHMX and FCQTX have a correlation of 0.80, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FRHMX or FCQTX?

FCQTX has higher volatility (3.53%) compared to FRHMX (1.67%). In terms of maximum drawdown, FRHMX dropped -15.96% vs FCQTX's -27.34%.

Which has better risk-adjusted returns?

FRHMX currently has the higher Sharpe Ratio (2.58 vs 2.26), 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.