FSNZX vs. AAFTX

Last updated Jun 24, 2026

FSNZX (Fidelity Freedom 2045 Fund Class K) and AAFTX (American Funds 2035 Target Date Retirement Fund) are both Target Retirement Date funds. Over the past 5 years, FSNZX returned 10.59%/yr vs 7.58%/yr for AAFTX. With a 0.97 correlation, they move nearly in lockstep. FSNZX charges 0.65%/yr vs 0.33%/yr for AAFTX.

Performance

FSNZX vs. AAFTX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Freedom 2045 Fund Class K (FSNZX) and American Funds 2035 Target Date Retirement Fund (AAFTX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FSNZX achieves a 14.21% return, which is significantly higher than AAFTX's 6.57% return.

FSNZX

• 1D: -0.29%
• 1M: 2.94%
• YTD: 14.21%
• 6M: 13.66%
• 1Y: 30.60%
• 3Y*: 20.71%
• 5Y*: 10.59%
• 10Y*: —

AAFTX

• 1D: -0.27%
• 1M: 1.00%
• YTD: 6.57%
• 6M: 6.26%
• 1Y: 16.73%
• 3Y*: 14.83%
• 5Y*: 7.58%
• 10Y*: 10.68%

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

FSNZX vs. AAFTX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FSNZX Fidelity Freedom 2045 Fund Class K	14.21%	23.75%	14.20%	20.66%	-18.25%	16.70%	18.36%	25.55%	-8.89%	7.39%
AAFTX American Funds 2035 Target Date Retirement Fund	6.57%	16.77%	12.40%	16.50%	-16.53%	15.20%	17.23%	22.81%	-5.48%	7.15%

Correlation

The correlation between FSNZX and AAFTX is 0.97 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.97
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (5Y) Calculated over the trailing 5-year period	0.97
Correlation (All Time) Calculated using the full available price history since Jul 25, 2017	0.97

The correlation between FSNZX and AAFTX has been stable across timeframes, ranging from 0.96 to 0.97 - a consistent structural relationship.

Return for Risk

FSNZX vs. AAFTX — Risk / Return Rank

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

FSNZX

FSNZX Risk / Return Rank: 77
FSNZX Sharpe Ratio Rank: 77
FSNZX Sortino Ratio Rank: 72
FSNZX Omega Ratio Rank: 74
FSNZX Calmar Ratio Rank: 78
FSNZX Martin Ratio Rank: 83

AAFTX

AAFTX Risk / Return Rank: 52
AAFTX Sharpe Ratio Rank: 52
AAFTX Sortino Ratio Rank: 52
AAFTX Omega Ratio Rank: 53
AAFTX Calmar Ratio Rank: 47
AAFTX Martin Ratio Rank: 58

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.

FSNZX vs. AAFTX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Freedom 2045 Fund Class K (FSNZX) and American Funds 2035 Target Date Retirement Fund (AAFTX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	FSNZX	AAFTX	Difference
Sharpe ratio: Return per unit of total volatility	2.36	1.96	+0.41
Sortino ratio: Return per unit of downside risk	3.23	2.78	+0.44
Omega ratio: Gain probability vs. loss probability	1.44	1.37	+0.07
Calmar ratio: Return relative to maximum drawdown	3.34	2.50	+0.84
Martin ratio: Return relative to average drawdown	14.46	11.02	+3.44

FSNZX vs. AAFTX - Sharpe Ratio Comparison

The current FSNZX Sharpe Ratio is 2.36, which is comparable to the AAFTX Sharpe Ratio of 1.96. The chart below compares the historical Sharpe Ratios of FSNZX and AAFTX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

FSNZX vs. AAFTX - Drawdown Comparison

The maximum FSNZX drawdown since its inception was -30.92%, smaller than the maximum AAFTX drawdown of -49.89%. Use the drawdown chart below to compare losses from any high point for FSNZX and AAFTX.

Drawdown Indicators

	FSNZX	AAFTX	Difference
Max Drawdown Largest peak-to-trough decline	-30.92%	-49.89%	+18.97%
Max Drawdown (1Y) Largest decline over 1 year	-9.53%	-6.99%	-2.54%
Max Drawdown (3Y) Largest decline over 3 years	-15.40%	-10.58%	-4.82%
Max Drawdown (5Y) Largest decline over 5 years	-27.30%	-23.31%	-3.99%
Max Drawdown (10Y) Largest decline over 10 years	—	-26.72%	—
Current Drawdown Current decline from peak	-0.29%	-0.58%	+0.29%
Average Drawdown Average peak-to-trough decline	-5.57%	-6.78%	+1.21%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.19%	1.59%	+0.60%

Volatility

FSNZX vs. AAFTX - Volatility Comparison

Fidelity Freedom 2045 Fund Class K (FSNZX) has a higher volatility of 5.50% compared to American Funds 2035 Target Date Retirement Fund (AAFTX) at 3.34%. This indicates that FSNZX's price experiences larger fluctuations and is considered to be riskier than AAFTX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FSNZX	AAFTX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.50%	3.34%	+2.16%
Volatility (6M) Calculated over the trailing 6-month period	11.39%	7.28%	+4.11%
Volatility (1Y) Calculated over the trailing 1-year period	13.49%	8.96%	+4.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.16%	11.50%	+3.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.00%	12.73%	+3.27%

FSNZX vs. AAFTX - Expense Ratio Comparison

FSNZX has a 0.65% expense ratio, which is higher than AAFTX's 0.33% expense ratio.

Dividends

FSNZX vs. AAFTX - Dividend Comparison

FSNZX's dividend yield for the trailing twelve months is around 5.77%, more than AAFTX's 5.62% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AAFTX American Funds 2035 Target Date Retirement Fund	5.62%	5.99%	4.26%	2.61%	5.43%	5.25%	3.53%	4.21%	4.80%	2.38%	3.52%	5.63%
FSNZX Fidelity Freedom 2045 Fund Class K	5.77%	4.41%	2.26%	1.99%	12.13%	12.05%	5.08%	6.60%	7.94%	2.87%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FSNZX and AAFTX in my portfolio?

With a correlation of 0.97, FSNZX and AAFTX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, FSNZX or AAFTX?

FSNZX has higher volatility (5.50%) compared to AAFTX (3.34%). In terms of maximum drawdown, FSNZX dropped -30.92% vs AAFTX's -49.89%.

Which has better risk-adjusted returns?

FSNZX currently has the higher Sharpe Ratio (2.36 vs 1.96), 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.