FTXO vs. DFNL

Last updated Jun 23, 2026

FTXO (First Trust Nasdaq Bank ETF) and DFNL (Davis Select Financial ETF) are both Financials Equities funds. FTXO is passively managed, while DFNL is actively managed. Over the past 5 years, FTXO returned 8.64%/yr vs 12.62%/yr for DFNL. Their correlation of 0.89 suggests significant overlap in exposure. FTXO charges 0.60%/yr vs 0.64%/yr for DFNL.

Performance

FTXO vs. DFNL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Nasdaq Bank ETF (FTXO) and Davis Select Financial ETF (DFNL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FTXO achieves a 8.60% return, which is significantly higher than DFNL's -0.39% return.

FTXO

• 1D: 1.29%
• 1M: 7.19%
• YTD: 8.60%
• 6M: 6.28%
• 1Y: 32.49%
• 3Y*: 28.73%
• 5Y*: 8.64%
• 10Y*: —

DFNL

• 1D: 0.42%
• 1M: 3.66%
• YTD: -0.39%
• 6M: -1.30%
• 1Y: 18.31%
• 3Y*: 24.83%
• 5Y*: 12.62%
• 10Y*: —

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

FTXO vs. DFNL - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FTXO First Trust Nasdaq Bank ETF	8.60%	21.32%	29.05%	0.05%	-17.93%	40.53%	-12.53%	30.11%	-21.79%	12.60%
DFNL Davis Select Financial ETF	-0.39%	28.59%	28.56%	14.45%	-8.45%	31.25%	-4.97%	27.37%	-11.59%	20.34%

Correlation

The correlation between FTXO and DFNL is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.90
Correlation (3Y) Calculated over the trailing 3-year period	0.91
Correlation (5Y) Calculated over the trailing 5-year period	0.92
Correlation (All Time) Calculated using the full available price history since Jan 12, 2017	0.89

The correlation between FTXO and DFNL has been stable across timeframes, ranging from 0.89 to 0.92 - a consistent structural relationship.

FTXO vs. DFNL - Sectors Allocation Comparison

Sectors	FTXO	DFNL
Financial Services	100.0%	93.1%
Technology	0.4%	3.3%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	1.0%
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	-
Industrials	-	2.7%
Real Estate	-	-
Utilities	-	-

Return for Risk

FTXO vs. DFNL — Risk / Return Rank

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

FTXO

FTXO Risk / Return Rank: 42
FTXO Sharpe Ratio Rank: 47
FTXO Sortino Ratio Rank: 43
FTXO Omega Ratio Rank: 44
FTXO Calmar Ratio Rank: 40
FTXO Martin Ratio Rank: 36

DFNL

DFNL Risk / Return Rank: 33
DFNL Sharpe Ratio Rank: 36
DFNL Sortino Ratio Rank: 35
DFNL Omega Ratio Rank: 34
DFNL Calmar Ratio Rank: 29
DFNL Martin Ratio Rank: 30

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.

FTXO vs. DFNL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Nasdaq Bank ETF (FTXO) and Davis Select Financial ETF (DFNL). 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.

	FTXO	DFNL	Difference
Sharpe ratio: Return per unit of total volatility	1.57	1.25	+0.32
Sortino ratio: Return per unit of downside risk	2.14	1.79	+0.35
Omega ratio: Gain probability vs. loss probability	1.28	1.22	+0.06
Calmar ratio: Return relative to maximum drawdown	1.96	1.42	+0.53
Martin ratio: Return relative to average drawdown	5.40	4.02	+1.38

FTXO vs. DFNL - Sharpe Ratio Comparison

The current FTXO Sharpe Ratio is 1.57, which is comparable to the DFNL Sharpe Ratio of 1.25. The chart below compares the historical Sharpe Ratios of FTXO and DFNL, 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

FTXO vs. DFNL - Drawdown Comparison

The maximum FTXO drawdown since its inception was -55.26%, which is greater than DFNL's maximum drawdown of -44.51%. Use the drawdown chart below to compare losses from any high point for FTXO and DFNL.

Drawdown Indicators

	FTXO	DFNL	Difference
Max Drawdown Largest peak-to-trough decline	-55.26%	-44.51%	-10.75%
Max Drawdown (1Y) Largest decline over 1 year	-16.69%	-12.94%	-3.75%
Max Drawdown (3Y) Largest decline over 3 years	-25.84%	-16.05%	-9.79%
Max Drawdown (5Y) Largest decline over 5 years	-46.55%	-26.27%	-20.28%
Current Drawdown Current decline from peak	-0.99%	-3.28%	+2.29%
Average Drawdown Average peak-to-trough decline	-15.80%	-7.65%	-8.15%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.03%	4.57%	+1.46%

Volatility

FTXO vs. DFNL - Volatility Comparison

First Trust Nasdaq Bank ETF (FTXO) has a higher volatility of 5.82% compared to Davis Select Financial ETF (DFNL) at 4.07%. This indicates that FTXO's price experiences larger fluctuations and is considered to be riskier than DFNL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FTXO	DFNL	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.82%	4.07%	+1.75%
Volatility (6M) Calculated over the trailing 6-month period	15.73%	11.34%	+4.39%
Volatility (1Y) Calculated over the trailing 1-year period	20.88%	14.74%	+6.14%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	26.90%	19.26%	+7.64%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	29.94%	22.58%	+7.36%

FTXO vs. DFNL - Expense Ratio Comparison

FTXO has a 0.60% expense ratio, which is lower than DFNL's 0.64% expense ratio.

Dividends

FTXO vs. DFNL - Dividend Comparison

FTXO's dividend yield for the trailing twelve months is around 1.65%, more than DFNL's 1.37% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
DFNL Davis Select Financial ETF	1.37%	1.37%	2.19%	2.33%	3.34%	2.45%	1.45%	2.52%	3.12%	1.10%	0.00%
FTXO First Trust Nasdaq Bank ETF	1.65%	1.92%	2.18%	3.20%	2.94%	1.64%	2.74%	2.53%	3.51%	1.09%	0.16%

Frequently Asked Questions

Can I hold both FTXO and DFNL in my portfolio?

FTXO and DFNL have a correlation of 0.90, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FTXO or DFNL?

FTXO has higher volatility (5.82%) compared to DFNL (4.07%). In terms of maximum drawdown, FTXO dropped -55.26% vs DFNL's -44.51%.

Which ETF is better, FTXO or DFNL?

On 5-year performance, DFNL leads with 12.62% vs 8.64% for FTXO. On fees, FTXO is cheaper at 0.60% per year. On volatility, DFNL has been the lower-risk option at 4.07%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FTXO or DFNL?

Over the 5-year period, DFNL has performed better with a 12.62% return vs 8.64%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FTXO or DFNL?

FTXO is cheaper with a 0.60% expense ratio, compared with 0.64% for DFNL.

Which ETF pays a higher dividend yield, FTXO or DFNL?

FTXO has the higher dividend yield at 1.65%, compared with 1.37% for DFNL.

What is the main difference between FTXO and DFNL?

They also come from different issuers: First Trust and Davis Advisers. Their fees differ too: 0.60% for FTXO and 0.64% for DFNL.

Which has better risk-adjusted returns?

FTXO currently has the higher Sharpe Ratio (1.57 vs 1.25), 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.