FTXO vs. FBDC

Last updated Jul 17, 2026

FTXO (First Trust Nasdaq Bank ETF) and FBDC (FT Confluence BDC & Specialty Finance Income ETF) are both Financials Equities funds from First Trust. FTXO is passively managed, while FBDC is actively managed. Over the past year, FTXO returned 29.53% vs -11.30% for FBDC. At a 0.46 correlation, their price movements are largely independent. FTXO charges 0.60%/yr vs 1.35%/yr for FBDC.

Performance

FTXO vs. FBDC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Nasdaq Bank ETF (FTXO) and FT Confluence BDC & Specialty Finance Income ETF (FBDC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FTXO achieves a 14.79% return, which is significantly higher than FBDC's -4.10% return.

FTXO

• 1D: 1.21%
• 1M: 5.78%
• 6M: 13.05%
• YTD: 14.79%
• 1Y: 29.53%
• 3Y*: 27.38%
• 5Y*: 10.60%
• 10Y*: —

FBDC

• 1D: 1.74%
• 1M: 4.48%
• 6M: -6.58%
• YTD: -4.10%
• 1Y: -11.30%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

FTXO vs. FBDC - Yearly Performance Comparison

	2026 (YTD)	2025
FTXO First Trust Nasdaq Bank ETF	14.79%	16.23%
FBDC FT Confluence BDC & Specialty Finance Income ETF	-4.10%	-2.66%

Correlation

The correlation between FTXO and FBDC is 0.47, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.47
Correlation (All Time) Calculated using the full available price history since Jun 30, 2025	0.46

Return for Risk

FTXO vs. FBDC — Risk / Return Rank

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

FTXO

FTXO Risk / Return Rank: 46
FTXO Sharpe Ratio Rank: 51
FTXO Sortino Ratio Rank: 48
FTXO Omega Ratio Rank: 49
FTXO Calmar Ratio Rank: 43
FTXO Martin Ratio Rank: 39

FBDC

FBDC Risk / Return Rank: 4
FBDC Sharpe Ratio Rank: 4
FBDC Sortino Ratio Rank: 4
FBDC Omega Ratio Rank: 4
FBDC Calmar Ratio Rank: 5
FBDC Martin Ratio Rank: 5

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. FBDC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Nasdaq Bank ETF (FTXO) and FT Confluence BDC & Specialty Finance Income ETF (FBDC). 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	FBDC	Difference
Sharpe ratio: Return per unit of total volatility	1.43	-0.63	+2.06
Sortino ratio: Return per unit of downside risk	1.97	-0.80	+2.77
Omega ratio: Gain probability vs. loss probability	1.25	0.91	+0.34
Calmar ratio: Return relative to maximum drawdown	1.78	-0.55	+2.33
Martin ratio: Return relative to average drawdown	4.91	-0.93	+5.84

FTXO vs. FBDC - Sharpe Ratio Comparison

The current FTXO Sharpe Ratio is 1.43, which is higher than the FBDC Sharpe Ratio of -0.63. The chart below compares the historical Sharpe Ratios of FTXO and FBDC, 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. FBDC - Drawdown Comparison

The maximum FTXO drawdown since its inception was -55.26%, which is greater than FBDC's maximum drawdown of -20.60%. Use the drawdown chart below to compare losses from any high point for FTXO and FBDC.

Drawdown Indicators

	FTXO	FBDC	Difference
Max Drawdown Largest peak-to-trough decline	-55.26%	-20.60%	-34.66%
Max Drawdown (1Y) Largest decline over 1 year	-16.69%	-20.60%	+3.91%
Max Drawdown (3Y) Largest decline over 3 years	-25.84%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-46.55%	—	—
Current Drawdown Current decline from peak	0.00%	-12.29%	+12.29%
Average Drawdown Average peak-to-trough decline	-15.70%	-10.74%	-4.96%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.03%	12.23%	-6.20%

Volatility

FTXO vs. FBDC - Volatility Comparison

First Trust Nasdaq Bank ETF (FTXO) has a higher volatility of 5.21% compared to FT Confluence BDC & Specialty Finance Income ETF (FBDC) at 4.45%. This indicates that FTXO's price experiences larger fluctuations and is considered to be riskier than FBDC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FTXO	FBDC	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.21%	4.45%	+0.76%
Volatility (6M) Calculated over the trailing 6-month period	15.87%	14.59%	+1.28%
Volatility (1Y) Calculated over the trailing 1-year period	20.75%	18.06%	+2.69%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	26.80%	17.86%	+8.94%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	29.88%	17.86%	+12.02%

FTXO vs. FBDC - Expense Ratio Comparison

FTXO has a 0.60% expense ratio, which is lower than FBDC's 1.35% expense ratio.

Dividends

FTXO vs. FBDC - Dividend Comparison

FTXO's dividend yield for the trailing twelve months is around 1.69%, less than FBDC's 11.99% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
FBDC FT Confluence BDC & Specialty Finance Income ETF	11.99%	5.41%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
FTXO First Trust Nasdaq Bank ETF	1.69%	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 FBDC in my portfolio?

FTXO and FBDC have a correlation of 0.47, 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 FBDC?

FTXO has higher volatility (5.21%) compared to FBDC (4.45%). In terms of maximum drawdown, FTXO dropped -55.26% vs FBDC's -20.60%.

Which ETF is better, FTXO or FBDC?

On 1-year performance, FTXO leads with 29.53% vs -11.30% for FBDC. On fees, FTXO is cheaper at 0.60% per year. On volatility, FBDC has been the lower-risk option at 4.45%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FTXO or FBDC?

Over the 1-year period, FTXO has performed better with a 29.53% return vs -11.30%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FTXO or FBDC?

FTXO is cheaper with a 0.60% expense ratio, compared with 1.35% for FBDC.

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

FBDC has the higher dividend yield at 11.99%, compared with 1.69% for FTXO.

What is the main difference between FTXO and FBDC?

Their fees differ too: 0.60% for FTXO and 1.35% for FBDC.

Which has better risk-adjusted returns?

FTXO currently has the higher Sharpe Ratio (1.43 vs -0.63), 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.