FTXR vs. MISL

Last updated Jun 4, 2026

FTXR (First Trust Nasdaq Transportation ETF) and MISL (First Trust Indxx Aerospace & Defense ETF) are both Industrials Equities funds from First Trust - FTXR tracks the Nasdaq U.S. Smart Transportation Index while MISL tracks the Indxx US Aerospace & Defense Index - Benchmark TR Gross. Both are passively managed. Over the past 3 years, FTXR returned 19.84%/yr vs 28.35%/yr for MISL. A 0.54 correlation means they provide meaningful diversification when combined. Both charge a 0.60% expense ratio.

Performance

FTXR vs. MISL - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Nasdaq Transportation ETF (FTXR) and First Trust Indxx Aerospace & Defense ETF (MISL). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FTXR achieves a 14.58% return, which is significantly higher than MISL's 7.59% return.

FTXR

• 1D: -0.02%
• 1M: 11.32%
• YTD: 14.58%
• 6M: 18.08%
• 1Y: 43.09%
• 3Y*: 19.84%
• 5Y*: 6.66%
• 10Y*: —

MISL

• 1D: -2.71%
• 1M: 5.48%
• YTD: 7.59%
• 6M: 13.84%
• 1Y: 32.38%
• 3Y*: 28.35%
• 5Y*: —
• 10Y*: —

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

FTXR vs. MISL - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
FTXR First Trust Nasdaq Transportation ETF	14.58%	14.70%	17.09%	20.93%	-0.25%
MISL First Trust Indxx Aerospace & Defense ETF	7.59%	41.24%	20.48%	14.78%	8.22%

Correlation

The correlation between FTXR and MISL is 0.44, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.44
Correlation (3Y) Calculated over the trailing 3-year period	0.52
Correlation (All Time) Calculated using the full available price history since Oct 27, 2022	0.54

The correlation between FTXR and MISL shifts across timeframes, from 0.44 (1 year) to 0.54 (all time), reflecting how their relationship changes across market environments.

FTXR vs. MISL - Sectors Allocation Comparison

Sectors	FTXR	MISL
Industrials	67.1%	83.0%
Consumer Cyclical	32.4%	-
Energy	0.6%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Defensive	-	-
Financial Services	-	-
Healthcare	-	-
Real Estate	-	-
Technology	-	17.0%
Utilities	-	-

Return for Risk

FTXR vs. MISL — Risk / Return Rank

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

FTXR

FTXR Risk / Return Rank: 57
FTXR Sharpe Ratio Rank: 58
FTXR Sortino Ratio Rank: 58
FTXR Omega Ratio Rank: 52
FTXR Calmar Ratio Rank: 60
FTXR Martin Ratio Rank: 57

MISL

MISL Risk / Return Rank: 39
MISL Sharpe Ratio Rank: 40
MISL Sortino Ratio Rank: 41
MISL Omega Ratio Rank: 35
MISL Calmar Ratio Rank: 42
MISL Martin Ratio Rank: 35

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.

FTXR vs. MISL - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Nasdaq Transportation ETF (FTXR) and First Trust Indxx Aerospace & Defense ETF (MISL). 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.

	FTXR	MISL	Difference
Sharpe ratio Return per unit of total volatility	1.99	1.44	+0.55
Sortino ratio Return per unit of downside risk	2.80	2.10	+0.69
Omega ratio Gain probability vs. loss probability	1.33	1.24	+0.09
Calmar ratio Return relative to maximum drawdown	2.99	2.07	+0.91
Martin ratio Return relative to average drawdown	10.08	5.49	+4.59
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FTXR vs. MISL - Sharpe Ratio Comparison

The current FTXR Sharpe Ratio is 1.99, which is higher than the MISL Sharpe Ratio of 1.44. The chart below compares the historical Sharpe Ratios of FTXR and MISL, 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

	FTXR	MISL	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.99	1.44	+0.55
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.28	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.40	1.35	-0.95

Drawdowns

FTXR vs. MISL - Drawdown Comparison

The maximum FTXR drawdown since its inception was -52.06%, which is greater than MISL's maximum drawdown of -17.91%. Use the drawdown chart below to compare losses from any high point for FTXR and MISL.

Drawdown Indicators

	FTXR	MISL	Difference
Max Drawdown Largest peak-to-trough decline	-52.06%	-17.91%	-34.15%
Max Drawdown (1Y) Largest decline over 1 year	-14.49%	-15.69%	+1.20%
Max Drawdown (3Y) Largest decline over 3 years	-29.71%	-17.91%	-11.80%
Max Drawdown (5Y) Largest decline over 5 years	-33.96%	—	—
Current Drawdown Current decline from peak	-1.09%	-9.75%	+8.66%
Average Drawdown Average peak-to-trough decline	-11.06%	-3.50%	-7.56%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.29%	5.91%	-1.62%

Volatility

FTXR vs. MISL - Volatility Comparison

The current volatility for First Trust Nasdaq Transportation ETF (FTXR) is 6.70%, while First Trust Indxx Aerospace & Defense ETF (MISL) has a volatility of 8.50%. This indicates that FTXR experiences smaller price fluctuations and is considered to be less risky than MISL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FTXR	MISL	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.70%	8.50%	-1.80%
Volatility (6M) Calculated over the trailing 6-month period	16.48%	19.14%	-2.66%
Volatility (1Y) Calculated over the trailing 1-year period	21.79%	22.60%	-0.81%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.85%	19.14%	+4.71%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.75%	19.14%	+5.61%

FTXR vs. MISL - Expense Ratio Comparison

Both FTXR and MISL have an expense ratio of 0.60%.

Dividends

FTXR vs. MISL - Dividend Comparison

FTXR's dividend yield for the trailing twelve months is around 1.14%, more than MISL's 0.36% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
FTXR First Trust Nasdaq Transportation ETF	1.14%	1.52%	2.13%	1.50%	2.38%	0.67%	0.33%	1.34%	1.74%	1.18%	0.24%
MISL First Trust Indxx Aerospace & Defense ETF	0.36%	0.40%	0.74%	0.63%	0.08%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FTXR and MISL in my portfolio?

FTXR and MISL have a correlation of 0.44, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FTXR or MISL?

MISL has higher volatility (8.50%) compared to FTXR (6.70%). In terms of maximum drawdown, FTXR dropped -52.06% vs MISL's -17.91%.

Which ETF is better, FTXR or MISL?

On 3-year performance, MISL leads with 28.35% vs 19.84% for FTXR. Both ETFs have the same 0.60% expense ratio. On volatility, FTXR has been the lower-risk option at 6.70%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FTXR or MISL?

Over the 3-year period, MISL has performed better with a 28.35% return vs 19.84%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FTXR or MISL?

FTXR and MISL have the same expense ratio: 0.60% per year.

Which ETF pays a higher dividend yield, FTXR or MISL?

FTXR has the higher dividend yield at 1.14%, compared with 0.36% for MISL.

What is the main difference between FTXR and MISL?

FTXR tracks Nasdaq U.S. Smart Transportation Index, while MISL tracks Indxx US Aerospace & Defense Index - Benchmark TR Gross.

Which has better risk-adjusted returns?

FTXR currently has the higher Sharpe Ratio (1.99 vs 1.44), 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.