FXO vs. KNG

Last updated Jun 24, 2026

FXO (First Trust Financials AlphaDEX Fund) and KNG (FT Vest S&P 500 Dividend Aristocrats Target Income ETF) are both exchange-traded funds - FXO is a Financials Equities fund tracking the StrataQuant Financials Index, while KNG is a Dividend fund tracking the Cboe S&P 500 Dividend Aristocrats Target Income Index Monthly Series. Both are passively managed. Over the past 5 years, FXO returned 9.91%/yr vs 5.39%/yr for KNG. A 0.78 correlation means they provide meaningful diversification when combined. FXO charges 0.62%/yr vs 0.75%/yr for KNG.

Performance

FXO vs. KNG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Financials AlphaDEX Fund (FXO) and FT Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FXO achieves a 3.78% return, which is significantly lower than KNG's 4.84% return.

FXO

• 1D: 1.06%
• 1M: 4.51%
• YTD: 3.78%
• 6M: 1.91%
• 1Y: 16.03%
• 3Y*: 22.20%
• 5Y*: 9.91%
• 10Y*: 13.32%

KNG

• 1D: 0.65%
• 1M: 2.07%
• YTD: 4.84%
• 6M: 4.41%
• 1Y: 10.46%
• 3Y*: 7.42%
• 5Y*: 5.39%
• 10Y*: —

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

FXO vs. KNG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
FXO First Trust Financials AlphaDEX Fund	3.78%	13.59%	27.72%	9.28%	-9.24%	37.76%	5.95%	26.31%	-11.25%
KNG FT Vest S&P 500 Dividend Aristocrats Target Income ETF	4.84%	6.63%	5.99%	7.48%	-7.03%	24.78%	7.21%	26.64%	-1.56%

Correlation

The correlation between FXO and KNG is 0.68, 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	0.68
Correlation (3Y) Calculated over the trailing 3-year period	0.71
Correlation (5Y) Calculated over the trailing 5-year period	0.77
Correlation (All Time) Calculated using the full available price history since Mar 27, 2018	0.78

The correlation between FXO and KNG has been stable across timeframes, ranging from 0.68 to 0.78 - a consistent structural relationship.

FXO vs. KNG - Sectors Allocation Comparison

Sectors	FXO	KNG
Financial Services	94.5%	12.8%
Real Estate	5.0%	4.6%
Technology	0.6%	4.6%
Basic Materials	-	10.2%
Communication Services	-	-
Consumer Cyclical	-	5.3%
Consumer Defensive	-	23.6%
Energy	-	2.9%
Healthcare	-	10.2%
Industrials	-	20.2%
Utilities	-	5.7%

Return for Risk

FXO vs. KNG — Risk / Return Rank

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

FXO

FXO Risk / Return Rank: 29
FXO Sharpe Ratio Rank: 30
FXO Sortino Ratio Rank: 28
FXO Omega Ratio Rank: 28
FXO Calmar Ratio Rank: 29
FXO Martin Ratio Rank: 30

KNG

KNG Risk / Return Rank: 27
KNG Sharpe Ratio Rank: 29
KNG Sortino Ratio Rank: 30
KNG Omega Ratio Rank: 26
KNG Calmar Ratio Rank: 26
KNG Martin Ratio Rank: 24

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.

FXO vs. KNG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Financials AlphaDEX Fund (FXO) and FT Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG). 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.

	FXO	KNG	Difference
Sharpe ratio: Return per unit of total volatility	1.03	1.01	+0.02
Sortino ratio: Return per unit of downside risk	1.47	1.55	-0.09
Omega ratio: Gain probability vs. loss probability	1.18	1.18	+0.01
Calmar ratio: Return relative to maximum drawdown	1.37	1.22	+0.15
Martin ratio: Return relative to average drawdown	4.09	3.07	+1.02

FXO vs. KNG - Sharpe Ratio Comparison

The current FXO Sharpe Ratio is 1.03, which is comparable to the KNG Sharpe Ratio of 1.01. The chart below compares the historical Sharpe Ratios of FXO and KNG, 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

FXO vs. KNG - Drawdown Comparison

The maximum FXO drawdown since its inception was -71.30%, which is greater than KNG's maximum drawdown of -35.12%. Use the drawdown chart below to compare losses from any high point for FXO and KNG.

Drawdown Indicators

	FXO	KNG	Difference
Max Drawdown Largest peak-to-trough decline	-71.30%	-35.12%	-36.18%
Max Drawdown (1Y) Largest decline over 1 year	-11.72%	-8.61%	-3.11%
Max Drawdown (3Y) Largest decline over 3 years	-21.35%	-14.24%	-7.11%
Max Drawdown (5Y) Largest decline over 5 years	-28.80%	-18.20%	-10.60%
Max Drawdown (10Y) Largest decline over 10 years	-48.55%	—	—
Current Drawdown Current decline from peak	0.00%	-3.46%	+3.46%
Average Drawdown Average peak-to-trough decline	-13.08%	-4.13%	-8.95%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.93%	3.42%	+0.51%

Volatility

FXO vs. KNG - Volatility Comparison

First Trust Financials AlphaDEX Fund (FXO) has a higher volatility of 4.02% compared to FT Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG) at 3.00%. This indicates that FXO's price experiences larger fluctuations and is considered to be riskier than KNG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FXO	KNG	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.02%	3.00%	+1.02%
Volatility (6M) Calculated over the trailing 6-month period	11.03%	7.59%	+3.44%
Volatility (1Y) Calculated over the trailing 1-year period	15.66%	10.41%	+5.25%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.86%	13.58%	+8.28%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.09%	17.15%	+6.94%

FXO vs. KNG - Expense Ratio Comparison

FXO has a 0.62% expense ratio, which is lower than KNG's 0.75% expense ratio.

Dividends

FXO vs. KNG - Dividend Comparison

FXO's dividend yield for the trailing twelve months is around 2.08%, less than KNG's 8.45% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FXO First Trust Financials AlphaDEX Fund	2.08%	1.78%	1.97%	2.98%	2.49%	1.91%	2.60%	1.72%	2.60%	1.62%	1.35%	1.51%
KNG FT Vest S&P 500 Dividend Aristocrats Target Income ETF	8.45%	8.61%	9.08%	5.91%	4.00%	3.45%	3.62%	4.09%	3.46%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FXO and KNG in my portfolio?

FXO and KNG have a correlation of 0.68, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FXO or KNG?

FXO has higher volatility (4.02%) compared to KNG (3.00%). In terms of maximum drawdown, FXO dropped -71.30% vs KNG's -35.12%.

Which ETF is better, FXO or KNG?

On 5-year performance, FXO leads with 9.91% vs 5.39% for KNG. On fees, FXO is cheaper at 0.62% per year. On volatility, KNG has been the lower-risk option at 3.00%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FXO or KNG?

Over the 5-year period, FXO has performed better with a 9.91% return vs 5.39%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FXO or KNG?

FXO is cheaper with a 0.62% expense ratio, compared with 0.75% for KNG.

Which ETF pays a higher dividend yield, FXO or KNG?

KNG has the higher dividend yield at 8.45%, compared with 2.08% for FXO.

What is the main difference between FXO and KNG?

FXO is categorized as Financials Equities, while KNG is Dividend. FXO tracks StrataQuant Financials Index, while KNG tracks Cboe S&P 500 Dividend Aristocrats Target Income Index Monthly Series. Their fees differ too: 0.62% for FXO and 0.75% for KNG.

Which has better risk-adjusted returns?

FXO currently has the higher Sharpe Ratio (1.03 vs 1.01), 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.