FXZ vs. TDIV

Last updated Jun 4, 2026

FXZ (First Trust Materials AlphaDEX Fund) and TDIV (First Trust NASDAQ Technology Dividend Index Fund) are both exchange-traded funds - FXZ is a Materials fund tracking the StrataQuant Materials Index, while TDIV is a Technology Equities fund tracking the NASDAQ Technology Dividend Index. Both are passively managed. Over the past 10 years, FXZ returned 11.67%/yr vs 19.34%/yr for TDIV. A 0.66 correlation means they provide meaningful diversification when combined. FXZ charges 0.67%/yr vs 0.50%/yr for TDIV.

Performance

FXZ vs. TDIV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Materials AlphaDEX Fund (FXZ) and First Trust NASDAQ Technology Dividend Index Fund (TDIV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with FXZ having a 29.62% return and TDIV slightly higher at 30.57%. Over the past 10 years, FXZ has underperformed TDIV with an annualized return of 11.67%, while TDIV has yielded a comparatively higher 19.34% annualized return.

FXZ

• 1D: -0.40%
• 1M: 5.70%
• YTD: 29.62%
• 6M: 33.34%
• 1Y: 53.31%
• 3Y*: 13.07%
• 5Y*: 7.84%
• 10Y*: 11.67%

TDIV

• 1D: -1.79%
• 1M: 15.82%
• YTD: 30.57%
• 6M: 28.79%
• 1Y: 53.63%
• 3Y*: 33.27%
• 5Y*: 19.29%
• 10Y*: 19.34%

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

FXZ vs. TDIV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FXZ First Trust Materials AlphaDEX Fund	29.62%	16.25%	-16.31%	16.27%	-0.92%	30.84%	22.52%	21.52%	-22.62%	23.72%
TDIV First Trust NASDAQ Technology Dividend Index Fund	30.57%	25.27%	24.43%	36.71%	-22.13%	29.49%	17.55%	33.27%	-3.18%	21.95%

Correlation

The correlation between FXZ and TDIV is 0.51, 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	0.51
Correlation (3Y) Calculated over the trailing 3-year period	0.56
Correlation (5Y) Calculated over the trailing 5-year period	0.60
Correlation (10Y) Calculated over the trailing 10-year period	0.63
Correlation (All Time) Calculated using the full available price history since Aug 15, 2012	0.66

The correlation between FXZ and TDIV shifts across timeframes, from 0.51 (1 year) to 0.66 (all time), reflecting how their relationship changes across market environments.

FXZ vs. TDIV - Sectors Allocation Comparison

Sectors	FXZ	TDIV
Basic Materials	75.7%	-
Industrials	20.4%	1.6%
Consumer Cyclical	3.9%	-
Communication Services	-	13.4%
Consumer Defensive	-	-
Energy	-	-
Financial Services	-	-
Healthcare	-	-
Real Estate	-	-
Technology	-	85.0%
Utilities	-	-

Return for Risk

FXZ vs. TDIV — Risk / Return Rank

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

FXZ

FXZ Risk / Return Rank: 74
FXZ Sharpe Ratio Rank: 75
FXZ Sortino Ratio Rank: 70
FXZ Omega Ratio Rank: 66
FXZ Calmar Ratio Rank: 81
FXZ Martin Ratio Rank: 80

TDIV

TDIV Risk / Return Rank: 83
TDIV Sharpe Ratio Rank: 86
TDIV Sortino Ratio Rank: 84
TDIV Omega Ratio Rank: 80
TDIV Calmar Ratio Rank: 87
TDIV Martin Ratio Rank: 79

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.

FXZ vs. TDIV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Materials AlphaDEX Fund (FXZ) and First Trust NASDAQ Technology Dividend Index Fund (TDIV). 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.

	FXZ	TDIV	Difference
Sharpe ratio: Return per unit of total volatility	2.45	2.93	-0.47
Sortino ratio: Return per unit of downside risk	3.21	3.85	-0.63
Omega ratio: Gain probability vs. loss probability	1.40	1.49	-0.09
Calmar ratio: Return relative to maximum drawdown	4.20	5.02	-0.82
Martin ratio: Return relative to average drawdown	15.80	15.64	+0.16
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FXZ vs. TDIV - Sharpe Ratio Comparison

The current FXZ Sharpe Ratio is 2.45, which is comparable to the TDIV Sharpe Ratio of 2.93. The chart below compares the historical Sharpe Ratios of FXZ and TDIV, 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

	FXZ	TDIV	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.45	2.93	-0.47
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.33	0.94	-0.61
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.47	0.93	-0.46
Sharpe Ratio (All Time) Calculated using the full available price history	0.35	0.88	-0.53

Drawdowns

FXZ vs. TDIV - Drawdown Comparison

The maximum FXZ drawdown since its inception was -65.46%, which is greater than TDIV's maximum drawdown of -31.97%. Use the drawdown chart below to compare losses from any high point for FXZ and TDIV.

Drawdown Indicators

	FXZ	TDIV	Difference
Max Drawdown Largest peak-to-trough decline	-65.46%	-31.97%	-33.49%
Max Drawdown (1Y) Largest decline over 1 year	-12.75%	-10.74%	-2.01%
Max Drawdown (3Y) Largest decline over 3 years	-33.99%	-23.00%	-10.99%
Max Drawdown (5Y) Largest decline over 5 years	-33.99%	-31.97%	-2.02%
Max Drawdown (10Y) Largest decline over 10 years	-49.41%	-31.97%	-17.44%
Current Drawdown Current decline from peak	-0.40%	-1.79%	+1.39%
Average Drawdown Average peak-to-trough decline	-11.36%	-4.84%	-6.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.38%	3.44%	-0.06%

Volatility

FXZ vs. TDIV - Volatility Comparison

First Trust Materials AlphaDEX Fund (FXZ) and First Trust NASDAQ Technology Dividend Index Fund (TDIV) have volatilities of 7.04% and 6.86%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FXZ	TDIV	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.04%	6.86%	+0.18%
Volatility (6M) Calculated over the trailing 6-month period	16.40%	13.91%	+2.49%
Volatility (1Y) Calculated over the trailing 1-year period	21.87%	18.47%	+3.40%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.13%	20.67%	+3.46%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.87%	20.85%	+4.02%

FXZ vs. TDIV - Expense Ratio Comparison

FXZ has a 0.67% expense ratio, which is higher than TDIV's 0.50% expense ratio.

Dividends

FXZ vs. TDIV - Dividend Comparison

FXZ's dividend yield for the trailing twelve months is around 1.38%, more than TDIV's 1.12% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FXZ First Trust Materials AlphaDEX Fund	1.38%	1.74%	1.81%	1.97%	1.56%	1.11%	1.51%	1.58%	1.38%	1.01%	1.19%	1.26%
TDIV First Trust NASDAQ Technology Dividend Index Fund	1.12%	1.40%	1.59%	1.74%	2.51%	1.76%	2.07%	2.27%	2.97%	2.27%	2.45%	2.52%

Frequently Asked Questions

Can I hold both FXZ and TDIV in my portfolio?

FXZ and TDIV have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FXZ or TDIV?

FXZ has higher volatility (7.04%) compared to TDIV (6.86%). In terms of maximum drawdown, FXZ dropped -65.46% vs TDIV's -31.97%.

Which ETF is better, FXZ or TDIV?

On 10-year performance, TDIV leads with 19.34% vs 11.67% for FXZ. On fees, TDIV is cheaper at 0.50% per year. On volatility, TDIV has been the lower-risk option at 6.86%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FXZ or TDIV?

Over the 10-year period, TDIV has performed better with a 19.34% return vs 11.67%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FXZ or TDIV?

TDIV is cheaper with a 0.50% expense ratio, compared with 0.67% for FXZ.

Which ETF pays a higher dividend yield, FXZ or TDIV?

FXZ has the higher dividend yield at 1.38%, compared with 1.12% for TDIV.

What is the main difference between FXZ and TDIV?

FXZ is categorized as Materials, while TDIV is Technology Equities. FXZ tracks StrataQuant Materials Index, while TDIV tracks NASDAQ Technology Dividend Index. Their fees differ too: 0.67% for FXZ and 0.50% for TDIV.

Which has better risk-adjusted returns?

TDIV currently has the higher Sharpe Ratio (2.93 vs 2.45), 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.