GRID vs. PAVE

Last updated Jun 25, 2026

GRID (First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund) and PAVE (Global X US Infrastructure Development ETF) are both exchange-traded funds - GRID is a Alternative Energy Equities fund tracking the Nasdaq Clean Edge Smart Grid Infrastructure Index, while PAVE is a Industrials Equities fund tracking the INDXX U.S. Infrastructure Development Index. Both are passively managed. Over the past 5 years, GRID returned 16.47%/yr vs 18.54%/yr for PAVE. A 0.78 correlation means they provide meaningful diversification when combined. GRID charges 0.70%/yr vs 0.47%/yr for PAVE.

Performance

GRID vs. PAVE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID) and Global X US Infrastructure Development ETF (PAVE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with GRID having a 23.03% return and PAVE slightly lower at 22.22%.

GRID

• 1D: -0.30%
• 1M: -2.26%
• YTD: 23.03%
• 6M: 21.65%
• 1Y: 39.31%
• 3Y*: 24.08%
• 5Y*: 16.47%
• 10Y*: 19.91%

PAVE

• 1D: 1.04%
• 1M: 6.32%
• YTD: 22.22%
• 6M: 19.45%
• 1Y: 36.66%
• 3Y*: 25.73%
• 5Y*: 18.54%
• 10Y*: —

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

GRID vs. PAVE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
GRID First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund	23.03%	29.65%	15.18%	21.57%	-13.89%	27.65%	48.84%	42.80%	-22.69%	27.91%
PAVE Global X US Infrastructure Development ETF	22.22%	19.36%	17.92%	31.01%	-7.17%	36.42%	19.72%	33.26%	-19.15%	13.41%

Correlation

The correlation between GRID and PAVE is 0.74, 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	0.74
Correlation (3Y) Calculated over the trailing 3-year period	0.80
Correlation (5Y) Calculated over the trailing 5-year period	0.82
Correlation (All Time) Calculated using the full available price history since Mar 8, 2017	0.78

The correlation between GRID and PAVE has been stable across timeframes, ranging from 0.74 to 0.82 - a consistent structural relationship.

GRID vs. PAVE - Sectors Allocation Comparison

Sectors	GRID	PAVE
Industrials	24.2%	75.9%
Technology	12.5%	1.0%
Utilities	3.9%	3.1%
Consumer Cyclical	2.3%	-
Energy	1.6%	0.2%
Basic Materials	0.0%	19.5%
Communication Services	-	-
Consumer Defensive	-	0.2%
Financial Services	-	-
Healthcare	-	-
Real Estate	-	-

Return for Risk

GRID vs. PAVE — Risk / Return Rank

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

GRID

GRID Risk / Return Rank: 65
GRID Sharpe Ratio Rank: 63
GRID Sortino Ratio Rank: 58
GRID Omega Ratio Rank: 60
GRID Calmar Ratio Rank: 73
GRID Martin Ratio Rank: 72

PAVE

PAVE Risk / Return Rank: 64
PAVE Sharpe Ratio Rank: 64
PAVE Sortino Ratio Rank: 64
PAVE Omega Ratio Rank: 57
PAVE Calmar Ratio Rank: 68
PAVE Martin Ratio Rank: 68

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.

GRID vs. PAVE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID) and Global X US Infrastructure Development ETF (PAVE). 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.

	GRID	PAVE	Difference
Sharpe ratio: Return per unit of total volatility	1.87	1.88	-0.02
Sortino ratio: Return per unit of downside risk	2.47	2.64	-0.17
Omega ratio: Gain probability vs. loss probability	1.33	1.32	+0.01
Calmar ratio: Return relative to maximum drawdown	3.37	3.09	+0.28
Martin ratio: Return relative to average drawdown	11.90	11.23	+0.67

GRID vs. PAVE - Sharpe Ratio Comparison

The current GRID Sharpe Ratio is 1.87, which is comparable to the PAVE Sharpe Ratio of 1.88. The chart below compares the historical Sharpe Ratios of GRID and PAVE, 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

GRID vs. PAVE - Drawdown Comparison

The maximum GRID drawdown since its inception was -40.56%, smaller than the maximum PAVE drawdown of -44.08%. Use the drawdown chart below to compare losses from any high point for GRID and PAVE.

Drawdown Indicators

	GRID	PAVE	Difference
Max Drawdown Largest peak-to-trough decline	-40.56%	-44.08%	+3.52%
Max Drawdown (1Y) Largest decline over 1 year	-11.73%	-11.91%	+0.18%
Max Drawdown (3Y) Largest decline over 3 years	-20.77%	-26.23%	+5.46%
Max Drawdown (5Y) Largest decline over 5 years	-29.64%	-26.23%	-3.41%
Max Drawdown (10Y) Largest decline over 10 years	-40.56%	—	—
Current Drawdown Current decline from peak	-5.83%	-1.40%	-4.43%
Average Drawdown Average peak-to-trough decline	-8.42%	-6.21%	-2.21%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.31%	3.27%	+0.04%

Volatility

GRID vs. PAVE - Volatility Comparison

First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund (GRID) has a higher volatility of 10.09% compared to Global X US Infrastructure Development ETF (PAVE) at 7.04%. This indicates that GRID's price experiences larger fluctuations and is considered to be riskier than PAVE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	GRID	PAVE	Difference
Volatility (1M) Calculated over the trailing 1-month period	10.09%	7.04%	+3.05%
Volatility (6M) Calculated over the trailing 6-month period	18.22%	15.92%	+2.30%
Volatility (1Y) Calculated over the trailing 1-year period	21.25%	19.60%	+1.65%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.36%	21.66%	-0.30%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.79%	24.39%	-1.60%

GRID vs. PAVE - Expense Ratio Comparison

GRID has a 0.70% expense ratio, which is higher than PAVE's 0.47% expense ratio.

Dividends

GRID vs. PAVE - Dividend Comparison

GRID's dividend yield for the trailing twelve months is around 0.80%, more than PAVE's 0.75% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
GRID First Trust NASDAQ Clean Edge Smart Grid Infrastructure Index Fund	0.80%	1.01%	1.06%	1.23%	1.26%	0.63%	0.68%	1.26%	1.28%	1.07%	1.07%	1.23%
PAVE Global X US Infrastructure Development ETF	0.75%	0.92%	0.54%	0.68%	0.84%	0.48%	0.44%	0.67%	0.78%	0.30%	0.00%	0.00%

Frequently Asked Questions

Can I hold both GRID and PAVE in my portfolio?

GRID and PAVE have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, GRID or PAVE?

GRID has higher volatility (10.09%) compared to PAVE (7.04%). In terms of maximum drawdown, GRID dropped -40.56% vs PAVE's -44.08%.

Which ETF is better, GRID or PAVE?

On 5-year performance, PAVE leads with 18.54% vs 16.47% for GRID. On fees, PAVE is cheaper at 0.47% per year. On volatility, PAVE has been the lower-risk option at 7.04%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, GRID or PAVE?

Over the 5-year period, PAVE has performed better with a 18.54% return vs 16.47%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, GRID or PAVE?

PAVE is cheaper with a 0.47% expense ratio, compared with 0.70% for GRID.

Which ETF pays a higher dividend yield, GRID or PAVE?

GRID has the higher dividend yield at 0.80%, compared with 0.75% for PAVE.

What is the main difference between GRID and PAVE?

GRID is categorized as Alternative Energy Equities, while PAVE is Industrials Equities. GRID tracks Nasdaq Clean Edge Smart Grid Infrastructure Index, while PAVE tracks INDXX U.S. Infrastructure Development Index. They also come from different issuers: First Trust and Global X. Their fees differ too: 0.70% for GRID and 0.47% for PAVE.

Which has better risk-adjusted returns?

PAVE currently has the higher Sharpe Ratio (1.88 vs 1.87), 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.