HIO vs. PSHNX

Last updated Aug 1, 2026

HIO (Western Asset High Income Opportunity Fund Inc) and PSHNX (Penn Capital Short Duration High Income Fund) are both High Yield Bonds funds. Over the past 5 years, HIO returned 2.20%/yr vs 4.81%/yr for PSHNX. Their 0.40 correlation means their historical movements had little consistent relationship. HIO charges 0.01%/yr vs 1.01%/yr for PSHNX.

Performance

HIO vs. PSHNX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Western Asset High Income Opportunity Fund Inc (HIO) and Penn Capital Short Duration High Income Fund (PSHNX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HIO achieves a 1.83% return, which is significantly lower than PSHNX's 2.16% return.

HIO

• 1D: 0.57%
• 1M: -2.58%
• 6M: -0.73%
• YTD: 1.83%
• 1Y: 0.16%
• 3Y*: 8.36%
• 5Y*: 2.20%
• 10Y*: 5.44%
• ALL TIME*: 6.14%

PSHNX

• 1D: 0.05%
• 1M: 0.05%
• 6M: 1.85%
• YTD: 2.16%
• 1Y: 5.54%
• 3Y*: 7.00%
• 5Y*: 4.81%
• 10Y*: —
• ALL TIME*: 3.98%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
HIO Western Asset High Income Opportunity Fund Inc	$1.80M	$1.29M	$1.25M
PSHNX Penn Capital Short Duration High Income Fund	$0.00	$0.00	$0.00

HIO vs. PSHNX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
HIO Western Asset High Income Opportunity Fund Inc	1.83%	5.33%	13.58%	8.07%	-17.09%	12.80%	6.07%	24.23%	-7.60%	0.91%
PSHNX Penn Capital Short Duration High Income Fund	2.16%	7.72%	7.19%	8.72%	-2.26%	3.43%	0.88%	7.40%	0.61%	0.65%

Correlation

The correlation between HIO and PSHNX is 0.39, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.39
Correlation (3Y) Balances recent behavior with more history.	0.37
Correlation (5Y) Shows whether the relationship held over a longer period.	0.44
Correlation (All Time) Calculated using the full available price history since Jul 20, 2017	0.40

Return for Risk

HIO vs. PSHNX — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

HIO

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

PSHNX

PSHNX Risk / Return Rank: 97
PSHNX Sharpe Ratio Rank: 97
PSHNX Sortino Ratio Rank: 97
PSHNX Omega Ratio Rank: 97
PSHNX Calmar Ratio Rank: 96
PSHNX Martin Ratio Rank: 98

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

HIO vs. PSHNX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Western Asset High Income Opportunity Fund Inc (HIO) and Penn Capital Short Duration High Income Fund (PSHNX). 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.

	HIO	PSHNX	Difference
Sharpe ratio: Return per unit of total volatility	-0.01	2.88	-2.89
Sortino ratio: Return per unit of downside risk	0.06	4.59	-4.54
Omega ratio: Gain probability vs. loss probability	1.01	1.69	-0.69
Calmar ratio: Return relative to maximum drawdown	-0.01	4.73	-4.74
Martin ratio: Return relative to average drawdown	-0.03	24.06	-24.09

HIO vs. PSHNX - Sharpe Ratio Comparison

The current HIO Sharpe Ratio is -0.01, which is lower than the PSHNX Sharpe Ratio of 2.88. The chart below compares the historical Sharpe Ratios of HIO and PSHNX, 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

HIO vs. PSHNX - Drawdown Comparison

The maximum HIO drawdown since its inception was -49.69%, which is greater than PSHNX's maximum drawdown of -14.53%. Use the drawdown chart below to compare losses from any high point for HIO and PSHNX.

Drawdown Indicators

	HIO	PSHNX	Difference
Max Drawdown Largest peak-to-trough decline	-49.69%	-14.53%	-35.16%
Max Drawdown (1Y) Largest decline over 1 year	-6.70%	-1.14%	-5.56%
Max Drawdown (3Y) Largest decline over 3 years	-13.29%	-2.83%	-10.46%
Max Drawdown (5Y) Largest decline over 5 years	-26.18%	-6.02%	-20.16%
Max Drawdown (10Y) Largest decline over 10 years	-40.57%	—	—
Current Drawdown Current decline from peak	-2.96%	-0.05%	-2.91%
Average Drawdown Average peak-to-trough decline	-6.44%	-0.87%	-5.57%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.17%	0.22%	+2.95%

Volatility

HIO vs. PSHNX - Volatility Comparison

Western Asset High Income Opportunity Fund Inc (HIO) has a higher volatility of 2.76% compared to Penn Capital Short Duration High Income Fund (PSHNX) at 0.42%. This indicates that HIO's price experiences larger fluctuations and is considered to be riskier than PSHNX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HIO	PSHNX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.76%	0.42%	+2.34%
Volatility (6M) Calculated over the trailing 6-month period	7.92%	1.49%	+6.43%
Volatility (1Y) Calculated over the trailing 1-year period	10.47%	1.88%	+8.59%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.81%	2.65%	+10.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.95%	3.13%	+12.82%

HIO vs. PSHNX - Expense Ratio Comparison

HIO has a 0.02% expense ratio, which is lower than PSHNX's 1.01% expense ratio.

Dividends

HIO vs. PSHNX - Dividend Comparison

HIO's dividend yield for the trailing twelve months is around 12.07%, more than PSHNX's 5.97% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HIO Western Asset High Income Opportunity Fund Inc	12.07%	11.48%	10.84%	9.90%	9.11%	7.02%	7.86%	6.91%	7.31%	7.04%	8.44%	9.08%
PSHNX Penn Capital Short Duration High Income Fund	5.97%	6.27%	6.43%	4.95%	3.47%	3.17%	3.95%	3.65%	3.13%	1.46%	0.00%	0.00%

Frequently Asked Questions

Can I hold both HIO and PSHNX in my portfolio?

HIO and PSHNX have a correlation of 0.39, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HIO or PSHNX?

HIO has higher volatility (2.76%) compared to PSHNX (0.42%). In terms of maximum drawdown, HIO dropped -49.69% vs PSHNX's -14.53%.

Which has better risk-adjusted returns?

PSHNX currently has the higher Sharpe Ratio (2.88 vs -0.01), 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.