ICLO vs. AAAD

Last updated Jul 14, 2026

ICLO (Invesco Aaa CLO Floating Rate Note ETF) and AAAD (PGIM AAA CLO Aggregate Duration ETF) are both CLO funds. Both are actively managed. A 0.53 correlation means they provide meaningful diversification when combined. ICLO charges 0.26%/yr vs 0.19%/yr for AAAD.

Performance

ICLO vs. AAAD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Aaa CLO Floating Rate Note ETF (ICLO) and PGIM AAA CLO Aggregate Duration ETF (AAAD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

ICLO

• 1D: 0.07%
• 1M: 0.34%
• 6M: 2.54%
• YTD: 2.66%
• 1Y: 5.15%
• 3Y*: 6.58%
• 5Y*: —
• 10Y*: —

AAAD

• 1D: -0.27%
• 1M: -0.36%
• 6M: —
• YTD: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

ICLO vs. AAAD - Yearly Performance Comparison

	2026 (YTD)
ICLO Invesco Aaa CLO Floating Rate Note ETF	0.57%
AAAD PGIM AAA CLO Aggregate Duration ETF	-0.17%

Correlation

The correlation between ICLO and AAAD is 0.53, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jun 3, 2026	0.53

Return for Risk

ICLO vs. AAAD — Risk / Return Rank

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

ICLO

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

AAAD

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

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.

ICLO vs. AAAD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Aaa CLO Floating Rate Note ETF (ICLO) and PGIM AAA CLO Aggregate Duration ETF (AAAD). 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.

	ICLO	AAAD	Difference
Sharpe ratio: Return per unit of total volatility	3.94	—	—
Sortino ratio: Return per unit of downside risk	6.72	—	—
Omega ratio: Gain probability vs. loss probability	1.92	—	—
Calmar ratio: Return relative to maximum drawdown	14.71	—	—
Martin ratio: Return relative to average drawdown	64.26	—	—

Drawdowns

ICLO vs. AAAD - Drawdown Comparison

The maximum ICLO drawdown since its inception was -3.47%, which is greater than AAAD's maximum drawdown of -1.13%. Use the drawdown chart below to compare losses from any high point for ICLO and AAAD.

Drawdown Indicators

	ICLO	AAAD	Difference
Max Drawdown Largest peak-to-trough decline	-3.47%	-1.13%	-2.34%
Max Drawdown (1Y) Largest decline over 1 year	-0.35%	—	—
Max Drawdown (3Y) Largest decline over 3 years	-3.47%	—	—
Current Drawdown Current decline from peak	0.00%	-1.13%	+1.13%
Average Drawdown Average peak-to-trough decline	-0.06%	-0.32%	+0.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.08%	—	—

Volatility

Volatility by Period

	ICLO	AAAD	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.47%	—	—
Volatility (6M) Calculated over the trailing 6-month period	0.84%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	1.32%	3.74%	-2.42%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.40%	3.74%	-1.34%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.40%	3.74%	-1.34%

ICLO vs. AAAD - Expense Ratio Comparison

ICLO has a 0.26% expense ratio, which is higher than AAAD's 0.19% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

ICLO vs. AAAD - Dividend Comparison

ICLO's dividend yield for the trailing twelve months is around 5.01%, more than AAAD's 0.03% yield.

Position	TTM	2025	2024	2023
AAAD PGIM AAA CLO Aggregate Duration ETF	0.03%	0.00%	0.00%	0.00%
ICLO Invesco Aaa CLO Floating Rate Note ETF	5.01%	5.49%	6.51%	7.01%

Frequently Asked Questions

Can I hold both ICLO and AAAD in my portfolio?

ICLO and AAAD have a correlation of 0.53, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ICLO or AAAD?

On fees, AAAD is cheaper at 0.19% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ICLO or AAAD?

AAAD is cheaper with a 0.19% expense ratio, compared with 0.26% for ICLO.

Which ETF pays a higher dividend yield, ICLO or AAAD?

ICLO has the higher dividend yield at 5.01%, compared with 0.03% for AAAD.

What is the main difference between ICLO and AAAD?

They also come from different issuers: Invesco and PGIM. Their fees differ too: 0.26% for ICLO and 0.19% for AAAD.