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IYG vs. FTXO
Performance
Return for Risk
Drawdowns
Volatility
Dividends

IYG vs. FTXO

Last updated Jun 23, 2026

IYG (iShares U.S. Financial Services ETF) and FTXO (First Trust Nasdaq Bank ETF) are both Financials Equities funds - IYG tracks the Dow Jones U.S. Financial Services TR while FTXO tracks the NASDAQ US Banks Index. Both are passively managed. Over the past 5 years, IYG returned 10.06%/yr vs 8.64%/yr for FTXO. Their correlation of 0.90 suggests significant overlap in exposure. IYG charges 0.42%/yr vs 0.60%/yr for FTXO.

Performance

IYG vs. FTXO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Financial Services ETF (IYG) and First Trust Nasdaq Bank ETF (FTXO). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, IYG achieves a -0.62% return, which is significantly lower than FTXO's 8.60% return.

IYG

1D
0.54%
1M
4.38%
YTD
-0.62%
6M
-1.80%
1Y
13.04%
3Y*
23.09%
5Y*
10.06%
10Y*
15.04%

FTXO

1D
1.29%
1M
7.19%
YTD
8.60%
6M
6.28%
1Y
32.49%
3Y*
28.73%
5Y*
8.64%
10Y*
—
*Multi-year figures are annualized to reflect compound growth (CAGR)

IYG vs. FTXO - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
IYG
iShares U.S. Financial Services ETF		-0.62%19.85%31.94%16.07%-16.76%30.36%0.99%37.62%-12.56%24.47%
FTXO
First Trust Nasdaq Bank ETF		8.60%21.32%29.05%0.05%-17.93%40.53%-12.53%30.11%-21.79%14.25%

Correlation

The correlation between IYG and FTXO is 0.84, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.84

Correlation (3Y)
Calculated over the trailing 3-year period

0.87

Correlation (5Y)
Calculated over the trailing 5-year period

0.89

Correlation (All Time)
Calculated using the full available price history since Oct 7, 2016

0.90

The correlation between IYG and FTXO has been stable across timeframes, ranging from 0.84 to 0.90 - a consistent structural relationship.

IYG vs. FTXO - Sectors Allocation Comparison

Sectors
IYG
FTXO

Financial Services

100.0%
100.0%

Basic Materials

-

-

Communication Services

-

-

Consumer Cyclical

-

-

Consumer Defensive

-

-

Energy

-

-

Healthcare

-

-

Industrials

-

-

Real Estate

-

-

Technology

-

0.4%

Utilities

-

-

Financial Services

IYG
100.0%
FTXO
100.0%

Basic Materials

IYG

-

FTXO

-

Communication Services

IYG

-

FTXO

-

Consumer Cyclical

IYG

-

FTXO

-

Consumer Defensive

IYG

-

FTXO

-

Energy

IYG

-

FTXO

-

Healthcare

IYG

-

FTXO

-

Industrials

IYG

-

FTXO

-

Real Estate

IYG

-

FTXO

-

Technology

IYG

-

FTXO
0.4%

Utilities

IYG

-

FTXO

-

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares U.S. Financial Services ETF

First Trust Nasdaq Bank ETF

Often compared with IYG:
IYG vs. IYFIYG vs. XLFIYG vs. IXGIYG vs. VFHIYG vs. GABFIYG vs. IYKIYG vs. FPE
Often compared with FTXO:
FTXO vs. KBWBFTXO vs. IYFFTXO vs. GSIBFTXO vs. XLFFTXO vs. DFNLFTXO vs. KBEFTXO vs. QQQM

Return for Risk

IYG vs. FTXO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
IYG
IYG Risk / Return Rank: 2121
Overall Rank
IYG Sharpe Ratio Rank: 2424
Sharpe Ratio Rank
IYG Sortino Ratio Rank: 2222
Sortino Ratio Rank
IYG Omega Ratio Rank: 2222
Omega Ratio Rank
IYG Calmar Ratio Rank: 1919
Calmar Ratio Rank
IYG Martin Ratio Rank: 1919
Martin Ratio Rank
FTXO
FTXO Risk / Return Rank: 4242
Overall Rank
FTXO Sharpe Ratio Rank: 4747
Sharpe Ratio Rank
FTXO Sortino Ratio Rank: 4343
Sortino Ratio Rank
FTXO Omega Ratio Rank: 4444
Omega Ratio Rank
FTXO Calmar Ratio Rank: 4040
Calmar Ratio Rank
FTXO Martin Ratio Rank: 3636
Martin Ratio Rank
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.

IYG vs. FTXO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Financial Services ETF (IYG) and First Trust Nasdaq Bank ETF (FTXO). 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.

IYGFTXODifference
Sharpe ratioReturn per unit of total volatility
0.84
1.57

-0.73

Sortino ratioReturn per unit of downside risk
1.21
2.14

-0.93

Omega ratioGain probability vs. loss probability

1.15

1.28

-0.12

Calmar ratioReturn relative to maximum drawdown

0.82

1.96

-1.13

Martin ratioReturn relative to average drawdown

2.10

5.40

-3.30

IYG vs. FTXO - Sharpe Ratio Comparison

The current IYG Sharpe Ratio is 0.84, which is lower than the FTXO Sharpe Ratio of 1.57. The chart below compares the historical Sharpe Ratios of IYG and FTXO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

IYG vs. FTXO - Drawdown Comparison

The maximum IYG drawdown since its inception was -81.84%, which is greater than FTXO's maximum drawdown of -55.26%. Use the drawdown chart below to compare losses from any high point for IYG and FTXO.

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Drawdown Indicators

IYGFTXODifference

Max Drawdown

Largest peak-to-trough decline

-81.84%

-55.26%

-26.58%

Max Drawdown (1Y)

Largest decline over 1 year

-15.90%

-16.69%

+0.79%

Max Drawdown (3Y)

Largest decline over 3 years

-18.54%

-25.84%

+7.30%

Max Drawdown (5Y)

Largest decline over 5 years

-29.62%

-46.55%

+16.93%

Max Drawdown (10Y)

Largest decline over 10 years

-44.32%

—

—

Current Drawdown

Current decline from peak

-4.08%

-0.99%

-3.09%

Average Drawdown

Average peak-to-trough decline

-20.72%

-15.80%

-4.92%

Ulcer Index

Depth and duration of drawdowns from previous peaks

6.22%

6.03%

+0.19%

Volatility

IYG vs. FTXO - Volatility Comparison

The current volatility for iShares U.S. Financial Services ETF (IYG) is 4.40%, while First Trust Nasdaq Bank ETF (FTXO) has a volatility of 5.82%. This indicates that IYG experiences smaller price fluctuations and is considered to be less risky than FTXO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

IYGFTXODifference

Volatility (1M)

Calculated over the trailing 1-month period

4.40%

5.82%

-1.42%

Volatility (6M)

Calculated over the trailing 6-month period

12.15%

15.73%

-3.58%

Volatility (1Y)

Calculated over the trailing 1-year period

15.64%

20.88%

-5.24%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

20.42%

26.90%

-6.48%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

23.54%

29.94%

-6.40%

IYG vs. FTXO - Expense Ratio Comparison

IYG has a 0.42% expense ratio, which is lower than FTXO's 0.60% expense ratio.

Dividends

IYG vs. FTXO - Dividend Comparison

IYG's dividend yield for the trailing twelve months is around 1.08%, less than FTXO's 1.65% yield.

PositionTTM20252024202320222021202020192018201720162015
FTXO
First Trust Nasdaq Bank ETF		1.65%1.92%2.18%3.20%2.94%1.64%2.74%2.53%3.51%1.09%0.16%0.00%
IYG
iShares U.S. Financial Services ETF		1.08%1.00%1.16%1.77%2.07%1.25%1.71%1.59%1.81%1.24%1.28%1.33%

Frequently Asked Questions

IYG and FTXO have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

FTXO has higher volatility (5.82%) compared to IYG (4.40%). In terms of maximum drawdown, IYG dropped -81.84% vs FTXO's -55.26%.

On 5-year performance, IYG leads with 10.06% vs 8.64% for FTXO. On fees, IYG is cheaper at 0.42% per year. On volatility, IYG has been the lower-risk option at 4.40%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, IYG has performed better with a 10.06% return vs 8.64%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

IYG is cheaper with a 0.42% expense ratio, compared with 0.60% for FTXO.

FTXO has the higher dividend yield at 1.65%, compared with 1.08% for IYG.

IYG tracks Dow Jones U.S. Financial Services TR, while FTXO tracks NASDAQ US Banks Index. They also come from different issuers: iShares and First Trust. Their fees differ too: 0.42% for IYG and 0.60% for FTXO.

FTXO currently has the higher Sharpe Ratio (1.57 vs 0.84), 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.

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