KCE vs. PSP

Last updated Jul 14, 2026

KCE (SPDR S&P Capital Markets ETF) and PSP (Invesco Global Listed Private Equity ETF) are both exchange-traded funds - KCE is a Financials Equities fund tracking the S&P Capital Markets Select Industry Index, while PSP is a Global Equities fund tracking the Red Rocks Global Listed Private Equity Index. Both are passively managed. Over the past 10 years, KCE returned 17.49%/yr vs 7.94%/yr for PSP. A 0.79 correlation means they provide meaningful diversification when combined. KCE charges 0.35%/yr vs 1.44%/yr for PSP.

Performance

KCE vs. PSP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR S&P Capital Markets ETF (KCE) and Invesco Global Listed Private Equity ETF (PSP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, KCE achieves a 4.68% return, which is significantly higher than PSP's -12.29% return. Over the past 10 years, KCE has outperformed PSP with an annualized return of 17.49%, while PSP has yielded a comparatively lower 7.94% annualized return.

KCE

• 1D: -0.36%
• 1M: 0.98%
• 6M: -0.54%
• YTD: 4.68%
• 1Y: 5.32%
• 3Y*: 22.56%
• 5Y*: 13.01%
• 10Y*: 17.49%

PSP

• 1D: -0.19%
• 1M: -0.71%
• 6M: -15.12%
• YTD: -12.29%
• 1Y: -13.87%
• 3Y*: 8.19%
• 5Y*: 0.15%
• 10Y*: 7.94%

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

KCE vs. PSP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
KCE SPDR S&P Capital Markets ETF	4.68%	10.76%	37.51%	32.04%	-22.14%	40.05%	30.82%	27.13%	-15.63%	32.01%
PSP Invesco Global Listed Private Equity ETF	-12.29%	6.49%	17.42%	37.72%	-37.37%	27.30%	12.47%	35.73%	-15.12%	24.13%

Correlation

The correlation between KCE and PSP is 0.82, 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	0.82
Correlation (3Y) Calculated over the trailing 3-year period	0.83
Correlation (5Y) Calculated over the trailing 5-year period	0.84
Correlation (10Y) Calculated over the trailing 10-year period	0.77
Correlation (All Time) Calculated using the full available price history since Oct 24, 2006	0.79

The correlation between KCE and PSP has been stable across timeframes, ranging from 0.77 to 0.84 - a consistent structural relationship.

KCE vs. PSP - Sectors Allocation Comparison

Sectors	KCE	PSP
Financial Services	98.8%	90.9%
Technology	1.2%	0.1%
Basic Materials	-	0.1%
Communication Services	-	1.0%
Consumer Cyclical	-	-
Consumer Defensive	-	5.3%
Energy	-	-
Healthcare	-	0.5%
Industrials	-	3.2%
Real Estate	-	-
Utilities	-	-

Return for Risk

KCE vs. PSP — Risk / Return Rank

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

KCE

KCE Risk / Return Rank: 13
KCE Sharpe Ratio Rank: 14
KCE Sortino Ratio Rank: 13
KCE Omega Ratio Rank: 13
KCE Calmar Ratio Rank: 13
KCE Martin Ratio Rank: 14

PSP

PSP Risk / Return Rank: 4
PSP Sharpe Ratio Rank: 4
PSP Sortino Ratio Rank: 4
PSP Omega Ratio Rank: 4
PSP Calmar Ratio Rank: 4
PSP Martin Ratio Rank: 3

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.

KCE vs. PSP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR S&P Capital Markets ETF (KCE) and Invesco Global Listed Private Equity ETF (PSP). 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.

	KCE	PSP	Difference
Sharpe ratio: Return per unit of total volatility	0.26	-0.69	+0.95
Sortino ratio: Return per unit of downside risk	0.50	-0.84	+1.34
Omega ratio: Gain probability vs. loss probability	1.06	0.90	+0.16
Calmar ratio: Return relative to maximum drawdown	0.31	-0.62	+0.93
Martin ratio: Return relative to average drawdown	0.78	-1.24	+2.02

KCE vs. PSP - Sharpe Ratio Comparison

The current KCE Sharpe Ratio is 0.26, which is higher than the PSP Sharpe Ratio of -0.69. The chart below compares the historical Sharpe Ratios of KCE and PSP, 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

KCE vs. PSP - Drawdown Comparison

The maximum KCE drawdown since its inception was -74.00%, smaller than the maximum PSP drawdown of -85.40%. Use the drawdown chart below to compare losses from any high point for KCE and PSP.

Drawdown Indicators

	KCE	PSP	Difference
Max Drawdown Largest peak-to-trough decline	-74.00%	-85.40%	+11.40%
Max Drawdown (1Y) Largest decline over 1 year	-17.44%	-22.37%	+4.93%
Max Drawdown (3Y) Largest decline over 3 years	-26.31%	-22.94%	-3.37%
Max Drawdown (5Y) Largest decline over 5 years	-34.45%	-47.16%	+12.71%
Max Drawdown (10Y) Largest decline over 10 years	-40.78%	-47.16%	+6.38%
Current Drawdown Current decline from peak	-2.81%	-16.57%	+13.76%
Average Drawdown Average peak-to-trough decline	-22.71%	-30.62%	+7.91%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.83%	11.23%	-4.40%

Volatility

KCE vs. PSP - Volatility Comparison

SPDR S&P Capital Markets ETF (KCE) has a higher volatility of 6.58% compared to Invesco Global Listed Private Equity ETF (PSP) at 5.55%. This indicates that KCE's price experiences larger fluctuations and is considered to be riskier than PSP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	KCE	PSP	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.58%	5.55%	+1.03%
Volatility (6M) Calculated over the trailing 6-month period	15.72%	17.03%	-1.31%
Volatility (1Y) Calculated over the trailing 1-year period	20.48%	20.25%	+0.23%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.13%	23.91%	-0.78%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.84%	22.28%	+0.56%

KCE vs. PSP - Expense Ratio Comparison

KCE has a 0.35% expense ratio, which is lower than PSP's 1.44% expense ratio.

Dividends

KCE vs. PSP - Dividend Comparison

KCE's dividend yield for the trailing twelve months is around 1.72%, less than PSP's 6.21% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
KCE SPDR S&P Capital Markets ETF	1.72%	1.63%	1.56%	1.82%	2.42%	1.53%	2.20%	2.32%	2.67%	1.95%	2.30%	2.43%
PSP Invesco Global Listed Private Equity ETF	6.21%	5.87%	8.62%	3.96%	2.88%	10.34%	4.66%	5.87%	6.81%	10.18%	4.12%	6.23%

Frequently Asked Questions

Can I hold both KCE and PSP in my portfolio?

KCE and PSP have a correlation of 0.82, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, KCE or PSP?

KCE has higher volatility (6.58%) compared to PSP (5.55%). In terms of maximum drawdown, KCE dropped -74.00% vs PSP's -85.40%.

Which ETF is better, KCE or PSP?

On 10-year performance, KCE leads with 17.49% vs 7.94% for PSP. On fees, KCE is cheaper at 0.35% per year. On volatility, PSP has been the lower-risk option at 5.55%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, KCE or PSP?

Over the 10-year period, KCE has performed better with a 17.49% return vs 7.94%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, KCE or PSP?

KCE is cheaper with a 0.35% expense ratio, compared with 1.44% for PSP.

Which ETF pays a higher dividend yield, KCE or PSP?

PSP has the higher dividend yield at 6.21%, compared with 1.72% for KCE.

What is the main difference between KCE and PSP?

KCE is categorized as Financials Equities, while PSP is Global Equities. KCE tracks S&P Capital Markets Select Industry Index, while PSP tracks Red Rocks Global Listed Private Equity Index. They also come from different issuers: State Street and Invesco. Their fees differ too: 0.35% for KCE and 1.44% for PSP.

Which has better risk-adjusted returns?

KCE currently has the higher Sharpe Ratio (0.26 vs -0.69), 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.