MKAM vs. FCEF

Last updated Jun 24, 2026

MKAM (MKAM ETF) and FCEF (First Trust CEF Income Opportunity ETF) are both Diversified Portfolio funds. Both are actively managed. Over the past 3 years, MKAM returned 9.64%/yr vs 15.43%/yr for FCEF. A 0.70 correlation means they provide meaningful diversification when combined. MKAM charges 0.96%/yr vs 2.91%/yr for FCEF.

Performance

MKAM vs. FCEF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in MKAM ETF (MKAM) and First Trust CEF Income Opportunity ETF (FCEF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MKAM achieves a 3.90% return, which is significantly lower than FCEF's 6.36% return.

MKAM

• 1D: -0.67%
• 1M: -0.58%
• YTD: 3.90%
• 6M: 3.53%
• 1Y: 12.35%
• 3Y*: 9.64%
• 5Y*: —
• 10Y*: —

FCEF

• 1D: -0.25%
• 1M: 0.08%
• YTD: 6.36%
• 6M: 7.05%
• 1Y: 15.24%
• 3Y*: 15.43%
• 5Y*: 5.67%
• 10Y*: —

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

MKAM vs. FCEF - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
MKAM MKAM ETF	3.90%	8.07%	12.15%	7.69%
FCEF First Trust CEF Income Opportunity ETF	6.36%	14.39%	17.51%	7.61%

Correlation

The correlation between MKAM and FCEF is 0.77, 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	0.77
Correlation (3Y) Calculated over the trailing 3-year period	0.70
Correlation (All Time) Calculated using the full available price history since Apr 12, 2023	0.70

The correlation between MKAM and FCEF has been stable across timeframes, ranging from 0.70 to 0.77 - a consistent structural relationship.

Return for Risk

MKAM vs. FCEF — Risk / Return Rank

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

MKAM

MKAM Risk / Return Rank: 67
MKAM Sharpe Ratio Rank: 64
MKAM Sortino Ratio Rank: 62
MKAM Omega Ratio Rank: 65
MKAM Calmar Ratio Rank: 71
MKAM Martin Ratio Rank: 71

FCEF

FCEF Risk / Return Rank: 60
FCEF Sharpe Ratio Rank: 64
FCEF Sortino Ratio Rank: 63
FCEF Omega Ratio Rank: 67
FCEF Calmar Ratio Rank: 47
FCEF Martin Ratio Rank: 58

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.

MKAM vs. FCEF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for MKAM ETF (MKAM) and First Trust CEF Income Opportunity ETF (FCEF). 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.

	MKAM	FCEF	Difference
Sharpe ratio: Return per unit of total volatility	1.94	1.97	-0.03
Sortino ratio: Return per unit of downside risk	2.67	2.73	-0.06
Omega ratio: Gain probability vs. loss probability	1.36	1.37	-0.01
Calmar ratio: Return relative to maximum drawdown	3.33	2.18	+1.16
Martin ratio: Return relative to average drawdown	12.19	9.66	+2.53

MKAM vs. FCEF - Sharpe Ratio Comparison

The current MKAM Sharpe Ratio is 1.94, which is comparable to the FCEF Sharpe Ratio of 1.97. The chart below compares the historical Sharpe Ratios of MKAM and FCEF, 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

MKAM vs. FCEF - Drawdown Comparison

The maximum MKAM drawdown since its inception was -5.01%, smaller than the maximum FCEF drawdown of -44.81%. Use the drawdown chart below to compare losses from any high point for MKAM and FCEF.

Drawdown Indicators

	MKAM	FCEF	Difference
Max Drawdown Largest peak-to-trough decline	-5.01%	-44.81%	+39.80%
Max Drawdown (1Y) Largest decline over 1 year	-3.72%	-7.03%	+3.31%
Max Drawdown (3Y) Largest decline over 3 years	-5.01%	-12.39%	+7.38%
Max Drawdown (5Y) Largest decline over 5 years	—	-25.32%	—
Current Drawdown Current decline from peak	-1.52%	-1.17%	-0.35%
Average Drawdown Average peak-to-trough decline	-1.13%	-6.25%	+5.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.02%	1.58%	-0.56%

Volatility

MKAM vs. FCEF - Volatility Comparison

MKAM ETF (MKAM) and First Trust CEF Income Opportunity ETF (FCEF) have volatilities of 2.40% and 2.31%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MKAM	FCEF	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.40%	2.31%	+0.09%
Volatility (6M) Calculated over the trailing 6-month period	4.94%	6.37%	-1.43%
Volatility (1Y) Calculated over the trailing 1-year period	6.41%	7.81%	-1.40%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.31%	12.20%	-5.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.31%	15.39%	-9.08%

MKAM vs. FCEF - Expense Ratio Comparison

MKAM has a 0.96% expense ratio, which is lower than FCEF's 2.91% expense ratio.

Dividends

MKAM vs. FCEF - Dividend Comparison

MKAM's dividend yield for the trailing twelve months is around 2.94%, less than FCEF's 6.91% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
FCEF First Trust CEF Income Opportunity ETF	6.91%	7.05%	7.13%	7.17%	7.26%	4.74%	5.03%	5.07%	5.96%	4.90%	1.51%
MKAM MKAM ETF	2.94%	2.56%	1.88%	1.70%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both MKAM and FCEF in my portfolio?

MKAM and FCEF have a correlation of 0.77, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MKAM or FCEF?

MKAM has higher volatility (2.40%) compared to FCEF (2.31%). In terms of maximum drawdown, MKAM dropped -5.01% vs FCEF's -44.81%.

Which ETF is better, MKAM or FCEF?

On 3-year performance, FCEF leads with 15.43% vs 9.64% for MKAM. On fees, MKAM is cheaper at 0.96% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, MKAM or FCEF?

Over the 3-year period, FCEF has performed better with a 15.43% return vs 9.64%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, MKAM or FCEF?

MKAM is cheaper with a 0.96% expense ratio, compared with 2.91% for FCEF.

Which ETF pays a higher dividend yield, MKAM or FCEF?

FCEF has the higher dividend yield at 6.91%, compared with 2.94% for MKAM.

What is the main difference between MKAM and FCEF?

They also come from different issuers: MKAM and First Trust. Their fees differ too: 0.96% for MKAM and 2.91% for FCEF.

Which has better risk-adjusted returns?

FCEF currently has the higher Sharpe Ratio (1.97 vs 1.94), 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.