OCTW vs. PSEP

Last updated Jun 24, 2026

OCTW (AllianzIM U.S. Equity Buffer20 Oct ETF) and PSEP (Innovator U.S. Equity Power Buffer ETF - September) are both Defined Outcome funds - OCTW tracks the SPDR S&P 500 ETF Trust while PSEP tracks the S&P 500 Index. Both are passively managed. Over the past 5 years, OCTW returned 8.71%/yr vs 9.28%/yr for PSEP. Their correlation of 0.86 suggests significant overlap in exposure. OCTW charges 0.74%/yr vs 0.79%/yr for PSEP.

Performance

OCTW vs. PSEP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in AllianzIM U.S. Equity Buffer20 Oct ETF (OCTW) and Innovator U.S. Equity Power Buffer ETF - September (PSEP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, OCTW achieves a 4.26% return, which is significantly lower than PSEP's 4.76% return.

OCTW

• 1D: -0.44%
• 1M: 0.07%
• YTD: 4.26%
• 6M: 4.06%
• 1Y: 11.24%
• 3Y*: 10.37%
• 5Y*: 8.71%
• 10Y*: —

PSEP

• 1D: -0.28%
• 1M: 0.31%
• YTD: 4.76%
• 6M: 4.57%
• 1Y: 13.77%
• 3Y*: 12.58%
• 5Y*: 9.28%
• 10Y*: —

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

OCTW vs. PSEP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
OCTW AllianzIM U.S. Equity Buffer20 Oct ETF	4.26%	9.68%	8.67%	17.57%	0.54%	6.48%	3.94%
PSEP Innovator U.S. Equity Power Buffer ETF - September	4.76%	11.85%	12.44%	18.84%	-3.74%	8.85%	6.24%

Correlation

The correlation between OCTW and PSEP is 0.92, 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	0.92
Correlation (3Y) Calculated over the trailing 3-year period	0.87
Correlation (5Y) Calculated over the trailing 5-year period	0.85
Correlation (All Time) Calculated using the full available price history since Oct 1, 2020	0.86

The correlation between OCTW and PSEP has been stable across timeframes, ranging from 0.85 to 0.92 - a consistent structural relationship.

OCTW vs. PSEP - Sectors Allocation Comparison

Sectors	OCTW	PSEP
Technology	38.4%	38.4%
Financial Services	11.0%	11.0%
Communication Services	10.8%	10.8%
Consumer Cyclical	10.0%	10.0%
Healthcare	8.4%	8.4%
Industrials	7.9%	7.9%
Consumer Defensive	4.6%	4.6%
Energy	3.2%	3.2%
Utilities	2.1%	2.1%
Real Estate	1.8%	1.8%
Basic Materials	1.7%	1.7%

Return for Risk

OCTW vs. PSEP — Risk / Return Rank

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

OCTW

OCTW Risk / Return Rank: 79
OCTW Sharpe Ratio Rank: 78
OCTW Sortino Ratio Rank: 83
OCTW Omega Ratio Rank: 84
OCTW Calmar Ratio Rank: 67
OCTW Martin Ratio Rank: 83

PSEP

PSEP Risk / Return Rank: 84
PSEP Sharpe Ratio Rank: 83
PSEP Sortino Ratio Rank: 87
PSEP Omega Ratio Rank: 87
PSEP Calmar Ratio Rank: 72
PSEP Martin Ratio Rank: 88

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.

OCTW vs. PSEP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for AllianzIM U.S. Equity Buffer20 Oct ETF (OCTW) and Innovator U.S. Equity Power Buffer ETF - September (PSEP). 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.

	OCTW	PSEP	Difference
Sharpe ratio: Return per unit of total volatility	2.29	2.46	-0.17
Sortino ratio: Return per unit of downside risk	3.38	3.63	-0.25
Omega ratio: Gain probability vs. loss probability	1.47	1.50	-0.03
Calmar ratio: Return relative to maximum drawdown	3.09	3.39	-0.30
Martin ratio: Return relative to average drawdown	15.75	17.87	-2.13

OCTW vs. PSEP - Sharpe Ratio Comparison

The current OCTW Sharpe Ratio is 2.29, which is comparable to the PSEP Sharpe Ratio of 2.46. The chart below compares the historical Sharpe Ratios of OCTW and PSEP, 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

OCTW vs. PSEP - Drawdown Comparison

The maximum OCTW drawdown since its inception was -8.38%, smaller than the maximum PSEP drawdown of -17.90%. Use the drawdown chart below to compare losses from any high point for OCTW and PSEP.

Drawdown Indicators

	OCTW	PSEP	Difference
Max Drawdown Largest peak-to-trough decline	-8.38%	-17.90%	+9.52%
Max Drawdown (1Y) Largest decline over 1 year	-3.65%	-4.08%	+0.43%
Max Drawdown (3Y) Largest decline over 3 years	-8.38%	-9.92%	+1.54%
Max Drawdown (5Y) Largest decline over 5 years	-8.38%	-9.92%	+1.54%
Current Drawdown Current decline from peak	-0.55%	-0.44%	-0.11%
Average Drawdown Average peak-to-trough decline	-0.81%	-1.55%	+0.74%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.72%	0.77%	-0.05%

Volatility

OCTW vs. PSEP - Volatility Comparison

AllianzIM U.S. Equity Buffer20 Oct ETF (OCTW) and Innovator U.S. Equity Power Buffer ETF - September (PSEP) have volatilities of 1.31% and 1.29%, 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

	OCTW	PSEP	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.31%	1.29%	+0.02%
Volatility (6M) Calculated over the trailing 6-month period	3.90%	4.33%	-0.43%
Volatility (1Y) Calculated over the trailing 1-year period	4.94%	5.64%	-0.70%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.31%	8.62%	-2.31%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.14%	10.09%	-3.95%

OCTW vs. PSEP - Expense Ratio Comparison

OCTW has a 0.74% expense ratio, which is lower than PSEP's 0.79% expense ratio.

Dividends

OCTW vs. PSEP - Dividend Comparison

Neither OCTW nor PSEP has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both OCTW and PSEP in my portfolio?

With a correlation of 0.92, OCTW and PSEP move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, OCTW or PSEP?

OCTW has higher volatility (1.31%) compared to PSEP (1.29%). In terms of maximum drawdown, OCTW dropped -8.38% vs PSEP's -17.90%.

Which ETF is better, OCTW or PSEP?

On 5-year performance, PSEP leads with 9.28% vs 8.71% for OCTW. On fees, OCTW is cheaper at 0.74% 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, OCTW or PSEP?

Over the 5-year period, PSEP has performed better with a 9.28% return vs 8.71%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, OCTW or PSEP?

OCTW is cheaper with a 0.74% expense ratio, compared with 0.79% for PSEP.

Which ETF pays a higher dividend yield, OCTW or PSEP?

OCTW and PSEP have nearly identical dividend yields, around 0.00%.

What is the main difference between OCTW and PSEP?

OCTW tracks SPDR S&P 500 ETF Trust, while PSEP tracks S&P 500 Index. They also come from different issuers: Allianz and Innovator. Their fees differ too: 0.74% for OCTW and 0.79% for PSEP.

Which has better risk-adjusted returns?

PSEP currently has the higher Sharpe Ratio (2.46 vs 2.29), 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.