PAYR vs. FLCC

Last updated Jun 3, 2026

PAYR (Federated Hermes Enhanced Income ETF) and FLCC (Federated Hermes MDT Large Cap Core ETF) are both exchange-traded funds - PAYR is a Derivative Income fund actively managed by Federated Hermes, while FLCC is a Large Cap Blend Equities fund actively managed by Federated Hermes. Both are actively managed. At a 0.26 correlation, their price movements are largely independent. PAYR charges 0.40%/yr vs 0.29%/yr for FLCC.

Performance

PAYR vs. FLCC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Federated Hermes Enhanced Income ETF (PAYR) and Federated Hermes MDT Large Cap Core ETF (FLCC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PAYR achieves a 7.24% return, which is significantly lower than FLCC's 9.74% return.

PAYR

• 1D: 0.19%
• 1M: -1.82%
• YTD: 7.24%
• 6M: 8.44%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

FLCC

• 1D: -0.12%
• 1M: 3.96%
• YTD: 9.74%
• 6M: 10.95%
• 1Y: 23.60%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

PAYR vs. FLCC - Yearly Performance Comparison

	2026 (YTD)	2025
PAYR Federated Hermes Enhanced Income ETF	7.24%	3.73%
FLCC Federated Hermes MDT Large Cap Core ETF	9.74%	1.80%

Correlation

The correlation between PAYR and FLCC is 0.26, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (All Time) Calculated using the full available price history since Oct 9, 2025	0.26

Return for Risk

PAYR vs. FLCC — Risk / Return Rank

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

FLCC

FLCC Risk / Return Rank: 54
FLCC Sharpe Ratio Rank: 54
FLCC Sortino Ratio Rank: 53
FLCC Omega Ratio Rank: 53
FLCC Calmar Ratio Rank: 51
FLCC 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.

PAYR vs. FLCC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Federated Hermes Enhanced Income ETF (PAYR) and Federated Hermes MDT Large Cap Core ETF (FLCC). 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.

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

Sharpe Ratios by Period

	PAYR	FLCC	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	—	1.87	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.85	1.18	+0.67

Drawdowns

PAYR vs. FLCC - Drawdown Comparison

The maximum PAYR drawdown since its inception was -5.24%, smaller than the maximum FLCC drawdown of -19.18%. Use the drawdown chart below to compare losses from any high point for PAYR and FLCC.

Drawdown Indicators

	PAYR	FLCC	Difference
Max Drawdown Largest peak-to-trough decline	-5.24%	-19.18%	+13.94%
Max Drawdown (1Y) Largest decline over 1 year	—	-9.31%	—
Current Drawdown Current decline from peak	-4.74%	-0.12%	-4.62%
Average Drawdown Average peak-to-trough decline	-1.57%	-2.35%	+0.78%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	2.29%	—

Volatility

Volatility by Period

	PAYR	FLCC	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	2.54%	—
Volatility (6M) Calculated over the trailing 6-month period	—	9.51%	—
Volatility (1Y) Calculated over the trailing 1-year period	9.76%	12.66%	-2.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.76%	17.38%	-7.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	9.76%	17.38%	-7.62%

PAYR vs. FLCC - Expense Ratio Comparison

PAYR has a 0.40% expense ratio, which is higher than FLCC's 0.29% expense ratio.

Dividends

PAYR vs. FLCC - Dividend Comparison

PAYR's dividend yield for the trailing twelve months is around 5.47%, more than FLCC's 0.46% yield.

Position	TTM	2025	2024
FLCC Federated Hermes MDT Large Cap Core ETF	0.46%	0.50%	0.20%
PAYR Federated Hermes Enhanced Income ETF	5.47%	1.99%	0.00%

Frequently Asked Questions

Can I hold both PAYR and FLCC in my portfolio?

PAYR and FLCC have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, PAYR or FLCC?

On fees, FLCC is cheaper at 0.29% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, PAYR or FLCC?

FLCC is cheaper with a 0.29% expense ratio, compared with 0.40% for PAYR.

Which ETF pays a higher dividend yield, PAYR or FLCC?

PAYR has the higher dividend yield at 5.47%, compared with 0.46% for FLCC.

What is the main difference between PAYR and FLCC?

PAYR is categorized as Derivative Income, while FLCC is Large Cap Blend Equities. Their fees differ too: 0.40% for PAYR and 0.29% for FLCC.