PFF vs. PFFD

Last updated Jun 7, 2026

PFF (iShares Preferred and Income Securities ETF) and PFFD (Global X U.S. Preferred ETF) are both Preferred Stock/Convertible Bonds funds - PFF tracks the ICE Exchange-Listed Preferred & Hybrid Securities Index while PFFD tracks the ICE BofAML Diversified Core U.S. Preferred Securities Index. Both are passively managed. Over the past 5 years, PFF returned 1.29%/yr vs -0.25%/yr for PFFD. Their correlation of 0.88 suggests significant overlap in exposure. PFF charges 0.46%/yr vs 0.23%/yr for PFFD.

Performance

PFF vs. PFFD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Preferred and Income Securities ETF (PFF) and Global X U.S. Preferred ETF (PFFD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with PFF having a 1.87% return and PFFD slightly lower at 1.80%.

PFF

• 1D: -1.09%
• 1M: -1.50%
• YTD: 1.87%
• 6M: 2.39%
• 1Y: 7.87%
• 3Y*: 6.29%
• 5Y*: 1.29%
• 10Y*: 3.21%

PFFD

• 1D: -0.79%
• 1M: -0.79%
• YTD: 1.80%
• 6M: 2.34%
• 1Y: 6.73%
• 3Y*: 5.02%
• 5Y*: -0.25%
• 10Y*: —

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

PFF vs. PFFD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PFF iShares Preferred and Income Securities ETF	1.87%	4.87%	7.24%	9.22%	-18.19%	7.15%	7.89%	15.93%	-4.64%	-0.32%
PFFD Global X U.S. Preferred ETF	1.80%	3.22%	7.07%	6.85%	-20.20%	5.07%	8.90%	17.43%	-3.94%	0.85%

Correlation

The correlation between PFF and PFFD 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	0.94
Correlation (5Y) Calculated over the trailing 5-year period	0.94
Correlation (All Time) Calculated using the full available price history since Sep 14, 2017	0.88

The correlation between PFF and PFFD has been stable across timeframes, ranging from 0.88 to 0.94 - a consistent structural relationship.

PFF vs. PFFD - Sectors Allocation Comparison

Sectors	PFF	PFFD
Financial Services	51.6%	59.0%
Real Estate	10.5%	4.0%
Utilities	8.7%	15.1%
Industrials	5.6%	5.6%
Technology	4.9%	6.5%
Communication Services	3.4%	4.4%
Basic Materials	1.6%	3.0%
Healthcare	1.4%	1.0%
Consumer Cyclical	1.3%	1.6%
Consumer Defensive	1.2%	-
Energy	0.4%	-

Return for Risk

PFF vs. PFFD — Risk / Return Rank

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

PFF

PFF Risk / Return Rank: 31
PFF Sharpe Ratio Rank: 32
PFF Sortino Ratio Rank: 32
PFF Omega Ratio Rank: 30
PFF Calmar Ratio Rank: 31
PFF Martin Ratio Rank: 32

PFFD

PFFD Risk / Return Rank: 25
PFFD Sharpe Ratio Rank: 27
PFFD Sortino Ratio Rank: 25
PFFD Omega Ratio Rank: 24
PFFD Calmar Ratio Rank: 24
PFFD Martin Ratio Rank: 25

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.

PFF vs. PFFD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Preferred and Income Securities ETF (PFF) and Global X U.S. Preferred ETF (PFFD). 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.

	PFF	PFFD	Difference
Sharpe ratio: Return per unit of total volatility	1.14	0.92	+0.22
Sortino ratio: Return per unit of downside risk	1.64	1.33	+0.31
Omega ratio: Gain probability vs. loss probability	1.20	1.16	+0.04
Calmar ratio: Return relative to maximum drawdown	1.47	1.11	+0.36
Martin ratio: Return relative to average drawdown	4.54	3.29	+1.25
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PFF vs. PFFD - Sharpe Ratio Comparison

The current PFF Sharpe Ratio is 1.14, which is comparable to the PFFD Sharpe Ratio of 0.92. The chart below compares the historical Sharpe Ratios of PFF and PFFD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	PFF	PFFD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.14	0.92	+0.22
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.13	-0.02	+0.15
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.25	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.21	0.20	0.00

Drawdowns

PFF vs. PFFD - Drawdown Comparison

The maximum PFF drawdown since its inception was -65.55%, which is greater than PFFD's maximum drawdown of -30.93%. Use the drawdown chart below to compare losses from any high point for PFF and PFFD.

Drawdown Indicators

	PFF	PFFD	Difference
Max Drawdown Largest peak-to-trough decline	-65.55%	-30.93%	-34.62%
Max Drawdown (1Y) Largest decline over 1 year	-5.28%	-5.97%	+0.69%
Max Drawdown (3Y) Largest decline over 3 years	-10.63%	-10.84%	+0.21%
Max Drawdown (5Y) Largest decline over 5 years	-21.05%	-24.45%	+3.40%
Max Drawdown (10Y) Largest decline over 10 years	-34.10%	—	—
Current Drawdown Current decline from peak	-2.12%	-4.14%	+2.02%
Average Drawdown Average peak-to-trough decline	-5.76%	-6.58%	+0.82%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.71%	2.01%	-0.30%

Volatility

PFF vs. PFFD - Volatility Comparison

iShares Preferred and Income Securities ETF (PFF) and Global X U.S. Preferred ETF (PFFD) have volatilities of 2.19% and 2.13%, 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

	PFF	PFFD	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.19%	2.13%	+0.06%
Volatility (6M) Calculated over the trailing 6-month period	5.18%	5.36%	-0.18%
Volatility (1Y) Calculated over the trailing 1-year period	6.83%	7.23%	-0.40%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.31%	10.99%	-0.68%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	12.66%	12.75%	-0.09%

PFF vs. PFFD - Expense Ratio Comparison

PFF has a 0.46% expense ratio, which is higher than PFFD's 0.23% expense ratio.

Dividends

PFF vs. PFFD - Dividend Comparison

PFF's dividend yield for the trailing twelve months is around 5.53%, less than PFFD's 6.40% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PFF iShares Preferred and Income Securities ETF	5.53%	6.30%	6.32%	6.63%	6.01%	4.45%	4.79%	5.31%	6.32%	5.59%	5.85%	5.76%
PFFD Global X U.S. Preferred ETF	6.40%	6.37%	6.42%	6.49%	6.63%	5.09%	5.17%	5.48%	6.21%	1.94%	0.00%	0.00%

Frequently Asked Questions

Can I hold both PFF and PFFD in my portfolio?

With a correlation of 0.92, PFF and PFFD 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, PFF or PFFD?

PFF has higher volatility (2.19%) compared to PFFD (2.13%). In terms of maximum drawdown, PFF dropped -65.55% vs PFFD's -30.93%.

Which ETF is better, PFF or PFFD?

On 5-year performance, PFF leads with 1.29% vs -0.25% for PFFD. On fees, PFFD is cheaper at 0.23% 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, PFF or PFFD?

Over the 5-year period, PFF has performed better with a 1.29% return vs -0.25%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PFF or PFFD?

PFFD is cheaper with a 0.23% expense ratio, compared with 0.46% for PFF.

Which ETF pays a higher dividend yield, PFF or PFFD?

PFFD has the higher dividend yield at 6.40%, compared with 5.53% for PFF.

What is the main difference between PFF and PFFD?

PFF tracks ICE Exchange-Listed Preferred & Hybrid Securities Index, while PFFD tracks ICE BofAML Diversified Core U.S. Preferred Securities Index. They also come from different issuers: iShares and Global X. Their fees differ too: 0.46% for PFF and 0.23% for PFFD.

Which has better risk-adjusted returns?

PFF currently has the higher Sharpe Ratio (1.14 vs 0.92), 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.