PHTFX vs. PQIAX

Last updated Jun 5, 2026

PHTFX (Principal LifeTime Hybrid Income Fund) and PQIAX (Principal Equity Income Fund) are both mutual funds - PHTFX is a Target Retirement Date fund managed by Principal, while PQIAX is a Large Cap Value Equities fund managed by Principal. Over the past 10 years, PHTFX returned 5.10%/yr vs 12.29%/yr for PQIAX. A 0.75 correlation means they provide meaningful diversification when combined. PHTFX charges 0.05%/yr vs 0.86%/yr for PQIAX.

Performance

PHTFX vs. PQIAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal LifeTime Hybrid Income Fund (PHTFX) and Principal Equity Income Fund (PQIAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PHTFX achieves a 4.48% return, which is significantly lower than PQIAX's 8.30% return. Over the past 10 years, PHTFX has underperformed PQIAX with an annualized return of 5.10%, while PQIAX has yielded a comparatively higher 12.29% annualized return.

PHTFX

• 1D: -0.35%
• 1M: 1.42%
• YTD: 4.48%
• 6M: 4.72%
• 1Y: 12.30%
• 3Y*: 9.70%
• 5Y*: 4.19%
• 10Y*: 5.10%

PQIAX

• 1D: -0.43%
• 1M: -0.36%
• YTD: 8.30%
• 6M: 7.99%
• 1Y: 22.22%
• 3Y*: 20.55%
• 5Y*: 10.61%
• 10Y*: 12.29%

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

PHTFX vs. PQIAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PHTFX Principal LifeTime Hybrid Income Fund	4.48%	11.14%	7.52%	10.77%	-13.22%	5.13%	10.11%	11.82%	-2.75%	7.62%
PQIAX Principal Equity Income Fund	8.30%	15.29%	26.56%	10.77%	-10.82%	21.88%	6.12%	28.44%	-5.44%	20.53%

Correlation

The correlation between PHTFX and PQIAX is 0.75, 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	0.75
Correlation (3Y) Calculated over the trailing 3-year period	0.77
Correlation (5Y) Calculated over the trailing 5-year period	0.80
Correlation (10Y) Calculated over the trailing 10-year period	0.76
Correlation (All Time) Calculated using the full available price history since Oct 2, 2014	0.75

The correlation between PHTFX and PQIAX has been stable across timeframes, ranging from 0.75 to 0.80 - a consistent structural relationship.

Return for Risk

PHTFX vs. PQIAX — Risk / Return Rank

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

PHTFX

PHTFX Risk / Return Rank: 73
PHTFX Sharpe Ratio Rank: 70
PHTFX Sortino Ratio Rank: 73
PHTFX Omega Ratio Rank: 74
PHTFX Calmar Ratio Rank: 69
PHTFX Martin Ratio Rank: 77

PQIAX

PQIAX Risk / Return Rank: 57
PQIAX Sharpe Ratio Rank: 51
PQIAX Sortino Ratio Rank: 54
PQIAX Omega Ratio Rank: 49
PQIAX Calmar Ratio Rank: 67
PQIAX Martin Ratio Rank: 62

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.

PHTFX vs. PQIAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal LifeTime Hybrid Income Fund (PHTFX) and Principal Equity Income Fund (PQIAX). 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.

	PHTFX	PQIAX	Difference
Sharpe ratio: Return per unit of total volatility	2.39	2.08	+0.31
Sortino ratio: Return per unit of downside risk	3.49	3.07	+0.42
Omega ratio: Gain probability vs. loss probability	1.48	1.38	+0.10
Calmar ratio: Return relative to maximum drawdown	3.09	3.12	-0.03
Martin ratio: Return relative to average drawdown	14.03	12.21	+1.82
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PHTFX vs. PQIAX - Sharpe Ratio Comparison

The current PHTFX Sharpe Ratio is 2.39, which is comparable to the PQIAX Sharpe Ratio of 2.08. The chart below compares the historical Sharpe Ratios of PHTFX and PQIAX, 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

	PHTFX	PQIAX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.39	2.08	+0.31
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.62	0.70	-0.08
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.83	0.75	+0.08
Sharpe Ratio (All Time) Calculated using the full available price history	0.81	0.42	+0.39

Drawdowns

PHTFX vs. PQIAX - Drawdown Comparison

The maximum PHTFX drawdown since its inception was -17.26%, smaller than the maximum PQIAX drawdown of -54.68%. Use the drawdown chart below to compare losses from any high point for PHTFX and PQIAX.

Drawdown Indicators

	PHTFX	PQIAX	Difference
Max Drawdown Largest peak-to-trough decline	-17.26%	-54.68%	+37.42%
Max Drawdown (1Y) Largest decline over 1 year	-4.10%	-7.07%	+2.97%
Max Drawdown (3Y) Largest decline over 3 years	-6.04%	-15.47%	+9.43%
Max Drawdown (5Y) Largest decline over 5 years	-17.26%	-21.22%	+3.96%
Max Drawdown (10Y) Largest decline over 10 years	-17.26%	-37.67%	+20.41%
Current Drawdown Current decline from peak	-0.35%	-1.21%	+0.86%
Average Drawdown Average peak-to-trough decline	-2.57%	-7.01%	+4.44%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.90%	1.80%	-0.90%

Volatility

PHTFX vs. PQIAX - Volatility Comparison

The current volatility for Principal LifeTime Hybrid Income Fund (PHTFX) is 1.82%, while Principal Equity Income Fund (PQIAX) has a volatility of 2.55%. This indicates that PHTFX experiences smaller price fluctuations and is considered to be less risky than PQIAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PHTFX	PQIAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.82%	2.55%	-0.73%
Volatility (6M) Calculated over the trailing 6-month period	4.32%	7.84%	-3.52%
Volatility (1Y) Calculated over the trailing 1-year period	5.31%	10.61%	-5.30%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.82%	15.27%	-8.45%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	6.16%	16.41%	-10.25%

PHTFX vs. PQIAX - Expense Ratio Comparison

PHTFX has a 0.05% expense ratio, which is lower than PQIAX's 0.86% expense ratio.

Dividends

PHTFX vs. PQIAX - Dividend Comparison

PHTFX's dividend yield for the trailing twelve months is around 4.35%, less than PQIAX's 9.18% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PHTFX Principal LifeTime Hybrid Income Fund	4.35%	4.54%	3.34%	3.60%	5.20%	5.57%	4.92%	2.96%	2.07%	2.43%	1.41%	1.52%
PQIAX Principal Equity Income Fund	9.18%	9.92%	20.62%	2.58%	5.37%	5.05%	1.52%	4.30%	7.41%	6.28%	3.73%	2.11%

Frequently Asked Questions

Can I hold both PHTFX and PQIAX in my portfolio?

PHTFX and PQIAX have a correlation of 0.75, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PHTFX or PQIAX?

PQIAX has higher volatility (2.55%) compared to PHTFX (1.82%). In terms of maximum drawdown, PHTFX dropped -17.26% vs PQIAX's -54.68%.

Which has better risk-adjusted returns?

PHTFX currently has the higher Sharpe Ratio (2.39 vs 2.08), 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.