PHTMX vs. FCQTX

Last updated Jun 6, 2026

PHTMX (Principal LifeTime Hybrid 2015 Fund) and FCQTX (American Funds 2065 Target Date Retirement Fund) are both Target Retirement Date funds. Over the past 5 years, PHTMX returned 4.38%/yr vs 9.97%/yr for FCQTX. Their correlation of 0.91 suggests significant overlap in exposure. PHTMX charges 0.05%/yr vs 0.01%/yr for FCQTX.

Performance

PHTMX vs. FCQTX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal LifeTime Hybrid 2015 Fund (PHTMX) and American Funds 2065 Target Date Retirement Fund (FCQTX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PHTMX achieves a 4.64% return, which is significantly lower than FCQTX's 10.65% return.

PHTMX

• 1D: 0.24%
• 1M: 0.72%
• YTD: 4.64%
• 6M: 4.91%
• 1Y: 12.61%
• 3Y*: 9.99%
• 5Y*: 4.38%
• 10Y*: 6.21%

FCQTX

• 1D: 0.13%
• 1M: 1.82%
• YTD: 10.65%
• 6M: 11.12%
• 1Y: 25.63%
• 3Y*: 19.78%
• 5Y*: 9.97%
• 10Y*: —

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

PHTMX vs. FCQTX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
PHTMX Principal LifeTime Hybrid 2015 Fund	4.64%	11.23%	7.87%	11.09%	-13.61%	7.83%	22.99%
FCQTX American Funds 2065 Target Date Retirement Fund	10.65%	20.74%	15.64%	21.56%	-19.63%	17.34%	47.06%

Correlation

The correlation between PHTMX and FCQTX is 0.90, 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	0.90
Correlation (3Y) Calculated over the trailing 3-year period	0.88
Correlation (5Y) Calculated over the trailing 5-year period	0.90
Correlation (All Time) Calculated using the full available price history since Mar 30, 2020	0.91

The correlation between PHTMX and FCQTX has been stable across timeframes, ranging from 0.88 to 0.91 - a consistent structural relationship.

Return for Risk

PHTMX vs. FCQTX — Risk / Return Rank

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

PHTMX

PHTMX Risk / Return Rank: 71
PHTMX Sharpe Ratio Rank: 67
PHTMX Sortino Ratio Rank: 72
PHTMX Omega Ratio Rank: 73
PHTMX Calmar Ratio Rank: 67
PHTMX Martin Ratio Rank: 75

FCQTX

FCQTX Risk / Return Rank: 55
FCQTX Sharpe Ratio Rank: 56
FCQTX Sortino Ratio Rank: 54
FCQTX Omega Ratio Rank: 54
FCQTX Calmar Ratio Rank: 50
FCQTX Martin Ratio Rank: 63

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.

PHTMX vs. FCQTX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal LifeTime Hybrid 2015 Fund (PHTMX) and American Funds 2065 Target Date Retirement Fund (FCQTX). 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.

	PHTMX	FCQTX	Difference
Sharpe ratio: Return per unit of total volatility	2.33	2.13	+0.20
Sortino ratio: Return per unit of downside risk	3.43	3.00	+0.43
Omega ratio: Gain probability vs. loss probability	1.46	1.39	+0.07
Calmar ratio: Return relative to maximum drawdown	3.05	2.61	+0.44
Martin ratio: Return relative to average drawdown	13.68	11.86	+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.

PHTMX vs. FCQTX - Sharpe Ratio Comparison

The current PHTMX Sharpe Ratio is 2.33, which is comparable to the FCQTX Sharpe Ratio of 2.13. The chart below compares the historical Sharpe Ratios of PHTMX and FCQTX, 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

	PHTMX	FCQTX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.33	2.13	+0.20
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.62	0.68	-0.07
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.84	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.78	1.12	-0.33

Drawdowns

PHTMX vs. FCQTX - Drawdown Comparison

The maximum PHTMX drawdown since its inception was -17.93%, smaller than the maximum FCQTX drawdown of -27.34%. Use the drawdown chart below to compare losses from any high point for PHTMX and FCQTX.

Drawdown Indicators

	PHTMX	FCQTX	Difference
Max Drawdown Largest peak-to-trough decline	-17.93%	-27.34%	+9.41%
Max Drawdown (1Y) Largest decline over 1 year	-4.12%	-9.83%	+5.71%
Max Drawdown (3Y) Largest decline over 3 years	-6.12%	-15.53%	+9.41%
Max Drawdown (5Y) Largest decline over 5 years	-17.93%	-27.34%	+9.41%
Max Drawdown (10Y) Largest decline over 10 years	-17.93%	—	—
Current Drawdown Current decline from peak	-0.24%	-0.45%	+0.21%
Average Drawdown Average peak-to-trough decline	-3.06%	-5.88%	+2.82%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.92%	2.16%	-1.24%

Volatility

PHTMX vs. FCQTX - Volatility Comparison

The current volatility for Principal LifeTime Hybrid 2015 Fund (PHTMX) is 1.86%, while American Funds 2065 Target Date Retirement Fund (FCQTX) has a volatility of 3.59%. This indicates that PHTMX experiences smaller price fluctuations and is considered to be less risky than FCQTX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PHTMX	FCQTX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.86%	3.59%	-1.73%
Volatility (6M) Calculated over the trailing 6-month period	4.38%	9.64%	-5.26%
Volatility (1Y) Calculated over the trailing 1-year period	5.39%	12.03%	-6.64%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	7.14%	14.72%	-7.58%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	7.38%	15.04%	-7.66%

PHTMX vs. FCQTX - Expense Ratio Comparison

PHTMX has a 0.05% expense ratio, which is higher than FCQTX's 0.01% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

PHTMX vs. FCQTX - Dividend Comparison

PHTMX's dividend yield for the trailing twelve months is around 4.21%, which matches FCQTX's 4.22% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FCQTX American Funds 2065 Target Date Retirement Fund	4.22%	4.67%	2.80%	1.99%	3.96%	1.54%	0.72%	0.00%	0.00%	0.00%	0.00%	0.00%
PHTMX Principal LifeTime Hybrid 2015 Fund	4.21%	4.41%	3.87%	3.45%	5.20%	5.53%	4.89%	3.11%	2.24%	2.33%	2.00%	1.61%

Frequently Asked Questions

Can I hold both PHTMX and FCQTX in my portfolio?

PHTMX and FCQTX have a correlation of 0.90, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PHTMX or FCQTX?

FCQTX has higher volatility (3.59%) compared to PHTMX (1.86%). In terms of maximum drawdown, PHTMX dropped -17.93% vs FCQTX's -27.34%.

Which has better risk-adjusted returns?

PHTMX currently has the higher Sharpe Ratio (2.33 vs 2.13), 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.