PMOTX vs. ACFIX

Last updated Jun 5, 2026

PMOTX (Putnam Mortgage Opportunities Fund) and ACFIX (Water Island Credit Opportunities Fund) are both Nontraditional Bonds funds. Over the past 10 years, PMOTX returned 4.31%/yr vs 3.76%/yr for ACFIX. At a 0.11 correlation, their price movements are largely independent. PMOTX charges 0.47%/yr vs 0.98%/yr for ACFIX.

Performance

PMOTX vs. ACFIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Putnam Mortgage Opportunities Fund (PMOTX) and Water Island Credit Opportunities Fund (ACFIX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PMOTX achieves a 4.69% return, which is significantly higher than ACFIX's 2.14% return. Over the past 10 years, PMOTX has outperformed ACFIX with an annualized return of 4.31%, while ACFIX has yielded a comparatively lower 3.76% annualized return.

PMOTX

• 1D: 0.00%
• 1M: 1.48%
• YTD: 4.69%
• 6M: 3.52%
• 1Y: 6.18%
• 3Y*: 8.35%
• 5Y*: 4.64%
• 10Y*: 4.31%

ACFIX

• 1D: 0.00%
• 1M: 0.62%
• YTD: 2.14%
• 6M: 2.30%
• 1Y: 4.69%
• 3Y*: 5.48%
• 5Y*: 3.48%
• 10Y*: 3.76%

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

PMOTX vs. ACFIX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PMOTX Putnam Mortgage Opportunities Fund	4.69%	3.83%	10.08%	6.71%	4.33%	-3.63%	-6.27%	12.02%	3.12%	6.13%
ACFIX Water Island Credit Opportunities Fund	2.14%	4.79%	5.51%	6.54%	-2.70%	3.24%	6.71%	5.68%	1.85%	1.45%

Correlation

The correlation between PMOTX and ACFIX is -0.09, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.09
Correlation (3Y) Calculated over the trailing 3-year period	0.04
Correlation (5Y) Calculated over the trailing 5-year period	0.08
Correlation (10Y) Calculated over the trailing 10-year period	0.11
Correlation (All Time) Calculated using the full available price history since Jan 5, 2016	0.11

The correlation between PMOTX and ACFIX shifts across timeframes, from -0.09 (1 year) to 0.11 (all time), reflecting how their relationship changes across market environments.

Return for Risk

PMOTX vs. ACFIX — Risk / Return Rank

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

PMOTX

PMOTX Risk / Return Rank: 67
PMOTX Sharpe Ratio Rank: 50
PMOTX Sortino Ratio Rank: 48
PMOTX Omega Ratio Rank: 78
PMOTX Calmar Ratio Rank: 86
PMOTX Martin Ratio Rank: 71

ACFIX

ACFIX Risk / Return Rank: 15
ACFIX Sharpe Ratio Rank: 4
ACFIX Sortino Ratio Rank: 4
ACFIX Omega Ratio Rank: 57
ACFIX Calmar Ratio Rank: 4
ACFIX Martin Ratio Rank: 3

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.

PMOTX vs. ACFIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Putnam Mortgage Opportunities Fund (PMOTX) and Water Island Credit Opportunities Fund (ACFIX). 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.

	PMOTX	ACFIX	Difference
Sharpe ratio: Return per unit of total volatility	2.05	0.14	+1.91
Sortino ratio: Return per unit of downside risk	2.89	0.48	+2.40
Omega ratio: Gain probability vs. loss probability	1.51	1.41	+0.10
Calmar ratio: Return relative to maximum drawdown	4.07	0.23	+3.84
Martin ratio: Return relative to average drawdown	13.41	0.27	+13.14
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PMOTX vs. ACFIX - Sharpe Ratio Comparison

The current PMOTX Sharpe Ratio is 2.05, which is higher than the ACFIX Sharpe Ratio of 0.14. The chart below compares the historical Sharpe Ratios of PMOTX and ACFIX, 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

	PMOTX	ACFIX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.05	0.14	+1.91
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.33	0.23	+1.10
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.91	0.35	+0.57
Sharpe Ratio (All Time) Calculated using the full available price history	0.85	0.36	+0.49

Drawdowns

PMOTX vs. ACFIX - Drawdown Comparison

The maximum PMOTX drawdown since its inception was -17.57%, smaller than the maximum ACFIX drawdown of -20.82%. Use the drawdown chart below to compare losses from any high point for PMOTX and ACFIX.

Drawdown Indicators

	PMOTX	ACFIX	Difference
Max Drawdown Largest peak-to-trough decline	-17.57%	-20.82%	+3.25%
Max Drawdown (1Y) Largest decline over 1 year	-1.56%	-20.82%	+19.26%
Max Drawdown (3Y) Largest decline over 3 years	-1.77%	-20.82%	+19.05%
Max Drawdown (5Y) Largest decline over 5 years	-6.20%	-20.82%	+14.62%
Max Drawdown (10Y) Largest decline over 10 years	-17.57%	-20.82%	+3.25%
Current Drawdown Current decline from peak	-0.00%	-17.62%	+17.62%
Average Drawdown Average peak-to-trough decline	-2.99%	-1.69%	-1.30%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.47%	17.12%	-16.65%

Volatility

PMOTX vs. ACFIX - Volatility Comparison

Putnam Mortgage Opportunities Fund (PMOTX) has a higher volatility of 1.15% compared to Water Island Credit Opportunities Fund (ACFIX) at 0.43%. This indicates that PMOTX's price experiences larger fluctuations and is considered to be riskier than ACFIX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PMOTX	ACFIX	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.15%	0.43%	+0.72%
Volatility (6M) Calculated over the trailing 6-month period	2.55%	1.00%	+1.55%
Volatility (1Y) Calculated over the trailing 1-year period	3.10%	33.49%	-30.39%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	3.52%	15.13%	-11.61%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.73%	10.89%	-6.16%

PMOTX vs. ACFIX - Expense Ratio Comparison

PMOTX has a 0.47% expense ratio, which is lower than ACFIX's 0.98% expense ratio.

Dividends

PMOTX vs. ACFIX - Dividend Comparison

PMOTX's dividend yield for the trailing twelve months is around 3.71%, less than ACFIX's 3.85% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ACFIX Water Island Credit Opportunities Fund	3.85%	4.17%	4.71%	4.00%	3.55%	2.59%	2.95%	3.52%	2.92%	3.01%	2.38%	2.91%
PMOTX Putnam Mortgage Opportunities Fund	3.71%	4.26%	6.11%	7.73%	5.17%	4.72%	3.64%	6.83%	5.94%	0.77%	0.00%	0.00%

Frequently Asked Questions

Can I hold both PMOTX and ACFIX in my portfolio?

PMOTX and ACFIX have a correlation of -0.09, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PMOTX or ACFIX?

PMOTX has higher volatility (1.15%) compared to ACFIX (0.43%). In terms of maximum drawdown, PMOTX dropped -17.57% vs ACFIX's -20.82%.

Which has better risk-adjusted returns?

PMOTX currently has the higher Sharpe Ratio (2.05 vs 0.14), 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.