PPA vs. FSDAX

Last updated Jun 23, 2026

PPA (Invesco Aerospace & Defense ETF) and FSDAX (Fidelity Select Defense & Aerospace Portfolio) are both Aerospace & Defense funds. PPA is passively managed, while FSDAX is actively managed. Over the past 10 years, PPA returned 17.85%/yr vs 16.07%/yr for FSDAX. With a 0.95 correlation, they move nearly in lockstep. PPA charges 0.58%/yr vs 0.63%/yr for FSDAX.

Performance

PPA vs. FSDAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Aerospace & Defense ETF (PPA) and Fidelity Select Defense & Aerospace Portfolio (FSDAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PPA achieves a 10.34% return, which is significantly lower than FSDAX's 12.70% return. Over the past 10 years, PPA has outperformed FSDAX with an annualized return of 17.85%, while FSDAX has yielded a comparatively lower 16.07% annualized return.

PPA

• 1D: -1.44%
• 1M: 1.49%
• YTD: 10.34%
• 6M: 8.28%
• 1Y: 28.04%
• 3Y*: 29.01%
• 5Y*: 18.72%
• 10Y*: 17.85%

FSDAX

• 1D: -1.16%
• 1M: 7.55%
• YTD: 12.70%
• 6M: 10.25%
• 1Y: 33.42%
• 3Y*: 29.57%
• 5Y*: 18.05%
• 10Y*: 16.07%

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

PPA vs. FSDAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PPA Invesco Aerospace & Defense ETF	10.34%	37.15%	25.28%	18.41%	9.52%	7.09%	0.45%	39.63%	-7.51%	30.10%
FSDAX Fidelity Select Defense & Aerospace Portfolio	12.70%	50.03%	15.83%	16.29%	6.83%	4.91%	-7.87%	33.75%	-6.83%	34.15%

Correlation

The correlation between PPA and FSDAX is 0.94, 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	0.94
Correlation (3Y) Calculated over the trailing 3-year period	0.92
Correlation (5Y) Calculated over the trailing 5-year period	0.94
Correlation (10Y) Calculated over the trailing 10-year period	0.95
Correlation (All Time) Calculated using the full available price history since Oct 26, 2005	0.95

The correlation between PPA and FSDAX has been stable across timeframes, ranging from 0.92 to 0.95 - a consistent structural relationship.

Return for Risk

PPA vs. FSDAX — Risk / Return Rank

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

PPA

PPA Risk / Return Rank: 40
PPA Sharpe Ratio Rank: 40
PPA Sortino Ratio Rank: 42
PPA Omega Ratio Rank: 37
PPA Calmar Ratio Rank: 42
PPA Martin Ratio Rank: 38

FSDAX

FSDAX Risk / Return Rank: 33
FSDAX Sharpe Ratio Rank: 34
FSDAX Sortino Ratio Rank: 35
FSDAX Omega Ratio Rank: 31
FSDAX Calmar Ratio Rank: 36
FSDAX Martin Ratio Rank: 28

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.

PPA vs. FSDAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Aerospace & Defense ETF (PPA) and Fidelity Select Defense & Aerospace Portfolio (FSDAX). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	PPA	FSDAX	Difference
Sharpe ratio: Return per unit of total volatility	1.40	1.57	-0.17
Sortino ratio: Return per unit of downside risk	2.08	2.28	-0.20
Omega ratio: Gain probability vs. loss probability	1.24	1.27	-0.03
Calmar ratio: Return relative to maximum drawdown	2.06	2.15	-0.09
Martin ratio: Return relative to average drawdown	5.73	6.14	-0.41

PPA vs. FSDAX - Sharpe Ratio Comparison

The current PPA Sharpe Ratio is 1.40, which is comparable to the FSDAX Sharpe Ratio of 1.57. The chart below compares the historical Sharpe Ratios of PPA and FSDAX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

PPA vs. FSDAX - Drawdown Comparison

The maximum PPA drawdown since its inception was -57.37%, smaller than the maximum FSDAX drawdown of -60.59%. Use the drawdown chart below to compare losses from any high point for PPA and FSDAX.

Drawdown Indicators

	PPA	FSDAX	Difference
Max Drawdown Largest peak-to-trough decline	-57.37%	-60.59%	+3.22%
Max Drawdown (1Y) Largest decline over 1 year	-13.71%	-16.13%	+2.42%
Max Drawdown (3Y) Largest decline over 3 years	-15.24%	-16.13%	+0.89%
Max Drawdown (5Y) Largest decline over 5 years	-18.37%	-22.48%	+4.11%
Max Drawdown (10Y) Largest decline over 10 years	-43.92%	-47.08%	+3.16%
Current Drawdown Current decline from peak	-6.87%	-2.00%	-4.87%
Average Drawdown Average peak-to-trough decline	-9.18%	-10.44%	+1.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.91%	5.64%	-0.73%

Volatility

PPA vs. FSDAX - Volatility Comparison

Invesco Aerospace & Defense ETF (PPA) and Fidelity Select Defense & Aerospace Portfolio (FSDAX) have volatilities of 8.37% and 8.33%, 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

	PPA	FSDAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.37%	8.33%	+0.04%
Volatility (6M) Calculated over the trailing 6-month period	17.10%	19.02%	-1.92%
Volatility (1Y) Calculated over the trailing 1-year period	20.18%	22.10%	-1.92%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.70%	20.64%	-1.94%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.75%	22.45%	-1.70%

PPA vs. FSDAX - Expense Ratio Comparison

PPA has a 0.58% expense ratio, which is lower than FSDAX's 0.63% expense ratio.

Dividends

PPA vs. FSDAX - Dividend Comparison

PPA's dividend yield for the trailing twelve months is around 0.46%, less than FSDAX's 2.03% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FSDAX Fidelity Select Defense & Aerospace Portfolio	2.03%	4.48%	7.68%	6.47%	8.87%	8.38%	2.11%	2.62%	11.45%	3.57%	4.87%	6.30%
PPA Invesco Aerospace & Defense ETF	0.46%	0.42%	0.61%	0.67%	0.83%	0.59%	0.88%	0.95%	0.90%	0.67%	1.70%	1.41%

Frequently Asked Questions

Can I hold both PPA and FSDAX in my portfolio?

With a correlation of 0.94, PPA and FSDAX 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, PPA or FSDAX?

PPA has higher volatility (8.37%) compared to FSDAX (8.33%). In terms of maximum drawdown, PPA dropped -57.37% vs FSDAX's -60.59%.

Which has better risk-adjusted returns?

FSDAX currently has the higher Sharpe Ratio (1.57 vs 1.40), 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.