PPH vs. PABU

Last updated Jun 24, 2026

PPH (VanEck Pharmaceutical ETF) and PABU (iShares Paris-Aligned Climate Optimized MSCI USA ETF) are both exchange-traded funds - PPH is a Health & Biotech Equities fund tracking the MVIS US Listed Pharmaceutical 25 Index, while PABU is a Large Cap Blend Equities fund tracking the MSCI USA Climate Paris Aligned Benchmark Extended Select PAB Index (USD). Both are passively managed. Over the past 3 years, PPH returned 12.54%/yr vs 17.15%/yr for PABU. At a 0.43 correlation, their price movements are largely independent. PPH charges 0.36%/yr vs 0.10%/yr for PABU.

Performance

PPH vs. PABU - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in VanEck Pharmaceutical ETF (PPH) and iShares Paris-Aligned Climate Optimized MSCI USA ETF (PABU). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with PPH having a 2.92% return and PABU slightly higher at 2.93%.

PPH

• 1D: 1.79%
• 1M: 0.31%
• YTD: 2.92%
• 6M: 2.77%
• 1Y: 23.31%
• 3Y*: 12.54%
• 5Y*: 9.67%
• 10Y*: 8.52%

PABU

• 1D: -1.31%
• 1M: -3.43%
• YTD: 2.93%
• 6M: 1.87%
• 1Y: 15.63%
• 3Y*: 17.15%
• 5Y*: —
• 10Y*: —

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

PPH vs. PABU - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
PPH VanEck Pharmaceutical ETF	2.92%	22.00%	8.05%	6.95%	3.08%
PABU iShares Paris-Aligned Climate Optimized MSCI USA ETF	2.93%	13.08%	24.84%	29.51%	-15.45%

Correlation

The correlation between PPH and PABU is 0.21, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.21
Correlation (3Y) Calculated over the trailing 3-year period	0.35
Correlation (All Time) Calculated using the full available price history since Feb 11, 2022	0.43

Over the past year, the correlation between PPH and PABU has dropped to 0.21 - well below their long-term average of 0.43, suggesting their price drivers have been diverging.

PPH vs. PABU - Sectors Allocation Comparison

Sectors	PPH	PABU
Healthcare	100.0%	5.6%
Industrials	0.1%	1.6%
Basic Materials	-	0.5%
Communication Services	-	8.4%
Consumer Cyclical	-	6.2%
Consumer Defensive	-	-
Energy	-	0.8%
Financial Services	-	6.9%
Real Estate	-	16.4%
Technology	-	52.4%
Utilities	-	1.6%

Return for Risk

PPH vs. PABU — Risk / Return Rank

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

PPH

PPH Risk / Return Rank: 40
PPH Sharpe Ratio Rank: 39
PPH Sortino Ratio Rank: 42
PPH Omega Ratio Rank: 37
PPH Calmar Ratio Rank: 46
PPH Martin Ratio Rank: 36

PABU

PABU Risk / Return Rank: 30
PABU Sharpe Ratio Rank: 33
PABU Sortino Ratio Rank: 31
PABU Omega Ratio Rank: 32
PABU Calmar Ratio Rank: 26
PABU Martin Ratio Rank: 29

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.

PPH vs. PABU - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for VanEck Pharmaceutical ETF (PPH) and iShares Paris-Aligned Climate Optimized MSCI USA ETF (PABU). 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.

	PPH	PABU	Difference
Sharpe ratio: Return per unit of total volatility	1.33	1.11	+0.22
Sortino ratio: Return per unit of downside risk	2.07	1.55	+0.51
Omega ratio: Gain probability vs. loss probability	1.24	1.20	+0.04
Calmar ratio: Return relative to maximum drawdown	2.18	1.17	+1.00
Martin ratio: Return relative to average drawdown	5.30	3.92	+1.37

PPH vs. PABU - Sharpe Ratio Comparison

The current PPH Sharpe Ratio is 1.33, which is comparable to the PABU Sharpe Ratio of 1.11. The chart below compares the historical Sharpe Ratios of PPH and PABU, 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

PPH vs. PABU - Drawdown Comparison

The maximum PPH drawdown since its inception was -51.45%, which is greater than PABU's maximum drawdown of -22.76%. Use the drawdown chart below to compare losses from any high point for PPH and PABU.

Drawdown Indicators

	PPH	PABU	Difference
Max Drawdown Largest peak-to-trough decline	-51.45%	-22.76%	-28.69%
Max Drawdown (1Y) Largest decline over 1 year	-10.76%	-13.40%	+2.64%
Max Drawdown (3Y) Largest decline over 3 years	-18.06%	-20.85%	+2.79%
Max Drawdown (5Y) Largest decline over 5 years	-20.26%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-29.70%	—	—
Current Drawdown Current decline from peak	-4.94%	-7.11%	+2.17%
Average Drawdown Average peak-to-trough decline	-17.29%	-5.62%	-11.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.41%	3.99%	+0.42%

Volatility

PPH vs. PABU - Volatility Comparison

VanEck Pharmaceutical ETF (PPH) and iShares Paris-Aligned Climate Optimized MSCI USA ETF (PABU) have volatilities of 6.27% and 6.31%, 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

	PPH	PABU	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.27%	6.31%	-0.04%
Volatility (6M) Calculated over the trailing 6-month period	12.27%	11.53%	+0.74%
Volatility (1Y) Calculated over the trailing 1-year period	17.66%	14.23%	+3.43%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.17%	18.77%	-3.60%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.98%	18.77%	-1.79%

PPH vs. PABU - Expense Ratio Comparison

PPH has a 0.36% expense ratio, which is higher than PABU's 0.10% expense ratio.

Dividends

PPH vs. PABU - Dividend Comparison

PPH's dividend yield for the trailing twelve months is around 2.05%, more than PABU's 0.95% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PABU iShares Paris-Aligned Climate Optimized MSCI USA ETF	0.95%	0.90%	1.00%	1.06%	1.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
PPH VanEck Pharmaceutical ETF	2.05%	1.78%	1.98%	2.09%	1.55%	1.62%	1.66%	1.77%	1.97%	1.92%	2.43%	1.93%

Frequently Asked Questions

Can I hold both PPH and PABU in my portfolio?

PPH and PABU have a correlation of 0.21, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PPH or PABU?

PABU has higher volatility (6.31%) compared to PPH (6.27%). In terms of maximum drawdown, PPH dropped -51.45% vs PABU's -22.76%.

Which ETF is better, PPH or PABU?

On 3-year performance, PABU leads with 17.15% vs 12.54% for PPH. On fees, PABU is cheaper at 0.10% 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, PPH or PABU?

Over the 3-year period, PABU has performed better with a 17.15% return vs 12.54%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PPH or PABU?

PABU is cheaper with a 0.10% expense ratio, compared with 0.36% for PPH.

Which ETF pays a higher dividend yield, PPH or PABU?

PPH has the higher dividend yield at 2.05%, compared with 0.95% for PABU.

What is the main difference between PPH and PABU?

PPH is categorized as Health & Biotech Equities, while PABU is Large Cap Blend Equities. PPH tracks MVIS US Listed Pharmaceutical 25 Index, while PABU tracks MSCI USA Climate Paris Aligned Benchmark Extended Select PAB Index (USD). They also come from different issuers: VanEck and iShares. Their fees differ too: 0.36% for PPH and 0.10% for PABU.

Which has better risk-adjusted returns?

PPH currently has the higher Sharpe Ratio (1.33 vs 1.11), 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.