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PREF vs. ICVT
Performance
Return for Risk
Drawdowns
Volatility
Dividends

PREF vs. ICVT

Last updated Jun 4, 2026

PREF (Principal Spectrum Preferred Secs Active ETF) and ICVT (iShares Convertible Bond ETF) are both Preferred Stock/Convertible Bonds funds. PREF is actively managed, while ICVT is passively managed. Over the past 5 years, PREF returned 3.07%/yr vs 7.79%/yr for ICVT. At a 0.32 correlation, their price movements are largely independent. PREF charges 0.55%/yr vs 0.20%/yr for ICVT.

Performance

PREF vs. ICVT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal Spectrum Preferred Secs Active ETF (PREF) and iShares Convertible Bond ETF (ICVT). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, PREF achieves a 1.65% return, which is significantly lower than ICVT's 25.28% return.

PREF

1D
-0.13%
1M
0.52%
YTD
1.65%
6M
2.32%
1Y
6.65%
3Y*
9.25%
5Y*
3.07%
10Y*
—

ICVT

1D
-0.97%
1M
7.16%
YTD
25.28%
6M
24.31%
1Y
42.20%
3Y*
21.04%
5Y*
7.79%
10Y*
13.99%
*Multi-year figures are annualized to reflect compound growth (CAGR)

PREF vs. ICVT - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
PREF
Principal Spectrum Preferred Secs Active ETF		1.65%7.64%11.43%7.36%-11.80%2.08%7.52%17.32%-5.45%2.05%
ICVT
iShares Convertible Bond ETF		25.28%18.10%10.61%15.35%-20.66%-0.66%61.01%21.76%-0.27%2.90%

Correlation

The correlation between PREF and ICVT is 0.33, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.33

Correlation (3Y)
Calculated over the trailing 3-year period

0.31

Correlation (5Y)
Calculated over the trailing 5-year period

0.34

Correlation (All Time)
Calculated using the full available price history since Jul 27, 2017

0.32

PREF vs. ICVT - Sectors Allocation Comparison

Sectors
PREF
ICVT

Financial Services

100.0%

-

Basic Materials

-

-

Communication Services

-

-

Consumer Cyclical

-

13.0%

Consumer Defensive

-

-

Energy

-

-

Healthcare

-

44.8%

Industrials

-

-

Real Estate

-

-

Technology

-

55.2%

Utilities

-

-

Financial Services

PREF
100.0%
ICVT

-

Basic Materials

PREF

-

ICVT

-

Communication Services

PREF

-

ICVT

-

Consumer Cyclical

PREF

-

ICVT
13.0%

Consumer Defensive

PREF

-

ICVT

-

Energy

PREF

-

ICVT

-

Healthcare

PREF

-

ICVT
44.8%

Industrials

PREF

-

ICVT

-

Real Estate

PREF

-

ICVT

-

Technology

PREF

-

ICVT
55.2%

Utilities

PREF

-

ICVT

-

Compare stocks, funds, or ETFs

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Principal Spectrum Preferred Secs Active ETF

iShares Convertible Bond ETF

Often compared with PREF:
PREF vs. PFFPREF vs. PFXFPREF vs. PFFDPREF vs. SPFFPREF vs. FPEPREF vs. PFFAPREF vs. COWZ
Often compared with ICVT:
ICVT vs. CWBICVT vs. FCVSXICVT vs. LKORICVT vs. SPYICVT vs. FCVTICVT vs. GOLYICVT vs. JAAAX

Return for Risk

PREF vs. ICVT — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
PREF
PREF Risk / Return Rank: 6464
Overall Rank
PREF Sharpe Ratio Rank: 6464
Sharpe Ratio Rank
PREF Sortino Ratio Rank: 6767
Sortino Ratio Rank
PREF Omega Ratio Rank: 7575
Omega Ratio Rank
PREF Calmar Ratio Rank: 4646
Calmar Ratio Rank
PREF Martin Ratio Rank: 6666
Martin Ratio Rank
ICVT
ICVT Risk / Return Rank: 8787
Overall Rank
ICVT Sharpe Ratio Rank: 8787
Sharpe Ratio Rank
ICVT Sortino Ratio Rank: 8484
Sortino Ratio Rank
ICVT Omega Ratio Rank: 8484
Omega Ratio Rank
ICVT Calmar Ratio Rank: 9090
Calmar Ratio Rank
ICVT Martin Ratio Rank: 8989
Martin Ratio Rank
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.

PREF vs. ICVT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal Spectrum Preferred Secs Active ETF (PREF) and iShares Convertible Bond ETF (ICVT). 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.

PREFICVTDifference
Sharpe ratioReturn per unit of total volatility
2.16
2.95

-0.79

Sortino ratioReturn per unit of downside risk
3.10
3.84

-0.74

Omega ratioGain probability vs. loss probability

1.45

1.52

-0.07

Calmar ratioReturn relative to maximum drawdown

2.32

5.62

-3.30

Martin ratioReturn relative to average drawdown

12.09

20.48

-8.38

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PREF vs. ICVT - Sharpe Ratio Comparison

The current PREF Sharpe Ratio is 2.16, which is comparable to the ICVT Sharpe Ratio of 2.95. The chart below compares the historical Sharpe Ratios of PREF and ICVT, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Sharpe Ratios by Period

PREFICVTDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.16

2.95

-0.79

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.63

0.59

+0.04

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

—

0.91

—

Sharpe Ratio (All Time)

Calculated using the full available price history

0.66

0.78

-0.12

Drawdowns

PREF vs. ICVT - Drawdown Comparison

The maximum PREF drawdown since its inception was -22.99%, smaller than the maximum ICVT drawdown of -33.25%. Use the drawdown chart below to compare losses from any high point for PREF and ICVT.

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Drawdown Indicators

PREFICVTDifference

Max Drawdown

Largest peak-to-trough decline

-22.99%

-33.25%

+10.26%

Max Drawdown (1Y)

Largest decline over 1 year

-2.88%

-7.55%

+4.67%

Max Drawdown (3Y)

Largest decline over 3 years

-4.39%

-11.22%

+6.83%

Max Drawdown (5Y)

Largest decline over 5 years

-16.99%

-29.95%

+12.96%

Max Drawdown (10Y)

Largest decline over 10 years

—

-33.25%

—

Current Drawdown

Current decline from peak

-0.13%

-0.97%

+0.84%

Average Drawdown

Average peak-to-trough decline

-3.66%

-9.50%

+5.84%

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.55%

2.07%

-1.52%

Volatility

PREF vs. ICVT - Volatility Comparison

The current volatility for Principal Spectrum Preferred Secs Active ETF (PREF) is 0.69%, while iShares Convertible Bond ETF (ICVT) has a volatility of 5.53%. This indicates that PREF experiences smaller price fluctuations and is considered to be less risky than ICVT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

PREFICVTDifference

Volatility (1M)

Calculated over the trailing 1-month period

0.69%

5.53%

-4.84%

Volatility (6M)

Calculated over the trailing 6-month period

2.51%

11.69%

-9.18%

Volatility (1Y)

Calculated over the trailing 1-year period

3.09%

14.36%

-11.27%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

4.87%

13.23%

-8.36%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

6.30%

15.50%

-9.20%

PREF vs. ICVT - Expense Ratio Comparison

PREF has a 0.55% expense ratio, which is higher than ICVT's 0.20% expense ratio.

Dividends

PREF vs. ICVT - Dividend Comparison

PREF's dividend yield for the trailing twelve months is around 5.16%, more than ICVT's 1.30% yield.

PositionTTM20252024202320222021202020192018201720162015
ICVT
iShares Convertible Bond ETF		1.30%1.73%2.19%1.85%1.93%7.70%3.98%1.86%4.82%2.56%3.06%1.57%
PREF
Principal Spectrum Preferred Secs Active ETF		5.16%4.87%4.65%4.67%4.63%4.07%4.35%4.67%5.49%2.35%0.00%0.00%

Frequently Asked Questions

PREF and ICVT have a correlation of 0.33, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

ICVT has higher volatility (5.53%) compared to PREF (0.69%). In terms of maximum drawdown, PREF dropped -22.99% vs ICVT's -33.25%.

On 5-year performance, ICVT leads with 7.79% vs 3.07% for PREF. On fees, ICVT is cheaper at 0.20% per year. On volatility, PREF has been the lower-risk option at 0.69%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, ICVT has performed better with a 7.79% return vs 3.07%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

ICVT is cheaper with a 0.20% expense ratio, compared with 0.55% for PREF.

PREF has the higher dividend yield at 5.16%, compared with 1.30% for ICVT.

They also come from different issuers: Principal and iShares. Their fees differ too: 0.55% for PREF and 0.20% for ICVT.

ICVT currently has the higher Sharpe Ratio (2.95 vs 2.16), 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.

Portfolio Optimizer

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