PSCH vs. IXJ

Last updated Jun 4, 2026

PSCH (Invesco S&P SmallCap Health Care ETF) and IXJ (iShares Global Healthcare ETF) are both Health & Biotech Equities funds - PSCH tracks the S&P SmallCap 600 Health Care Index while IXJ tracks the S&P Global Healthcare Sector Index. Both are passively managed. Over the past 10 years, PSCH returned 6.81%/yr vs 7.66%/yr for IXJ. A 0.69 correlation means they provide meaningful diversification when combined. PSCH charges 0.29%/yr vs 0.46%/yr for IXJ.

Performance

PSCH vs. IXJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco S&P SmallCap Health Care ETF (PSCH) and iShares Global Healthcare ETF (IXJ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PSCH achieves a 1.80% return, which is significantly higher than IXJ's -5.26% return. Over the past 10 years, PSCH has underperformed IXJ with an annualized return of 6.81%, while IXJ has yielded a comparatively higher 7.66% annualized return.

PSCH

• 1D: 1.28%
• 1M: -0.71%
• YTD: 1.80%
• 6M: -1.68%
• 1Y: 10.18%
• 3Y*: 0.45%
• 5Y*: -5.72%
• 10Y*: 6.81%

IXJ

• 1D: 0.39%
• 1M: 0.34%
• YTD: -5.26%
• 6M: -4.88%
• 1Y: 9.30%
• 3Y*: 4.42%
• 5Y*: 4.02%
• 10Y*: 7.66%

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

PSCH vs. IXJ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PSCH Invesco S&P SmallCap Health Care ETF	1.80%	-0.49%	3.77%	-2.71%	-25.15%	5.75%	31.47%	20.17%	9.15%	34.87%
IXJ iShares Global Healthcare ETF	-5.26%	14.99%	0.55%	3.62%	-4.94%	19.60%	12.74%	23.23%	2.83%	20.44%

Correlation

The correlation between PSCH and IXJ is 0.63, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.63
Correlation (3Y) Calculated over the trailing 3-year period	0.60
Correlation (5Y) Calculated over the trailing 5-year period	0.64
Correlation (10Y) Calculated over the trailing 10-year period	0.66
Correlation (All Time) Calculated using the full available price history since Apr 8, 2010	0.69

The correlation between PSCH and IXJ has been stable across timeframes, ranging from 0.60 to 0.69 - a consistent structural relationship.

PSCH vs. IXJ - Sectors Allocation Comparison

Sectors	PSCH	IXJ
Healthcare	97.3%	98.9%
Technology	1.7%	-
Financial Services	1.1%	-
Industrials	0.7%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	0.5%
Energy	-	-
Real Estate	-	-
Utilities	-	-

Return for Risk

PSCH vs. IXJ — Risk / Return Rank

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

PSCH

PSCH Risk / Return Rank: 17
PSCH Sharpe Ratio Rank: 17
PSCH Sortino Ratio Rank: 17
PSCH Omega Ratio Rank: 17
PSCH Calmar Ratio Rank: 17
PSCH Martin Ratio Rank: 18

IXJ

IXJ Risk / Return Rank: 19
IXJ Sharpe Ratio Rank: 19
IXJ Sortino Ratio Rank: 20
IXJ Omega Ratio Rank: 18
IXJ Calmar Ratio Rank: 20
IXJ Martin Ratio Rank: 19

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.

PSCH vs. IXJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco S&P SmallCap Health Care ETF (PSCH) and iShares Global Healthcare ETF (IXJ). 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.

	PSCH	IXJ	Difference
Sharpe ratio: Return per unit of total volatility	0.51	0.64	-0.14
Sortino ratio: Return per unit of downside risk	0.87	1.06	-0.19
Omega ratio: Gain probability vs. loss probability	1.10	1.12	-0.02
Calmar ratio: Return relative to maximum drawdown	0.67	0.87	-0.20
Martin ratio: Return relative to average drawdown	1.84	2.11	-0.27
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PSCH vs. IXJ - Sharpe Ratio Comparison

The current PSCH Sharpe Ratio is 0.51, which is comparable to the IXJ Sharpe Ratio of 0.64. The chart below compares the historical Sharpe Ratios of PSCH and IXJ, 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

	PSCH	IXJ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.51	0.64	-0.14
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.25	0.28	-0.54
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.29	0.49	-0.20
Sharpe Ratio (All Time) Calculated using the full available price history	0.51	0.42	+0.09

Drawdowns

PSCH vs. IXJ - Drawdown Comparison

The maximum PSCH drawdown since its inception was -46.32%, which is greater than IXJ's maximum drawdown of -40.60%. Use the drawdown chart below to compare losses from any high point for PSCH and IXJ.

Drawdown Indicators

	PSCH	IXJ	Difference
Max Drawdown Largest peak-to-trough decline	-46.32%	-40.60%	-5.72%
Max Drawdown (1Y) Largest decline over 1 year	-15.36%	-10.78%	-4.58%
Max Drawdown (3Y) Largest decline over 3 years	-22.98%	-18.14%	-4.84%
Max Drawdown (5Y) Largest decline over 5 years	-46.32%	-18.14%	-28.18%
Max Drawdown (10Y) Largest decline over 10 years	-46.32%	-27.35%	-18.97%
Current Drawdown Current decline from peak	-30.59%	-9.27%	-21.32%
Average Drawdown Average peak-to-trough decline	-13.46%	-6.92%	-6.54%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.54%	4.41%	+1.13%

Volatility

PSCH vs. IXJ - Volatility Comparison

Invesco S&P SmallCap Health Care ETF (PSCH) has a higher volatility of 4.19% compared to iShares Global Healthcare ETF (IXJ) at 3.75%. This indicates that PSCH's price experiences larger fluctuations and is considered to be riskier than IXJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PSCH	IXJ	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.19%	3.75%	+0.44%
Volatility (6M) Calculated over the trailing 6-month period	14.06%	10.05%	+4.01%
Volatility (1Y) Calculated over the trailing 1-year period	20.26%	14.55%	+5.71%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.89%	14.21%	+8.68%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.63%	15.67%	+7.96%

PSCH vs. IXJ - Expense Ratio Comparison

PSCH has a 0.29% expense ratio, which is lower than IXJ's 0.46% expense ratio.

Dividends

PSCH vs. IXJ - Dividend Comparison

PSCH's dividend yield for the trailing twelve months is around 0.01%, less than IXJ's 1.47% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IXJ iShares Global Healthcare ETF	1.47%	1.40%	1.50%	1.38%	1.17%	1.12%	1.27%	1.42%	2.11%	1.46%	1.73%	2.85%
PSCH Invesco S&P SmallCap Health Care ETF	0.01%	0.04%	0.27%	0.01%	2.27%	0.00%	0.00%	0.00%	0.00%	0.00%	0.03%	0.00%

Frequently Asked Questions

Can I hold both PSCH and IXJ in my portfolio?

PSCH and IXJ have a correlation of 0.63, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PSCH or IXJ?

PSCH has higher volatility (4.19%) compared to IXJ (3.75%). In terms of maximum drawdown, PSCH dropped -46.32% vs IXJ's -40.60%.

Which ETF is better, PSCH or IXJ?

On 10-year performance, IXJ leads with 7.66% vs 6.81% for PSCH. On fees, PSCH is cheaper at 0.29% per year. On volatility, IXJ has been the lower-risk option at 3.75%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PSCH or IXJ?

Over the 10-year period, IXJ has performed better with a 7.66% return vs 6.81%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PSCH or IXJ?

PSCH is cheaper with a 0.29% expense ratio, compared with 0.46% for IXJ.

Which ETF pays a higher dividend yield, PSCH or IXJ?

IXJ has the higher dividend yield at 1.47%, compared with 0.01% for PSCH.

What is the main difference between PSCH and IXJ?

PSCH tracks S&P SmallCap 600 Health Care Index, while IXJ tracks S&P Global Healthcare Sector Index. They also come from different issuers: Invesco and iShares. Their fees differ too: 0.29% for PSCH and 0.46% for IXJ.

Which has better risk-adjusted returns?

IXJ currently has the higher Sharpe Ratio (0.64 vs 0.51), 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.