PSCT vs. KNCT

Last updated Jun 4, 2026

PSCT (Invesco S&P SmallCap Information Technology ETF) and KNCT (Invesco Next Gen Connectivity ETF) are both Technology Equities funds from Invesco - PSCT tracks the S&P SmallCap 600 Information Technology Index while KNCT tracks the STOXX World AC NexGen Connectivity Index. Both are passively managed. Over the past 10 years, PSCT returned 16.70%/yr vs 21.42%/yr for KNCT. A 0.79 correlation means they provide meaningful diversification when combined. PSCT charges 0.29%/yr vs 0.40%/yr for KNCT.

Performance

PSCT vs. KNCT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco S&P SmallCap Information Technology ETF (PSCT) and Invesco Next Gen Connectivity ETF (KNCT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PSCT achieves a 54.18% return, which is significantly lower than KNCT's 63.41% return. Over the past 10 years, PSCT has underperformed KNCT with an annualized return of 16.70%, while KNCT has yielded a comparatively higher 21.42% annualized return.

PSCT

• 1D: -1.18%
• 1M: 15.45%
• YTD: 54.18%
• 6M: 50.59%
• 1Y: 98.87%
• 3Y*: 23.44%
• 5Y*: 13.84%
• 10Y*: 16.70%

KNCT

• 1D: -0.63%
• 1M: 26.38%
• YTD: 63.41%
• 6M: 62.53%
• 1Y: 99.38%
• 3Y*: 43.36%
• 5Y*: 21.73%
• 10Y*: 21.42%

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

PSCT vs. KNCT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PSCT Invesco S&P SmallCap Information Technology ETF	54.18%	18.63%	-1.06%	20.81%	-22.50%	26.26%	27.79%	39.38%	-9.34%	9.96%
KNCT Invesco Next Gen Connectivity ETF	63.41%	28.65%	19.41%	27.39%	-29.54%	21.83%	39.14%	26.35%	5.78%	15.41%

Correlation

The correlation between PSCT and KNCT is 0.76, 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	0.76
Correlation (3Y) Calculated over the trailing 3-year period	0.77
Correlation (5Y) Calculated over the trailing 5-year period	0.81
Correlation (10Y) Calculated over the trailing 10-year period	0.79
Correlation (All Time) Calculated using the full available price history since Apr 8, 2010	0.79

The correlation between PSCT and KNCT has been stable across timeframes, ranging from 0.76 to 0.81 - a consistent structural relationship.

PSCT vs. KNCT - Sectors Allocation Comparison

Sectors	PSCT	KNCT
Technology	85.2%	80.8%
Industrials	5.1%	1.1%
Energy	5.0%	-
Financial Services	3.7%	0.2%
Basic Materials	-	-
Communication Services	-	14.0%
Consumer Cyclical	-	-
Consumer Defensive	-	-
Healthcare	-	-
Real Estate	-	4.1%
Utilities	-	-

Return for Risk

PSCT vs. KNCT — Risk / Return Rank

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

PSCT

PSCT Risk / Return Rank: 89
PSCT Sharpe Ratio Rank: 92
PSCT Sortino Ratio Rank: 85
PSCT Omega Ratio Rank: 81
PSCT Calmar Ratio Rank: 93
PSCT Martin Ratio Rank: 94

KNCT

KNCT Risk / Return Rank: 96
KNCT Sharpe Ratio Rank: 97
KNCT Sortino Ratio Rank: 96
KNCT Omega Ratio Rank: 95
KNCT Calmar Ratio Rank: 96
KNCT Martin Ratio Rank: 97

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.

PSCT vs. KNCT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco S&P SmallCap Information Technology ETF (PSCT) and Invesco Next Gen Connectivity ETF (KNCT). 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.

	PSCT	KNCT	Difference
Sharpe ratio: Return per unit of total volatility	3.35	4.70	-1.35
Sortino ratio: Return per unit of downside risk	3.88	5.72	-1.84
Omega ratio: Gain probability vs. loss probability	1.49	1.76	-0.27
Calmar ratio: Return relative to maximum drawdown	6.72	10.00	-3.29
Martin ratio: Return relative to average drawdown	28.34	44.01	-15.67
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

PSCT vs. KNCT - Sharpe Ratio Comparison

The current PSCT Sharpe Ratio is 3.35, which is comparable to the KNCT Sharpe Ratio of 4.70. The chart below compares the historical Sharpe Ratios of PSCT and KNCT, 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

	PSCT	KNCT	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.35	4.70	-1.35
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.50	0.94	-0.44
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.63	0.94	-0.31
Sharpe Ratio (All Time) Calculated using the full available price history	0.62	0.58	+0.05

Drawdowns

PSCT vs. KNCT - Drawdown Comparison

The maximum PSCT drawdown since its inception was -40.44%, smaller than the maximum KNCT drawdown of -57.18%. Use the drawdown chart below to compare losses from any high point for PSCT and KNCT.

Drawdown Indicators

	PSCT	KNCT	Difference
Max Drawdown Largest peak-to-trough decline	-40.44%	-57.18%	+16.74%
Max Drawdown (1Y) Largest decline over 1 year	-14.80%	-9.99%	-4.81%
Max Drawdown (3Y) Largest decline over 3 years	-33.96%	-21.40%	-12.56%
Max Drawdown (5Y) Largest decline over 5 years	-34.80%	-34.55%	-0.25%
Max Drawdown (10Y) Largest decline over 10 years	-40.44%	-34.55%	-5.89%
Current Drawdown Current decline from peak	-1.18%	-0.63%	-0.55%
Average Drawdown Average peak-to-trough decline	-7.91%	-10.74%	+2.83%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.50%	2.27%	+1.23%

Volatility

PSCT vs. KNCT - Volatility Comparison

Invesco S&P SmallCap Information Technology ETF (PSCT) and Invesco Next Gen Connectivity ETF (KNCT) have volatilities of 9.00% and 9.19%, 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

	PSCT	KNCT	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.00%	9.19%	-0.19%
Volatility (6M) Calculated over the trailing 6-month period	21.05%	17.12%	+3.93%
Volatility (1Y) Calculated over the trailing 1-year period	29.82%	21.28%	+8.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	27.68%	23.19%	+4.49%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	26.67%	22.97%	+3.70%

PSCT vs. KNCT - Expense Ratio Comparison

PSCT has a 0.29% expense ratio, which is lower than KNCT's 0.40% expense ratio.

Dividends

PSCT vs. KNCT - Dividend Comparison

PSCT's dividend yield for the trailing twelve months is around 0.01%, less than KNCT's 0.57% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
KNCT Invesco Next Gen Connectivity ETF	0.57%	0.86%	1.38%	0.60%	2.24%	0.55%	0.18%	0.44%	1.22%	0.66%	0.44%	0.00%
PSCT Invesco S&P SmallCap Information Technology ETF	0.01%	0.02%	0.01%	0.02%	0.00%	0.01%	0.08%	0.22%	0.47%	0.19%	0.25%	0.15%

Frequently Asked Questions

Can I hold both PSCT and KNCT in my portfolio?

PSCT and KNCT have a correlation of 0.76, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PSCT or KNCT?

KNCT has higher volatility (9.19%) compared to PSCT (9.00%). In terms of maximum drawdown, PSCT dropped -40.44% vs KNCT's -57.18%.

Which ETF is better, PSCT or KNCT?

On 10-year performance, KNCT leads with 21.42% vs 16.70% for PSCT. On fees, PSCT is cheaper at 0.29% per year. On volatility, PSCT has been the lower-risk option at 9.00%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PSCT or KNCT?

Over the 10-year period, KNCT has performed better with a 21.42% return vs 16.70%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PSCT or KNCT?

PSCT is cheaper with a 0.29% expense ratio, compared with 0.40% for KNCT.

Which ETF pays a higher dividend yield, PSCT or KNCT?

KNCT has the higher dividend yield at 0.57%, compared with 0.01% for PSCT.

What is the main difference between PSCT and KNCT?

PSCT tracks S&P SmallCap 600 Information Technology Index, while KNCT tracks STOXX World AC NexGen Connectivity Index. Their fees differ too: 0.29% for PSCT and 0.40% for KNCT.

Which has better risk-adjusted returns?

KNCT currently has the higher Sharpe Ratio (4.70 vs 3.35), 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.