PSCT vs. NXTG

Last updated Jun 4, 2026

PSCT (Invesco S&P SmallCap Information Technology ETF) and NXTG (First Trust IndXX NextG ETF) are both Technology Equities funds - PSCT tracks the S&P SmallCap 600 Information Technology Index while NXTG tracks the Indxx 5G & NextG Thematic Index. Both are passively managed. Over the past 10 years, PSCT returned 16.70%/yr vs 17.94%/yr for NXTG. A 0.72 correlation means they provide meaningful diversification when combined. PSCT charges 0.29%/yr vs 0.70%/yr for NXTG.

Performance

PSCT vs. NXTG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco S&P SmallCap Information Technology ETF (PSCT) and First Trust IndXX NextG ETF (NXTG). 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 PSCT having a 54.18% return and NXTG slightly higher at 54.54%. Over the past 10 years, PSCT has underperformed NXTG with an annualized return of 16.70%, while NXTG has yielded a comparatively higher 17.94% 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%

NXTG

• 1D: -0.82%
• 1M: 22.84%
• YTD: 54.54%
• 6M: 55.39%
• 1Y: 82.82%
• 3Y*: 35.56%
• 5Y*: 19.17%
• 10Y*: 17.94%

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

PSCT vs. NXTG - 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%
NXTG First Trust IndXX NextG ETF	54.54%	28.46%	12.85%	28.74%	-24.70%	21.81%	27.58%	29.58%	-17.25%	28.02%

Correlation

The correlation between PSCT and NXTG is 0.81, 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	0.81
Correlation (3Y) Calculated over the trailing 3-year period	0.78
Correlation (5Y) Calculated over the trailing 5-year period	0.81
Correlation (10Y) Calculated over the trailing 10-year period	0.76
Correlation (All Time) Calculated using the full available price history since Feb 22, 2011	0.73

The correlation between PSCT and NXTG has been stable across timeframes, ranging from 0.72 to 0.81 - a consistent structural relationship.

PSCT vs. NXTG - Sectors Allocation Comparison

Sectors	PSCT	NXTG
Technology	85.2%	66.1%
Industrials	5.1%	4.3%
Energy	5.0%	-
Financial Services	3.7%	-
Basic Materials	-	-
Communication Services	-	21.7%
Consumer Cyclical	-	0.4%
Consumer Defensive	-	-
Healthcare	-	-
Real Estate	-	7.5%
Utilities	-	-

Return for Risk

PSCT vs. NXTG — 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

NXTG

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

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. NXTG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco S&P SmallCap Information Technology ETF (PSCT) and First Trust IndXX NextG ETF (NXTG). 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	NXTG	Difference
Sharpe ratio: Return per unit of total volatility	3.35	4.52	-1.17
Sortino ratio: Return per unit of downside risk	3.88	5.69	-1.82
Omega ratio: Gain probability vs. loss probability	1.49	1.77	-0.28
Calmar ratio: Return relative to maximum drawdown	6.72	8.10	-1.39
Martin ratio: Return relative to average drawdown	28.34	31.73	-3.39
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. NXTG - Sharpe Ratio Comparison

The current PSCT Sharpe Ratio is 3.35, which is comparable to the NXTG Sharpe Ratio of 4.52. The chart below compares the historical Sharpe Ratios of PSCT and NXTG, 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	NXTG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.35	4.52	-1.17
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.50	1.08	-0.57
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.63	0.95	-0.33
Sharpe Ratio (All Time) Calculated using the full available price history	0.62	0.69	-0.06

Drawdowns

PSCT vs. NXTG - Drawdown Comparison

The maximum PSCT drawdown since its inception was -40.44%, which is greater than NXTG's maximum drawdown of -33.61%. Use the drawdown chart below to compare losses from any high point for PSCT and NXTG.

Drawdown Indicators

	PSCT	NXTG	Difference
Max Drawdown Largest peak-to-trough decline	-40.44%	-33.61%	-6.83%
Max Drawdown (1Y) Largest decline over 1 year	-14.80%	-10.28%	-4.52%
Max Drawdown (3Y) Largest decline over 3 years	-33.96%	-17.75%	-16.21%
Max Drawdown (5Y) Largest decline over 5 years	-34.80%	-33.61%	-1.19%
Max Drawdown (10Y) Largest decline over 10 years	-40.44%	-33.61%	-6.83%
Current Drawdown Current decline from peak	-1.18%	-0.82%	-0.36%
Average Drawdown Average peak-to-trough decline	-7.91%	-7.87%	-0.04%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.50%	2.62%	+0.88%

Volatility

PSCT vs. NXTG - Volatility Comparison

Invesco S&P SmallCap Information Technology ETF (PSCT) has a higher volatility of 9.00% compared to First Trust IndXX NextG ETF (NXTG) at 8.27%. This indicates that PSCT's price experiences larger fluctuations and is considered to be riskier than NXTG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PSCT	NXTG	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.00%	8.27%	+0.73%
Volatility (6M) Calculated over the trailing 6-month period	21.05%	15.26%	+5.79%
Volatility (1Y) Calculated over the trailing 1-year period	29.82%	18.44%	+11.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	27.68%	17.93%	+9.75%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	26.67%	18.88%	+7.79%

PSCT vs. NXTG - Expense Ratio Comparison

PSCT has a 0.29% expense ratio, which is lower than NXTG's 0.70% expense ratio.

Dividends

PSCT vs. NXTG - Dividend Comparison

PSCT's dividend yield for the trailing twelve months is around 0.01%, less than NXTG's 1.11% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NXTG First Trust IndXX NextG ETF	1.11%	1.56%	1.51%	2.15%	2.04%	1.97%	1.04%	0.77%	1.27%	1.65%	1.23%	1.11%
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 NXTG in my portfolio?

PSCT and NXTG have a correlation of 0.81, 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 NXTG?

PSCT has higher volatility (9.00%) compared to NXTG (8.27%). In terms of maximum drawdown, PSCT dropped -40.44% vs NXTG's -33.61%.

Which ETF is better, PSCT or NXTG?

On 10-year performance, NXTG leads with 17.94% vs 16.70% for PSCT. On fees, PSCT is cheaper at 0.29% per year. On volatility, NXTG has been the lower-risk option at 8.27%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PSCT or NXTG?

Over the 10-year period, NXTG has performed better with a 17.94% 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 NXTG?

PSCT is cheaper with a 0.29% expense ratio, compared with 0.70% for NXTG.

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

NXTG has the higher dividend yield at 1.11%, compared with 0.01% for PSCT.

What is the main difference between PSCT and NXTG?

PSCT tracks S&P SmallCap 600 Information Technology Index, while NXTG tracks Indxx 5G & NextG Thematic Index. They also come from different issuers: Invesco and First Trust. Their fees differ too: 0.29% for PSCT and 0.70% for NXTG.

Which has better risk-adjusted returns?

NXTG currently has the higher Sharpe Ratio (4.52 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.