RND vs. PSMD

Last updated Jun 4, 2026

RND (First Trust Bloomberg R&D Leaders ETF) and PSMD (Pacer Swan SOS Moderate (December) ETF) are both Large Cap Blend Equities funds. RND is passively managed, while PSMD is actively managed. Over the past year, RND returned 26.80% vs 15.08% for PSMD. Their correlation of 0.81 suggests significant overlap in exposure. RND charges 0.60%/yr vs 0.75%/yr for PSMD.

Performance

RND vs. PSMD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Bloomberg R&D Leaders ETF (RND) and Pacer Swan SOS Moderate (December) ETF (PSMD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RND achieves a 6.61% return, which is significantly higher than PSMD's 5.54% return.

RND

• 1D: -0.70%
• 1M: 5.38%
• YTD: 6.61%
• 6M: 5.59%
• 1Y: 26.80%
• 3Y*: —
• 5Y*: —
• 10Y*: —

PSMD

• 1D: -0.11%
• 1M: 2.03%
• YTD: 5.54%
• 6M: 6.22%
• 1Y: 15.08%
• 3Y*: 12.73%
• 5Y*: 9.26%
• 10Y*: —

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

RND vs. PSMD - Yearly Performance Comparison

	2026 (YTD)	2025	2024
RND First Trust Bloomberg R&D Leaders ETF	6.61%	22.38%	26.88%
PSMD Pacer Swan SOS Moderate (December) ETF	5.54%	11.45%	9.18%

Correlation

The correlation between RND and PSMD is 0.85, 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	0.85
Correlation (All Time) Calculated using the full available price history since May 2, 2024	0.81

The correlation between RND and PSMD has been stable across timeframes, ranging from 0.81 to 0.85 - a consistent structural relationship.

Return for Risk

RND vs. PSMD — Risk / Return Rank

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

RND

RND Risk / Return Rank: 45
RND Sharpe Ratio Rank: 51
RND Sortino Ratio Rank: 49
RND Omega Ratio Rank: 48
RND Calmar Ratio Rank: 35
RND Martin Ratio Rank: 40

PSMD

PSMD Risk / Return Rank: 83
PSMD Sharpe Ratio Rank: 83
PSMD Sortino Ratio Rank: 88
PSMD Omega Ratio Rank: 89
PSMD Calmar Ratio Rank: 69
PSMD Martin Ratio Rank: 86

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.

RND vs. PSMD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Bloomberg R&D Leaders ETF (RND) and Pacer Swan SOS Moderate (December) ETF (PSMD). 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.

	RND	PSMD	Difference
Sharpe ratio: Return per unit of total volatility	1.72	2.70	-0.98
Sortino ratio: Return per unit of downside risk	2.35	4.00	-1.65
Omega ratio: Gain probability vs. loss probability	1.30	1.56	-0.27
Calmar ratio: Return relative to maximum drawdown	1.73	3.43	-1.70
Martin ratio: Return relative to average drawdown	6.26	18.22	-11.96
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

RND vs. PSMD - Sharpe Ratio Comparison

The current RND Sharpe Ratio is 1.72, which is lower than the PSMD Sharpe Ratio of 2.70. The chart below compares the historical Sharpe Ratios of RND and PSMD, 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

	RND	PSMD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.72	2.70	-0.98
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	1.08	—
Sharpe Ratio (All Time) Calculated using the full available price history	1.30	1.17	+0.13

Drawdowns

RND vs. PSMD - Drawdown Comparison

The maximum RND drawdown since its inception was -23.52%, which is greater than PSMD's maximum drawdown of -11.96%. Use the drawdown chart below to compare losses from any high point for RND and PSMD.

Drawdown Indicators

	RND	PSMD	Difference
Max Drawdown Largest peak-to-trough decline	-23.52%	-11.96%	-11.56%
Max Drawdown (1Y) Largest decline over 1 year	-15.56%	-4.42%	-11.14%
Max Drawdown (3Y) Largest decline over 3 years	—	-10.70%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-11.96%	—
Current Drawdown Current decline from peak	-0.70%	-0.12%	-0.58%
Average Drawdown Average peak-to-trough decline	-3.72%	-1.66%	-2.06%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.29%	0.83%	+3.46%

Volatility

RND vs. PSMD - Volatility Comparison

First Trust Bloomberg R&D Leaders ETF (RND) has a higher volatility of 3.75% compared to Pacer Swan SOS Moderate (December) ETF (PSMD) at 0.85%. This indicates that RND's price experiences larger fluctuations and is considered to be riskier than PSMD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RND	PSMD	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.75%	0.85%	+2.90%
Volatility (6M) Calculated over the trailing 6-month period	11.78%	4.42%	+7.36%
Volatility (1Y) Calculated over the trailing 1-year period	15.70%	5.62%	+10.08%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.15%	8.60%	+12.55%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.15%	8.47%	+12.68%

RND vs. PSMD - Expense Ratio Comparison

RND has a 0.60% expense ratio, which is lower than PSMD's 0.75% expense ratio.

Dividends

RND vs. PSMD - Dividend Comparison

Neither RND nor PSMD has paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021
PSMD Pacer Swan SOS Moderate (December) ETF	0.00%	0.00%	0.00%	0.00%	0.00%	0.47%
RND First Trust Bloomberg R&D Leaders ETF	0.00%	0.00%	0.04%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both RND and PSMD in my portfolio?

RND and PSMD have a correlation of 0.85, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, RND or PSMD?

RND has higher volatility (3.75%) compared to PSMD (0.85%). In terms of maximum drawdown, RND dropped -23.52% vs PSMD's -11.96%.

Which ETF is better, RND or PSMD?

On 1-year performance, RND leads with 26.80% vs 15.08% for PSMD. On fees, RND is cheaper at 0.60% per year. On volatility, PSMD has been the lower-risk option at 0.85%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, RND or PSMD?

Over the 1-year period, RND has performed better with a 26.80% return vs 15.08%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, RND or PSMD?

RND is cheaper with a 0.60% expense ratio, compared with 0.75% for PSMD.

Which ETF pays a higher dividend yield, RND or PSMD?

RND and PSMD have nearly identical dividend yields, around 0.00%.

What is the main difference between RND and PSMD?

They also come from different issuers: First Trust and Pacer. Their fees differ too: 0.60% for RND and 0.75% for PSMD.

Which has better risk-adjusted returns?

PSMD currently has the higher Sharpe Ratio (2.70 vs 1.72), 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.