SQLV vs. PBDC

Last updated Jun 24, 2026

SQLV (Royce Quant Small-Cap Quality Value ETF) and PBDC (Putnam BDC Income ETF) are both exchange-traded funds - SQLV is a Small Cap Value Equities fund actively managed by Franklin Templeton, while PBDC is a Financials Equities fund actively managed by Franklin Templeton. Both are actively managed. Over the past 3 years, SQLV returned 13.42%/yr vs 7.11%/yr for PBDC. A 0.61 correlation means they provide meaningful diversification when combined. SQLV charges 0.60%/yr vs 13.49%/yr for PBDC.

Performance

SQLV vs. PBDC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Royce Quant Small-Cap Quality Value ETF (SQLV) and Putnam BDC Income ETF (PBDC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SQLV achieves a 16.34% return, which is significantly higher than PBDC's -11.42% return.

SQLV

• 1D: 0.83%
• 1M: 3.63%
• YTD: 16.34%
• 6M: 15.01%
• 1Y: 28.84%
• 3Y*: 13.42%
• 5Y*: 7.15%
• 10Y*: —

PBDC

• 1D: 0.30%
• 1M: -1.31%
• YTD: -11.42%
• 6M: -9.25%
• 1Y: -11.33%
• 3Y*: 7.11%
• 5Y*: —
• 10Y*: —

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

SQLV vs. PBDC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
SQLV Royce Quant Small-Cap Quality Value ETF	16.34%	2.50%	4.76%	21.21%	8.49%
PBDC Putnam BDC Income ETF	-11.42%	-1.77%	19.43%	30.52%	10.38%

Correlation

The correlation between SQLV and PBDC is 0.54, 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	0.54
Correlation (3Y) Calculated over the trailing 3-year period	0.56
Correlation (All Time) Calculated using the full available price history since Sep 30, 2022	0.61

The correlation between SQLV and PBDC has been stable across timeframes, ranging from 0.54 to 0.61 - a consistent structural relationship.

Return for Risk

SQLV vs. PBDC — Risk / Return Rank

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

SQLV

SQLV Risk / Return Rank: 56
SQLV Sharpe Ratio Rank: 51
SQLV Sortino Ratio Rank: 54
SQLV Omega Ratio Rank: 46
SQLV Calmar Ratio Rank: 70
SQLV Martin Ratio Rank: 59

PBDC

PBDC Risk / Return Rank: 4
PBDC Sharpe Ratio Rank: 4
PBDC Sortino Ratio Rank: 4
PBDC Omega Ratio Rank: 4
PBDC Calmar Ratio Rank: 4
PBDC Martin Ratio Rank: 4

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.

SQLV vs. PBDC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Royce Quant Small-Cap Quality Value ETF (SQLV) and Putnam BDC Income ETF (PBDC). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	SQLV	PBDC	Difference
Sharpe ratio: Return per unit of total volatility	1.64	-0.61	+2.25
Sortino ratio: Return per unit of downside risk	2.40	-0.76	+3.16
Omega ratio: Gain probability vs. loss probability	1.28	0.91	+0.36
Calmar ratio: Return relative to maximum drawdown	3.28	-0.56	+3.84
Martin ratio: Return relative to average drawdown	9.82	-0.98	+10.80

SQLV vs. PBDC - Sharpe Ratio Comparison

The current SQLV Sharpe Ratio is 1.64, which is higher than the PBDC Sharpe Ratio of -0.61. The chart below compares the historical Sharpe Ratios of SQLV and PBDC, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

SQLV vs. PBDC - Drawdown Comparison

The maximum SQLV drawdown since its inception was -48.34%, which is greater than PBDC's maximum drawdown of -20.47%. Use the drawdown chart below to compare losses from any high point for SQLV and PBDC.

Drawdown Indicators

	SQLV	PBDC	Difference
Max Drawdown Largest peak-to-trough decline	-48.34%	-20.47%	-27.87%
Max Drawdown (1Y) Largest decline over 1 year	-8.84%	-20.15%	+11.31%
Max Drawdown (3Y) Largest decline over 3 years	-26.86%	-20.47%	-6.39%
Max Drawdown (5Y) Largest decline over 5 years	-26.86%	—	—
Current Drawdown Current decline from peak	-0.96%	-18.74%	+17.78%
Average Drawdown Average peak-to-trough decline	-8.90%	-4.83%	-4.07%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.95%	11.58%	-8.63%

Volatility

SQLV vs. PBDC - Volatility Comparison

The current volatility for Royce Quant Small-Cap Quality Value ETF (SQLV) is 4.55%, while Putnam BDC Income ETF (PBDC) has a volatility of 5.50%. This indicates that SQLV experiences smaller price fluctuations and is considered to be less risky than PBDC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SQLV	PBDC	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.55%	5.50%	-0.95%
Volatility (6M) Calculated over the trailing 6-month period	11.56%	15.43%	-3.87%
Volatility (1Y) Calculated over the trailing 1-year period	17.69%	18.66%	-0.97%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.98%	17.05%	+3.93%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.32%	17.05%	+6.27%

SQLV vs. PBDC - Expense Ratio Comparison

SQLV has a 0.60% expense ratio, which is lower than PBDC's 13.49% expense ratio.

Dividends

SQLV vs. PBDC - Dividend Comparison

SQLV's dividend yield for the trailing twelve months is around 1.01%, less than PBDC's 11.91% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
PBDC Putnam BDC Income ETF	11.91%	10.53%	9.29%	9.86%	3.40%	0.00%	0.00%	0.00%	0.00%	0.00%
SQLV Royce Quant Small-Cap Quality Value ETF	1.01%	1.15%	1.11%	1.09%	1.24%	1.12%	1.22%	1.20%	1.08%	0.40%

Frequently Asked Questions

Can I hold both SQLV and PBDC in my portfolio?

SQLV and PBDC have a correlation of 0.54, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SQLV or PBDC?

PBDC has higher volatility (5.50%) compared to SQLV (4.55%). In terms of maximum drawdown, SQLV dropped -48.34% vs PBDC's -20.47%.

Which ETF is better, SQLV or PBDC?

On 3-year performance, SQLV leads with 13.42% vs 7.11% for PBDC. On fees, SQLV is cheaper at 0.60% per year. On volatility, SQLV has been the lower-risk option at 4.55%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SQLV or PBDC?

Over the 3-year period, SQLV has performed better with a 13.42% return vs 7.11%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SQLV or PBDC?

SQLV is cheaper with a 0.60% expense ratio, compared with 13.49% for PBDC.

Which ETF pays a higher dividend yield, SQLV or PBDC?

PBDC has the higher dividend yield at 11.91%, compared with 1.01% for SQLV.

What is the main difference between SQLV and PBDC?

SQLV is categorized as Small Cap Value Equities, while PBDC is Financials Equities. Their fees differ too: 0.60% for SQLV and 13.49% for PBDC.

Which has better risk-adjusted returns?

SQLV currently has the higher Sharpe Ratio (1.64 vs -0.61), 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.