TFNS vs. FXO

Last updated Jun 24, 2026

TFNS (T. Rowe Price Financials ETF) and FXO (First Trust Financials AlphaDEX Fund) are both Financials Equities funds. TFNS is actively managed, while FXO is passively managed. Over the past year, TFNS returned 11.45% vs 16.03% for FXO. Their correlation of 0.90 suggests significant overlap in exposure. TFNS charges 0.44%/yr vs 0.62%/yr for FXO.

Performance

TFNS vs. FXO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in T. Rowe Price Financials ETF (TFNS) and First Trust Financials AlphaDEX Fund (FXO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TFNS achieves a 0.45% return, which is significantly lower than FXO's 3.78% return.

TFNS

• 1D: 0.34%
• 1M: 4.00%
• YTD: 0.45%
• 6M: -0.86%
• 1Y: 11.45%
• 3Y*: —
• 5Y*: —
• 10Y*: —

FXO

• 1D: 1.06%
• 1M: 4.51%
• YTD: 3.78%
• 6M: 1.91%
• 1Y: 16.03%
• 3Y*: 22.20%
• 5Y*: 9.91%
• 10Y*: 13.32%

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

TFNS vs. FXO - Yearly Performance Comparison

	2026 (YTD)	2025
TFNS T. Rowe Price Financials ETF	0.45%	11.06%
FXO First Trust Financials AlphaDEX Fund	3.78%	13.37%

Correlation

The correlation between TFNS and FXO is 0.91, 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	0.91
Correlation (All Time) Calculated using the full available price history since Jun 12, 2025	0.90

The correlation between TFNS and FXO has been stable across timeframes, ranging from 0.90 to 0.91 - a consistent structural relationship.

TFNS vs. FXO - Sectors Allocation Comparison

Sectors	TFNS	FXO
Financial Services	96.9%	94.5%
Technology	2.0%	0.6%
Industrials	1.1%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	-
Real Estate	-	5.0%
Utilities	-	-

Return for Risk

TFNS vs. FXO — Risk / Return Rank

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

TFNS

TFNS Risk / Return Rank: 21
TFNS Sharpe Ratio Rank: 23
TFNS Sortino Ratio Rank: 21
TFNS Omega Ratio Rank: 21
TFNS Calmar Ratio Rank: 20
TFNS Martin Ratio Rank: 20

FXO

FXO Risk / Return Rank: 29
FXO Sharpe Ratio Rank: 30
FXO Sortino Ratio Rank: 28
FXO Omega Ratio Rank: 28
FXO Calmar Ratio Rank: 29
FXO Martin Ratio Rank: 30

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.

TFNS vs. FXO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for T. Rowe Price Financials ETF (TFNS) and First Trust Financials AlphaDEX Fund (FXO). 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.

	TFNS	FXO	Difference
Sharpe ratio: Return per unit of total volatility	0.77	1.03	-0.26
Sortino ratio: Return per unit of downside risk	1.12	1.47	-0.35
Omega ratio: Gain probability vs. loss probability	1.14	1.18	-0.04
Calmar ratio: Return relative to maximum drawdown	0.82	1.37	-0.55
Martin ratio: Return relative to average drawdown	2.21	4.09	-1.88

TFNS vs. FXO - Sharpe Ratio Comparison

The current TFNS Sharpe Ratio is 0.77, which is comparable to the FXO Sharpe Ratio of 1.03. The chart below compares the historical Sharpe Ratios of TFNS and FXO, 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

TFNS vs. FXO - Drawdown Comparison

The maximum TFNS drawdown since its inception was -14.00%, smaller than the maximum FXO drawdown of -71.30%. Use the drawdown chart below to compare losses from any high point for TFNS and FXO.

Drawdown Indicators

	TFNS	FXO	Difference
Max Drawdown Largest peak-to-trough decline	-14.00%	-71.30%	+57.30%
Max Drawdown (1Y) Largest decline over 1 year	-14.00%	-11.72%	-2.28%
Max Drawdown (3Y) Largest decline over 3 years	—	-21.35%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-28.80%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-48.55%	—
Current Drawdown Current decline from peak	-2.36%	0.00%	-2.36%
Average Drawdown Average peak-to-trough decline	-3.82%	-13.08%	+9.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.19%	3.93%	+1.26%

Volatility

TFNS vs. FXO - Volatility Comparison

T. Rowe Price Financials ETF (TFNS) and First Trust Financials AlphaDEX Fund (FXO) have volatilities of 4.03% and 4.02%, 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

	TFNS	FXO	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.03%	4.02%	+0.01%
Volatility (6M) Calculated over the trailing 6-month period	11.45%	11.03%	+0.42%
Volatility (1Y) Calculated over the trailing 1-year period	15.00%	15.66%	-0.66%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.06%	21.86%	-6.80%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.06%	24.09%	-9.03%

TFNS vs. FXO - Expense Ratio Comparison

TFNS has a 0.44% expense ratio, which is lower than FXO's 0.62% expense ratio.

Dividends

TFNS vs. FXO - Dividend Comparison

TFNS's dividend yield for the trailing twelve months is around 0.49%, less than FXO's 2.08% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FXO First Trust Financials AlphaDEX Fund	2.08%	1.78%	1.97%	2.98%	2.49%	1.91%	2.60%	1.72%	2.60%	1.62%	1.35%	1.51%
TFNS T. Rowe Price Financials ETF	0.49%	0.49%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TFNS and FXO in my portfolio?

With a correlation of 0.91, TFNS and FXO move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, TFNS or FXO?

TFNS has higher volatility (4.03%) compared to FXO (4.02%). In terms of maximum drawdown, TFNS dropped -14.00% vs FXO's -71.30%.

Which ETF is better, TFNS or FXO?

On 1-year performance, FXO leads with 16.03% vs 11.45% for TFNS. On fees, TFNS is cheaper at 0.44% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TFNS or FXO?

Over the 1-year period, FXO has performed better with a 16.03% return vs 11.45%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TFNS or FXO?

TFNS is cheaper with a 0.44% expense ratio, compared with 0.62% for FXO.

Which ETF pays a higher dividend yield, TFNS or FXO?

FXO has the higher dividend yield at 2.08%, compared with 0.49% for TFNS.

What is the main difference between TFNS and FXO?

They also come from different issuers: T. Rowe Price and First Trust. Their fees differ too: 0.44% for TFNS and 0.62% for FXO.

Which has better risk-adjusted returns?

FXO currently has the higher Sharpe Ratio (1.03 vs 0.77), 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.