USO vs. ARCC

Last updated Jun 13, 2026

USO (United States Oil Fund LP) is Oil & Gas fund tracking the Front Month Light Sweet Crude Oil, while ARCC (Ares Capital Corporation) is a stock. Over the past 10 years, USO returned 2.94%/yr vs 13.20%/yr for ARCC. At a 0.20 correlation, their price movements are largely independent.

Performance

USO vs. ARCC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in United States Oil Fund LP (USO) and Ares Capital Corporation (ARCC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, USO achieves a 81.36% return, which is significantly higher than ARCC's -2.20% return. Over the past 10 years, USO has underperformed ARCC with an annualized return of 2.94%, while ARCC has yielded a comparatively higher 13.20% annualized return.

USO

• 1D: -2.64%
• 1M: -12.29%
• YTD: 81.36%
• 6M: 82.28%
• 1Y: 56.36%
• 3Y*: 26.38%
• 5Y*: 21.14%
• 10Y*: 2.94%

ARCC

• 1D: 1.00%
• 1M: 1.69%
• YTD: -2.20%
• 6M: -2.87%
• 1Y: -3.87%
• 3Y*: 10.27%
• 5Y*: 9.04%
• 10Y*: 13.20%

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

USO vs. ARCC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
USO United States Oil Fund LP	81.36%	-8.46%	13.35%	-4.94%	28.97%	64.68%	-67.79%	32.61%	-19.57%	2.47%
ARCC Ares Capital Corporation	-2.20%	1.07%	19.78%	20.03%	-3.84%	36.14%	0.86%	31.30%	8.81%	4.50%

Correlation

The correlation between USO and ARCC is -0.17, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.17
Correlation (3Y) Calculated over the trailing 3-year period	0.02
Correlation (5Y) Calculated over the trailing 5-year period	0.11
Correlation (10Y) Calculated over the trailing 10-year period	0.14
Correlation (All Time) Calculated using the full available price history since Apr 10, 2006	0.20

The correlation between USO and ARCC shifts across timeframes, from -0.17 (1 year) to 0.20 (all time), reflecting how their relationship changes across market environments.

Return for Risk

USO vs. ARCC — Risk / Return Rank

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

USO

USO Risk / Return Rank: 53
USO Sharpe Ratio Rank: 50
USO Sortino Ratio Rank: 49
USO Omega Ratio Rank: 50
USO Calmar Ratio Rank: 74
USO Martin Ratio Rank: 43

ARCC

ARCC Risk / Return Rank: 31
ARCC Sharpe Ratio Rank: 31
ARCC Sortino Ratio Rank: 26
ARCC Omega Ratio Rank: 26
ARCC Calmar Ratio Rank: 35
ARCC Martin Ratio Rank: 35

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.

USO vs. ARCC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for United States Oil Fund LP (USO) and Ares Capital Corporation (ARCC). 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.

	USO	ARCC	Difference
Sharpe ratio: Return per unit of total volatility	1.51	-0.27	+1.79
Sortino ratio: Return per unit of downside risk	2.15	-0.26	+2.41
Omega ratio: Gain probability vs. loss probability	1.28	0.97	+0.31
Calmar ratio: Return relative to maximum drawdown	3.31	-0.26	+3.57
Martin ratio: Return relative to average drawdown	6.09	-0.47	+6.56

USO vs. ARCC - Sharpe Ratio Comparison

The current USO Sharpe Ratio is 1.51, which is higher than the ARCC Sharpe Ratio of -0.27. The chart below compares the historical Sharpe Ratios of USO and ARCC, 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

USO vs. ARCC - Drawdown Comparison

The maximum USO drawdown since its inception was -98.19%, which is greater than ARCC's maximum drawdown of -79.36%. Use the drawdown chart below to compare losses from any high point for USO and ARCC.

Drawdown Indicators

	USO	ARCC	Difference
Max Drawdown Largest peak-to-trough decline	-98.19%	-79.36%	-18.83%
Max Drawdown (1Y) Largest decline over 1 year	-20.39%	-19.35%	-1.04%
Max Drawdown (3Y) Largest decline over 3 years	-26.05%	-19.35%	-6.70%
Max Drawdown (5Y) Largest decline over 5 years	-36.23%	-21.76%	-14.47%
Max Drawdown (10Y) Largest decline over 10 years	-86.75%	-56.77%	-29.98%
Current Drawdown Current decline from peak	-86.65%	-10.98%	-75.67%
Average Drawdown Average peak-to-trough decline	-75.30%	-9.10%	-66.20%
Ulcer Index Depth and duration of drawdowns from previous peaks	11.06%	10.68%	+0.38%

Volatility

USO vs. ARCC - Volatility Comparison

United States Oil Fund LP (USO) has a higher volatility of 13.27% compared to Ares Capital Corporation (ARCC) at 3.72%. This indicates that USO's price experiences larger fluctuations and is considered to be riskier than ARCC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	USO	ARCC	Difference
Volatility (1M) Calculated over the trailing 1-month period	13.27%	3.72%	+9.55%
Volatility (6M) Calculated over the trailing 6-month period	38.99%	14.83%	+24.16%
Volatility (1Y) Calculated over the trailing 1-year period	44.64%	18.48%	+26.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	36.20%	19.96%	+16.24%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	39.03%	25.58%	+13.45%

Dividends

USO vs. ARCC - Dividend Comparison

USO has not paid dividends to shareholders, while ARCC's dividend yield for the trailing twelve months is around 9.97%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ARCC Ares Capital Corporation	7.48%	9.49%	8.77%	9.59%	10.12%	7.65%	9.47%	9.01%	9.88%	9.67%	9.22%	11.02%
USO United States Oil Fund LP	0.00%	0.00%	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 USO and ARCC in my portfolio?

USO and ARCC have a correlation of -0.17, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, USO or ARCC?

USO has higher volatility (13.27%) compared to ARCC (3.72%). In terms of maximum drawdown, USO dropped -98.19% vs ARCC's -79.36%.

Which has better risk-adjusted returns?

USO currently has the higher Sharpe Ratio (1.51 vs -0.27), 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.