VALQ vs. SDSI

Last updated Jun 4, 2026

VALQ (American Century STOXX U.S. Quality Value ETF) and SDSI (American Century Short Duration Strategic Income ETF) are both exchange-traded funds - VALQ is a Large Cap Value Equities fund tracking the iSTOXX American Century USA Quality Value Index, while SDSI is a Short-Term Bond fund tracking the Bloomberg U.S. 1-3 Year Government/Credit Bond Index. Both are passively managed. Over the past 3 years, VALQ returned 15.35%/yr vs 5.77%/yr for SDSI. At a 0.23 correlation, their price movements are largely independent. VALQ charges 0.29%/yr vs 0.33%/yr for SDSI.

Performance

VALQ vs. SDSI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in American Century STOXX U.S. Quality Value ETF (VALQ) and American Century Short Duration Strategic Income ETF (SDSI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VALQ achieves a 5.49% return, which is significantly higher than SDSI's 1.22% return.

VALQ

• 1D: -0.38%
• 1M: 5.64%
• YTD: 5.49%
• 6M: 6.17%
• 1Y: 16.17%
• 3Y*: 15.35%
• 5Y*: 8.69%
• 10Y*: —

SDSI

• 1D: -0.04%
• 1M: 0.35%
• YTD: 1.22%
• 6M: 1.66%
• 1Y: 5.27%
• 3Y*: 5.77%
• 5Y*: —
• 10Y*: —

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

VALQ vs. SDSI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
VALQ American Century STOXX U.S. Quality Value ETF	5.49%	10.58%	16.71%	13.87%	8.86%
SDSI American Century Short Duration Strategic Income ETF	1.22%	6.54%	5.63%	5.88%	2.05%

Correlation

The correlation between VALQ and SDSI is 0.39, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.39
Correlation (3Y) Calculated over the trailing 3-year period	0.26
Correlation (All Time) Calculated using the full available price history since Oct 14, 2022	0.23

The correlation between VALQ and SDSI shifts across timeframes, from 0.23 (all time) to 0.39 (1 year), reflecting how their relationship changes across market environments.

VALQ vs. SDSI - Sectors Allocation Comparison

Sectors	VALQ	SDSI
Technology	27.0%	-
Healthcare	16.6%	2.5%
Consumer Defensive	16.3%	-
Industrials	12.0%	7.5%
Consumer Cyclical	9.5%	-
Communication Services	7.2%	90.0%
Energy	5.3%	-
Financial Services	3.7%	-
Basic Materials	1.6%	-
Real Estate	0.8%	-
Utilities	-	-

Return for Risk

VALQ vs. SDSI — Risk / Return Rank

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

VALQ

VALQ Risk / Return Rank: 41
VALQ Sharpe Ratio Rank: 42
VALQ Sortino Ratio Rank: 43
VALQ Omega Ratio Rank: 39
VALQ Calmar Ratio Rank: 42
VALQ Martin Ratio Rank: 38

SDSI

SDSI Risk / Return Rank: 91
SDSI Sharpe Ratio Rank: 91
SDSI Sortino Ratio Rank: 94
SDSI Omega Ratio Rank: 93
SDSI Calmar Ratio Rank: 84
SDSI Martin Ratio Rank: 90

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.

VALQ vs. SDSI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for American Century STOXX U.S. Quality Value ETF (VALQ) and American Century Short Duration Strategic Income ETF (SDSI). 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.

	VALQ	SDSI	Difference
Sharpe ratio: Return per unit of total volatility	1.46	3.25	-1.79
Sortino ratio: Return per unit of downside risk	2.17	5.01	-2.84
Omega ratio: Gain probability vs. loss probability	1.26	1.66	-0.41
Calmar ratio: Return relative to maximum drawdown	2.07	4.53	-2.46
Martin ratio: Return relative to average drawdown	5.87	21.22	-15.36
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VALQ vs. SDSI - Sharpe Ratio Comparison

The current VALQ Sharpe Ratio is 1.46, which is lower than the SDSI Sharpe Ratio of 3.25. The chart below compares the historical Sharpe Ratios of VALQ and SDSI, 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

	VALQ	SDSI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.46	3.25	-1.79
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.60	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.50	2.60	-2.09

Drawdowns

VALQ vs. SDSI - Drawdown Comparison

The maximum VALQ drawdown since its inception was -38.19%, which is greater than SDSI's maximum drawdown of -1.29%. Use the drawdown chart below to compare losses from any high point for VALQ and SDSI.

Drawdown Indicators

	VALQ	SDSI	Difference
Max Drawdown Largest peak-to-trough decline	-38.19%	-1.29%	-36.90%
Max Drawdown (1Y) Largest decline over 1 year	-7.85%	-1.17%	-6.68%
Max Drawdown (3Y) Largest decline over 3 years	-15.62%	-1.29%	-14.33%
Max Drawdown (5Y) Largest decline over 5 years	-20.19%	—	—
Current Drawdown Current decline from peak	-0.38%	-0.07%	-0.31%
Average Drawdown Average peak-to-trough decline	-4.95%	-0.24%	-4.71%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.76%	0.25%	+2.51%

Volatility

VALQ vs. SDSI - Volatility Comparison

American Century STOXX U.S. Quality Value ETF (VALQ) has a higher volatility of 2.45% compared to American Century Short Duration Strategic Income ETF (SDSI) at 0.41%. This indicates that VALQ's price experiences larger fluctuations and is considered to be riskier than SDSI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VALQ	SDSI	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.45%	0.41%	+2.04%
Volatility (6M) Calculated over the trailing 6-month period	7.97%	1.14%	+6.83%
Volatility (1Y) Calculated over the trailing 1-year period	11.13%	1.63%	+9.50%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.48%	2.28%	+12.20%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.66%	2.28%	+15.38%

VALQ vs. SDSI - Expense Ratio Comparison

VALQ has a 0.29% expense ratio, which is lower than SDSI's 0.33% expense ratio.

Dividends

VALQ vs. SDSI - Dividend Comparison

VALQ's dividend yield for the trailing twelve months is around 1.73%, less than SDSI's 4.42% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
SDSI American Century Short Duration Strategic Income ETF	4.42%	4.91%	5.49%	5.37%	0.98%	0.00%	0.00%	0.00%	0.00%
VALQ American Century STOXX U.S. Quality Value ETF	1.73%	1.88%	1.58%	1.76%	2.71%	1.58%	2.08%	2.31%	2.35%

Frequently Asked Questions

Can I hold both VALQ and SDSI in my portfolio?

VALQ and SDSI have a correlation of 0.39, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VALQ or SDSI?

VALQ has higher volatility (2.45%) compared to SDSI (0.41%). In terms of maximum drawdown, VALQ dropped -38.19% vs SDSI's -1.29%.

Which ETF is better, VALQ or SDSI?

On 3-year performance, VALQ leads with 15.35% vs 5.77% for SDSI. On fees, VALQ is cheaper at 0.29% per year. On volatility, SDSI has been the lower-risk option at 0.41%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VALQ or SDSI?

Over the 3-year period, VALQ has performed better with a 15.35% return vs 5.77%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VALQ or SDSI?

VALQ is cheaper with a 0.29% expense ratio, compared with 0.33% for SDSI.

Which ETF pays a higher dividend yield, VALQ or SDSI?

SDSI has the higher dividend yield at 4.42%, compared with 1.73% for VALQ.

What is the main difference between VALQ and SDSI?

VALQ is categorized as Large Cap Value Equities, while SDSI is Short-Term Bond. VALQ tracks iSTOXX American Century USA Quality Value Index, while SDSI tracks Bloomberg U.S. 1-3 Year Government/Credit Bond Index. Their fees differ too: 0.29% for VALQ and 0.33% for SDSI.

Which has better risk-adjusted returns?

SDSI currently has the higher Sharpe Ratio (3.25 vs 1.46), 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.