VRP vs. BINC

Last updated Jun 9, 2026

VRP (Invesco Variable Rate Preferred ETF) and BINC (iShares Flexible Income Active ETF) are both exchange-traded funds - VRP is a Preferred Stock/Convertible Bonds fund tracking the Wells Fargo Hybrid and Preferred Securities Floating and Variable Rate Index, while BINC is a Multisector Bonds fund actively managed by iShares. VRP is passively managed, while BINC is actively managed. Over the past 3 years, VRP returned 9.63%/yr vs 6.84%/yr for BINC. At a 0.46 correlation, their price movements are largely independent. VRP charges 0.50%/yr vs 0.40%/yr for BINC.

Performance

VRP vs. BINC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Variable Rate Preferred ETF (VRP) and iShares Flexible Income Active ETF (BINC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VRP achieves a 1.98% return, which is significantly higher than BINC's 0.61% return.

VRP

• 1D: -0.04%
• 1M: 0.08%
• YTD: 1.98%
• 6M: 2.44%
• 1Y: 6.69%
• 3Y*: 9.63%
• 5Y*: 4.33%
• 10Y*: 5.21%

BINC

• 1D: -0.12%
• 1M: -0.31%
• YTD: 0.61%
• 6M: 1.20%
• 1Y: 5.51%
• 3Y*: 6.84%
• 5Y*: —
• 10Y*: —

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

VRP vs. BINC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
VRP Invesco Variable Rate Preferred ETF	1.98%	7.34%	11.10%	9.82%
BINC iShares Flexible Income Active ETF	0.61%	7.57%	5.76%	7.12%

Correlation

The correlation between VRP and BINC 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	0.47
Correlation (All Time) Calculated using the full available price history since May 23, 2023	0.46

The correlation between VRP and BINC has been stable across timeframes, ranging from 0.46 to 0.54 - a consistent structural relationship.

VRP vs. BINC - Sectors Allocation Comparison

Sectors	VRP	BINC
Financial Services	41.3%	0.1%
Utilities	17.0%	-
Energy	7.5%	0.0%
Communication Services	4.5%	-0.0%
Real Estate	2.8%	-0.0%
Healthcare	1.7%	-0.0%
Industrials	1.4%	0.0%
Consumer Cyclical	0.7%	-
Consumer Defensive	0.3%	-
Basic Materials	0.2%	0.0%
Technology	-	-

Return for Risk

VRP vs. BINC — Risk / Return Rank

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

VRP

VRP Risk / Return Rank: 75
VRP Sharpe Ratio Rank: 80
VRP Sortino Ratio Rank: 83
VRP Omega Ratio Rank: 88
VRP Calmar Ratio Rank: 52
VRP Martin Ratio Rank: 74

BINC

BINC Risk / Return Rank: 71
BINC Sharpe Ratio Rank: 83
BINC Sortino Ratio Rank: 86
BINC Omega Ratio Rank: 86
BINC Calmar Ratio Rank: 46
BINC Martin Ratio Rank: 52

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.

VRP vs. BINC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Variable Rate Preferred ETF (VRP) and iShares Flexible Income Active ETF (BINC). 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.

	VRP	BINC	Difference
Sharpe ratio: Return per unit of total volatility	2.33	2.43	-0.10
Sortino ratio: Return per unit of downside risk	3.37	3.52	-0.14
Omega ratio: Gain probability vs. loss probability	1.51	1.48	+0.02
Calmar ratio: Return relative to maximum drawdown	2.33	2.06	+0.27
Martin ratio: Return relative to average drawdown	12.52	8.08	+4.44
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VRP vs. BINC - Sharpe Ratio Comparison

The current VRP Sharpe Ratio is 2.33, which is comparable to the BINC Sharpe Ratio of 2.43. The chart below compares the historical Sharpe Ratios of VRP and BINC, 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

	VRP	BINC	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.33	2.43	-0.10
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.66	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.36	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.38	2.32	-1.94

Drawdowns

VRP vs. BINC - Drawdown Comparison

The maximum VRP drawdown since its inception was -46.04%, which is greater than BINC's maximum drawdown of -2.69%. Use the drawdown chart below to compare losses from any high point for VRP and BINC.

Drawdown Indicators

	VRP	BINC	Difference
Max Drawdown Largest peak-to-trough decline	-46.04%	-2.69%	-43.35%
Max Drawdown (1Y) Largest decline over 1 year	-2.89%	-2.69%	-0.20%
Max Drawdown (3Y) Largest decline over 3 years	-4.26%	-2.69%	-1.57%
Max Drawdown (5Y) Largest decline over 5 years	-13.76%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-46.04%	—	—
Current Drawdown Current decline from peak	-0.25%	-0.77%	+0.52%
Average Drawdown Average peak-to-trough decline	-2.31%	-0.36%	-1.95%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.54%	0.68%	-0.14%

Volatility

VRP vs. BINC - Volatility Comparison

The current volatility for Invesco Variable Rate Preferred ETF (VRP) is 0.63%, while iShares Flexible Income Active ETF (BINC) has a volatility of 0.70%. This indicates that VRP experiences smaller price fluctuations and is considered to be less risky than BINC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VRP	BINC	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.63%	0.70%	-0.07%
Volatility (6M) Calculated over the trailing 6-month period	2.33%	1.85%	+0.48%
Volatility (1Y) Calculated over the trailing 1-year period	2.90%	2.28%	+0.62%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	6.55%	3.00%	+3.55%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.53%	3.00%	+11.53%

VRP vs. BINC - Expense Ratio Comparison

VRP has a 0.50% expense ratio, which is higher than BINC's 0.40% expense ratio.

Dividends

VRP vs. BINC - Dividend Comparison

VRP's dividend yield for the trailing twelve months is around 6.31%, more than BINC's 5.88% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BINC iShares Flexible Income Active ETF	5.88%	5.86%	6.14%	3.13%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VRP Invesco Variable Rate Preferred ETF	6.31%	6.53%	5.78%	6.61%	5.38%	4.25%	4.17%	4.71%	5.28%	4.69%	5.10%	5.02%

Frequently Asked Questions

Can I hold both VRP and BINC in my portfolio?

VRP and BINC 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, VRP or BINC?

BINC has higher volatility (0.70%) compared to VRP (0.63%). In terms of maximum drawdown, VRP dropped -46.04% vs BINC's -2.69%.

Which ETF is better, VRP or BINC?

On 3-year performance, VRP leads with 9.63% vs 6.84% for BINC. On fees, BINC is cheaper at 0.40% 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, VRP or BINC?

Over the 3-year period, VRP has performed better with a 9.63% return vs 6.84%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VRP or BINC?

BINC is cheaper with a 0.40% expense ratio, compared with 0.50% for VRP.

Which ETF pays a higher dividend yield, VRP or BINC?

VRP has the higher dividend yield at 6.31%, compared with 5.88% for BINC.

What is the main difference between VRP and BINC?

VRP is categorized as Preferred Stock/Convertible Bonds, while BINC is Multisector Bonds. They also come from different issuers: Invesco and iShares. Their fees differ too: 0.50% for VRP and 0.40% for BINC.

Which has better risk-adjusted returns?

BINC currently has the higher Sharpe Ratio (2.43 vs 2.33), 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.