FPE vs IPPP
First Trust Preferred Securities and Income ETF vs Preferred Plus ETF
Which is better, FPE or IPPP?
Each has led over a different period.
FPE has a lower expense ratio. FPE led over the full window, IPPP over 1Y.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | FPE | IPPP |
|---|---|---|
| Expense Ratio | 0.85%Best | 1.02% |
| AUM | $5.9B | $12M |
| Dividend Yield | 6.14% | 5.62% |
| Holdings | 260 | 98 |
| Volatility (annualized) | 10.1%Best | 15.8% |
| Max Drawdown | -14.9%Best | -22.3% |
| $10,000 over 3.5 years | $11,791Best | $10,758 |
| Fund Family | First Trust Portfolios (US) | Innovative Portfolios LLC |
| Category | Allocation/Balanced | Allocation/Balanced |
| Style | Preferred Stock | Preferred Stock |
| Inception | Feb 11, 2013 | Dec 24, 2018 |
Not shown on this pair: YTD Return, 1Y Return, 3Y Return (annualized), 5Y Return (annualized), Top 10 Weight.
The two price series end 415 days apart, so a return over any period would be measuring two different stretches of market. Those rows are withheld. FPE has data through Oct 14, 2026 and IPPP through Aug 25, 2025.
Volatility and max drawdown, and the $10,000 over 3.5 years row, are measured over the window both funds cover: Mar 7, 2022 to Aug 25, 2025 (3.5 years).
Risk: Volatility and Drawdowns
IPPP has been the more volatile fund, with annualized monthly volatility of 15.8% compared with 10.1% for FPE. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -14.9% for FPE and -22.3% for IPPP. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.89. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
FPE charges 0.85% per year while IPPP charges 1.02%. On a $10,000 position that is $85 vs $102 annually, a gap of $17 per year that compounds over a long holding period. On income, FPE currently yields 6.14% against 5.62% for IPPP.
You are not choosing between two funds in isolation.
Whichever of FPE and IPPP you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, FPE or IPPP?
FPE has an expense ratio of 0.85% while IPPP charges 1.02%. FPE is the cheaper option, by $17 a year on a $10,000 investment.
Which is riskier, FPE or IPPP?
IPPP has been the more volatile fund at 15.8% annualized versus 10.1% for FPE. Worst drawdown: FPE -14.9% vs IPPP -22.3%.
Should I hold both FPE and IPPP?
FPE and IPPP have a monthly-return correlation of 0.89, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, FPE or IPPP?
FPE yields 6.14% while IPPP yields 5.62%, so FPE currently pays the higher dividend yield.
Is IPPP better than FPE?
FPE has a lower expense ratio. FPE led over the full window, IPPP over 1Y. Which one suits a particular account depends on what it is for. This is information, not a recommendation.