FXO vs FXU
First Trust Financials AlphaDEX Fund vs First Trust Utilities AlphaDEX Fund
Which is better, FXO or FXU?
Each has led over a different period.
FXO has a lower expense ratio. FXO led over 1Y, 3Y and the full window, FXU over 5Y. FXO is less concentrated, with 18.6% of the fund in its ten largest positions against 40.7%.
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 | FXO | FXU |
|---|---|---|
| Expense Ratio | 0.60%Best | 0.61% |
| AUM | $1.0B | $737M |
| Dividend Yield | 2.31% | 2.56% |
| Holdings | 210 | 82 |
| YTD Return | +3.38%Best | +3.24% |
| 1Y Return | +7.59%Best | +1.18% |
| 3Y Return (annualized) | +20.45%Best | +19.41% |
| 5Y Return (annualized) | +8.39% | +11.22%Best |
| Volatility (annualized) | 21.4% | 14.6%Best |
| Max Drawdown | -72.2% | -51.5%Best |
| $10,000 over 5 years | $14,960 | $17,018Best |
| Top 10 Weight | 18.6%Best | 40.7% |
| Fund Family | First Trust Portfolios (US) | First Trust Portfolios (US) |
| Category | Equity | Equity |
| Style | Mid Cap Value | Mid Cap Value |
| Inception | May 8, 2007 | May 8, 2007 |
Volatility and max drawdown are measured over the window both funds cover: May 10, 2007 to Oct 14, 2026 (19.4 years).
FXO vs FXU growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 19.4 years both funds cover.
FXO vs FXU Performance
First Trust Financials AlphaDEX Fund (FXO) is an ETF from First Trust Portfolios (US) and First Trust Utilities AlphaDEX Fund (FXU) is an ETF from First Trust Portfolios (US). Over the past year FXO returned +7.59% while FXU returned +1.18%. Year to date, FXO is up 3.38% versus a gain of 3.24% for FXU.
Over three years, FXO compounded at +20.45% per year against +19.41% for FXU; over five years the annualized figures are +8.39% and +11.22% respectively. Across the full 19-year window we track, FXO has the edge at +6.70% annualized vs +5.16%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
FXO has been the more volatile fund, with annualized monthly volatility of 21.4% compared with 14.6% for FXU. 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 -72.2% for FXO and -51.5% for FXU. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.57. They move together some of the time, and apart the rest.
Fees and Cost Over Time
FXO charges 0.60% per year while FXU charges 0.61%. On a $10,000 position that is $60 vs $61 annually, a gap of $1 per year that compounds over a long holding period. On income, FXO currently yields 2.31% against 2.56% for FXU.
Holdings Overlap
We hold position weights for 104 holdings in FXO and 40 in FXU, totalling 99.7% and 99.7% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 104 positions we hold weights for in FXO and 40 in FXU, against full books of 210 and 82.
What only one of them owns
Our book lists 38 positions for FXU that do not appear in our book for FXO (97.8% of the fund), and 100 for FXO that do not appear in FXU (93.9%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
You are not choosing between two funds in isolation.
Whichever of FXO and FXU 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, FXO or FXU?
FXO has an expense ratio of 0.60% while FXU charges 0.61%. FXO is the cheaper option, by $1 a year on a $10,000 investment.
Which performed better, FXO or FXU?
Over the past year FXO returned +7.59% vs +1.18% for FXU, so FXO leads on 1-year performance. Over the longest common window we track (19 years), FXO annualized +6.70% vs +5.16% for FXU. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, FXO or FXU?
FXO has been the more volatile fund at 21.4% annualized versus 14.6% for FXU. Worst drawdown: FXO -72.2% vs FXU -51.5%.
Should I hold both FXO and FXU?
FXO and FXU have a monthly-return correlation of 0.57, 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, FXO or FXU?
FXO yields 2.31% while FXU yields 2.56%, so FXU currently pays the higher dividend yield.
Is FXU better than FXO?
FXO has a lower expense ratio. FXO led over 1Y, 3Y and the full window, FXU over 5Y. FXO is less concentrated, with 18.6% of the fund in its ten largest positions against 40.7%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.