BetterThanSPY

Relative Intelligence · Electric Utilities

How American Electric Power (AEP) compares with the whole market and its popular alternatives

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on AEP alone. It places AEP (American Electric Power Company, Inc.) against 20+ popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where AEP stands in the market, and of the alternatives worth a closer look.

Period covered: AEP's full trading record, from October 1986 through September 2026. All returns include reinvested dividends. Data as of October 22, 2026.

Data as of October 22, 2026. Full tables and charts read best on a larger screen.

Rank the market against AEP →Chart AEP vs. 25 alternatives →

This page answers the following questions about AEP

Key findings

Not AI-generated

These key findings are generated by our proprietary relative intelligence engine, directly from the data on this page.

How much would $10,000 in AEP have grown?

This chart tracks a hypothetical $10,000 investment in AEP over the past 29 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of AEP over the same span and AEP's popular alternatives, among those that traded for the entire period. A second view covers the past 5 years, the period the better options further down the page are judged on. It shows not only where each investment ended up but also how smooth or uneven the path was.

Choose a period

From the end of September 1997 to the end of September 2026. The scale is logarithmic, so equal steps up the chart are equal percentage gains. Hover over a fund in the key to pick out its line. 558 of the 1,042 stocks and funds worth at least $500 million that traded the whole period ended ahead of AEP; the chart shows 5, closest alternatives first. The other 3 lines are popular alternatives, shown for context.

$5,000$10,000$20,000$50,000$100,000$200,000$500,000199720022007201220172022$10,000$100,00019972004201120182025
  • ETN$538,468+5,285% total · +14.7% a year
  • ETR$234,668+2,247% total · +11.5% a year
  • SO$225,240+2,152% total · +11.3% a year
  • OGE$138,446+1,284% total · +9.5% a year
  • SPY (S&P 500)$132,907+1,229% total · +9.3% a year
  • ED$109,083+991% total · +8.6% a year
  • AEE$96,296+863% total · +8.1% a year
  • XEL$94,855+849% total · +8.1% a year
  • PNW$94,652+847% total · +8.1% a year
  • AEP$92,393+824% total · +8.0% a year
Change the dates or add tickers to this chart in EasyCompare

From the end of September 2021 to the end of September 2026. Hover over a fund in the key to pick out its line. 1,134 of the 3,630 stocks and funds worth at least $500 million that traded the whole period ended ahead of AEP; the chart shows 5, closest alternatives first. The other 3 lines are popular alternatives, shown for context.

$0$50,000$100,000$150,000202120222023202420252026$0$50,000$100,000$150,000202120222023202420252026
  • VST$88,175+782% total · +54.6% a year
  • PWR$56,870+469% total · +41.6% a year
  • DXJ$32,976+230% total · +27.0% a year
  • MPLX$30,642+206% total · +25.1% a year
  • ETR$23,803+138% total · +18.9% a year
  • RY$23,646+136% total · +18.8% a year
  • NVS$21,146+111% total · +16.2% a year
  • ATO$20,072+101% total · +15.0% a year
  • SPY (S&P 500)$19,000+90.0% total · +13.7% a year
  • AEP$17,493+74.9% total · +11.8% a year
Change the dates or add tickers to this chart in EasyCompare

AEP at a glance

This section summarizes the key facts about the stock, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout. These figures serve as the baseline for every comparison that follows.

The company

Market value
$71B
Industry
Regulated Electric
Price history from
October 1986

Returns

Past 1 year
+14.9%total return
Past 3 years
+98.5%+25.7% a year
Past 5 years
+82.7%+12.8% a year
Past 10 years
+192%+11.3% a year
Best calendar year
+54.8%2000
Worst calendar year
−32.8%2002
Losing years
8 of 29full calendar years

Risk

Volatility
20.2%typical yearly swing, 5 years
Sharpe ratio
0.70return per unit of risk, 5 years
Worst decline ever
−62.8%May 2001 to Oct 2002
From its all-time high
−5.1%below the peak

AEP against the whole market

Where AEP ranks among every stock and fund, and what across the market has done better.

How does AEP rank among all stocks?

This section ranks AEP on return, volatility, risk-adjusted return and worst decline against every stock worth at least $300 million with enough history. Where the comparisons with its popular alternatives show how AEP stacks up against its peers, these rankings show where it stands in the market as a whole.

Ranked against U.S.-listed stocks worth at least $300M that have enough history for each measure, so the count changes from row to row; smaller stocks are left out. Lower volatility and smaller declines rank higher.

MeasureAEPRankStanding
1-year return+14.9%1,446 of 3,282top 44%
3-year return+98.5%942 of 3,016top 31%
5-year return+82.7%808 of 2,897top 28%
10-year return+192%894 of 2,201top 41%
Volatility, 5 years20.2%95 of 2,897top 3%
Sharpe ratio, 5 years0.70454 of 2,897top 16%
Worst decline, past 10 years−32.9%43 of 2,184top 2%

What has beaten AEP on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer). AEP sits where the dashed lines cross. Anything in the green box above and to the left earned more than AEP with smaller swings, a better trade-off over this period on both counts. Past results are no promise, but a name in the box is worth a closer look.

Annual return is the annualized total return with dividends reinvested, and volatility the annualized swing in daily prices, both over 5 years. Labeled dots are the strongest picks from the table below and the names called out above, colored by how close they sit to AEP; faint dots are 25 more of the 44 in the green region (the strongest, one per fund family). 3,641 stocks and funds worth at least $500 million were screened. Hover over a dot for its figures.

10.0%12.0%14.0%16.0%18.0%20.0%22.0%10.0%12.0%14.0%16.0%18.0%20.0%22.0%24.0%26.0%28.0%Volatility over 5 years (annualized)Annual return over 5 yearsMore return, less volatility than AEPDYNF: +14.4% a year, volatility 17.5%GLD: +17.1% a year, volatility 19.0%IOO: +15.6% a year, volatility 17.2%FDL: +14.6% a year, volatility 14.5%VLUE: +16.2% a year, volatility 18.4%DFIV: +14.8% a year, volatility 16.4%AVLV: +13.9% a year, volatility 16.9%DIVB: +14.6% a year, volatility 15.5%DGT: +13.9% a year, volatility 15.1%NXTG: +16.1% a year, volatility 19.1%GVAL: +14.2% a year, volatility 18.7%FFLC: +15.5% a year, volatility 16.8%EPD: +16.3% a year, volatility 17.1%SDCI: +21.1% a year, volatility 18.4%TPYP: +17.2% a year, volatility 17.3%L: +15.0% a year, volatility 19.2%PVAL: +15.9% a year, volatility 15.1%AMLP: +16.4% a year, volatility 18.9%PPA: +16.2% a year, volatility 18.9%EMLP: +15.2% a year, volatility 14.5%GCOW: +14.4% a year, volatility 13.6%IUS: +14.7% a year, volatility 14.9%VFMF: +14.5% a year, volatility 17.6%EWJV: +15.1% a year, volatility 18.2%IDOG: +14.1% a year, volatility 15.6%AEP: +12.8% a year, volatility 20.2%SPY (S&P 500): +12.5% a year, volatility 17.2%ATO: +15.9% a year, volatility 18.5%RY: +17.5% a year, volatility 18.2%MPLX: +24.0% a year, volatility 18.8%NVS: +17.4% a year, volatility 20.7%DXJ: +26.6% a year, volatility 19.1%KO: +15.2% a year, volatility 16.8%RSG: +14.1% a year, volatility 18.6%TD: +16.5% a year, volatility 20.0%FNDX: +13.6% a year, volatility 14.9%LVHI: +16.9% a year, volatility 11.1%AEPSPY (S&P 500)ATORYMPLXNVSDXJKORSGTDFNDXLVHI10.0%12.5%15.0%17.5%20.0%22.5%10.0%15.0%20.0%25.0%30.0%Volatility over 5 years (annualized)Annual return over 5 yearsMore return, less volatility than AEPDYNF: +14.4% a year, volatility 17.5%GLD: +17.1% a year, volatility 19.0%IOO: +15.6% a year, volatility 17.2%FDL: +14.6% a year, volatility 14.5%VLUE: +16.2% a year, volatility 18.4%DFIV: +14.8% a year, volatility 16.4%AVLV: +13.9% a year, volatility 16.9%DIVB: +14.6% a year, volatility 15.5%DGT: +13.9% a year, volatility 15.1%NXTG: +16.1% a year, volatility 19.1%GVAL: +14.2% a year, volatility 18.7%FFLC: +15.5% a year, volatility 16.8%EPD: +16.3% a year, volatility 17.1%SDCI: +21.1% a year, volatility 18.4%TPYP: +17.2% a year, volatility 17.3%L: +15.0% a year, volatility 19.2%PVAL: +15.9% a year, volatility 15.1%AMLP: +16.4% a year, volatility 18.9%PPA: +16.2% a year, volatility 18.9%EMLP: +15.2% a year, volatility 14.5%GCOW: +14.4% a year, volatility 13.6%IUS: +14.7% a year, volatility 14.9%VFMF: +14.5% a year, volatility 17.6%EWJV: +15.1% a year, volatility 18.2%IDOG: +14.1% a year, volatility 15.6%AEP: +12.8% a year, volatility 20.2%SPY (S&P 500): +12.5% a year, volatility 17.2%ATO: +15.9% a year, volatility 18.5%RY: +17.5% a year, volatility 18.2%MPLX: +24.0% a year, volatility 18.8%NVS: +17.4% a year, volatility 20.7%DXJ: +26.6% a year, volatility 19.1%KO: +15.2% a year, volatility 16.8%RSG: +14.1% a year, volatility 18.6%TD: +16.5% a year, volatility 20.0%FNDX: +13.6% a year, volatility 14.9%LVHI: +16.9% a year, volatility 11.1%AEPSPY (S&P 500)ATORYMPLXNVSDXJKORSGTDFNDXLVHI
  • Same and neighboring categories, and shared themes
  • The whole market
  • Others in the green region

Is there a better investment than AEP?

Investments that beat AEP over the past 5 years on return, volatility, drawdowns, consistency, crash losses or fees, from its popular alternatives out to the whole market.

How this works

The table below lists investments that beat AEP over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes. It checks AEP's popular alternatives first, then the rest of its own and neighboring categories, then every stock and fund worth at least $500 million, and shows the strongest few in each group. The full list of those with a higher return and lower volatility than AEP follows the table.

Annual return is the annualized total return with dividends reinvested. Annual return, volatility and the Sharpe ratio cover 5 years; the worst decline covers the past 10 years. Green marks a better figure than AEP's. "On the frontier" means no other option shown or tested earned more with less volatility. Funds that hold the same thing are shown once. Beyond the popular alternatives, nothing with more than 1.5× AEP's volatility counts as better.

These figures cover the past 5 years. Green marks a better figure than AEP's.

Screen the whole market against AEP for any period in BetterThanSPYOpen these 10 in EasyCompare
InvestmentWhy it is betterPast 5 yearsDownsideLong runFit
Annual return?higher is betterVolatility?lower is calmerSharpe?return per unit of riskWorst decline?past 10 years10Y returntotalCorr. with AEP?lower diversifies moreExpenseper year
AEPAmerican Electric Power Company, Inc. · this page
+12.8%20.2%0.70−32.9%+192%1.00—
SPYState Street SPDR S&P 500 ETF · S&P 500
+12.5%17.2%0.78−33.7%+316%0.380.09%
Same and neighboring categories, and shared themesbest 1 shownEverything else in Electric Utilities and the categories next to it (Independent Power Producers, Diversified Utilities, Engineering & Construction, Gas Utilities), plus AEP's specific themes. 1 of 80 passed at least one test.
ATOAtmos Energy Corporation · Gas Utilities
Higher return, lower volatility+15.9%18.5%0.90−32.9%+207%0.71—
The whole marketbest 8 shownEvery other stock and fund worth at least $500 million. 284 of 3,545 passed at least one test.
RYRoyal Bank of Canada · Banks
On the frontierHigher return, lower volatilityHigher return in most periods+17.5%18.2%0.98−40.0%+361%0.35—
MPLXMPLX Lp · Oil & Gas Midstream
On the frontierHigher return, lower volatilityHigher return in most periods+24.0%18.8%1.25−75.2%+337%0.40—
NVSNovartis AG · Pharmaceuticals
Higher return, similar volatilityHigher Sharpe, smaller worst declineHigher return in most periods+17.4%20.7%0.89−26.8%+234%0.49—
DXJWisdomTree Japan Hedged Equity Fund · Japan Equity
On the frontierHigher return, lower volatilityHigher return in most periods+26.6%19.1%1.34−39.1%+415%0.260.48%
KOThe Coca-Cola Company · Nonalcoholic Beverages
Higher return, lower volatilityHigher return in most periods+15.2%16.8%0.93−37.0%+205%0.61—
RSGRepublic Services, Inc. · Waste Management
Higher return, lower volatilityHigher return in most periods+14.1%18.6%0.80−34.0%+461%0.43—
TDThe Toronto-Dominion Bank · Banks
Higher return, similar volatilityHigher return in most periods+16.5%20.0%0.87−42.0%+319%0.39—
FNDXSchwab Fundamental U.S. Large Company ETF · US Large-Cap Value
Similar return, lower volatilityHigher return in most periods+13.6%14.9%0.93−37.7%+292%0.520.25%
What these numbers mean for AEP
Annual return
AEP returned 12.8% a year over the past 5 years with dividends reinvested, against 12.5% a year for the S&P 500. At that pace, $10,000 became about $18,300. Annual return is the steady yearly rate that would produce the same total result, so investments held over the same span compare fairly. Guide: What is performance and return? →
Volatility
AEP's volatility over the past 5 years was 20.2%, 1.2 times the S&P 500's 17.2%. Volatility measures how widely returns swing around their average: in roughly two years out of three, AEP's return lands within 20.2% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump. Guide: Understanding and measuring risk (volatility) →
Sharpe ratio
AEP's Sharpe ratio over the past 5 years was 0.70, against 0.78 for the S&P 500, so AEP earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings. Guide: Balancing reward with risk (Sharpe ratio) →
Worst decline
AEP's worst fall from a peak to a low over the past 10 years was 32.9%, against 33.7% for the S&P 500. Losses and gains are not symmetric: climbing back from a 32.9% fall takes a 49.1% gain. Guide: Market crash risk and tail risk →
Correlation
Over the past 5 years, AEP's monthly returns had a correlation of 0.38 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They are only loosely linked, which makes it a real diversifier next to an index fund. In the table, the correlation column measures each option against AEP instead: the lower it is, the more that option would diversify a AEP holding. Guide: Correlation and diversification →
Show all 44 stocks and funds worth at least $500 million that earned more than AEP with less volatility

Out of 3,641 tested over 5 years. The strongest 32 are listed, best first, with funds that hold the same thing listed once.

#InvestmentFound inAnnual returnVolatilitySharpeWorst decline10Y returnCorr. with AEPExpense
1
RYRoyal Bank of Canada · Banks
Whole market+17.5%18.2%0.98−40.0%+361%0.35—
2
MPLXMPLX Lp · Oil & Gas Midstream
Whole market+24.0%18.8%1.25−75.2%+337%0.40—
3
DXJWisdomTree Japan Hedged Equity Fund · Japan Equity
Whole market+26.6%19.1%1.34−39.1%+415%0.260.48%
4
KOThe Coca-Cola Company · Nonalcoholic Beverages
Whole market+15.2%16.8%0.93−37.0%+205%0.61—
5
RSGRepublic Services, Inc. · Waste Management
Whole market+14.1%18.6%0.80−34.0%+461%0.43—
6
DYNFiShares U.S. Equity Factor Rotation Active ETF · US Multifactor Equity
Whole market+14.4%17.5%0.86−34.7%—0.350.26%
7
GLDSPDR Gold Shares · Gold
Whole market+17.1%19.0%0.93−26.4%+206%0.280.40%
8
IOOiShares Global 100 ETF · Global Equity
Whole market+15.6%17.2%0.94−31.4%+357%0.340.40%
9
FDLFirst Trust Morningstar Dividend Leaders Index Fund · High Dividend Yield
Whole market+14.6%14.5%1.02−41.4%+207%0.590.43%
10
VLUEiShares MSCI USA Value Factor ETF · US Large-Cap Value
Whole market+16.2%18.4%0.91−39.5%+286%0.380.15%
11
DFIVDimensional - International Value ETF · International Large-Cap Value
Whole market+14.8%16.4%0.93−25.4%—0.530.27%
12
AVLVAvantis U.S. Large Cap Value ETF · US Large-Cap Value
Whole market+13.9%16.9%0.86−19.5%—0.480.15%
13
DIVBiShares Core Dividend ETF · High Dividend Yield
Whole market+14.6%15.5%0.96−36.9%—0.460.05%
14
DGTState Street SPDR Global Dow ETF · Global Equity
Whole market+13.9%15.1%0.95−34.4%+260%0.550.50%
15
NXTGFirst Trust Indxx NextG ETF · Technology Equity
Whole market+16.1%19.1%0.88−33.6%+323%0.320.70%
16
GVALCambria Global Value ETF · Global Equity
Whole market+14.2%18.7%0.81−46.8%+168%0.530.68%
17
FFLCFidelity Fundamental Large Cap Core ETF · Active Core Equity
Whole market+15.5%16.8%0.94−19.7%—0.420.38%
18
LVHIFranklin International Low Volatility High Dividend Index ETF · International Dividend Equity
Whole market+16.9%11.1%1.48−32.4%+194%0.610.40%
19
EPDEnterprise Products Partners L.P. · Oil & Gas Midstream
Whole market+16.3%17.1%0.98−58.1%+178%0.42—
20
SDCIUSCF SummerHaven Dynamic Commodity Strategy No K-1 Fund · Broad Commodities
Whole market+21.1%18.4%1.14−45.7%—0.250.80%
21
TPYPTortoise North American Pipeline ETF · Energy Infrastructure
Whole market+17.2%17.3%1.01−51.9%+188%0.580.40%
22
LLoews Corporation · Property & Casualty Insurance
Whole market+15.0%19.2%0.83−48.5%+190%0.52—
23
PVALPutnam Focused Large Cap Value ETF · US Large-Cap Value
Whole market+15.9%15.1%1.06−41.3%—0.500.56%
24
AMLPAlerian MLP ETF · Energy Equity
Whole market+16.4%18.9%0.90−72.9%+90.8%0.381.01%
25
PPAInvesco Aerospace & Defense ETF · Aerospace & Defense
Whole market+16.2%18.9%0.89−43.9%+341%0.410.58%
26
EMLPFirst Trust North American Energy Infrastructure Fund · Energy Infrastructure
Whole market+15.2%14.5%1.06−43.6%+155%0.700.95%
27
ATOAtmos Energy Corporation · Gas Utilities
Same or nearby category+15.9%18.5%0.90−32.9%+207%0.71—
28
GCOWPacer Global Cash Cows Dividend ETF · Global Equity
Whole market+14.4%13.6%1.06−37.6%+170%0.570.60%
29
IUSInvesco RAFI Strategic US ETF · US Total Market
Whole market+14.7%14.9%1.00−34.7%—0.490.19%
30
VFMFVanguard U.S. Multifactor ETF · US Multifactor Equity
Whole market+14.5%17.6%0.86−41.3%—0.440.18%
31
EWJViShares MSCI Japan Value ETF · Japan Equity
Whole market+15.1%18.2%0.87−30.1%—0.370.15%
32
IDOGALPS International Sector Dividend Dogs ETF · International Dividend Equity
Whole market+14.1%15.6%0.93−37.3%+180%0.540.50%

AEP against its popular alternatives

The investments people most often weigh against AEP, compared period by period and year by year.

How do AEP's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings. Investments toward the upper left earned more for a smoother ride, and those toward the lower right earned less for a rougher one. The dashed lines cross at AEP, which divides the map into what did better or worse on each measure.

Green points earned more than AEP with less volatility; red points earned less with more. Hover over a point for its figures. Total returns with dividends reinvested, annualized.

15.0%20.0%25.0%30.0%35.0%40.0%45.0%50.0%−10.0%0.0%10.0%20.0%30.0%40.0%50.0%60.0%Volatility over 5 years (annualized)Annual return over 5 yearsHigher return, lower volatilityLower return, higher volatilityAEP: 12.8% a year, volatility 20.2%SPY (S&P 500): 12.5% a year, volatility 17.2%PNW: 14.6% a year, volatility 19.9%XEL: 7.2% a year, volatility 20.9%ES: −0.8% a year, volatility 23.9%D: 1.2% a year, volatility 22.8%EXC: 7.9% a year, volatility 20.9%POR: 2.6% a year, volatility 20.9%PWR: 36.4% a year, volatility 37.4%ETR: 19.8% a year, volatility 22.4%VST: 51.7% a year, volatility 48.8%ETN: 19.7% a year, volatility 32.2%AEE: 8.2% a year, volatility 19.4%ED: 12.7% a year, volatility 18.9%OGE: 12.0% a year, volatility 18.8%SO: 12.3% a year, volatility 18.9%EVRG: 9.9% a year, volatility 19.0%WEC: 7.7% a year, volatility 19.1%DUK: 7.9% a year, volatility 18.1%CMS: 6.1% a year, volatility 19.1%LNT: 7.6% a year, volatility 19.8%IDA: 9.4% a year, volatility 19.2%DTE: 6.2% a year, volatility 19.1%FE: 8.6% a year, volatility 19.4%PPL: 7.6% a year, volatility 19.0%AEPSPY (S&P 500)XELESDEXCPORPWRETRVSTETNAEEDUK10.0%20.0%30.0%40.0%50.0%−10.0%0.0%10.0%20.0%30.0%40.0%50.0%60.0%Volatility over 5 years (annualized)Annual return over 5 yearsHigher return, lower volatilityLower return, higher volatilityAEP: 12.8% a year, volatility 20.2%SPY (S&P 500): 12.5% a year, volatility 17.2%PNW: 14.6% a year, volatility 19.9%XEL: 7.2% a year, volatility 20.9%ES: −0.8% a year, volatility 23.9%D: 1.2% a year, volatility 22.8%EXC: 7.9% a year, volatility 20.9%POR: 2.6% a year, volatility 20.9%PWR: 36.4% a year, volatility 37.4%ETR: 19.8% a year, volatility 22.4%VST: 51.7% a year, volatility 48.8%ETN: 19.7% a year, volatility 32.2%AEE: 8.2% a year, volatility 19.4%ED: 12.7% a year, volatility 18.9%OGE: 12.0% a year, volatility 18.8%SO: 12.3% a year, volatility 18.9%EVRG: 9.9% a year, volatility 19.0%WEC: 7.7% a year, volatility 19.1%DUK: 7.9% a year, volatility 18.1%CMS: 6.1% a year, volatility 19.1%LNT: 7.6% a year, volatility 19.8%IDA: 9.4% a year, volatility 19.2%DTE: 6.2% a year, volatility 19.1%FE: 8.6% a year, volatility 19.4%PPL: 7.6% a year, volatility 19.0%AEPSPY (S&P 500)XELESDEXCPORPWRETRVSTETNED
All figures
InvestmentAnnual returnVolatility
VST Vistra Corp.+51.7%48.8%
PWR Quanta Services, Inc.+36.4%37.4%
ETR Entergy Corporation+19.8%22.4%
ETN Eaton Corporation plc+19.7%32.2%
PNW Pinnacle West Capital Corporation+14.6%19.9%
AEP This pageAmerican Electric Power Company, Inc.+12.8%20.2%
ED Consolidated Edison, Inc.+12.7%18.9%
SPY S&P 500State Street SPDR S&P 500 ETF+12.5%17.2%
SO The Southern Company+12.3%18.9%
OGE OGE Energy Corp.+12.0%18.8%
EVRG Evergy, Inc.+9.9%19.0%
IDA IDACORP, Inc.+9.4%19.2%
FE FirstEnergy Corp.+8.6%19.4%
AEE Ameren Corporation+8.2%19.4%
DUK Duke Energy Corporation+7.9%18.1%
EXC Exelon Corporation+7.9%20.9%
WEC WEC Energy Group, Inc.+7.7%19.1%
LNT Alliant Energy Corporation+7.6%19.8%
PPL PPL Corporation+7.6%19.0%
XEL Xcel Energy Inc.+7.2%20.9%
DTE DTE Energy Company+6.2%19.1%
CMS CMS Energy Corporation+6.1%19.1%
POR Portland General Electric Company+2.6%20.9%
D Dominion Energy, Inc.+1.2%22.8%
ES Eversource Energy−0.8%23.9%
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Has AEP consistently beaten its popular alternatives?

This section compares AEP with the investments people most often weigh against it, checking each one over eight periods from one month to ten years. Counting how often an alternative earned more than AEP helps separate lasting outperformance from a single strong stretch.

A green cell means the alternative earned more than AEP over that period. "Qualified" marks those that did so in at least 3 of 5 short-term periods and 2 of 3 long-term periods.

InvestmentPeriods outperformed Short termLong termRisk · 5 yearsFund
1M3M6MYTD1Y3Y5Y10YVolatilitylower is calmerSharpehigher is betterWorst declinepast 10 yearsExpenseAssetsOverlapsame sectors
AEP American Electric Power Company, Inc. (this page)—+8.6%−1.1%+0.7%+15.4%+14.9%+98.5%+82.7%+192%20.2%0.70−32.9%—$71B—
PWR Engineering & ConstructionQuanta Services, Inc.2/5 short3/3 long−14.0%−14.1%−10.0%+25.7%+34.1%+235%+371%+1,878%37.4%1.02−45.5%—$83B—
ETR Regulated ElectricEntergy Corporation2/5 short3/3 long+6.9%−5.3%−0.9%+17.4%+15.5%+162%+146%+326%22.4%0.92−42.0%—$52B—
VST Independent Power ProducersVistra Corp.0/5 short3/3 long+0.3%−15.4%−9.3%−14.4%−23.8%+353%+703%+1,130%48.8%1.10−53.3%—$47B—
ETN Electrical Equipment & PartsEaton Corporation plc0/5 short2/3 long−16.6%−9.1%−10.4%+13.7%+3.5%+96.0%+146%+636%32.2%0.72−44.5%—$143B—
PNW Regulated ElectricPinnacle West Capital Corporation5/5 short1/3 long+14.4%+1.2%+7.7%+24.3%+19.6%+65.3%+98.0%+110%19.9%0.79−39.3%—$13B—
AEE Regulated ElectricAmeren Corporation0/5 short1/3 long+7.2%−2.1%+1.1%+10.3%+6.3%+59.0%+48.0%+199%19.4%0.50−29.1%—$30B—
CEG Independent Power ProducersConstellation Energy Corporation0/5 short1/3 long−3.1%−7.0%−10.8%−30.0%−26.7%+132%————−50.7%—$90B—
ED Regulated ElectricConsolidated Edison, Inc.5/5 short0/3 long+12.0%+4.6%+9.3%+19.1%+17.8%+48.7%+81.6%+123%18.9%0.73−30.9%—$43B—
OGE Regulated ElectricOGE Energy Corp.4/5 short0/3 long+9.5%+0.2%+8.2%+18.4%+9.3%+66.5%+76.5%+143%18.8%0.70−48.9%—$10B—
SO Regulated ElectricThe Southern Company2/5 short0/3 long+10.2%−1.3%+3.8%+10.3%−0.6%+59.0%+78.9%+178%18.9%0.71−38.4%—$108B—
XEL Regulated ElectricXcel Energy Inc.2/5 short0/3 long+9.5%−0.8%+2.6%+8.1%+0.8%+50.4%+41.3%+164%20.9%0.44−34.4%—$49B—
EVRG Regulated ElectricEvergy, Inc.2/5 short0/3 long+7.2%−1.0%+8.5%+19.2%+11.7%+98.7%+60.4%+113%19.0%0.60−38.8%—$20B—
GEV Industrial - MachineryGE Vernova Inc.2/5 short0/3 long−12.9%−16.0%−26.6%+22.0%+43.9%—————−38.3%—$220B—
WEC Regulated ElectricWEC Energy Group, Inc.1/5 short0/3 long+9.1%−0.3%+0.6%+8.1%−1.2%+55.1%+45.1%+168%19.1%0.49−32.3%—$37B—
DUK Regulated ElectricDuke Energy Corporation1/5 short0/3 long+7.8%−1.1%+1.9%+9.6%+0.6%+62.6%+46.5%+140%18.1%0.52−37.4%—$98B—
CMS Regulated ElectricCMS Energy Corporation1/5 short0/3 long+9.4%−4.2%−4.7%+2.2%−3.5%+46.9%+34.4%+129%19.1%0.41−29.6%—$22B—
ES Regulated ElectricEversource Energy1/5 short0/3 long+2.2%−7.8%+3.6%+3.1%−2.9%+48.6%−3.8%+78.3%23.9%0.09−41.7%—$26B—
D Regulated ElectricDominion Energy, Inc.1/5 short0/3 long+4.8%−7.1%+9.5%+13.8%+12.0%+90.5%+5.9%+37.9%22.8%0.17−52.2%—$58B—
EXC Regulated ElectricExelon Corporation0/5 short0/3 long+7.3%−3.0%−0.4%+4.9%−3.4%+30.8%+46.4%+171%20.9%0.47−40.0%—$46B—
LNT Regulated ElectricAlliant Energy Corporation0/5 short0/3 long+8.8%−4.3%+0.6%+9.7%+5.7%+60.3%+44.2%+158%19.8%0.47−33.5%—$18B—
IDA Regulated ElectricIDACORP, Inc.0/5 short0/3 long+9.0%−3.9%+0.2%+13.7%+7.2%+66.3%+56.9%+149%19.2%0.57−34.3%—$8.2B—
DTE Regulated ElectricDTE Energy Company0/5 short0/3 long+6.1%−9.6%−5.7%+4.6%−3.5%+53.7%+35.4%+134%19.1%0.41−42.4%—$28B—
FE Regulated ElectricFirstEnergy Corp.0/5 short0/3 long+3.9%−4.8%−2.0%+5.8%+2.3%+50.6%+51.0%+111%19.4%0.52−47.7%—$27B—
PPL Regulated ElectricPPL Corporation0/5 short0/3 long+7.5%−1.3%−4.9%+3.1%−3.4%+64.7%+44.1%+62.8%19.0%0.48−48.7%—$27B—
POR Regulated ElectricPortland General Electric Company0/5 short0/3 long−4.1%−14.1%−8.8%−4.2%+3.4%+30.9%+14.0%+56.9%20.9%0.23−45.0%—$5.3B—
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How did AEP do year by year?

This table shows each investment's total return in every full calendar year since 1997, along with where AEP ranked among its popular alternatives each year. Annual results reveal how consistently each one kept pace with AEP and how far its good and bad years diverged, detail that multiyear averages tend to smooth over.

Newest year first. Green marks a year in which the fund came out ahead of AEP; gray means the two finished within a fraction of a point. The rank row places AEP among the alternatives that traded the full year; dark green is the top quarter and red the bottom quarter.

InvestmentYears ahead of AEP20252024202320222021202020192018201720162015201420132012201120102009200820072006200520042003200220012000199919981997
AEP This pageAmerican Electric Power Company, Inc.—+29.4%+18.2%−11.0%+10.4%+10.7%−9.0%+30.5%+5.4%+19.9%+11.9%−0.4%+35.1%+14.2%+8.2%+20.7%+8.6%+10.4%−25.5%+13.0%+19.7%+12.3%+17.5%+19.2%−32.8%−1.3%+54.8%−27.3%−4.1%+32.6%
Rank among alternativesTop quarter in 4 of 294 of 2615 of 2520 of 254 of 2418 of 2416 of 2411 of 2413 of 243 of 2419 of 239 of 233 of 2312 of 239 of 2315 of 2317 of 2314 of 2314 of 239 of 2315 of 229 of 228 of 2215 of 2215 of 2210 of 2211 of 2217 of 2219 of 217 of 21
SPY S&P 500State Street SPDR S&P 500 ETF14 of 29+17.7%+24.9%+26.2%−18.2%+28.7%+18.3%+31.2%−4.6%+21.7%+12.0%+1.2%+13.5%+32.3%+16.0%+1.9%+15.1%+26.4%−36.8%+5.1%+15.9%+4.8%+10.7%+28.2%−21.6%−11.7%−9.8%+20.4%+28.7%+33.5%
PWR Quanta Services, Inc.17 of 27+33.7%+46.6%+51.7%+24.6%+59.5%+77.8%+35.8%−22.9%+12.2%+72.1%−28.7%−10.1%+15.7%+26.7%+8.1%−4.4%+5.3%−24.6%+33.5%+49.3%+64.7%+9.5%+109%−77.3%−52.1%+71.0%+28.0%——
ETR Entergy Corporation15 of 29+25.4%+55.9%−6.1%+3.5%+17.1%−13.7%+44.3%+10.6%+15.9%+12.6%−18.2%+44.8%+4.3%−8.3%+8.4%−9.7%+2.4%−28.3%+32.5%+38.4%+4.6%+22.0%+29.3%+20.3%−4.6%+71.4%−14.0%+9.7%+16.7%
VST Vistra Corp.4 of 9+17.7%+262%+70.7%+5.1%+19.5%−11.9%+2.5%+24.9%+18.2%————————————————————
ETN Eaton Corporation plc17 of 29−2.8%+39.5%+56.2%−7.2%+46.7%+31.0%+42.8%−10.0%+21.5%+33.8%−20.7%−8.2%+44.2%+28.6%−11.8%+64.0%+33.3%−47.1%+31.6%+14.4%−5.4%+36.5%+41.1%+7.6%+40.8%+6.0%+5.3%−19.0%+30.7%
PNW Pinnacle West Capital Corporation17 of 29+8.9%+23.5%−1.2%+13.0%−7.8%−7.7%+9.1%+3.6%+11.7%+25.4%−2.0%+34.6%+7.9%+10.3%+21.9%+19.6%+21.8%−19.4%−12.3%+28.4%−2.7%+16.1%+23.4%−14.6%−9.1%+62.2%−25.4%+2.9%+38.3%
AEE Ameren Corporation10 of 29+15.3%+27.5%−16.1%+2.5%+17.1%+4.3%+20.8%+14.0%+15.9%+25.7%−2.4%+32.8%+23.4%−2.5%+23.9%+6.9%−10.4%−34.5%+5.9%+10.1%+7.1%+15.1%+17.5%+4.3%−3.0%+51.7%−17.9%+5.3%+12.4%
CEG Constellation Energy Corporation3 of 3+58.8%+92.7%+37.3%——————————————————————————
ED Consolidated Edison, Inc.13 of 29+15.1%+1.6%−1.1%+15.7%+22.9%−17.0%+22.6%−6.6%+17.2%+18.9%+1.4%+24.9%+3.8%−6.7%+30.9%+14.9%+23.8%−15.7%+6.6%+9.2%+11.3%+7.3%+6.3%+11.8%+10.9%+19.0%−31.4%+35.0%+50.5%
OGE OGE Energy Corp.15 of 29+7.6%+23.7%−7.5%+7.6%+26.5%−24.9%+17.5%+23.9%+1.9%+32.3%−23.4%+7.4%+23.5%+2.3%+28.4%+28.2%+50.8%−25.7%−5.9%+55.8%+6.1%+15.5%+47.1%−18.8%0.0%+37.8%−30.8%+11.3%+38.9%
SO The Southern Company12 of 29+9.5%+21.7%+2.2%+8.2%+16.4%+0.6%+51.6%−3.8%+2.4%+9.9%−0.1%+25.3%+0.5%−3.5%+26.9%+20.7%−4.9%+0.1%+9.8%+11.7%+7.6%+16.1%+11.7%+17.6%+32.5%+48.5%−14.9%+18.0%+21.3%
XEL Xcel Energy Inc.17 of 29+13.9%+12.3%−8.7%+6.4%+4.4%+7.8%+32.4%+5.9%+20.9%+17.1%+3.8%+33.4%+8.8%+0.5%+22.3%+16.1%+20.3%−13.8%+2.0%+30.6%+6.1%+12.4%+61.7%−57.1%+0.8%+58.8%−24.9%+0.2%+33.9%
EVRG Evergy, Inc.13 of 29+22.4%+23.4%−13.3%−4.9%+28.0%−11.7%+18.4%+10.9%−3.5%+36.8%+6.9%+33.2%+17.5%+4.2%+20.3%+22.2%+13.0%−16.5%+4.1%+26.1%−2.0%+17.3%+115%−37.2%−26.4%+58.7%−44.3%−18.3%+48.3%
GEV GE Vernova Inc.1 of 1+99.0%————————————————————————————
WEC WEC Energy Group, Inc.18 of 29+16.0%+16.1%−7.0%−0.5%+8.6%+2.5%+37.0%+7.9%+17.1%+18.2%+0.8%+32.0%+16.1%+8.9%+22.9%+21.7%+22.5%−11.8%+5.0%+24.2%+18.7%+3.4%+36.8%+15.6%+3.7%+25.4%−34.8%+15.4%+13.5%
DUK Duke Energy Corporation15 of 29+12.7%+15.6%−1.6%+2.0%+19.1%+4.8%+10.3%+7.4%+12.9%+13.4%−10.8%+26.3%+13.0%+1.3%+30.1%+9.5%+21.9%−21.6%+8.9%+26.2%+15.6%+30.2%+11.8%−48.2%−5.3%+76.0%−18.6%+20.2%+25.3%
CMS CMS Energy Corporation13 of 29+8.1%+18.6%−5.2%+0.2%+9.7%−0.3%+30.0%+8.2%+17.1%+18.9%+7.3%+34.6%+13.9%+15.0%+23.9%+23.7%+61.1%−40.2%+5.4%+15.0%+39.0%+22.7%−9.7%−57.7%−19.9%+8.3%−32.7%+13.2%+35.4%
ES Eversource Energy13 of 29+22.9%−2.5%−23.4%−5.1%+8.2%+4.5%+34.5%+6.4%+18.0%+11.8%−1.3%+30.6%+12.5%+12.3%+16.8%+28.2%+11.8%−20.6%+14.2%+47.9%+8.1%−3.4%+37.6%−11.3%−25.5%+20.2%+29.2%+35.4%−8.2%
D Dominion Energy, Inc.15 of 29+14.0%+20.4%−19.2%−19.1%+8.1%−5.3%+21.5%−7.6%+9.9%+17.7%−8.7%+23.0%+29.8%+1.6%+29.4%+14.8%+14.4%−21.6%+16.5%+12.6%+18.2%+10.5%+21.3%−4.5%−6.5%+80.2%−11.0%+16.7%+18.5%
EXC Exelon Corporation13 of 29+20.0%+9.2%−14.0%+8.3%+41.4%−3.8%+4.3%+18.4%+14.1%+32.8%−22.2%+40.6%−3.5%−27.4%+9.5%−10.5%−8.4%−29.9%+35.1%+19.8%+24.5%+37.5%+30.1%+14.1%−29.5%+106%−14.8%+78.5%+4.0%
LNT Alliant Energy Corporation15 of 29+13.5%+19.5%−3.8%−7.4%+22.8%−3.2%+33.5%+2.4%+16.0%+25.4%−2.6%+33.3%+22.0%+2.6%+25.3%+27.2%+9.7%−25.2%+11.3%+39.4%+1.7%+19.4%+58.4%−40.1%+1.9%+24.2%−8.7%+3.7%+26.7%
IDA IDACORP, Inc.14 of 29+19.2%+14.9%−6.0%−2.1%+21.5%−7.5%+17.7%+4.5%+16.4%+21.8%+5.9%+31.8%+23.4%+5.6%+18.3%+19.9%+13.5%−13.0%−5.7%+36.5%−0.3%+6.4%+28.9%−35.0%−13.2%+91.7%−21.4%+1.5%+28.2%
DTE DTE Energy Company13 of 29+10.4%+13.5%−2.8%+1.2%+19.4%−2.9%+21.4%+4.2%+14.6%+27.0%−3.7%+34.8%+15.0%+14.9%+25.9%+9.0%+30.4%−14.4%−5.1%+17.7%+4.8%+15.0%−10.4%+16.1%+13.0%+30.8%−22.5%+30.4%+14.7%
FE FirstEnergy Corp.11 of 29+17.3%+13.3%−8.9%+4.8%+41.7%−34.2%+34.1%+27.9%+3.6%+1.9%−15.2%+23.6%−16.6%−1.1%+26.1%−15.6%+0.5%−30.6%+23.7%+27.3%+28.7%+16.5%+11.7%−1.5%+16.1%+47.9%−26.6%+18.1%+27.5%
PPL PPL Corporation14 of 29+11.4%+24.0%−3.8%+0.4%+12.8%−16.9%+33.4%−3.0%−5.2%+4.1%+6.2%+26.1%+10.3%+2.4%+17.6%−14.1%+10.2%−39.0%+49.3%+26.2%+14.8%+26.1%+31.3%+3.9%−21.0%+105%−14.6%+31.1%+12.4%
POR Portland General Electric Company6 of 19+15.4%+5.3%−7.8%−4.0%+28.1%−20.2%+25.1%+4.0%+8.3%+22.7%−0.6%+29.4%+14.6%+12.7%+21.7%+12.0%+10.3%−26.8%+5.4%——————————
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Risk and diversification

How AEP has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

What were AEP's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high. This section presents AEP's five deepest drawdowns since it began trading in 1986, alongside the S&P 500's return over the same dates, and how long each took to recover. Together, these figures show how much an investor could have lost and how long it took to get back to even.

Green means AEP fell less than the S&P 500 over the same dates. Based on daily closing prices with dividends reinvested.

DuringAEP fellS&P 500, same datesPeakLowTime to the lowBack at the peakTime to recover
Dot-com bust−62.8%−38.5%May 2001Oct 200217 monthsOct 20064 years
2008 financial crisis−48.5%−52.2%Apr 2007Mar 200923 monthsDec 20112.8 years
Dot-com bust−46.0%+47.1%Oct 1998Mar 200017 monthsNov 20008 months
Covid crash−32.9%−33.4%Feb 2020Mar 20201 monthMar 20222 years
2022 bear market−29.6%+5.3%Sep 2022Oct 202313 monthsJul 20249 months

How did AEP do in stock market crashes?

This section measures how far AEP, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000. A smaller decline means an investment held up better, and comparing results across crashes shows whether that resilience was consistent or a one-off.

Newest crash first. Each figure is the fund's deepest fall within the crash window; green means a smaller fall than AEP.

InvestmentHeld up better2023 regional bank crisisMar 20232022 bear marketJan 2022Covid crashFeb 2020Late-2018 sell-offSep 2018February 2018 volatility shockFeb 20182015 China and oil sell-offAug 20152011 euro debt crisisJul 20112010 flash crashMay 20102008 financial crisisOct 2007Dot-com bustMar 2000
AEP This pageAmerican Electric Power Company, Inc.—−2.0%−22.3%−32.4%−8.5%−5.5%−10.6%−9.3%−0.8%−48.0%−62.8%
SPY S&P 500State Street SPDR S&P 500 ETF1 of 10−3.4%−24.5%−33.7%−19.3%−6.5%−12.8%−17.9%−1.5%−55.2%−47.5%
PWR Quanta Services, Inc.1 of 10−4.0%−21.7%−40.8%−22.1%−7.1%−35.4%−21.6%−1.7%−69.6%−97.1%
ETR Entergy Corporation2 of 10−3.0%−21.9%−41.3%−8.0%−4.1%−13.2%−13.4%−1.1%−49.4%−28.4%
VST Vistra Corp.0 of 5−7.1%−22.1%−45.7%−17.3%−8.8%—————
ETN Eaton Corporation plc1 of 10−4.5%−26.3%−44.5%−26.0%−6.7%−22.3%−34.6%−1.4%−68.5%−31.6%
PNW Pinnacle West Capital Corporation3 of 10−4.0%−24.0%−39.3%−8.4%−4.3%−11.2%−13.4%−2.2%−43.8%−53.3%
AEE Ameren Corporation3 of 10−2.5%−22.9%−29.1%−10.2%−4.2%−11.5%−13.2%−1.9%−60.6%−17.8%
CEG Constellation Energy Corporation0 of 1−2.0%—————————
ED Consolidated Edison, Inc.8 of 10−1.2%−22.0%−30.9%−10.3%−4.1%−9.8%−5.9%0.0%−30.1%−25.5%
OGE OGE Energy Corp.3 of 10−3.6%−19.7%−47.6%−8.2%−5.6%−22.6%−20.3%−4.4%−45.1%−33.2%
SO The Southern Company7 of 10−1.2%−23.3%−38.1%−9.6%−1.9%−9.4%−5.2%0.0%−30.4%−19.0%
XEL Xcel Energy Inc.3 of 10−1.8%−24.7%−28.9%−9.4%−4.6%−10.4%−11.0%−1.1%−27.2%−80.6%
EVRG Evergy, Inc.3 of 10−2.1%−22.8%−38.8%−8.0%−2.6%−11.2%−14.6%−1.2%−39.8%−59.5%
WEC WEC Energy Group, Inc.4 of 10−1.9%−23.6%−32.3%−9.8%−4.0%−9.6%−12.0%−0.6%−24.4%−21.3%
DUK Duke Energy Corporation4 of 10−1.9%−24.1%−37.4%−7.7%−2.9%−13.7%−8.8%0.0%−38.9%−63.5%
CMS CMS Energy Corporation2 of 10−2.8%−26.5%−29.3%−9.8%−3.9%−10.4%−13.5%−1.3%−49.4%−79.9%
ES Eversource Energy2 of 10−2.7%−23.1%−36.8%−9.1%−5.4%−11.5%−13.8%−1.8%−40.3%−43.1%
D Dominion Energy, Inc.6 of 10−3.2%−28.0%−33.3%−7.5%−3.1%−13.3%−7.7%0.0%−41.4%−44.4%
EXC Exelon Corporation3 of 10−2.6%−27.4%−39.8%−6.9%−4.6%−24.7%−10.5%−0.8%−50.9%−40.6%
LNT Alliant Energy Corporation2 of 10−2.7%−25.2%−32.9%−11.0%−4.5%−13.3%−15.5%−1.3%−49.5%−45.0%
IDA IDACORP, Inc.5 of 10−0.5%−18.9%−33.6%−10.4%−2.0%−10.5%−14.2%−1.5%−39.3%−54.0%
DTE DTE Energy Company2 of 10−2.7%−24.9%−42.4%−8.4%−4.6%−11.1%−14.1%−1.9%−50.6%−27.7%
FE FirstEnergy Corp.3 of 10−4.1%−25.2%−36.4%−9.5%−3.5%−15.6%−12.5%0.0%−54.2%−34.4%
PPL PPL Corporation2 of 10−1.9%−21.8%−47.1%−13.1%−5.3%−11.7%−11.5%0.0%−53.5%−55.4%
POR Portland General Electric Company2 of 9−3.0%−24.6%−36.4%−10.9%−4.0%−10.8%−16.1%−1.5%−46.6%—
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How closely does AEP move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell. An investment that captures more of the gains than the losses has compounded ahead of the market over time. This section compares AEP with its popular alternatives on both measures, and on beta (how strongly each has moved with the market), over the past 10 years.

Monthly total returns over the past 10 years, measured against SPY. 100% capture or a beta of 1.00 means moving in line with the S&P 500. Green marks a better figure than AEP's: more upside, less downside or a higher capture ratio. Sorted by capture ratio.

InvestmentUpside captureDownside captureCapture ratioBeta
AEP This pageAmerican Electric Power Company, Inc.44%23%1.930.40
ETR Entergy Corporation58%24%2.390.53
PWR Quanta Services, Inc.141%61%2.311.22
SO The Southern Company41%20%1.980.39
EXC Exelon Corporation40%21%1.910.37
DUK Duke Energy Corporation35%19%1.880.33
ED Consolidated Edison, Inc.31%18%1.750.22
WEC WEC Energy Group, Inc.41%23%1.730.34
XEL Xcel Energy Inc.41%24%1.680.35
CMS CMS Energy Corporation35%23%1.560.28
AEE Ameren Corporation51%33%1.520.38
ETN Eaton Corporation plc114%80%1.431.16
PNW Pinnacle West Capital Corporation34%27%1.230.38
FE FirstEnergy Corp.40%33%1.220.36
IDA IDACORP, Inc.47%40%1.190.50
LNT Alliant Energy Corporation50%45%1.130.46
EVRG Evergy, Inc.42%38%1.110.47
DTE DTE Energy Company47%42%1.110.50
OGE OGE Energy Corp.53%52%1.020.60
ES Eversource Energy49%61%0.790.52
POR Portland General Electric Company40%51%0.780.45
PPL PPL Corporation52%77%0.670.65
D Dominion Energy, Inc.43%70%0.610.52
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What diversifies AEP?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions). This section lists large ETFs and stocks whose returns have had a low correlation with AEP's. Because such investments tend not to fall at the same time, pairing AEP with them can reduce a portfolio's overall swings.

Only ETFs with at least $1.0B in assets and stocks worth at least $10B, with a correlation below 0.5 over the past 5 years and a positive return, are included, ranked by Sharpe ratio; funds that hold the same thing are shown once. The year columns are the years in which AEP lost money. The last two columns show a portfolio that is 80% AEP and 20% the other investment, rebalanced monthly.

ETFs

InvestmentCorrelation5Y returnSharpe2023202020152008200220011999199880/20 mix volatility80/20 mix annual return
AEP American Electric Power Company, Inc. (this page)1.00+82.7%0.70−11.0%−9.0%−0.4%−25.5%−32.8%−1.3%−27.3%−4.1%19.6%+11.8%
DXJ InternationalWisdomTree Japan Hedged Equity Fund0.26+225%1.34+42.0%+3.9%+7.7%−20.8%————16.6%+15.1%
SMH TechnologyVanEck Semiconductor ETF0.22+304%0.94+73.4%+55.5%−0.3%−44.7%−47.0%−14.6%——18.5%+17.7%
XLE EnergyState Street Energy Select Sector SPDR ETF0.35+178%0.94−0.6%−32.7%−21.5%−39.0%−14.8%−18.2%+18.1%—18.2%+14.6%
GLD CommoditiesSPDR Gold Shares0.28+120%0.93+12.7%+24.8%−10.7%+4.9%————17.0%+13.5%
VLUE Broad MarketiShares MSCI USA Value Factor ETF0.38+112%0.91+14.2%−0.2%−4.1%—————17.6%+13.4%
SPMO Broad MarketInvesco S&P 500 Momentum ETF0.32+130%0.91+17.6%+28.2%——————17.5%+14.2%
AMLP EnergyAlerian MLP ETF0.38+114%0.90+21.4%−32.3%−25.7%—————17.4%+13.5%
EUFN InternationaliShares MSCI Europe Financials ETF0.43+130%0.88+26.1%−8.5%−4.7%—————17.8%+14.0%

Stocks

InvestmentCorrelation5Y returnSharpe2023202020152008200220011999199880/20 mix volatility80/20 mix annual return
AEP American Electric Power Company, Inc. (this page)1.00+82.7%0.70−11.0%−9.0%−0.4%−25.5%−32.8%−1.3%−27.3%−4.1%19.6%+11.8%
CAH Medical - DistributionCardinal Health, Inc.0.40+471%1.54+34.1%+10.1%+12.6%−39.6%−8.3%−2.5%−36.8%+51.7%18.4%+17.2%
CLS Hardware, Equipment & PartsCelestica Inc.0.15+2,780%1.43+160%−2.4%−6.0%−20.5%−65.1%−25.6%+350%—20.9%+30.2%
MCK Medical - DistributionMcKesson Corporation0.34+397%1.41+24.1%+27.1%−4.5%−40.4%−27.2%+4.9%−71.3%+46.9%18.1%+16.7%
FIX Engineering & ConstructionComfort Systems USA, Inc.0.40+1,452%1.41+79.6%+6.7%+67.7%−15.2%−9.4%+73.7%−58.7%−9.5%20.9%+25.8%
MPC Oil & Gas Refining & MarketingMarathon Petroleum Corporation0.21+660%1.39+30.4%−27.4%+17.4%—————18.2%+19.4%
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Common questions

What was AEP's worst drawdown?

AEP's deepest decline since it began trading in 1986 was 62.8%, from May 2001 to October 2002. It took about four years from the low to climb back to its old high.

What were AEP's best and worst years?

Over 29 full calendar years, AEP's best year was 2000, when it returned 54.8%. Its worst was 2002, with a return of -32.8%.

Is there a better investment than AEP?

Looking beyond its popular alternatives, ATO (gas utilities) earned more than AEP with less volatility over the past 5 years: 15.9% a year at 18.5% volatility, against 12.8% a year at 20.2%. Few investments have done better on both counts: only 44 of the 3,641 stocks and funds worth at least $500 million earned more than AEP with less volatility over the past 5 years, among them KO, RY and GLD.

Is AEP more volatile than the S&P 500?

Yes. AEP's volatility over the past 5 years was 20.2%, 1.2 times the S&P 500's 17.2%. Volatility measures how widely returns swing around their average: in roughly two years out of three, AEP's return lands within 20.2% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

What is AEP's Sharpe ratio?

AEP's Sharpe ratio over the past 5 years was 0.70, against 0.78 for the S&P 500, so AEP earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

How correlated is AEP with the S&P 500?

Over the past 5 years, AEP's monthly returns had a correlation of 0.38 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They are only loosely linked, which makes it a real diversifier next to an index fund. In the table, the correlation column measures each option against AEP instead: the lower it is, the more that option would diversify a AEP holding.

What are the best alternatives to AEP?

None of the 25 popular alternatives we compared outperformed AEP in at least 3 of 5 short-term and 2 of 3 long-term timeframes, which says more about AEP's strength than about its alternatives.

Did AEP outperform the S&P 500?

AEP finished ahead of the S&P 500 (SPY) in 12 of 29 full calendar years. In 2025, it returned +29.4%, against +17.7% for the index.

How did AEP do in stock market crashes?

AEP fell less than the S&P 500 (SPY) in nine of the ten major crashes it has traded through, and further in one. The clearest case was the late-2018 sell-off, when AEP fell 8.5% and the S&P 500 fell 19.3%.

What diversifies AEP?

These had a low correlation with AEP over the past 5 years and still earned a positive 5-year return: among large ETFs, DXJ (correlation 0.26), SMH (correlation 0.22) and XLE (correlation 0.35); among large stocks, CAH (correlation 0.40), CLS (correlation 0.15) and MCK (correlation 0.34). A correlation near zero means the two have moved largely independently.

How we measure

More research

Popular alternatives to AEP