AFSC vs. MSSM

Last updated Jun 4, 2026

AFSC (abrdn Focused U.S. Small Cap Active ETF) and MSSM (Morgan Stanley Pathway Small-Mid Cap Equity ETF) are both Small Cap Blend Equities funds. Both are actively managed. Over the past year, AFSC returned 27.01% vs 35.45% for MSSM. Their correlation of 0.91 suggests significant overlap in exposure. AFSC charges 0.65%/yr vs 0.62%/yr for MSSM.

Performance

AFSC vs. MSSM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in abrdn Focused U.S. Small Cap Active ETF (AFSC) and Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with AFSC having a 16.58% return and MSSM slightly higher at 17.34%.

AFSC

• 1D: -0.69%
• 1M: 1.96%
• YTD: 16.58%
• 6M: 13.48%
• 1Y: 27.01%
• 3Y*: —
• 5Y*: —
• 10Y*: —

MSSM

• 1D: -0.79%
• 1M: 3.77%
• YTD: 17.34%
• 6M: 17.18%
• 1Y: 35.45%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

AFSC vs. MSSM - Yearly Performance Comparison

	2026 (YTD)	2025
AFSC abrdn Focused U.S. Small Cap Active ETF	16.58%	2.67%
MSSM Morgan Stanley Pathway Small-Mid Cap Equity ETF	17.34%	7.34%

Correlation

The correlation between AFSC and MSSM is 0.91, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.91
Correlation (All Time) Calculated using the full available price history since Feb 19, 2025	0.91

The correlation between AFSC and MSSM has been stable across timeframes, ranging from 0.91 to 0.91 - a consistent structural relationship.

Return for Risk

AFSC vs. MSSM — Risk / Return Rank

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

AFSC

AFSC Risk / Return Rank: 47
AFSC Sharpe Ratio Rank: 42
AFSC Sortino Ratio Rank: 42
AFSC Omega Ratio Rank: 38
AFSC Calmar Ratio Rank: 54
AFSC Martin Ratio Rank: 57

MSSM

MSSM Risk / Return Rank: 67
MSSM Sharpe Ratio Rank: 63
MSSM Sortino Ratio Rank: 63
MSSM Omega Ratio Rank: 58
MSSM Calmar Ratio Rank: 75
MSSM Martin Ratio Rank: 76

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.

AFSC vs. MSSM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for abrdn Focused U.S. Small Cap Active ETF (AFSC) and Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM). 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.

	AFSC	MSSM	Difference
Sharpe ratio: Return per unit of total volatility	1.46	2.07	-0.61
Sortino ratio: Return per unit of downside risk	2.11	2.90	-0.80
Omega ratio: Gain probability vs. loss probability	1.25	1.35	-0.10
Calmar ratio: Return relative to maximum drawdown	2.64	3.75	-1.11
Martin ratio: Return relative to average drawdown	9.96	14.47	-4.51
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

AFSC vs. MSSM - Sharpe Ratio Comparison

The current AFSC Sharpe Ratio is 1.46, which is comparable to the MSSM Sharpe Ratio of 2.07. The chart below compares the historical Sharpe Ratios of AFSC and MSSM, 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

	AFSC	MSSM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.46	2.07	-0.61
Sharpe Ratio (All Time) Calculated using the full available price history	0.67	0.73	-0.06

Drawdowns

AFSC vs. MSSM - Drawdown Comparison

The maximum AFSC drawdown since its inception was -21.68%, smaller than the maximum MSSM drawdown of -24.18%. Use the drawdown chart below to compare losses from any high point for AFSC and MSSM.

Drawdown Indicators

	AFSC	MSSM	Difference
Max Drawdown Largest peak-to-trough decline	-21.68%	-24.18%	+2.50%
Max Drawdown (1Y) Largest decline over 1 year	-10.29%	-9.50%	-0.79%
Current Drawdown Current decline from peak	-1.79%	-0.79%	-1.00%
Average Drawdown Average peak-to-trough decline	-4.15%	-4.67%	+0.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.72%	2.46%	+0.26%

Volatility

AFSC vs. MSSM - Volatility Comparison

abrdn Focused U.S. Small Cap Active ETF (AFSC) has a higher volatility of 5.49% compared to Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM) at 5.05%. This indicates that AFSC's price experiences larger fluctuations and is considered to be riskier than MSSM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AFSC	MSSM	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.49%	5.05%	+0.44%
Volatility (6M) Calculated over the trailing 6-month period	13.99%	12.76%	+1.23%
Volatility (1Y) Calculated over the trailing 1-year period	18.59%	17.27%	+1.32%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.57%	20.91%	+1.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.57%	20.91%	+1.66%

AFSC vs. MSSM - Expense Ratio Comparison

AFSC has a 0.65% expense ratio, which is higher than MSSM's 0.62% expense ratio.

Dividends

AFSC vs. MSSM - Dividend Comparison

AFSC's dividend yield for the trailing twelve months is around 0.07%, less than MSSM's 2.69% yield.

Position	TTM	2025
AFSC abrdn Focused U.S. Small Cap Active ETF	0.07%	0.08%
MSSM Morgan Stanley Pathway Small-Mid Cap Equity ETF	2.69%	3.15%

Frequently Asked Questions

Can I hold both AFSC and MSSM in my portfolio?

With a correlation of 0.91, AFSC and MSSM move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, AFSC or MSSM?

AFSC has higher volatility (5.49%) compared to MSSM (5.05%). In terms of maximum drawdown, AFSC dropped -21.68% vs MSSM's -24.18%.

Which ETF is better, AFSC or MSSM?

On 1-year performance, MSSM leads with 35.45% vs 27.01% for AFSC. On fees, MSSM is cheaper at 0.62% per year. On volatility, MSSM has been the lower-risk option at 5.05%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, AFSC or MSSM?

Over the 1-year period, MSSM has performed better with a 35.45% return vs 27.01%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, AFSC or MSSM?

MSSM is cheaper with a 0.62% expense ratio, compared with 0.65% for AFSC.

Which ETF pays a higher dividend yield, AFSC or MSSM?

MSSM has the higher dividend yield at 2.69%, compared with 0.07% for AFSC.

What is the main difference between AFSC and MSSM?

They also come from different issuers: Aberdeen and Morgan Stanley. Their fees differ too: 0.65% for AFSC and 0.62% for MSSM.

Which has better risk-adjusted returns?

MSSM currently has the higher Sharpe Ratio (2.07 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.