AVSC vs. FESM

Last updated Jul 17, 2026

AVSC (Avantis US Small Cap Equity ETF) and FESM (Fidelity Enhanced Small Cap Core ETF) are both Small Cap Blend Equities funds. Both are actively managed. Over the past year, AVSC returned 40.31% vs 47.34% for FESM. Their correlation of 0.93 suggests significant overlap in exposure. AVSC charges 0.25%/yr vs 0.28%/yr for FESM.

Performance

AVSC vs. FESM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Avantis US Small Cap Equity ETF (AVSC) and Fidelity Enhanced Small Cap Core ETF (FESM). 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 AVSC having a 25.77% return and FESM slightly higher at 26.45%.

AVSC

• 1D: 0.95%
• 1M: 4.22%
• 6M: 16.71%
• YTD: 25.77%
• 1Y: 40.31%
• 3Y*: 17.28%
• 5Y*: —
• 10Y*: —

FESM

• 1D: -0.04%
• 1M: 3.00%
• 6M: 18.43%
• YTD: 26.45%
• 1Y: 47.34%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

AVSC vs. FESM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
AVSC Avantis US Small Cap Equity ETF	25.77%	9.42%	7.75%	13.33%
FESM Fidelity Enhanced Small Cap Core ETF	26.45%	17.88%	16.22%	12.09%

Correlation

The correlation between AVSC and FESM 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 Nov 20, 2023	0.93

The correlation between AVSC and FESM has been stable across timeframes, ranging from 0.91 to 0.93 - a consistent structural relationship.

Return for Risk

AVSC vs. FESM — Risk / Return Rank

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

AVSC

AVSC Risk / Return Rank: 88
AVSC Sharpe Ratio Rank: 88
AVSC Sortino Ratio Rank: 88
AVSC Omega Ratio Rank: 83
AVSC Calmar Ratio Rank: 93
AVSC Martin Ratio Rank: 90

FESM

FESM Risk / Return Rank: 90
FESM Sharpe Ratio Rank: 91
FESM Sortino Ratio Rank: 90
FESM Omega Ratio Rank: 85
FESM Calmar Ratio Rank: 92
FESM Martin Ratio Rank: 91

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.

AVSC vs. FESM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Avantis US Small Cap Equity ETF (AVSC) and Fidelity Enhanced Small Cap Core ETF (FESM). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	AVSC	FESM	Difference
Sharpe ratio: Return per unit of total volatility	2.29	2.47	-0.18
Sortino ratio: Return per unit of downside risk	3.29	3.35	-0.06
Omega ratio: Gain probability vs. loss probability	1.39	1.41	-0.02
Calmar ratio: Return relative to maximum drawdown	5.13	4.67	+0.46
Martin ratio: Return relative to average drawdown	16.14	16.77	-0.62

AVSC vs. FESM - Sharpe Ratio Comparison

The current AVSC Sharpe Ratio is 2.29, which is comparable to the FESM Sharpe Ratio of 2.47. The chart below compares the historical Sharpe Ratios of AVSC and FESM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

AVSC vs. FESM - Drawdown Comparison

The maximum AVSC drawdown since its inception was -28.40%, which is greater than FESM's maximum drawdown of -26.93%. Use the drawdown chart below to compare losses from any high point for AVSC and FESM.

Drawdown Indicators

	AVSC	FESM	Difference
Max Drawdown Largest peak-to-trough decline	-28.40%	-26.93%	-1.47%
Max Drawdown (1Y) Largest decline over 1 year	-7.89%	-10.18%	+2.29%
Max Drawdown (3Y) Largest decline over 3 years	-28.40%	—	—
Current Drawdown Current decline from peak	0.00%	-1.55%	+1.55%
Average Drawdown Average peak-to-trough decline	-7.26%	-4.62%	-2.64%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.50%	2.83%	-0.33%

Volatility

AVSC vs. FESM - Volatility Comparison

The current volatility for Avantis US Small Cap Equity ETF (AVSC) is 3.54%, while Fidelity Enhanced Small Cap Core ETF (FESM) has a volatility of 4.17%. This indicates that AVSC experiences smaller price fluctuations and is considered to be less risky than FESM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AVSC	FESM	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.54%	4.17%	-0.63%
Volatility (6M) Calculated over the trailing 6-month period	11.93%	14.11%	-2.18%
Volatility (1Y) Calculated over the trailing 1-year period	17.71%	19.25%	-1.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.17%	21.14%	+1.03%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.17%	21.14%	+1.03%

AVSC vs. FESM - Expense Ratio Comparison

AVSC has a 0.25% expense ratio, which is lower than FESM's 0.28% expense ratio.

Dividends

AVSC vs. FESM - Dividend Comparison

AVSC's dividend yield for the trailing twelve months is around 0.91%, more than FESM's 0.72% yield.

Position	TTM	2025	2024	2023	2022
AVSC Avantis US Small Cap Equity ETF	0.91%	1.16%	1.17%	1.42%	1.10%
FESM Fidelity Enhanced Small Cap Core ETF	0.72%	0.82%	1.08%	0.06%	0.00%

Frequently Asked Questions

Can I hold both AVSC and FESM in my portfolio?

With a correlation of 0.91, AVSC and FESM 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, AVSC or FESM?

FESM has higher volatility (4.17%) compared to AVSC (3.54%). In terms of maximum drawdown, AVSC dropped -28.40% vs FESM's -26.93%.

Which ETF is better, AVSC or FESM?

On 1-year performance, FESM leads with 47.34% vs 40.31% for AVSC. On fees, AVSC is cheaper at 0.25% per year. On volatility, AVSC has been the lower-risk option at 3.54%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, AVSC or FESM?

Over the 1-year period, FESM has performed better with a 47.34% return vs 40.31%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, AVSC or FESM?

AVSC is cheaper with a 0.25% expense ratio, compared with 0.28% for FESM.

Which ETF pays a higher dividend yield, AVSC or FESM?

AVSC has the higher dividend yield at 0.91%, compared with 0.72% for FESM.

What is the main difference between AVSC and FESM?

They also come from different issuers: Avantis Investors and Fidelity. Their fees differ too: 0.25% for AVSC and 0.28% for FESM.

Which has better risk-adjusted returns?

FESM currently has the higher Sharpe Ratio (2.47 vs 2.29), 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.