BAFE vs. USMV

Last updated Jul 12, 2026

BAFE (Brown Advisory Flexible Equity ETF) and USMV (iShares MSCI USA Min Vol Factor ETF) are both Large Cap Blend Equities funds. BAFE is actively managed, while USMV is passively managed. Over the past year, BAFE returned 12.03% vs 7.03% for USMV. A 0.60 correlation means they provide meaningful diversification when combined. BAFE charges 0.54%/yr vs 0.15%/yr for USMV.

Performance

BAFE vs. USMV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Brown Advisory Flexible Equity ETF (BAFE) and iShares MSCI USA Min Vol Factor ETF (USMV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BAFE achieves a 7.73% return, which is significantly higher than USMV's 4.58% return.

BAFE

• 1D: 0.61%
• 1M: 2.46%
• 6M: 4.64%
• YTD: 7.73%
• 1Y: 12.03%
• 3Y*: —
• 5Y*: —
• 10Y*: —

USMV

• 1D: 0.16%
• 1M: 2.10%
• 6M: 4.05%
• YTD: 4.58%
• 1Y: 7.03%
• 3Y*: 11.50%
• 5Y*: 7.18%
• 10Y*: 9.61%

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

BAFE vs. USMV - Yearly Performance Comparison

	2026 (YTD)	2025	2024
BAFE Brown Advisory Flexible Equity ETF	7.73%	9.80%	-0.51%
USMV iShares MSCI USA Min Vol Factor ETF	4.58%	7.65%	-2.14%

Correlation

The correlation between BAFE and USMV is 0.57, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.57
Correlation (All Time) Calculated using the full available price history since Nov 18, 2024	0.60

The correlation between BAFE and USMV has been stable across timeframes, ranging from 0.57 to 0.60 - a consistent structural relationship.

Return for Risk

BAFE vs. USMV — Risk / Return Rank

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

BAFE

BAFE Risk / Return Rank: 27
BAFE Sharpe Ratio Rank: 29
BAFE Sortino Ratio Rank: 27
BAFE Omega Ratio Rank: 27
BAFE Calmar Ratio Rank: 23
BAFE Martin Ratio Rank: 28

USMV

USMV Risk / Return Rank: 24
USMV Sharpe Ratio Rank: 25
USMV Sortino Ratio Rank: 23
USMV Omega Ratio Rank: 22
USMV Calmar Ratio Rank: 24
USMV Martin Ratio Rank: 28

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.

BAFE vs. USMV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Brown Advisory Flexible Equity ETF (BAFE) and iShares MSCI USA Min Vol Factor ETF (USMV). 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.

	BAFE	USMV	Difference
Sharpe ratio: Return per unit of total volatility	0.85	0.73	+0.12
Sortino ratio: Return per unit of downside risk	1.25	1.08	+0.17
Omega ratio: Gain probability vs. loss probability	1.16	1.13	+0.03
Calmar ratio: Return relative to maximum drawdown	0.90	0.97	-0.07
Martin ratio: Return relative to average drawdown	3.19	3.16	+0.03

BAFE vs. USMV - Sharpe Ratio Comparison

The current BAFE Sharpe Ratio is 0.85, which is comparable to the USMV Sharpe Ratio of 0.73. The chart below compares the historical Sharpe Ratios of BAFE and USMV, 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

BAFE vs. USMV - Drawdown Comparison

The maximum BAFE drawdown since its inception was -18.37%, smaller than the maximum USMV drawdown of -33.10%. Use the drawdown chart below to compare losses from any high point for BAFE and USMV.

Drawdown Indicators

	BAFE	USMV	Difference
Max Drawdown Largest peak-to-trough decline	-18.37%	-33.10%	+14.73%
Max Drawdown (1Y) Largest decline over 1 year	-12.73%	-6.46%	-6.27%
Max Drawdown (3Y) Largest decline over 3 years	—	-9.36%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-17.93%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-33.10%	—
Current Drawdown Current decline from peak	-0.09%	-0.60%	+0.51%
Average Drawdown Average peak-to-trough decline	-3.26%	-2.87%	-0.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.57%	1.97%	+1.60%

Volatility

BAFE vs. USMV - Volatility Comparison

Brown Advisory Flexible Equity ETF (BAFE) has a higher volatility of 4.41% compared to iShares MSCI USA Min Vol Factor ETF (USMV) at 2.59%. This indicates that BAFE's price experiences larger fluctuations and is considered to be riskier than USMV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BAFE	USMV	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.41%	2.59%	+1.82%
Volatility (6M) Calculated over the trailing 6-month period	10.60%	6.23%	+4.37%
Volatility (1Y) Calculated over the trailing 1-year period	13.41%	8.51%	+4.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.34%	12.35%	+4.99%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.34%	14.49%	+2.85%

BAFE vs. USMV - Expense Ratio Comparison

BAFE has a 0.54% expense ratio, which is higher than USMV's 0.15% expense ratio.

Dividends

BAFE vs. USMV - Dividend Comparison

BAFE's dividend yield for the trailing twelve months is around 0.28%, less than USMV's 1.48% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BAFE Brown Advisory Flexible Equity ETF	0.28%	0.30%	0.06%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
USMV iShares MSCI USA Min Vol Factor ETF	1.48%	1.49%	1.67%	1.82%	1.62%	1.26%	1.81%	1.88%	2.12%	1.77%	2.22%	2.02%

Frequently Asked Questions

Can I hold both BAFE and USMV in my portfolio?

BAFE and USMV have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BAFE or USMV?

BAFE has higher volatility (4.41%) compared to USMV (2.59%). In terms of maximum drawdown, BAFE dropped -18.37% vs USMV's -33.10%.

Which ETF is better, BAFE or USMV?

On 1-year performance, BAFE leads with 12.03% vs 7.03% for USMV. On fees, USMV is cheaper at 0.15% per year. On volatility, USMV has been the lower-risk option at 2.59%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BAFE or USMV?

Over the 1-year period, BAFE has performed better with a 12.03% return vs 7.03%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BAFE or USMV?

USMV is cheaper with a 0.15% expense ratio, compared with 0.54% for BAFE.

Which ETF pays a higher dividend yield, BAFE or USMV?

USMV has the higher dividend yield at 1.48%, compared with 0.28% for BAFE.

What is the main difference between BAFE and USMV?

They also come from different issuers: Brown Advisory and iShares. Their fees differ too: 0.54% for BAFE and 0.15% for USMV.

Which has better risk-adjusted returns?

BAFE currently has the higher Sharpe Ratio (0.85 vs 0.73), 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.