BFGFX vs. FSMD

Last updated Jun 23, 2026

BFGFX (Baron Focused Growth Fund) and FSMD (Fidelity Small-Mid Multifactor ETF) are both funds - BFGFX is a Mid Cap Growth Equities fund managed by Baron Capital Group, Inc., while FSMD is a Small Cap Growth Equities fund tracking the Fidelity Small-Mid Multifactor Index. Over the past 5 years, BFGFX returned 14.16%/yr vs 10.79%/yr for FSMD. A 0.72 correlation means they provide meaningful diversification when combined. BFGFX charges 1.32%/yr vs 0.29%/yr for FSMD.

Performance

BFGFX vs. FSMD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Baron Focused Growth Fund (BFGFX) and Fidelity Small-Mid Multifactor ETF (FSMD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BFGFX achieves a 11.20% return, which is significantly lower than FSMD's 18.77% return.

BFGFX

• 1D: -0.76%
• 1M: 12.63%
• YTD: 11.20%
• 6M: 8.27%
• 1Y: 33.93%
• 3Y*: 22.91%
• 5Y*: 14.16%
• 10Y*: 21.92%

FSMD

• 1D: 0.91%
• 1M: 5.08%
• YTD: 18.77%
• 6M: 16.11%
• 1Y: 30.47%
• 3Y*: 18.87%
• 5Y*: 10.79%
• 10Y*: —

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

BFGFX vs. FSMD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
BFGFX Baron Focused Growth Fund	11.20%	21.94%	29.52%	27.40%	-28.21%	18.67%	122.38%	16.75%
FSMD Fidelity Small-Mid Multifactor ETF	18.77%	8.70%	15.18%	17.37%	-11.15%	26.40%	8.94%	8.81%

Correlation

The correlation between BFGFX and FSMD is 0.58, 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	0.58
Correlation (3Y) Calculated over the trailing 3-year period	0.72
Correlation (5Y) Calculated over the trailing 5-year period	0.75
Correlation (All Time) Calculated using the full available price history since Feb 28, 2019	0.72

The correlation between BFGFX and FSMD shifts across timeframes, from 0.58 (1 year) to 0.75 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

BFGFX vs. FSMD — Risk / Return Rank

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

BFGFX

BFGFX Risk / Return Rank: 53
BFGFX Sharpe Ratio Rank: 36
BFGFX Sortino Ratio Rank: 58
BFGFX Omega Ratio Rank: 46
BFGFX Calmar Ratio Rank: 80
BFGFX Martin Ratio Rank: 47

FSMD

FSMD Risk / Return Rank: 65
FSMD Sharpe Ratio Rank: 61
FSMD Sortino Ratio Rank: 62
FSMD Omega Ratio Rank: 57
FSMD Calmar Ratio Rank: 74
FSMD Martin Ratio Rank: 72

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.

BFGFX vs. FSMD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Baron Focused Growth Fund (BFGFX) and Fidelity Small-Mid Multifactor ETF (FSMD). 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.

	BFGFX	FSMD	Difference
Sharpe ratio: Return per unit of total volatility	1.60	1.95	-0.35
Sortino ratio: Return per unit of downside risk	2.92	2.81	+0.11
Omega ratio: Gain probability vs. loss probability	1.34	1.34	0.00
Calmar ratio: Return relative to maximum drawdown	3.46	3.63	-0.17
Martin ratio: Return relative to average drawdown	9.28	13.05	-3.77

BFGFX vs. FSMD - Sharpe Ratio Comparison

The current BFGFX Sharpe Ratio is 1.60, which is comparable to the FSMD Sharpe Ratio of 1.95. The chart below compares the historical Sharpe Ratios of BFGFX and FSMD, 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

BFGFX vs. FSMD - Drawdown Comparison

The maximum BFGFX drawdown since its inception was -59.52%, which is greater than FSMD's maximum drawdown of -40.67%. Use the drawdown chart below to compare losses from any high point for BFGFX and FSMD.

Drawdown Indicators

	BFGFX	FSMD	Difference
Max Drawdown Largest peak-to-trough decline	-59.52%	-40.67%	-18.85%
Max Drawdown (1Y) Largest decline over 1 year	-9.74%	-8.44%	-1.30%
Max Drawdown (3Y) Largest decline over 3 years	-21.00%	-22.16%	+1.16%
Max Drawdown (5Y) Largest decline over 5 years	-35.93%	-22.16%	-13.77%
Max Drawdown (10Y) Largest decline over 10 years	-43.62%	—	—
Current Drawdown Current decline from peak	-3.92%	0.00%	-3.92%
Average Drawdown Average peak-to-trough decline	-12.34%	-5.97%	-6.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.63%	2.34%	+1.29%

Volatility

BFGFX vs. FSMD - Volatility Comparison

Baron Focused Growth Fund (BFGFX) has a higher volatility of 9.75% compared to Fidelity Small-Mid Multifactor ETF (FSMD) at 4.86%. This indicates that BFGFX's price experiences larger fluctuations and is considered to be riskier than FSMD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BFGFX	FSMD	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.75%	4.86%	+4.89%
Volatility (6M) Calculated over the trailing 6-month period	14.32%	11.92%	+2.40%
Volatility (1Y) Calculated over the trailing 1-year period	21.03%	15.73%	+5.30%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.66%	18.53%	+4.13%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.15%	21.41%	+2.74%

BFGFX vs. FSMD - Expense Ratio Comparison

BFGFX has a 1.32% expense ratio, which is higher than FSMD's 0.29% expense ratio.

Dividends

BFGFX vs. FSMD - Dividend Comparison

BFGFX has not paid dividends to shareholders, while FSMD's dividend yield for the trailing twelve months is around 1.22%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BFGFX Baron Focused Growth Fund	0.00%	0.00%	0.00%	0.00%	12.28%	15.53%	2.85%	1.78%	1.07%	2.11%	6.02%	5.80%
FSMD Fidelity Small-Mid Multifactor ETF	1.22%	1.33%	1.29%	1.37%	1.54%	1.18%	1.32%	1.37%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both BFGFX and FSMD in my portfolio?

BFGFX and FSMD have a correlation of 0.58, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BFGFX or FSMD?

BFGFX has higher volatility (9.75%) compared to FSMD (4.86%). In terms of maximum drawdown, BFGFX dropped -59.52% vs FSMD's -40.67%.

Which has better risk-adjusted returns?

FSMD currently has the higher Sharpe Ratio (1.95 vs 1.60), 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.