BISMX vs. HSCZ

Last updated Jun 5, 2026

BISMX (Brandes International Small Cap Equity Fund Class I) and HSCZ (iShares Currency Hedged MSCI EAFE Small Cap ETF) are both Foreign Small & Mid Cap Equities funds. BISMX is actively managed, while HSCZ is passively managed. Over the past 10 years, BISMX returned 10.74%/yr vs 11.74%/yr for HSCZ. A 0.66 correlation means they provide meaningful diversification when combined. BISMX charges 1.11%/yr vs 0.43%/yr for HSCZ.

Performance

BISMX vs. HSCZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Brandes International Small Cap Equity Fund Class I (BISMX) and iShares Currency Hedged MSCI EAFE Small Cap ETF (HSCZ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BISMX achieves a -0.11% return, which is significantly lower than HSCZ's 11.38% return. Over the past 10 years, BISMX has underperformed HSCZ with an annualized return of 10.74%, while HSCZ has yielded a comparatively higher 11.74% annualized return.

BISMX

• 1D: -1.21%
• 1M: -2.53%
• YTD: -0.11%
• 6M: 1.75%
• 1Y: 13.14%
• 3Y*: 28.94%
• 5Y*: 16.91%
• 10Y*: 10.74%

HSCZ

• 1D: 0.73%
• 1M: 3.51%
• YTD: 11.38%
• 6M: 13.99%
• 1Y: 29.56%
• 3Y*: 19.25%
• 5Y*: 11.13%
• 10Y*: 11.74%

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

BISMX vs. HSCZ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
BISMX Brandes International Small Cap Equity Fund Class I	-0.11%	45.81%	23.44%	39.27%	-8.48%	18.58%	4.85%	7.16%	-20.04%	11.79%
HSCZ iShares Currency Hedged MSCI EAFE Small Cap ETF	11.38%	25.74%	12.89%	17.03%	-11.46%	17.75%	6.40%	27.89%	-13.99%	24.52%

Correlation

The correlation between BISMX and HSCZ is 0.69, 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	0.69
Correlation (3Y) Calculated over the trailing 3-year period	0.69
Correlation (5Y) Calculated over the trailing 5-year period	0.74
Correlation (10Y) Calculated over the trailing 10-year period	0.68
Correlation (All Time) Calculated using the full available price history since Jul 15, 2015	0.66

The correlation between BISMX and HSCZ has been stable across timeframes, ranging from 0.66 to 0.74 - a consistent structural relationship.

Return for Risk

BISMX vs. HSCZ — Risk / Return Rank

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

BISMX

BISMX Risk / Return Rank: 16
BISMX Sharpe Ratio Rank: 17
BISMX Sortino Ratio Rank: 18
BISMX Omega Ratio Rank: 17
BISMX Calmar Ratio Rank: 14
BISMX Martin Ratio Rank: 13

HSCZ

HSCZ Risk / Return Rank: 77
HSCZ Sharpe Ratio Rank: 82
HSCZ Sortino Ratio Rank: 84
HSCZ Omega Ratio Rank: 83
HSCZ Calmar Ratio Rank: 63
HSCZ 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.

BISMX vs. HSCZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Brandes International Small Cap Equity Fund Class I (BISMX) and iShares Currency Hedged MSCI EAFE Small Cap ETF (HSCZ). 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.

	BISMX	HSCZ	Difference
Sharpe ratio: Return per unit of total volatility	1.17	2.65	-1.48
Sortino ratio: Return per unit of downside risk	1.77	3.74	-1.96
Omega ratio: Gain probability vs. loss probability	1.21	1.49	-0.28
Calmar ratio: Return relative to maximum drawdown	1.25	3.09	-1.84
Martin ratio: Return relative to average drawdown	3.69	13.26	-9.58
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

BISMX vs. HSCZ - Sharpe Ratio Comparison

The current BISMX Sharpe Ratio is 1.17, which is lower than the HSCZ Sharpe Ratio of 2.65. The chart below compares the historical Sharpe Ratios of BISMX and HSCZ, 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

	BISMX	HSCZ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.17	2.65	-1.48
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.22	0.83	+0.39
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.76	0.75	0.00
Sharpe Ratio (All Time) Calculated using the full available price history	0.83	0.67	+0.17

Drawdowns

BISMX vs. HSCZ - Drawdown Comparison

The maximum BISMX drawdown since its inception was -47.07%, which is greater than HSCZ's maximum drawdown of -34.89%. Use the drawdown chart below to compare losses from any high point for BISMX and HSCZ.

Drawdown Indicators

	BISMX	HSCZ	Difference
Max Drawdown Largest peak-to-trough decline	-47.07%	-34.89%	-12.18%
Max Drawdown (1Y) Largest decline over 1 year	-11.61%	-9.61%	-2.00%
Max Drawdown (3Y) Largest decline over 3 years	-11.61%	-12.81%	+1.20%
Max Drawdown (5Y) Largest decline over 5 years	-31.26%	-20.11%	-11.15%
Max Drawdown (10Y) Largest decline over 10 years	-47.07%	-34.89%	-12.18%
Current Drawdown Current decline from peak	-8.36%	-0.25%	-8.11%
Average Drawdown Average peak-to-trough decline	-7.93%	-4.65%	-3.28%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.92%	2.23%	+1.69%

Volatility

BISMX vs. HSCZ - Volatility Comparison

Brandes International Small Cap Equity Fund Class I (BISMX) and iShares Currency Hedged MSCI EAFE Small Cap ETF (HSCZ) have volatilities of 3.31% and 3.28%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BISMX	HSCZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.31%	3.28%	+0.03%
Volatility (6M) Calculated over the trailing 6-month period	10.01%	9.22%	+0.79%
Volatility (1Y) Calculated over the trailing 1-year period	12.38%	11.22%	+1.16%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.88%	13.46%	+0.42%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.25%	15.66%	-1.41%

BISMX vs. HSCZ - Expense Ratio Comparison

BISMX has a 1.11% expense ratio, which is higher than HSCZ's 0.43% expense ratio.

Dividends

BISMX vs. HSCZ - Dividend Comparison

BISMX's dividend yield for the trailing twelve months is around 3.34%, more than HSCZ's 2.92% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BISMX Brandes International Small Cap Equity Fund Class I	3.34%	3.34%	3.22%	2.93%	4.16%	3.45%	0.92%	0.82%	4.10%	8.51%	4.16%	3.65%
HSCZ iShares Currency Hedged MSCI EAFE Small Cap ETF	2.92%	3.25%	3.26%	2.98%	26.91%	2.90%	1.46%	4.66%	6.15%	2.52%	2.57%	1.75%

Frequently Asked Questions

Can I hold both BISMX and HSCZ in my portfolio?

BISMX and HSCZ have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BISMX or HSCZ?

BISMX has higher volatility (3.31%) compared to HSCZ (3.28%). In terms of maximum drawdown, BISMX dropped -47.07% vs HSCZ's -34.89%.

Which has better risk-adjusted returns?

HSCZ currently has the higher Sharpe Ratio (2.65 vs 1.17), 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.