BSMC vs. USFR

Last updated Jun 23, 2026

BSMC (Brandes U.S. Small-Mid Cap Value ETF) and USFR (WisdomTree Floating Rate Treasury Fund) are both exchange-traded funds - BSMC is a Small Cap Value Equities fund actively managed by Brandes, while USFR is a Government Bonds fund tracking the Bloomberg U.S. Treasury Floating Rate Bond Index. BSMC is actively managed, while USFR is passively managed. Over the past year, BSMC returned 24.47% vs 3.97% for USFR. At a correlation of -0.02, they often move in opposite directions. BSMC charges 0.70%/yr vs 0.15%/yr for USFR.

Performance

BSMC vs. USFR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Brandes U.S. Small-Mid Cap Value ETF (BSMC) and WisdomTree Floating Rate Treasury Fund (USFR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, BSMC achieves a 9.16% return, which is significantly higher than USFR's 1.78% return.

BSMC

• 1D: -0.33%
• 1M: -0.15%
• YTD: 9.16%
• 6M: 8.80%
• 1Y: 24.47%
• 3Y*: —
• 5Y*: —
• 10Y*: —

USFR

• 1D: 0.00%
• 1M: 0.29%
• YTD: 1.78%
• 6M: 1.89%
• 1Y: 3.97%
• 3Y*: 4.72%
• 5Y*: 3.70%
• 10Y*: 2.43%

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

BSMC vs. USFR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
BSMC Brandes U.S. Small-Mid Cap Value ETF	9.16%	15.52%	10.21%	11.69%
USFR WisdomTree Floating Rate Treasury Fund	1.78%	4.23%	5.47%	1.20%

Correlation

The correlation between BSMC and USFR is -0.09, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.09
Correlation (All Time) Calculated using the full available price history since Oct 5, 2023	-0.02

Return for Risk

BSMC vs. USFR — Risk / Return Rank

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

BSMC

BSMC Risk / Return Rank: 52
BSMC Sharpe Ratio Rank: 50
BSMC Sortino Ratio Rank: 53
BSMC Omega Ratio Rank: 46
BSMC Calmar Ratio Rank: 57
BSMC Martin Ratio Rank: 56

USFR

USFR Risk / Return Rank: 100
USFR Sharpe Ratio Rank: 100
USFR Sortino Ratio Rank: 100
USFR Omega Ratio Rank: 100
USFR Calmar Ratio Rank: 100
USFR Martin Ratio Rank: 100

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.

BSMC vs. USFR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Brandes U.S. Small-Mid Cap Value ETF (BSMC) and WisdomTree Floating Rate Treasury Fund (USFR). 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.

	BSMC	USFR	Difference
Sharpe ratio: Return per unit of total volatility	1.68	14.65	-12.97
Sortino ratio: Return per unit of downside risk	2.49	49.88	-47.39
Omega ratio: Gain probability vs. loss probability	1.29	13.24	-11.95
Calmar ratio: Return relative to maximum drawdown	2.72	200.29	-197.57
Martin ratio: Return relative to average drawdown	9.63	775.73	-766.10

BSMC vs. USFR - Sharpe Ratio Comparison

The current BSMC Sharpe Ratio is 1.68, which is lower than the USFR Sharpe Ratio of 14.65. The chart below compares the historical Sharpe Ratios of BSMC and USFR, 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

BSMC vs. USFR - Drawdown Comparison

The maximum BSMC drawdown since its inception was -19.15%, which is greater than USFR's maximum drawdown of -1.36%. Use the drawdown chart below to compare losses from any high point for BSMC and USFR.

Drawdown Indicators

	BSMC	USFR	Difference
Max Drawdown Largest peak-to-trough decline	-19.15%	-1.36%	-17.79%
Max Drawdown (1Y) Largest decline over 1 year	-9.02%	-0.02%	-9.00%
Max Drawdown (3Y) Largest decline over 3 years	—	-0.06%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-0.18%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-0.80%	—
Current Drawdown Current decline from peak	-3.03%	0.00%	-3.03%
Average Drawdown Average peak-to-trough decline	-2.65%	-0.15%	-2.50%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.55%	0.01%	+2.54%

Volatility

BSMC vs. USFR - Volatility Comparison

Brandes U.S. Small-Mid Cap Value ETF (BSMC) has a higher volatility of 3.68% compared to WisdomTree Floating Rate Treasury Fund (USFR) at 0.08%. This indicates that BSMC's price experiences larger fluctuations and is considered to be riskier than USFR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	BSMC	USFR	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.68%	0.08%	+3.60%
Volatility (6M) Calculated over the trailing 6-month period	10.28%	0.19%	+10.09%
Volatility (1Y) Calculated over the trailing 1-year period	14.66%	0.27%	+14.39%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.07%	0.40%	+15.67%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.07%	0.78%	+15.29%

BSMC vs. USFR - Expense Ratio Comparison

BSMC has a 0.70% expense ratio, which is higher than USFR's 0.15% expense ratio.

Dividends

BSMC vs. USFR - Dividend Comparison

BSMC's dividend yield for the trailing twelve months is around 0.95%, less than USFR's 3.91% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
BSMC Brandes U.S. Small-Mid Cap Value ETF	0.95%	1.17%	1.02%	0.15%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
USFR WisdomTree Floating Rate Treasury Fund	3.91%	4.15%	5.17%	5.12%	1.78%	0.01%	0.40%	2.08%	1.67%	1.03%	0.29%

Frequently Asked Questions

Can I hold both BSMC and USFR in my portfolio?

BSMC and USFR have a correlation of -0.09, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, BSMC or USFR?

BSMC has higher volatility (3.68%) compared to USFR (0.08%). In terms of maximum drawdown, BSMC dropped -19.15% vs USFR's -1.36%.

Which ETF is better, BSMC or USFR?

On 1-year performance, BSMC leads with 24.47% vs 3.97% for USFR. On fees, USFR is cheaper at 0.15% per year. On volatility, USFR has been the lower-risk option at 0.08%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, BSMC or USFR?

Over the 1-year period, BSMC has performed better with a 24.47% return vs 3.97%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, BSMC or USFR?

USFR is cheaper with a 0.15% expense ratio, compared with 0.70% for BSMC.

Which ETF pays a higher dividend yield, BSMC or USFR?

USFR has the higher dividend yield at 3.91%, compared with 0.95% for BSMC.

What is the main difference between BSMC and USFR?

BSMC is categorized as Small Cap Value Equities, while USFR is Government Bonds. They also come from different issuers: Brandes and WisdomTree. Their fees differ too: 0.70% for BSMC and 0.15% for USFR.

Which has better risk-adjusted returns?

USFR currently has the higher Sharpe Ratio (14.65 vs 1.68), 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.