DES vs. USFR

Last updated Jun 3, 2026

DES (WisdomTree U.S. SmallCap Dividend Fund) and USFR (WisdomTree Floating Rate Treasury Fund) are both exchange-traded funds - DES is a Small Cap Blend Equities fund tracking the WisdomTree SmallCap Dividend (TR), while USFR is a Government Bonds fund tracking the Bloomberg U.S. Treasury Floating Rate Bond Index. Both are passively managed. Over the past 10 years, DES returned 8.17%/yr vs 2.47%/yr for USFR. At a correlation of -0.01, they often move in opposite directions. DES charges 0.38%/yr vs 0.15%/yr for USFR.

Performance

DES vs. USFR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in WisdomTree U.S. SmallCap Dividend Fund (DES) 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, DES achieves a 16.63% return, which is significantly higher than USFR's 1.58% return. Over the past 10 years, DES has outperformed USFR with an annualized return of 8.17%, while USFR has yielded a comparatively lower 2.47% annualized return.

DES

• 1D: 0.99%
• 1M: 0.53%
• YTD: 16.63%
• 6M: 17.07%
• 1Y: 28.87%
• 3Y*: 14.65%
• 5Y*: 6.21%
• 10Y*: 8.17%

USFR

• 1D: 0.00%
• 1M: 0.29%
• YTD: 1.58%
• 6M: 1.96%
• 1Y: 3.99%
• 3Y*: 4.75%
• 5Y*: 3.67%
• 10Y*: 2.47%

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

DES vs. USFR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
DES WisdomTree U.S. SmallCap Dividend Fund	16.63%	0.25%	9.93%	16.50%	-10.96%	26.51%	-4.26%	20.26%	-12.85%	8.64%
USFR WisdomTree Floating Rate Treasury Fund	1.58%	4.23%	5.47%	5.18%	1.98%	-0.03%	0.56%	2.02%	2.01%	1.03%

Correlation

The correlation between DES and USFR is -0.13, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.13
Correlation (3Y) Calculated over the trailing 3-year period	-0.03
Correlation (5Y) Calculated over the trailing 5-year period	-0.03
Correlation (10Y) Calculated over the trailing 10-year period	-0.01
Correlation (All Time) Calculated using the full available price history since Feb 5, 2014	-0.01

The correlation between DES and USFR shifts across timeframes, from -0.13 (1 year) to -0.01 (10 years), reflecting how their relationship changes across market environments.

Return for Risk

DES vs. USFR — Risk / Return Rank

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

DES

DES Risk / Return Rank: 57
DES Sharpe Ratio Rank: 51
DES Sortino Ratio Rank: 54
DES Omega Ratio Rank: 49
DES Calmar Ratio Rank: 72
DES Martin Ratio Rank: 59

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.

DES vs. USFR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree U.S. SmallCap Dividend Fund (DES) 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.

	DES	USFR	Difference
Sharpe ratio Return per unit of total volatility	1.77	14.83	-13.06
Sortino ratio Return per unit of downside risk	2.64	48.59	-45.95
Omega ratio Gain probability vs. loss probability	1.31	12.58	-11.27
Calmar ratio Return relative to maximum drawdown	3.67	203.63	-199.97
Martin ratio Return relative to average drawdown	10.48	767.72	-757.24
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

DES vs. USFR - Sharpe Ratio Comparison

The current DES Sharpe Ratio is 1.77, which is lower than the USFR Sharpe Ratio of 14.83. The chart below compares the historical Sharpe Ratios of DES 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.

Sharpe Ratios by Period

	DES	USFR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.77	14.83	-13.06
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.32	9.27	-8.95
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.37	3.07	-2.70
Sharpe Ratio (All Time) Calculated using the full available price history	0.32	1.60	-1.28

Drawdowns

DES vs. USFR - Drawdown Comparison

The maximum DES drawdown since its inception was -65.48%, which is greater than USFR's maximum drawdown of -1.36%. Use the drawdown chart below to compare losses from any high point for DES and USFR.

Drawdown Indicators

	DES	USFR	Difference
Max Drawdown Largest peak-to-trough decline	-65.48%	-1.36%	-64.12%
Max Drawdown (1Y) Largest decline over 1 year	-7.64%	-0.02%	-7.62%
Max Drawdown (3Y) Largest decline over 3 years	-25.16%	-0.06%	-25.10%
Max Drawdown (5Y) Largest decline over 5 years	-25.16%	-0.18%	-24.98%
Max Drawdown (10Y) Largest decline over 10 years	-45.65%	-0.80%	-44.85%
Current Drawdown Current decline from peak	-0.28%	0.00%	-0.28%
Average Drawdown Average peak-to-trough decline	-9.68%	-0.16%	-9.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.68%	0.01%	+2.67%

Volatility

DES vs. USFR - Volatility Comparison

WisdomTree U.S. SmallCap Dividend Fund (DES) has a higher volatility of 4.24% compared to WisdomTree Floating Rate Treasury Fund (USFR) at 0.06%. This indicates that DES'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

	DES	USFR	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.24%	0.06%	+4.18%
Volatility (6M) Calculated over the trailing 6-month period	10.94%	0.18%	+10.76%
Volatility (1Y) Calculated over the trailing 1-year period	16.42%	0.27%	+16.15%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.56%	0.40%	+19.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.97%	0.81%	+21.16%

DES vs. USFR - Expense Ratio Comparison

DES has a 0.38% expense ratio, which is higher than USFR's 0.15% expense ratio.

Dividends

DES vs. USFR - Dividend Comparison

DES's dividend yield for the trailing twelve months is around 2.37%, less than USFR's 3.91% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DES WisdomTree U.S. SmallCap Dividend Fund	2.37%	2.85%	2.81%	2.65%	2.89%	2.31%	2.75%	2.68%	3.65%	2.89%	2.70%	3.09%
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%	0.00%

Frequently Asked Questions

Can I hold both DES and USFR in my portfolio?

DES and USFR have a correlation of -0.13, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, DES or USFR?

DES has higher volatility (4.24%) compared to USFR (0.06%). In terms of maximum drawdown, DES dropped -65.48% vs USFR's -1.36%.

Which ETF is better, DES or USFR?

On 10-year performance, DES leads with 8.17% vs 2.47% for USFR. On fees, USFR is cheaper at 0.15% per year. On volatility, USFR has been the lower-risk option at 0.06%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DES or USFR?

Over the 10-year period, DES has performed better with a 8.17% return vs 2.47%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DES or USFR?

USFR is cheaper with a 0.15% expense ratio, compared with 0.38% for DES.

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

USFR has the higher dividend yield at 3.91%, compared with 2.37% for DES.

What is the main difference between DES and USFR?

DES is categorized as Small Cap Blend Equities, while USFR is Government Bonds. DES tracks WisdomTree SmallCap Dividend (TR), while USFR tracks Bloomberg U.S. Treasury Floating Rate Bond Index. Their fees differ too: 0.38% for DES and 0.15% for USFR.

Which has better risk-adjusted returns?

USFR currently has the higher Sharpe Ratio (14.83 vs 1.77), 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.