DXJS vs. DFJ

Last updated Jun 4, 2026

DXJS (WisdomTree Japan Hedged SmallCap Equity Fund) and DFJ (WisdomTree Japan SmallCap Dividend Fund) are both Japan Equities funds from WisdomTree - DXJS tracks the WisdomTree Japan Hedged SmallCap Equity Index while DFJ tracks the WisdomTree Japan SmallCap Dividend Index. Both are passively managed. Over the past 10 years, DXJS returned 17.36%/yr vs 8.70%/yr for DFJ. A 0.78 correlation means they provide meaningful diversification when combined. Both charge a 0.58% expense ratio.

Performance

DXJS vs. DFJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in WisdomTree Japan Hedged SmallCap Equity Fund (DXJS) and WisdomTree Japan SmallCap Dividend Fund (DFJ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, DXJS achieves a 26.16% return, which is significantly higher than DFJ's 9.06% return. Over the past 10 years, DXJS has outperformed DFJ with an annualized return of 17.36%, while DFJ has yielded a comparatively lower 8.70% annualized return.

DXJS

• 1D: -0.02%
• 1M: 2.99%
• YTD: 26.16%
• 6M: 32.96%
• 1Y: 64.97%
• 3Y*: 34.91%
• 5Y*: 25.18%
• 10Y*: 17.36%

DFJ

• 1D: -0.46%
• 1M: 2.01%
• YTD: 9.06%
• 6M: 12.58%
• 1Y: 26.81%
• 3Y*: 18.99%
• 5Y*: 9.51%
• 10Y*: 8.70%

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

DXJS vs. DFJ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
DXJS WisdomTree Japan Hedged SmallCap Equity Fund	26.16%	37.08%	20.70%	38.96%	5.02%	11.66%	-3.22%	18.24%	-18.69%	29.56%
DFJ WisdomTree Japan SmallCap Dividend Fund	9.06%	31.90%	2.80%	21.81%	-9.00%	0.38%	1.29%	16.98%	-18.53%	32.14%

Correlation

The correlation between DXJS and DFJ is 0.73, 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	0.73
Correlation (3Y) Calculated over the trailing 3-year period	0.71
Correlation (5Y) Calculated over the trailing 5-year period	0.68
Correlation (10Y) Calculated over the trailing 10-year period	0.75
Correlation (All Time) Calculated using the full available price history since Jul 1, 2013	0.78

The correlation between DXJS and DFJ has been stable across timeframes, ranging from 0.68 to 0.78 - a consistent structural relationship.

DXJS vs. DFJ - Sectors Allocation Comparison

Sectors	DXJS	DFJ
Industrials	27.6%	27.0%
Consumer Cyclical	19.7%	16.1%
Basic Materials	12.0%	13.3%
Technology	11.2%	12.6%
Financial Services	9.2%	13.3%
Consumer Defensive	8.4%	7.1%
Healthcare	4.4%	4.1%
Real Estate	3.3%	2.9%
Communication Services	1.7%	1.5%
Utilities	1.6%	1.6%
Energy	1.0%	0.6%

Return for Risk

DXJS vs. DFJ — Risk / Return Rank

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

DXJS

DXJS Risk / Return Rank: 91
DXJS Sharpe Ratio Rank: 92
DXJS Sortino Ratio Rank: 91
DXJS Omega Ratio Rank: 87
DXJS Calmar Ratio Rank: 93
DXJS Martin Ratio Rank: 92

DFJ

DFJ Risk / Return Rank: 44
DFJ Sharpe Ratio Rank: 47
DFJ Sortino Ratio Rank: 47
DFJ Omega Ratio Rank: 45
DFJ Calmar Ratio Rank: 42
DFJ Martin Ratio Rank: 38

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.

DXJS vs. DFJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree Japan Hedged SmallCap Equity Fund (DXJS) and WisdomTree Japan SmallCap Dividend Fund (DFJ). 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.

	DXJS	DFJ	Difference
Sharpe ratio Return per unit of total volatility	3.33	1.65	+1.68
Sortino ratio Return per unit of downside risk	4.34	2.34	+2.00
Omega ratio Gain probability vs. loss probability	1.55	1.29	+0.26
Calmar ratio Return relative to maximum drawdown	6.65	2.07	+4.58
Martin ratio Return relative to average drawdown	23.90	6.01	+17.89
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

DXJS vs. DFJ - Sharpe Ratio Comparison

The current DXJS Sharpe Ratio is 3.33, which is higher than the DFJ Sharpe Ratio of 1.65. The chart below compares the historical Sharpe Ratios of DXJS and DFJ, 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

	DXJS	DFJ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.33	1.65	+1.68
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.40	0.60	+0.80
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.88	0.51	+0.37
Sharpe Ratio (All Time) Calculated using the full available price history	0.76	0.31	+0.45

Drawdowns

DXJS vs. DFJ - Drawdown Comparison

The maximum DXJS drawdown since its inception was -39.30%, smaller than the maximum DFJ drawdown of -46.00%. Use the drawdown chart below to compare losses from any high point for DXJS and DFJ.

Drawdown Indicators

	DXJS	DFJ	Difference
Max Drawdown Largest peak-to-trough decline	-39.30%	-46.00%	+6.70%
Max Drawdown (1Y) Largest decline over 1 year	-9.82%	-13.03%	+3.21%
Max Drawdown (3Y) Largest decline over 3 years	-16.49%	-13.03%	-3.46%
Max Drawdown (5Y) Largest decline over 5 years	-16.49%	-29.71%	+13.22%
Max Drawdown (10Y) Largest decline over 10 years	-39.30%	-40.02%	+0.72%
Current Drawdown Current decline from peak	-4.27%	-6.92%	+2.65%
Average Drawdown Average peak-to-trough decline	-6.49%	-11.15%	+4.66%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.73%	4.47%	-1.74%

Volatility

DXJS vs. DFJ - Volatility Comparison

WisdomTree Japan Hedged SmallCap Equity Fund (DXJS) has a higher volatility of 5.08% compared to WisdomTree Japan SmallCap Dividend Fund (DFJ) at 4.15%. This indicates that DXJS's price experiences larger fluctuations and is considered to be riskier than DFJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DXJS	DFJ	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.08%	4.15%	+0.93%
Volatility (6M) Calculated over the trailing 6-month period	15.39%	13.48%	+1.91%
Volatility (1Y) Calculated over the trailing 1-year period	19.64%	16.39%	+3.25%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.05%	15.89%	+2.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.71%	16.95%	+2.76%

DXJS vs. DFJ - Expense Ratio Comparison

Both DXJS and DFJ have an expense ratio of 0.58%.

Dividends

DXJS vs. DFJ - Dividend Comparison

DXJS's dividend yield for the trailing twelve months is around 1.50%, less than DFJ's 2.44% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFJ WisdomTree Japan SmallCap Dividend Fund	2.44%	2.68%	2.46%	2.43%	2.62%	2.07%	2.59%	2.24%	1.89%	1.60%	1.76%	1.23%
DXJS WisdomTree Japan Hedged SmallCap Equity Fund	1.50%	1.78%	4.02%	2.71%	2.63%	2.96%	3.04%	2.17%	2.06%	1.53%	1.66%	3.61%

Frequently Asked Questions

Can I hold both DXJS and DFJ in my portfolio?

DXJS and DFJ have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, DXJS or DFJ?

DXJS has higher volatility (5.08%) compared to DFJ (4.15%). In terms of maximum drawdown, DXJS dropped -39.30% vs DFJ's -46.00%.

Which ETF is better, DXJS or DFJ?

On 10-year performance, DXJS leads with 17.36% vs 8.70% for DFJ. Both ETFs have the same 0.58% expense ratio. On volatility, DFJ has been the lower-risk option at 4.15%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DXJS or DFJ?

Over the 10-year period, DXJS has performed better with a 17.36% return vs 8.70%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DXJS or DFJ?

DXJS and DFJ have the same expense ratio: 0.58% per year.

Which ETF pays a higher dividend yield, DXJS or DFJ?

DFJ has the higher dividend yield at 2.44%, compared with 1.50% for DXJS.

What is the main difference between DXJS and DFJ?

DXJS tracks WisdomTree Japan Hedged SmallCap Equity Index, while DFJ tracks WisdomTree Japan SmallCap Dividend Index.

Which has better risk-adjusted returns?

DXJS currently has the higher Sharpe Ratio (3.33 vs 1.65), 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.