ESG vs. AVIE

Last updated Aug 2, 2026

ESG (FlexShares STOXX US ESG Select Index Fund) and AVIE (Avantis Inflation Focused Equity ETF) are both Large Cap Blend Equities funds. ESG is passively managed, while AVIE is actively managed. Over the past 3 years, ESG returned 17.88%/yr vs 12.55%/yr for AVIE. Their 0.56 correlation means they have sometimes moved together and sometimes differently. ESG charges 0.32%/yr vs 0.25%/yr for AVIE.

Performance

ESG vs. AVIE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares STOXX US ESG Select Index Fund (ESG) and Avantis Inflation Focused Equity ETF (AVIE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ESG achieves a 11.91% return, which is significantly lower than AVIE's 18.41% return.

ESG

• 1D: 0.20%
• 1M: 0.58%
• 6M: 9.98%
• YTD: 11.91%
• 1Y: 22.28%
• 3Y*: 17.88%
• 5Y*: 11.70%
• 10Y*: 14.84%
• ALL TIME*: 14.86%

AVIE

• 1D: -0.06%
• 1M: 2.39%
• 6M: 11.89%
• YTD: 18.41%
• 1Y: 31.98%
• 3Y*: 12.55%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 14.49%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
AVIE Avantis Inflation Focused Equity ETF	$108.24K	$116.86K	$98.80K
ESG FlexShares STOXX US ESG Select Index Fund	$141.70K	$104.98K	$155.55K

ESG vs. AVIE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
ESG FlexShares STOXX US ESG Select Index Fund	11.91%	16.04%	20.22%	27.86%	3.49%
AVIE Avantis Inflation Focused Equity ETF	18.41%	11.37%	6.17%	4.19%	15.20%

Correlation

The correlation between ESG and AVIE is 0.26, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.26
Correlation (3Y) Balances recent behavior with more history.	0.50
Correlation (All Time) Calculated using the full available price history since Sep 29, 2022	0.56

Over the past year, the correlation between ESG and AVIE has dropped to 0.26 - well below their long-term average of 0.56, suggesting their price drivers have been diverging.

ESG vs. AVIE - Sectors Allocation Comparison

Sectors	ESG	AVIE
Technology	33.3%	0.1%
Financial Services	18.3%	15.7%
Healthcare	13.7%	29.6%
Consumer Defensive	9.3%	16.9%
Consumer Cyclical	8.2%	0.1%
Industrials	4.6%	1.7%
Energy	3.6%	26.5%
Basic Materials	3.1%	9.0%
Real Estate	2.9%	0.5%
Communication Services	0.8%	-
Utilities	0.7%	0.0%

Return for Risk

ESG vs. AVIE — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

ESG

ESG Risk / Return Rank: 74
ESG Sharpe Ratio Rank: 76
ESG Sortino Ratio Rank: 75
ESG Omega Ratio Rank: 74
ESG Calmar Ratio Rank: 68
ESG Martin Ratio Rank: 77

AVIE

AVIE Risk / Return Rank: 96
AVIE Sharpe Ratio Rank: 97
AVIE Sortino Ratio Rank: 96
AVIE Omega Ratio Rank: 95
AVIE Calmar Ratio Rank: 96
AVIE Martin Ratio Rank: 95

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

ESG vs. AVIE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares STOXX US ESG Select Index Fund (ESG) and Avantis Inflation Focused Equity ETF (AVIE). 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.

	ESG	AVIE	Difference
Sharpe ratio: Return per unit of total volatility	1.74	3.16	-1.43
Sortino ratio: Return per unit of downside risk	2.42	4.62	-2.20
Omega ratio: Gain probability vs. loss probability	1.31	1.56	-0.26
Calmar ratio: Return relative to maximum drawdown	2.36	6.34	-3.98
Martin ratio: Return relative to average drawdown	9.79	21.65	-11.86

ESG vs. AVIE - Sharpe Ratio Comparison

The current ESG Sharpe Ratio is 1.74, which is lower than the AVIE Sharpe Ratio of 3.16. The chart below compares the historical Sharpe Ratios of ESG and AVIE, 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

ESG vs. AVIE - Drawdown Comparison

The maximum ESG drawdown since its inception was -32.53%, which is greater than AVIE's maximum drawdown of -12.39%. Use the drawdown chart below to compare losses from any high point for ESG and AVIE.

Drawdown Indicators

	ESG	AVIE	Difference
Max Drawdown Largest peak-to-trough decline	-32.53%	-12.39%	-20.14%
Max Drawdown (1Y) Largest decline over 1 year	-8.68%	-4.97%	-3.71%
Max Drawdown (3Y) Largest decline over 3 years	-18.32%	-12.39%	-5.93%
Max Drawdown (5Y) Largest decline over 5 years	-26.04%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-32.53%	—	—
Current Drawdown Current decline from peak	-0.71%	-0.88%	+0.17%
Average Drawdown Average peak-to-trough decline	-5.01%	-2.93%	-2.08%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.09%	1.45%	+0.64%

Volatility

ESG vs. AVIE - Volatility Comparison

FlexShares STOXX US ESG Select Index Fund (ESG) and Avantis Inflation Focused Equity ETF (AVIE) have volatilities of 3.30% and 3.29%, 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

	ESG	AVIE	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.30%	3.29%	+0.01%
Volatility (6M) Calculated over the trailing 6-month period	9.35%	7.47%	+1.88%
Volatility (1Y) Calculated over the trailing 1-year period	11.82%	10.05%	+1.77%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.79%	12.85%	+3.94%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.33%	12.85%	+5.48%

ESG vs. AVIE - Expense Ratio Comparison

ESG has a 0.32% expense ratio, which is higher than AVIE's 0.25% expense ratio.

Dividends

ESG vs. AVIE - Dividend Comparison

ESG's dividend yield for the trailing twelve months is around 0.87%, less than AVIE's 1.40% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
AVIE Avantis Inflation Focused Equity ETF	1.40%	1.75%	1.89%	3.72%	0.39%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ESG FlexShares STOXX US ESG Select Index Fund	0.87%	0.96%	1.18%	1.10%	1.38%	1.03%	1.33%	1.51%	1.72%	1.52%	0.92%

Frequently Asked Questions

Can I hold both ESG and AVIE in my portfolio?

ESG and AVIE have a correlation of 0.26, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ESG or AVIE?

ESG has higher volatility (3.30%) compared to AVIE (3.29%). In terms of maximum drawdown, ESG dropped -32.53% vs AVIE's -12.39%.

Which ETF is better, ESG or AVIE?

On 3-year performance, ESG leads with 17.88% vs 12.55% for AVIE. On fees, AVIE is cheaper at 0.25% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ESG or AVIE?

Over the 3-year period, ESG has performed better with a 17.88% return vs 12.55%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ESG or AVIE?

AVIE is cheaper with a 0.25% expense ratio, compared with 0.32% for ESG.

Which ETF pays a higher dividend yield, ESG or AVIE?

AVIE has the higher dividend yield at 1.40%, compared with 0.87% for ESG.

What is the main difference between ESG and AVIE?

They also come from different issuers: Northern Trust and Avantis. Their fees differ too: 0.32% for ESG and 0.25% for AVIE.

Which has better risk-adjusted returns?

AVIE currently has the higher Sharpe Ratio (3.16 vs 1.74), 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.