ESG vs. HTGC

Last updated Jun 4, 2026

ESG (FlexShares STOXX US ESG Select Index Fund) is Large Cap Growth Equities fund tracking the STOXX USA ESG Select KPIs Index, while HTGC (Hercules Capital, Inc.) is a stock. Over the past 5 years, ESG returned 12.73%/yr vs 9.03%/yr for HTGC. At a 0.43 correlation, their price movements are largely independent.

Performance

ESG vs. HTGC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares STOXX US ESG Select Index Fund (ESG) and Hercules Capital, Inc. (HTGC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ESG achieves a 12.20% return, which is significantly higher than HTGC's -14.37% return.

ESG

• 1D: -0.45%
• 1M: 7.28%
• YTD: 12.20%
• 6M: 13.15%
• 1Y: 25.90%
• 3Y*: 20.72%
• 5Y*: 12.73%
• 10Y*: —

HTGC

• 1D: -1.93%
• 1M: -5.03%
• YTD: -14.37%
• 6M: -14.09%
• 1Y: -4.30%
• 3Y*: 12.45%
• 5Y*: 9.03%
• 10Y*: 13.30%

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

ESG vs. HTGC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ESG FlexShares STOXX US ESG Select Index Fund	12.20%	16.04%	20.22%	27.86%	-19.89%	28.48%	20.75%	31.74%	-5.17%	22.78%
HTGC Hercules Capital, Inc.	-14.37%	3.54%	33.33%	42.91%	-10.42%	26.50%	14.49%	39.86%	-6.86%	1.86%

Correlation

The correlation between ESG and HTGC is 0.34, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.34
Correlation (3Y) Calculated over the trailing 3-year period	0.45
Correlation (5Y) Calculated over the trailing 5-year period	0.50
Correlation (All Time) Calculated using the full available price history since Jul 15, 2016	0.43

The correlation between ESG and HTGC shifts across timeframes, from 0.34 (1 year) to 0.50 (5 years), reflecting how their relationship changes across market environments.

Return for Risk

ESG vs. HTGC — Risk / Return Rank

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

ESG

ESG Risk / Return Rank: 67
ESG Sharpe Ratio Rank: 70
ESG Sortino Ratio Rank: 70
ESG Omega Ratio Rank: 67
ESG Calmar Ratio Rank: 60
ESG Martin Ratio Rank: 70

HTGC

HTGC Risk / Return Rank: 31
HTGC Sharpe Ratio Rank: 33
HTGC Sortino Ratio Rank: 28
HTGC Omega Ratio Rank: 27
HTGC Calmar Ratio Rank: 34
HTGC Martin Ratio Rank: 33

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.

ESG vs. HTGC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares STOXX US ESG Select Index Fund (ESG) and Hercules Capital, Inc. (HTGC). 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.

	ESG	HTGC	Difference
Sharpe ratio: Return per unit of total volatility	2.33	-0.19	+2.52
Sortino ratio: Return per unit of downside risk	3.23	-0.10	+3.33
Omega ratio: Gain probability vs. loss probability	1.41	0.99	+0.43
Calmar ratio: Return relative to maximum drawdown	3.00	-0.17	+3.17
Martin ratio: Return relative to average drawdown	13.02	-0.40	+13.42
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ESG vs. HTGC - Sharpe Ratio Comparison

The current ESG Sharpe Ratio is 2.33, which is higher than the HTGC Sharpe Ratio of -0.19. The chart below compares the historical Sharpe Ratios of ESG and HTGC, 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

	ESG	HTGC	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.33	-0.19	+2.52
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.76	0.35	+0.41
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.48	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.83	0.35	+0.47

Drawdowns

ESG vs. HTGC - Drawdown Comparison

The maximum ESG drawdown since its inception was -32.53%, smaller than the maximum HTGC drawdown of -68.21%. Use the drawdown chart below to compare losses from any high point for ESG and HTGC.

Drawdown Indicators

	ESG	HTGC	Difference
Max Drawdown Largest peak-to-trough decline	-32.53%	-68.21%	+35.68%
Max Drawdown (1Y) Largest decline over 1 year	-8.68%	-24.74%	+16.06%
Max Drawdown (3Y) Largest decline over 3 years	-18.32%	-27.97%	+9.65%
Max Drawdown (5Y) Largest decline over 5 years	-26.04%	-36.11%	+10.07%
Max Drawdown (10Y) Largest decline over 10 years	—	-57.54%	—
Current Drawdown Current decline from peak	-0.45%	-19.03%	+18.58%
Average Drawdown Average peak-to-trough decline	-5.07%	-10.86%	+5.79%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.99%	10.72%	-8.73%

Volatility

ESG vs. HTGC - Volatility Comparison

The current volatility for FlexShares STOXX US ESG Select Index Fund (ESG) is 2.94%, while Hercules Capital, Inc. (HTGC) has a volatility of 5.23%. This indicates that ESG experiences smaller price fluctuations and is considered to be less risky than HTGC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ESG	HTGC	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.94%	5.23%	-2.29%
Volatility (6M) Calculated over the trailing 6-month period	8.46%	20.00%	-11.54%
Volatility (1Y) Calculated over the trailing 1-year period	11.16%	23.14%	-11.98%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.73%	25.72%	-8.99%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.36%	27.84%	-9.48%

Dividends

ESG vs. HTGC - Dividend Comparison

ESG's dividend yield for the trailing twelve months is around 0.87%, less than HTGC's 11.89% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
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%	0.00%
HTGC Hercules Capital, Inc.	11.89%	9.99%	9.56%	11.40%	13.77%	9.76%	9.02%	9.49%	11.40%	9.45%	8.79%	10.17%

Frequently Asked Questions

Can I hold both ESG and HTGC in my portfolio?

ESG and HTGC have a correlation of 0.34, 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 HTGC?

HTGC has higher volatility (5.23%) compared to ESG (2.94%). In terms of maximum drawdown, ESG dropped -32.53% vs HTGC's -68.21%.

Which has better risk-adjusted returns?

ESG currently has the higher Sharpe Ratio (2.33 vs -0.19), 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.