ESGG vs. CGW

Last updated Jun 4, 2026

ESGG (FlexShares STOXX Global ESG Select Index Fund) and CGW (Invesco S&P Global Water Index ETF) are both exchange-traded funds - ESGG is a Large Cap Growth Equities fund tracking the STOXX Global ESG Select KPIs Index, while CGW is a Water Equities fund tracking the S&P Global Water Index. Both are passively managed. Over the past 5 years, ESGG returned 12.78%/yr vs 4.58%/yr for CGW. A 0.72 correlation means they provide meaningful diversification when combined. ESGG charges 0.42%/yr vs 0.57%/yr for CGW.

Performance

ESGG vs. CGW - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares STOXX Global ESG Select Index Fund (ESGG) and Invesco S&P Global Water Index ETF (CGW). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ESGG achieves a 14.72% return, which is significantly higher than CGW's -1.32% return.

ESGG

• 1D: -0.48%
• 1M: 8.86%
• YTD: 14.72%
• 6M: 16.28%
• 1Y: 31.41%
• 3Y*: 21.51%
• 5Y*: 12.78%
• 10Y*: —

CGW

• 1D: -0.31%
• 1M: -2.55%
• YTD: -1.32%
• 6M: -2.18%
• 1Y: 2.96%
• 3Y*: 9.32%
• 5Y*: 4.58%
• 10Y*: 9.46%

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

ESGG vs. CGW - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ESGG FlexShares STOXX Global ESG Select Index Fund	14.72%	24.01%	14.48%	25.57%	-18.66%	23.76%	17.32%	29.10%	-8.44%	23.60%
CGW Invesco S&P Global Water Index ETF	-1.32%	18.10%	4.55%	15.50%	-22.00%	31.70%	15.41%	34.04%	-10.47%	27.08%

Correlation

The correlation between ESGG and CGW is 0.65, 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	0.65
Correlation (3Y) Calculated over the trailing 3-year period	0.68
Correlation (5Y) Calculated over the trailing 5-year period	0.76
Correlation (All Time) Calculated using the full available price history since Jul 15, 2016	0.72

The correlation between ESGG and CGW shifts across timeframes, from 0.65 (1 year) to 0.76 (5 years), reflecting how their relationship changes across market environments.

ESGG vs. CGW - Sectors Allocation Comparison

Sectors	ESGG	CGW
Technology	39.9%	1.1%
Financial Services	19.4%	0.0%
Healthcare	11.8%	-
Industrials	5.2%	44.3%
Consumer Defensive	5.0%	-
Energy	4.3%	1.6%
Consumer Cyclical	4.0%	0.5%
Basic Materials	2.4%	5.8%
Utilities	2.1%	46.6%
Real Estate	1.2%	0.2%
Communication Services	0.9%	-

Return for Risk

ESGG vs. CGW — Risk / Return Rank

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

ESGG

ESGG Risk / Return Rank: 78
ESGG Sharpe Ratio Rank: 80
ESGG Sortino Ratio Rank: 82
ESGG Omega Ratio Rank: 78
ESGG Calmar Ratio Rank: 69
ESGG Martin Ratio Rank: 79

CGW

CGW Risk / Return Rank: 11
CGW Sharpe Ratio Rank: 12
CGW Sortino Ratio Rank: 11
CGW Omega Ratio Rank: 10
CGW Calmar Ratio Rank: 12
CGW Martin Ratio Rank: 12

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.

ESGG vs. CGW - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares STOXX Global ESG Select Index Fund (ESGG) and Invesco S&P Global Water Index ETF (CGW). 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.

	ESGG	CGW	Difference
Sharpe ratio: Return per unit of total volatility	2.62	0.22	+2.39
Sortino ratio: Return per unit of downside risk	3.69	0.41	+3.28
Omega ratio: Gain probability vs. loss probability	1.47	1.05	+0.42
Calmar ratio: Return relative to maximum drawdown	3.44	0.27	+3.17
Martin ratio: Return relative to average drawdown	15.38	0.73	+14.66
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ESGG vs. CGW - Sharpe Ratio Comparison

The current ESGG Sharpe Ratio is 2.62, which is higher than the CGW Sharpe Ratio of 0.22. The chart below compares the historical Sharpe Ratios of ESGG and CGW, 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

	ESGG	CGW	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.62	0.22	+2.39
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.80	0.27	+0.53
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.54	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.86	0.34	+0.52

Drawdowns

ESGG vs. CGW - Drawdown Comparison

The maximum ESGG drawdown since its inception was -32.31%, smaller than the maximum CGW drawdown of -57.24%. Use the drawdown chart below to compare losses from any high point for ESGG and CGW.

Drawdown Indicators

	ESGG	CGW	Difference
Max Drawdown Largest peak-to-trough decline	-32.31%	-57.24%	+24.93%
Max Drawdown (1Y) Largest decline over 1 year	-9.16%	-10.86%	+1.70%
Max Drawdown (3Y) Largest decline over 3 years	-16.71%	-16.24%	-0.47%
Max Drawdown (5Y) Largest decline over 5 years	-27.57%	-32.74%	+5.17%
Max Drawdown (10Y) Largest decline over 10 years	—	-35.72%	—
Current Drawdown Current decline from peak	-0.48%	-9.70%	+9.22%
Average Drawdown Average peak-to-trough decline	-4.66%	-9.84%	+5.18%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.05%	4.09%	-2.04%

Volatility

ESGG vs. CGW - Volatility Comparison

The current volatility for FlexShares STOXX Global ESG Select Index Fund (ESGG) is 3.76%, while Invesco S&P Global Water Index ETF (CGW) has a volatility of 4.50%. This indicates that ESGG experiences smaller price fluctuations and is considered to be less risky than CGW based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ESGG	CGW	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.76%	4.50%	-0.74%
Volatility (6M) Calculated over the trailing 6-month period	9.67%	10.17%	-0.50%
Volatility (1Y) Calculated over the trailing 1-year period	12.05%	13.28%	-1.23%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.04%	16.82%	-0.78%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.51%	17.72%	-1.21%

ESGG vs. CGW - Expense Ratio Comparison

ESGG has a 0.42% expense ratio, which is lower than CGW's 0.57% expense ratio.

Dividends

ESGG vs. CGW - Dividend Comparison

ESGG's dividend yield for the trailing twelve months is around 1.21%, less than CGW's 1.60% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CGW Invesco S&P Global Water Index ETF	1.60%	1.58%	2.27%	1.55%	1.45%	1.59%	1.41%	1.48%	2.14%	1.71%	1.65%	1.67%
ESGG FlexShares STOXX Global ESG Select Index Fund	1.21%	1.39%	1.84%	1.73%	1.83%	1.34%	1.36%	1.94%	2.12%	1.71%	0.87%	0.00%

Frequently Asked Questions

Can I hold both ESGG and CGW in my portfolio?

ESGG and CGW have a correlation of 0.65, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ESGG or CGW?

CGW has higher volatility (4.50%) compared to ESGG (3.76%). In terms of maximum drawdown, ESGG dropped -32.31% vs CGW's -57.24%.

Which ETF is better, ESGG or CGW?

On 5-year performance, ESGG leads with 12.78% vs 4.58% for CGW. On fees, ESGG is cheaper at 0.42% per year. On volatility, ESGG has been the lower-risk option at 3.76%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ESGG or CGW?

Over the 5-year period, ESGG has performed better with a 12.78% return vs 4.58%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ESGG or CGW?

ESGG is cheaper with a 0.42% expense ratio, compared with 0.57% for CGW.

Which ETF pays a higher dividend yield, ESGG or CGW?

CGW has the higher dividend yield at 1.60%, compared with 1.21% for ESGG.

What is the main difference between ESGG and CGW?

ESGG is categorized as Large Cap Growth Equities, while CGW is Water Equities. ESGG tracks STOXX Global ESG Select KPIs Index, while CGW tracks S&P Global Water Index. They also come from different issuers: Northern Trust and Invesco. Their fees differ too: 0.42% for ESGG and 0.57% for CGW.

Which has better risk-adjusted returns?

ESGG currently has the higher Sharpe Ratio (2.62 vs 0.22), 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.