ESGU vs. DFAC

Last updated Jun 4, 2026

ESGU (iShares ESG Aware MSCI USA ETF) and DFAC (Dimensional U.S. Core Equity 2 ETF) are both Large Cap Blend Equities funds. ESGU is passively managed, while DFAC is actively managed. Over the past 3 years, ESGU returned 22.00%/yr vs 20.56%/yr for DFAC. With a 0.96 correlation, they move nearly in lockstep. ESGU charges 0.15%/yr vs 0.17%/yr for DFAC.

Performance

ESGU vs. DFAC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares ESG Aware MSCI USA ETF (ESGU) and Dimensional U.S. Core Equity 2 ETF (DFAC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ESGU achieves a 11.06% return, which is significantly lower than DFAC's 11.90% return.

ESGU

• 1D: -0.79%
• 1M: 5.51%
• YTD: 11.06%
• 6M: 10.93%
• 1Y: 27.83%
• 3Y*: 22.00%
• 5Y*: 12.74%
• 10Y*: —

DFAC

• 1D: -0.67%
• 1M: 4.57%
• YTD: 11.90%
• 6M: 12.19%
• 1Y: 28.89%
• 3Y*: 20.56%
• 5Y*: —
• 10Y*: —

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

ESGU vs. DFAC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
ESGU iShares ESG Aware MSCI USA ETF	11.06%	16.90%	24.31%	25.79%	-20.27%	11.47%
DFAC Dimensional U.S. Core Equity 2 ETF	11.90%	15.66%	19.61%	21.96%	-14.93%	9.51%

Correlation

The correlation between ESGU and DFAC is 0.95, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.95
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (All Time) Calculated using the full available price history since Jun 15, 2021	0.96

The correlation between ESGU and DFAC has been stable across timeframes, ranging from 0.95 to 0.96 - a consistent structural relationship.

ESGU vs. DFAC - Sectors Allocation Comparison

Sectors	ESGU	DFAC
Technology	38.7%	28.4%
Financial Services	11.5%	14.4%
Communication Services	9.8%	8.4%
Consumer Cyclical	9.4%	10.7%
Healthcare	8.4%	9.0%
Industrials	8.4%	12.8%
Consumer Defensive	3.9%	4.9%
Energy	3.5%	5.9%
Utilities	2.4%	1.9%
Real Estate	2.1%	0.2%
Basic Materials	1.6%	3.2%

Return for Risk

ESGU vs. DFAC — Risk / Return Rank

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

ESGU

ESGU Risk / Return Rank: 67
ESGU Sharpe Ratio Rank: 68
ESGU Sortino Ratio Rank: 66
ESGU Omega Ratio Rank: 67
ESGU Calmar Ratio Rank: 60
ESGU Martin Ratio Rank: 72

DFAC

DFAC Risk / Return Rank: 71
DFAC Sharpe Ratio Rank: 71
DFAC Sortino Ratio Rank: 71
DFAC Omega Ratio Rank: 70
DFAC Calmar Ratio Rank: 68
DFAC Martin Ratio Rank: 77

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.

ESGU vs. DFAC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares ESG Aware MSCI USA ETF (ESGU) and Dimensional U.S. Core Equity 2 ETF (DFAC). 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.

	ESGU	DFAC	Difference
Sharpe ratio: Return per unit of total volatility	2.30	2.39	-0.09
Sortino ratio: Return per unit of downside risk	3.12	3.31	-0.19
Omega ratio: Gain probability vs. loss probability	1.41	1.43	-0.02
Calmar ratio: Return relative to maximum drawdown	3.02	3.42	-0.40
Martin ratio: Return relative to average drawdown	13.75	15.17	-1.43
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ESGU vs. DFAC - Sharpe Ratio Comparison

The current ESGU Sharpe Ratio is 2.30, which is comparable to the DFAC Sharpe Ratio of 2.39. The chart below compares the historical Sharpe Ratios of ESGU and DFAC, 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

	ESGU	DFAC	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.30	2.39	-0.09
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.74	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.83	0.71	+0.13

Drawdowns

ESGU vs. DFAC - Drawdown Comparison

The maximum ESGU drawdown since its inception was -33.87%, which is greater than DFAC's maximum drawdown of -23.12%. Use the drawdown chart below to compare losses from any high point for ESGU and DFAC.

Drawdown Indicators

	ESGU	DFAC	Difference
Max Drawdown Largest peak-to-trough decline	-33.87%	-23.12%	-10.75%
Max Drawdown (1Y) Largest decline over 1 year	-9.26%	-8.49%	-0.77%
Max Drawdown (3Y) Largest decline over 3 years	-19.32%	-20.02%	+0.70%
Max Drawdown (5Y) Largest decline over 5 years	-26.15%	—	—
Current Drawdown Current decline from peak	-0.79%	-0.67%	-0.12%
Average Drawdown Average peak-to-trough decline	-4.89%	-5.45%	+0.56%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.03%	1.91%	+0.12%

Volatility

ESGU vs. DFAC - Volatility Comparison

iShares ESG Aware MSCI USA ETF (ESGU) and Dimensional U.S. Core Equity 2 ETF (DFAC) have volatilities of 2.92% and 3.01%, 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

	ESGU	DFAC	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.92%	3.01%	-0.09%
Volatility (6M) Calculated over the trailing 6-month period	9.20%	8.96%	+0.24%
Volatility (1Y) Calculated over the trailing 1-year period	12.16%	12.15%	+0.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.32%	17.13%	+0.19%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.60%	17.13%	+1.47%

ESGU vs. DFAC - Expense Ratio Comparison

ESGU has a 0.15% expense ratio, which is lower than DFAC's 0.17% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

ESGU vs. DFAC - Dividend Comparison

ESGU's dividend yield for the trailing twelve months is around 0.92%, more than DFAC's 0.91% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
DFAC Dimensional U.S. Core Equity 2 ETF	0.91%	0.97%	1.03%	1.20%	1.50%	0.88%	0.00%	0.00%	0.00%	0.00%
ESGU iShares ESG Aware MSCI USA ETF	0.92%	0.99%	1.18%	1.43%	1.58%	1.06%	1.27%	1.32%	1.73%	1.82%

Frequently Asked Questions

Can I hold both ESGU and DFAC in my portfolio?

With a correlation of 0.95, ESGU and DFAC move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, ESGU or DFAC?

DFAC has higher volatility (3.01%) compared to ESGU (2.92%). In terms of maximum drawdown, ESGU dropped -33.87% vs DFAC's -23.12%.

Which ETF is better, ESGU or DFAC?

On 3-year performance, ESGU leads with 22.00% vs 20.56% for DFAC. On fees, ESGU is cheaper at 0.15% 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, ESGU or DFAC?

Over the 3-year period, ESGU has performed better with a 22.00% return vs 20.56%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ESGU or DFAC?

ESGU is cheaper with a 0.15% expense ratio, compared with 0.17% for DFAC.

Which ETF pays a higher dividend yield, ESGU or DFAC?

ESGU and DFAC have nearly identical dividend yields, around 0.92%.

What is the main difference between ESGU and DFAC?

They also come from different issuers: iShares and Dimensional. Their fees differ too: 0.15% for ESGU and 0.17% for DFAC.

Which has better risk-adjusted returns?

DFAC currently has the higher Sharpe Ratio (2.39 vs 2.30), 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.