ESN vs. USPX

Last updated Aug 4, 2026

ESN (Essential 40 Stock ETF) and USPX (Franklin U.S. Equity Index ETF) are both Large Cap Blend Equities funds - ESN tracks the Essential 40 Stock Index while USPX tracks the Morningstar US Target Market Exposure Index. Both are passively managed. Over the past year, ESN returned 28.79% vs 22.58% for USPX. Their 0.76 correlation means they have sometimes moved together and sometimes differently. ESN charges 0.70%/yr vs 0.03%/yr for USPX.

Performance

ESN vs. USPX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Essential 40 Stock ETF (ESN) and Franklin U.S. Equity Index ETF (USPX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ESN achieves a 17.69% return, which is significantly higher than USPX's 11.39% return.

ESN

• 1D: 0.90%
• 1M: 0.63%
• 6M: 12.36%
• YTD: 17.69%
• 1Y: 28.79%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 17.00%

USPX

• 1D: 1.57%
• 1M: 1.59%
• 6M: 9.42%
• YTD: 11.39%
• 1Y: 22.58%
• 3Y*: 20.76%
• 5Y*: 11.91%
• 10Y*: 12.33%
• ALL TIME*: 12.60%

*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)
ESN Essential 40 Stock ETF	$2.27M	$1.62M	$1.62M
USPX Franklin U.S. Equity Index ETF	$3.21M	$2.97M	$3.76M

ESN vs. USPX - Yearly Performance Comparison

	2026 (YTD)	2025	2024
ESN Essential 40 Stock ETF	17.69%	16.52%	-3.53%
USPX Franklin U.S. Equity Index ETF	11.39%	17.78%	0.65%

Correlation

The correlation between ESN and USPX is 0.73, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.73
Correlation (All Time) Calculated using the full available price history since Oct 21, 2024	0.76

The correlation between ESN and USPX has been stable across timeframes, ranging from 0.73 to 0.76 - a consistent structural relationship.

Return for Risk

ESN vs. USPX — Risk / Return Rank

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

ESN

ESN Risk / Return Rank: 94
ESN Sharpe Ratio Rank: 95
ESN Sortino Ratio Rank: 94
ESN Omega Ratio Rank: 93
ESN Calmar Ratio Rank: 92
ESN Martin Ratio Rank: 93

USPX

USPX Risk / Return Rank: 72
USPX Sharpe Ratio Rank: 73
USPX Sortino Ratio Rank: 71
USPX Omega Ratio Rank: 71
USPX Calmar Ratio Rank: 68
USPX Martin Ratio Rank: 77

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.

ESN vs. USPX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Essential 40 Stock ETF (ESN) and Franklin U.S. Equity Index ETF (USPX). 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.

	ESN	USPX	Difference
Sharpe ratio: Return per unit of total volatility	2.91	1.75	+1.16
Sortino ratio: Return per unit of downside risk	4.00	2.42	+1.57
Omega ratio: Gain probability vs. loss probability	1.51	1.31	+0.20
Calmar ratio: Return relative to maximum drawdown	4.50	2.48	+2.02
Martin ratio: Return relative to average drawdown	18.06	10.39	+7.67

ESN vs. USPX - Sharpe Ratio Comparison

The current ESN Sharpe Ratio is 2.91, which is higher than the USPX Sharpe Ratio of 1.75. The chart below compares the historical Sharpe Ratios of ESN and USPX, 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

ESN vs. USPX - Drawdown Comparison

The maximum ESN drawdown since its inception was -13.60%, smaller than the maximum USPX drawdown of -31.21%. Use the drawdown chart below to compare losses from any high point for ESN and USPX.

Drawdown Indicators

	ESN	USPX	Difference
Max Drawdown Largest peak-to-trough decline	-13.60%	-31.21%	+17.61%
Max Drawdown (1Y) Largest decline over 1 year	-6.42%	-9.15%	+2.73%
Max Drawdown (3Y) Largest decline over 3 years	—	-19.21%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-24.60%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-31.21%	—
Current Drawdown Current decline from peak	0.00%	-0.08%	+0.08%
Average Drawdown Average peak-to-trough decline	-1.80%	-4.40%	+2.60%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.60%	2.18%	-0.58%

Volatility

ESN vs. USPX - Volatility Comparison

The current volatility for Essential 40 Stock ETF (ESN) is 2.69%, while Franklin U.S. Equity Index ETF (USPX) has a volatility of 3.73%. This indicates that ESN experiences smaller price fluctuations and is considered to be less risky than USPX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ESN	USPX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.69%	3.73%	-1.04%
Volatility (6M) Calculated over the trailing 6-month period	7.51%	10.32%	-2.81%
Volatility (1Y) Calculated over the trailing 1-year period	9.97%	13.01%	-3.04%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.04%	16.32%	-3.28%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.04%	15.98%	-2.94%

ESN vs. USPX - Expense Ratio Comparison

ESN has a 0.70% expense ratio, which is higher than USPX's 0.03% expense ratio.

Dividends

ESN vs. USPX - Dividend Comparison

ESN's dividend yield for the trailing twelve months is around 0.77%, less than USPX's 1.08% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
ESN Essential 40 Stock ETF	0.77%	0.91%	0.76%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
USPX Franklin U.S. Equity Index ETF	1.08%	1.07%	1.23%	1.35%	2.21%	2.40%	2.51%	3.07%	2.91%	2.60%	4.89%

Frequently Asked Questions

Can I hold both ESN and USPX in my portfolio?

ESN and USPX 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, ESN or USPX?

USPX has higher volatility (3.73%) compared to ESN (2.69%). In terms of maximum drawdown, ESN dropped -13.60% vs USPX's -31.21%.

Which ETF is better, ESN or USPX?

On 1-year performance, ESN leads with 28.79% vs 22.58% for USPX. On fees, USPX is cheaper at 0.03% per year. On volatility, ESN has been the lower-risk option at 2.69%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ESN or USPX?

Over the 1-year period, ESN has performed better with a 28.79% return vs 22.58%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ESN or USPX?

USPX is cheaper with a 0.03% expense ratio, compared with 0.70% for ESN.

Which ETF pays a higher dividend yield, ESN or USPX?

USPX has the higher dividend yield at 1.08%, compared with 0.77% for ESN.

What is the main difference between ESN and USPX?

ESN tracks Essential 40 Stock Index, while USPX tracks Morningstar US Target Market Exposure Index. They also come from different issuers: KKM and Franklin Templeton. Their fees differ too: 0.70% for ESN and 0.03% for USPX.

Which has better risk-adjusted returns?

ESN currently has the higher Sharpe Ratio (2.91 vs 1.75), 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.