FESM vs. FETH

Last updated Aug 4, 2026

FESM (Fidelity Enhanced Small Cap Core ETF) and FETH (Fidelity Ethereum Fund) are both exchange-traded funds - FESM is a Small Cap Blend Equities fund actively managed by Fidelity, while FETH is a Cryptocurrency fund tracking the Fidelity Ethereum Reference Rate Index. FESM is actively managed, while FETH is passively managed. Over the past year, FESM returned 49.21% vs -46.78% for FETH. Their 0.48 correlation means their historical movements had little consistent relationship. FESM charges 0.28%/yr vs 0.25%/yr for FETH.

Performance

FESM vs. FETH - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Enhanced Small Cap Core ETF (FESM) and Fidelity Ethereum Fund (FETH). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FESM achieves a 26.24% return, which is significantly higher than FETH's -37.15% return.

FESM

• 1D: 1.78%
• 1M: -0.27%
• 6M: 18.99%
• YTD: 26.24%
• 1Y: 49.21%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 27.76%

FETH

• 1D: 0.16%
• 1M: 9.86%
• 6M: -19.58%
• YTD: -37.15%
• 1Y: -46.78%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: -26.81%

*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)
FESM Fidelity Enhanced Small Cap Core ETF	$40.01M	$45.20M	$35.87M
FETH Fidelity Ethereum Fund	$29.41M	$29.69M	$35.01M

FESM vs. FETH - Yearly Performance Comparison

	2026 (YTD)	2025	2024
FESM Fidelity Enhanced Small Cap Core ETF	26.24%	17.88%	3.59%
FETH Fidelity Ethereum Fund	-37.15%	-11.37%	-4.68%

Correlation

The correlation between FESM and FETH is 0.47, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.47
Correlation (All Time) Calculated using the full available price history since Jul 23, 2024	0.48

Return for Risk

FESM vs. FETH — Risk / Return Rank

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

FESM

FESM Risk / Return Rank: 93
FESM Sharpe Ratio Rank: 93
FESM Sortino Ratio Rank: 93
FESM Omega Ratio Rank: 90
FESM Calmar Ratio Rank: 94
FESM Martin Ratio Rank: 93

FETH

FETH Risk / Return Rank: 4
FETH Sharpe Ratio Rank: 3
FETH Sortino Ratio Rank: 4
FETH Omega Ratio Rank: 4
FETH Calmar Ratio Rank: 4
FETH Martin Ratio Rank: 5

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.

FESM vs. FETH - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Enhanced Small Cap Core ETF (FESM) and Fidelity Ethereum Fund (FETH). 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.

	FESM	FETH	Difference
Sharpe ratio: Return per unit of total volatility	2.58	-0.70	+3.28
Sortino ratio: Return per unit of downside risk	3.49	-0.85	+4.34
Omega ratio: Gain probability vs. loss probability	1.42	0.91	+0.52
Calmar ratio: Return relative to maximum drawdown	4.86	-0.69	+5.55
Martin ratio: Return relative to average drawdown	17.17	-1.03	+18.20

FESM vs. FETH - Sharpe Ratio Comparison

The current FESM Sharpe Ratio is 2.58, which is higher than the FETH Sharpe Ratio of -0.70. The chart below compares the historical Sharpe Ratios of FESM and FETH, 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

FESM vs. FETH - Drawdown Comparison

The maximum FESM drawdown since its inception was -26.93%, smaller than the maximum FETH drawdown of -67.94%. Use the drawdown chart below to compare losses from any high point for FESM and FETH.

Drawdown Indicators

	FESM	FETH	Difference
Max Drawdown Largest peak-to-trough decline	-26.93%	-67.94%	+41.01%
Max Drawdown (1Y) Largest decline over 1 year	-10.18%	-67.94%	+57.76%
Current Drawdown Current decline from peak	-1.72%	-61.55%	+59.83%
Average Drawdown Average peak-to-trough decline	-4.59%	-35.30%	+30.71%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.87%	45.61%	-42.74%

Volatility

FESM vs. FETH - Volatility Comparison

The current volatility for Fidelity Enhanced Small Cap Core ETF (FESM) is 4.32%, while Fidelity Ethereum Fund (FETH) has a volatility of 12.28%. This indicates that FESM experiences smaller price fluctuations and is considered to be less risky than FETH based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FESM	FETH	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.32%	12.28%	-7.96%
Volatility (6M) Calculated over the trailing 6-month period	14.09%	45.60%	-31.51%
Volatility (1Y) Calculated over the trailing 1-year period	19.24%	67.10%	-47.86%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.07%	71.16%	-50.09%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.07%	71.16%	-50.09%

FESM vs. FETH - Expense Ratio Comparison

FESM has a 0.28% expense ratio, which is higher than FETH's 0.25% expense ratio.

Dividends

FESM vs. FETH - Dividend Comparison

FESM's dividend yield for the trailing twelve months is around 0.72%, while FETH has not paid dividends to shareholders.

Position	TTM	2025	2024	2023
FESM Fidelity Enhanced Small Cap Core ETF	0.72%	0.82%	1.08%	0.06%
FETH Fidelity Ethereum Fund	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FESM and FETH in my portfolio?

FESM and FETH have a correlation of 0.47, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FESM or FETH?

FETH has higher volatility (12.28%) compared to FESM (4.32%). In terms of maximum drawdown, FESM dropped -26.93% vs FETH's -67.94%.

Which ETF is better, FESM or FETH?

On 1-year performance, FESM leads with 49.21% vs -46.78% for FETH. On fees, FETH is cheaper at 0.25% per year. On volatility, FESM has been the lower-risk option at 4.32%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FESM or FETH?

Over the 1-year period, FESM has performed better with a 49.21% return vs -46.78%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FESM or FETH?

FETH is cheaper with a 0.25% expense ratio, compared with 0.28% for FESM.

Which ETF pays a higher dividend yield, FESM or FETH?

FESM has the higher dividend yield at 0.72%, compared with 0.00% for FETH.

What is the main difference between FESM and FETH?

FESM is categorized as Small Cap Blend Equities, while FETH is Cryptocurrency. Their fees differ too: 0.28% for FESM and 0.25% for FETH.

Which has better risk-adjusted returns?

FESM currently has the higher Sharpe Ratio (2.58 vs -0.70), 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.