FEUS vs. FEDM

Last updated Jun 24, 2026

FEUS (FlexShares ESG & Climate US Large Cap Core Index Fund) and FEDM (FlexShares ESG & Climate Developed Markets ex-US Core Index Fund) are both exchange-traded funds - FEUS is a Large Cap Blend Equities fund tracking the Northern Trust ESG & Climate US Large Cap Core Index - Benchmark TR Gross, while FEDM is a Foreign Large Cap Equities fund tracking the Northern Trust ESG & Climate Developed Markets ex-US Core Index - Benchmark TR Net. Both are passively managed. Over the past 3 years, FEUS returned 18.61%/yr vs 14.16%/yr for FEDM. A 0.74 correlation means they provide meaningful diversification when combined. FEUS charges 0.09%/yr vs 0.12%/yr for FEDM.

Performance

FEUS vs. FEDM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares ESG & Climate US Large Cap Core Index Fund (FEUS) and FlexShares ESG & Climate Developed Markets ex-US Core Index Fund (FEDM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FEUS achieves a 7.39% return, which is significantly higher than FEDM's 5.75% return.

FEUS

• 1D: -1.00%
• 1M: -1.59%
• YTD: 7.39%
• 6M: 6.58%
• 1Y: 22.36%
• 3Y*: 18.61%
• 5Y*: —
• 10Y*: —

FEDM

• 1D: -1.34%
• 1M: 0.07%
• YTD: 5.75%
• 6M: 5.44%
• 1Y: 17.29%
• 3Y*: 14.16%
• 5Y*: —
• 10Y*: —

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

FEUS vs. FEDM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
FEUS FlexShares ESG & Climate US Large Cap Core Index Fund	7.39%	14.67%	23.10%	25.54%	-19.10%	9.37%
FEDM FlexShares ESG & Climate Developed Markets ex-US Core Index Fund	5.75%	26.85%	2.85%	17.39%	-15.25%	1.50%

Correlation

The correlation between FEUS and FEDM is 0.68, 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	0.68
Correlation (3Y) Calculated over the trailing 3-year period	0.68
Correlation (All Time) Calculated using the full available price history since Sep 21, 2021	0.74

The correlation between FEUS and FEDM has been stable across timeframes, ranging from 0.68 to 0.74 - a consistent structural relationship.

FEUS vs. FEDM - Sectors Allocation Comparison

Sectors	FEUS	FEDM
Technology	39.0%	11.9%
Financial Services	11.2%	27.0%
Communication Services	10.4%	5.0%
Consumer Cyclical	10.4%	5.8%
Healthcare	8.2%	9.8%
Industrials	8.0%	17.3%
Consumer Defensive	4.2%	6.9%
Energy	3.4%	5.4%
Real Estate	2.0%	1.7%
Utilities	1.7%	3.3%
Basic Materials	1.5%	6.0%

Return for Risk

FEUS vs. FEDM — Risk / Return Rank

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

FEUS

FEUS Risk / Return Rank: 56
FEUS Sharpe Ratio Rank: 58
FEUS Sortino Ratio Rank: 56
FEUS Omega Ratio Rank: 56
FEUS Calmar Ratio Rank: 52
FEUS Martin Ratio Rank: 59

FEDM

FEDM Risk / Return Rank: 32
FEDM Sharpe Ratio Rank: 31
FEDM Sortino Ratio Rank: 31
FEDM Omega Ratio Rank: 30
FEDM Calmar Ratio Rank: 31
FEDM Martin Ratio Rank: 36

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.

FEUS vs. FEDM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares ESG & Climate US Large Cap Core Index Fund (FEUS) and FlexShares ESG & Climate Developed Markets ex-US Core Index Fund (FEDM). 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.

	FEUS	FEDM	Difference
Sharpe ratio: Return per unit of total volatility	1.79	1.05	+0.74
Sortino ratio: Return per unit of downside risk	2.46	1.59	+0.87
Omega ratio: Gain probability vs. loss probability	1.32	1.20	+0.12
Calmar ratio: Return relative to maximum drawdown	2.35	1.46	+0.90
Martin ratio: Return relative to average drawdown	9.70	5.22	+4.48

FEUS vs. FEDM - Sharpe Ratio Comparison

The current FEUS Sharpe Ratio is 1.79, which is higher than the FEDM Sharpe Ratio of 1.05. The chart below compares the historical Sharpe Ratios of FEUS and FEDM, 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

FEUS vs. FEDM - Drawdown Comparison

The maximum FEUS drawdown since its inception was -25.31%, smaller than the maximum FEDM drawdown of -29.37%. Use the drawdown chart below to compare losses from any high point for FEUS and FEDM.

Drawdown Indicators

	FEUS	FEDM	Difference
Max Drawdown Largest peak-to-trough decline	-25.31%	-29.37%	+4.06%
Max Drawdown (1Y) Largest decline over 1 year	-9.55%	-11.92%	+2.37%
Max Drawdown (3Y) Largest decline over 3 years	-19.47%	-14.24%	-5.23%
Current Drawdown Current decline from peak	-3.37%	-2.27%	-1.10%
Average Drawdown Average peak-to-trough decline	-6.31%	-6.93%	+0.62%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.31%	3.32%	-1.01%

Volatility

FEUS vs. FEDM - Volatility Comparison

FlexShares ESG & Climate US Large Cap Core Index Fund (FEUS) and FlexShares ESG & Climate Developed Markets ex-US Core Index Fund (FEDM) have volatilities of 4.55% and 4.60%, 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

	FEUS	FEDM	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.55%	4.60%	-0.05%
Volatility (6M) Calculated over the trailing 6-month period	9.97%	12.99%	-3.02%
Volatility (1Y) Calculated over the trailing 1-year period	12.54%	16.49%	-3.95%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.03%	16.48%	+0.55%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.03%	16.48%	+0.55%

FEUS vs. FEDM - Expense Ratio Comparison

FEUS has a 0.09% expense ratio, which is lower than FEDM's 0.12% 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

FEUS vs. FEDM - Dividend Comparison

FEUS's dividend yield for the trailing twelve months is around 1.01%, less than FEDM's 3.02% yield.

Position	TTM	2025	2024	2023	2022	2021
FEDM FlexShares ESG & Climate Developed Markets ex-US Core Index Fund	3.02%	2.97%	2.94%	2.61%	2.53%	0.62%
FEUS FlexShares ESG & Climate US Large Cap Core Index Fund	1.01%	1.06%	1.15%	1.41%	1.48%	0.36%

Frequently Asked Questions

Can I hold both FEUS and FEDM in my portfolio?

FEUS and FEDM have a correlation of 0.68, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FEUS or FEDM?

FEDM has higher volatility (4.60%) compared to FEUS (4.55%). In terms of maximum drawdown, FEUS dropped -25.31% vs FEDM's -29.37%.

Which ETF is better, FEUS or FEDM?

On 3-year performance, FEUS leads with 18.61% vs 14.16% for FEDM. On fees, FEUS is cheaper at 0.09% 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, FEUS or FEDM?

Over the 3-year period, FEUS has performed better with a 18.61% return vs 14.16%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FEUS or FEDM?

FEUS is cheaper with a 0.09% expense ratio, compared with 0.12% for FEDM.

Which ETF pays a higher dividend yield, FEUS or FEDM?

FEDM has the higher dividend yield at 3.02%, compared with 1.01% for FEUS.

What is the main difference between FEUS and FEDM?

FEUS is categorized as Large Cap Blend Equities, while FEDM is Foreign Large Cap Equities. FEUS tracks Northern Trust ESG & Climate US Large Cap Core Index - Benchmark TR Gross, while FEDM tracks Northern Trust ESG & Climate Developed Markets ex-US Core Index - Benchmark TR Net. Their fees differ too: 0.09% for FEUS and 0.12% for FEDM.

Which has better risk-adjusted returns?

FEUS currently has the higher Sharpe Ratio (1.79 vs 1.05), 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.