FLAX vs. FLJH

Last updated Jun 4, 2026

FLAX (Franklin FTSE Asia ex Japan ETF) and FLJH (Franklin FTSE Japan Hedged ETF) are both exchange-traded funds - FLAX is a Asia Pacific Equities fund tracking the FTSE Asia ex Japan RIC Capped Index, while FLJH is a Japan Equities fund tracking the FTSE Japan RIC Capped Hedged to USD Net Tax Index. Both are passively managed. Over the past 5 years, FLAX returned 7.95%/yr vs 20.80%/yr for FLJH. At a 0.49 correlation, their price movements are largely independent. FLAX charges 0.19%/yr vs 0.09%/yr for FLJH.

Performance

FLAX vs. FLJH - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin FTSE Asia ex Japan ETF (FLAX) and Franklin FTSE Japan Hedged ETF (FLJH). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLAX achieves a 29.31% return, which is significantly higher than FLJH's 20.31% return.

FLAX

• 1D: -1.11%
• 1M: 10.05%
• YTD: 29.31%
• 6M: 32.11%
• 1Y: 58.93%
• 3Y*: 25.00%
• 5Y*: 7.95%
• 10Y*: —

FLJH

• 1D: 0.71%
• 1M: 8.59%
• YTD: 20.31%
• 6M: 18.71%
• 1Y: 46.83%
• 3Y*: 27.99%
• 5Y*: 20.80%
• 10Y*: —

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

FLAX vs. FLJH - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
FLAX Franklin FTSE Asia ex Japan ETF	29.31%	33.72%	9.82%	6.27%	-18.88%	-3.54%	24.17%	17.19%	-12.02%
FLJH Franklin FTSE Japan Hedged ETF	20.31%	25.26%	25.89%	36.02%	-2.75%	12.68%	10.65%	20.34%	-13.66%

Correlation

The correlation between FLAX and FLJH is 0.51, 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	0.51
Correlation (3Y) Calculated over the trailing 3-year period	0.44
Correlation (5Y) Calculated over the trailing 5-year period	0.49
Correlation (All Time) Calculated using the full available price history since Feb 9, 2018	0.49

The correlation between FLAX and FLJH has been stable across timeframes, ranging from 0.44 to 0.51 - a consistent structural relationship.

FLAX vs. FLJH - Sectors Allocation Comparison

Sectors	FLAX	FLJH
Technology	39.7%	17.4%
Financial Services	17.2%	15.9%
Consumer Cyclical	10.2%	12.8%
Industrials	9.2%	26.6%
Communication Services	6.5%	7.1%
Basic Materials	4.2%	4.3%
Healthcare	3.3%	5.9%
Energy	3.0%	1.0%
Consumer Defensive	2.8%	4.2%
Utilities	2.1%	1.3%
Real Estate	2.0%	3.4%

Return for Risk

FLAX vs. FLJH — Risk / Return Rank

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

FLAX

FLAX Risk / Return Rank: 87
FLAX Sharpe Ratio Rank: 90
FLAX Sortino Ratio Rank: 88
FLAX Omega Ratio Rank: 89
FLAX Calmar Ratio Rank: 84
FLAX Martin Ratio Rank: 86

FLJH

FLJH Risk / Return Rank: 80
FLJH Sharpe Ratio Rank: 79
FLJH Sortino Ratio Rank: 79
FLJH Omega Ratio Rank: 79
FLJH Calmar Ratio Rank: 82
FLJH Martin Ratio Rank: 83

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.

FLAX vs. FLJH - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin FTSE Asia ex Japan ETF (FLAX) and Franklin FTSE Japan Hedged ETF (FLJH). 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.

	FLAX	FLJH	Difference
Sharpe ratio: Return per unit of total volatility	3.11	2.62	+0.49
Sortino ratio: Return per unit of downside risk	4.06	3.61	+0.45
Omega ratio: Gain probability vs. loss probability	1.57	1.48	+0.09
Calmar ratio: Return relative to maximum drawdown	4.56	4.36	+0.20
Martin ratio: Return relative to average drawdown	17.96	17.09	+0.88
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FLAX vs. FLJH - Sharpe Ratio Comparison

The current FLAX Sharpe Ratio is 3.11, which is comparable to the FLJH Sharpe Ratio of 2.62. The chart below compares the historical Sharpe Ratios of FLAX and FLJH, 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

	FLAX	FLJH	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.11	2.62	+0.49
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.42	1.13	-0.71
Sharpe Ratio (All Time) Calculated using the full available price history	0.44	0.75	-0.30

Drawdowns

FLAX vs. FLJH - Drawdown Comparison

The maximum FLAX drawdown since its inception was -42.51%, which is greater than FLJH's maximum drawdown of -31.51%. Use the drawdown chart below to compare losses from any high point for FLAX and FLJH.

Drawdown Indicators

	FLAX	FLJH	Difference
Max Drawdown Largest peak-to-trough decline	-42.51%	-31.51%	-11.00%
Max Drawdown (1Y) Largest decline over 1 year	-12.99%	-10.80%	-2.19%
Max Drawdown (3Y) Largest decline over 3 years	-19.29%	-20.39%	+1.10%
Max Drawdown (5Y) Largest decline over 5 years	-38.75%	-20.39%	-18.36%
Current Drawdown Current decline from peak	-1.11%	0.00%	-1.11%
Average Drawdown Average peak-to-trough decline	-15.41%	-5.32%	-10.09%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.29%	2.75%	+0.54%

Volatility

FLAX vs. FLJH - Volatility Comparison

Franklin FTSE Asia ex Japan ETF (FLAX) has a higher volatility of 8.58% compared to Franklin FTSE Japan Hedged ETF (FLJH) at 3.45%. This indicates that FLAX's price experiences larger fluctuations and is considered to be riskier than FLJH based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLAX	FLJH	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.58%	3.45%	+5.13%
Volatility (6M) Calculated over the trailing 6-month period	16.54%	13.38%	+3.16%
Volatility (1Y) Calculated over the trailing 1-year period	19.07%	17.98%	+1.09%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.02%	18.51%	+0.51%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.93%	19.82%	+0.11%

FLAX vs. FLJH - Expense Ratio Comparison

FLAX has a 0.19% expense ratio, which is higher than FLJH's 0.09% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

FLAX vs. FLJH - Dividend Comparison

FLAX's dividend yield for the trailing twelve months is around 1.83%, less than FLJH's 3.24% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
FLAX Franklin FTSE Asia ex Japan ETF	1.83%	2.37%	3.12%	2.20%	2.86%	2.38%	1.57%	2.23%	2.35%	0.00%
FLJH Franklin FTSE Japan Hedged ETF	3.24%	3.90%	5.06%	25.59%	26.67%	1.29%	0.00%	0.00%	5.92%	0.10%

Frequently Asked Questions

Can I hold both FLAX and FLJH in my portfolio?

FLAX and FLJH have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FLAX or FLJH?

FLAX has higher volatility (8.58%) compared to FLJH (3.45%). In terms of maximum drawdown, FLAX dropped -42.51% vs FLJH's -31.51%.

Which ETF is better, FLAX or FLJH?

On 5-year performance, FLJH leads with 20.80% vs 7.95% for FLAX. On fees, FLJH is cheaper at 0.09% per year. On volatility, FLJH has been the lower-risk option at 3.45%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLAX or FLJH?

Over the 5-year period, FLJH has performed better with a 20.80% return vs 7.95%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLAX or FLJH?

FLJH is cheaper with a 0.09% expense ratio, compared with 0.19% for FLAX.

Which ETF pays a higher dividend yield, FLAX or FLJH?

FLJH has the higher dividend yield at 3.24%, compared with 1.83% for FLAX.

What is the main difference between FLAX and FLJH?

FLAX is categorized as Asia Pacific Equities, while FLJH is Japan Equities. FLAX tracks FTSE Asia ex Japan RIC Capped Index, while FLJH tracks FTSE Japan RIC Capped Hedged to USD Net Tax Index. Their fees differ too: 0.19% for FLAX and 0.09% for FLJH.

Which has better risk-adjusted returns?

FLAX currently has the higher Sharpe Ratio (3.11 vs 2.62), 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.