FLAX vs. LVHI

Last updated Jun 4, 2026

FLAX (Franklin FTSE Asia ex Japan ETF) and LVHI (Legg Mason International Low Volatility High Dividend ETF) are both exchange-traded funds - FLAX is a Asia Pacific Equities fund tracking the FTSE Asia ex Japan RIC Capped Index, while LVHI is a Volatility Hedged Equity fund tracking the QS International Low Volatility High Dividend Hedged Index. Both are passively managed. Over the past 5 years, FLAX returned 7.95%/yr vs 15.80%/yr for LVHI. At a 0.47 correlation, their price movements are largely independent. FLAX charges 0.19%/yr vs 0.40%/yr for LVHI.

Performance

FLAX vs. LVHI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin FTSE Asia ex Japan ETF (FLAX) and Legg Mason International Low Volatility High Dividend ETF (LVHI). 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 LVHI's 11.71% return.

FLAX

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

LVHI

• 1D: -0.17%
• 1M: 1.49%
• YTD: 11.71%
• 6M: 13.79%
• 1Y: 29.95%
• 3Y*: 20.91%
• 5Y*: 15.80%
• 10Y*: —

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

FLAX vs. LVHI - 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%
LVHI Legg Mason International Low Volatility High Dividend ETF	11.71%	27.12%	14.81%	17.45%	3.84%	18.19%	-8.76%	18.35%	0.64%

Correlation

The correlation between FLAX and LVHI is 0.36, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.36
Correlation (3Y) Calculated over the trailing 3-year period	0.48
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	0.47

The correlation between FLAX and LVHI shifts across timeframes, from 0.36 (1 year) to 0.49 (5 years), reflecting how their relationship changes across market environments.

FLAX vs. LVHI - Sectors Allocation Comparison

Sectors	FLAX	LVHI
Technology	39.7%	0.1%
Financial Services	17.2%	23.6%
Consumer Cyclical	10.2%	5.3%
Industrials	9.2%	13.4%
Communication Services	6.5%	5.8%
Basic Materials	4.2%	6.1%
Healthcare	3.3%	7.4%
Energy	3.0%	17.4%
Consumer Defensive	2.8%	8.7%
Utilities	2.1%	10.4%
Real Estate	2.0%	1.9%

Return for Risk

FLAX vs. LVHI — 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

LVHI

LVHI Risk / Return Rank: 89
LVHI Sharpe Ratio Rank: 90
LVHI Sortino Ratio Rank: 91
LVHI Omega Ratio Rank: 90
LVHI Calmar Ratio Rank: 87
LVHI Martin Ratio Rank: 89

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. LVHI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin FTSE Asia ex Japan ETF (FLAX) and Legg Mason International Low Volatility High Dividend ETF (LVHI). 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	LVHI	Difference
Sharpe ratio: Return per unit of total volatility	3.11	3.19	-0.08
Sortino ratio: Return per unit of downside risk	4.06	4.37	-0.30
Omega ratio: Gain probability vs. loss probability	1.57	1.60	-0.03
Calmar ratio: Return relative to maximum drawdown	4.56	4.95	-0.39
Martin ratio: Return relative to average drawdown	17.96	20.63	-2.66
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. LVHI - Sharpe Ratio Comparison

The current FLAX Sharpe Ratio is 3.11, which is comparable to the LVHI Sharpe Ratio of 3.19. The chart below compares the historical Sharpe Ratios of FLAX and LVHI, 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	LVHI	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.11	3.19	-0.08
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.42	1.44	-1.02
Sharpe Ratio (All Time) Calculated using the full available price history	0.44	0.82	-0.37

Drawdowns

FLAX vs. LVHI - Drawdown Comparison

The maximum FLAX drawdown since its inception was -42.51%, which is greater than LVHI's maximum drawdown of -32.31%. Use the drawdown chart below to compare losses from any high point for FLAX and LVHI.

Drawdown Indicators

	FLAX	LVHI	Difference
Max Drawdown Largest peak-to-trough decline	-42.51%	-32.31%	-10.20%
Max Drawdown (1Y) Largest decline over 1 year	-12.99%	-6.08%	-6.91%
Max Drawdown (3Y) Largest decline over 3 years	-19.29%	-11.99%	-7.30%
Max Drawdown (5Y) Largest decline over 5 years	-38.75%	-11.99%	-26.76%
Current Drawdown Current decline from peak	-1.11%	-1.56%	+0.45%
Average Drawdown Average peak-to-trough decline	-15.41%	-3.52%	-11.89%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.29%	1.46%	+1.83%

Volatility

FLAX vs. LVHI - Volatility Comparison

Franklin FTSE Asia ex Japan ETF (FLAX) has a higher volatility of 8.58% compared to Legg Mason International Low Volatility High Dividend ETF (LVHI) at 3.05%. This indicates that FLAX's price experiences larger fluctuations and is considered to be riskier than LVHI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLAX	LVHI	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.58%	3.05%	+5.53%
Volatility (6M) Calculated over the trailing 6-month period	16.54%	7.50%	+9.04%
Volatility (1Y) Calculated over the trailing 1-year period	19.07%	9.45%	+9.62%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.02%	11.06%	+7.96%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.93%	13.76%	+6.17%

FLAX vs. LVHI - Expense Ratio Comparison

FLAX has a 0.19% expense ratio, which is lower than LVHI's 0.40% expense ratio.

Dividends

FLAX vs. LVHI - Dividend Comparison

FLAX's dividend yield for the trailing twelve months is around 1.83%, less than LVHI's 4.50% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
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%	0.00%
LVHI Legg Mason International Low Volatility High Dividend ETF	4.50%	4.92%	3.98%	8.12%	7.74%	4.13%	3.97%	6.67%	10.67%	3.38%	2.02%

Frequently Asked Questions

Can I hold both FLAX and LVHI in my portfolio?

FLAX and LVHI have a correlation of 0.36, 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 LVHI?

FLAX has higher volatility (8.58%) compared to LVHI (3.05%). In terms of maximum drawdown, FLAX dropped -42.51% vs LVHI's -32.31%.

Which ETF is better, FLAX or LVHI?

On 5-year performance, LVHI leads with 15.80% vs 7.95% for FLAX. On fees, FLAX is cheaper at 0.19% per year. On volatility, LVHI has been the lower-risk option at 3.05%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLAX or LVHI?

Over the 5-year period, LVHI has performed better with a 15.80% 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 LVHI?

FLAX is cheaper with a 0.19% expense ratio, compared with 0.40% for LVHI.

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

LVHI has the higher dividend yield at 4.50%, compared with 1.83% for FLAX.

What is the main difference between FLAX and LVHI?

FLAX is categorized as Asia Pacific Equities, while LVHI is Volatility Hedged Equity. FLAX tracks FTSE Asia ex Japan RIC Capped Index, while LVHI tracks QS International Low Volatility High Dividend Hedged Index. Their fees differ too: 0.19% for FLAX and 0.40% for LVHI.

Which has better risk-adjusted returns?

LVHI currently has the higher Sharpe Ratio (3.19 vs 3.11), 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.