FLCH vs. CXSE

Last updated Jun 24, 2026

FLCH (Franklin FTSE China ETF) and CXSE (WisdomTree China ex-State-Owned Enterprises Fund) are both China Equities funds - FLCH tracks the FTSE China RIC Capped Index while CXSE tracks the WisdomTree China ex-State-Owned Enterprises Index. Both are passively managed. Over the past 5 years, FLCH returned -5.91%/yr vs -8.91%/yr for CXSE. With a 0.96 correlation, they move nearly in lockstep. FLCH charges 0.19%/yr vs 0.32%/yr for CXSE.

Performance

FLCH vs. CXSE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin FTSE China ETF (FLCH) and WisdomTree China ex-State-Owned Enterprises Fund (CXSE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLCH achieves a -12.17% return, which is significantly lower than CXSE's -3.88% return.

FLCH

• 1D: -1.88%
• 1M: -5.67%
• YTD: -12.17%
• 6M: -12.94%
• 1Y: -0.05%
• 3Y*: 8.98%
• 5Y*: -5.91%
• 10Y*: —

CXSE

• 1D: -2.89%
• 1M: -2.86%
• YTD: -3.88%
• 6M: -5.63%
• 1Y: 16.48%
• 3Y*: 10.13%
• 5Y*: -8.91%
• 10Y*: 7.05%

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

FLCH vs. CXSE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FLCH Franklin FTSE China ETF	-12.17%	32.55%	18.00%	-11.21%	-22.74%	-20.87%	30.09%	24.32%	-19.52%	1.51%
CXSE WisdomTree China ex-State-Owned Enterprises Fund	-3.88%	37.00%	8.56%	-18.02%	-29.32%	-23.67%	59.39%	37.96%	-28.55%	4.66%

Correlation

The correlation between FLCH and CXSE is 0.92, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.92
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (5Y) Calculated over the trailing 5-year period	0.96
Correlation (All Time) Calculated using the full available price history since Nov 6, 2017	0.96

The correlation between FLCH and CXSE has been stable across timeframes, ranging from 0.92 to 0.96 - a consistent structural relationship.

FLCH vs. CXSE - Sectors Allocation Comparison

Sectors	FLCH	CXSE
Consumer Cyclical	25.5%	24.6%
Technology	16.8%	27.4%
Industrials	15.5%	12.7%
Financial Services	14.4%	6.2%
Energy	12.6%	0.4%
Basic Materials	6.0%	3.2%
Communication Services	2.1%	12.1%
Healthcare	2.1%	8.6%
Utilities	2.0%	0.2%
Real Estate	1.6%	0.8%
Consumer Defensive	1.2%	4.0%

Return for Risk

FLCH vs. CXSE — Risk / Return Rank

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

FLCH

FLCH Risk / Return Rank: 9
FLCH Sharpe Ratio Rank: 9
FLCH Sortino Ratio Rank: 8
FLCH Omega Ratio Rank: 8
FLCH Calmar Ratio Rank: 9
FLCH Martin Ratio Rank: 9

CXSE

CXSE Risk / Return Rank: 21
CXSE Sharpe Ratio Rank: 22
CXSE Sortino Ratio Rank: 22
CXSE Omega Ratio Rank: 22
CXSE Calmar Ratio Rank: 21
CXSE Martin Ratio Rank: 18

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.

FLCH vs. CXSE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin FTSE China ETF (FLCH) and WisdomTree China ex-State-Owned Enterprises Fund (CXSE). 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.

	FLCH	CXSE	Difference
Sharpe ratio: Return per unit of total volatility	-0.00	0.76	-0.76
Sortino ratio: Return per unit of downside risk	0.13	1.17	-1.04
Omega ratio: Gain probability vs. loss probability	1.02	1.15	-0.13
Calmar ratio: Return relative to maximum drawdown	-0.00	0.94	-0.94
Martin ratio: Return relative to average drawdown	-0.01	1.85	-1.86

FLCH vs. CXSE - Sharpe Ratio Comparison

The current FLCH Sharpe Ratio is -0.00, which is lower than the CXSE Sharpe Ratio of 0.76. The chart below compares the historical Sharpe Ratios of FLCH and CXSE, 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

FLCH vs. CXSE - Drawdown Comparison

The maximum FLCH drawdown since its inception was -62.09%, smaller than the maximum CXSE drawdown of -70.01%. Use the drawdown chart below to compare losses from any high point for FLCH and CXSE.

Drawdown Indicators

	FLCH	CXSE	Difference
Max Drawdown Largest peak-to-trough decline	-62.09%	-70.01%	+7.92%
Max Drawdown (1Y) Largest decline over 1 year	-19.59%	-17.70%	-1.89%
Max Drawdown (3Y) Largest decline over 3 years	-25.43%	-32.12%	+6.69%
Max Drawdown (5Y) Largest decline over 5 years	-55.78%	-64.47%	+8.69%
Max Drawdown (10Y) Largest decline over 10 years	—	-70.01%	—
Current Drawdown Current decline from peak	-38.09%	-48.58%	+10.49%
Average Drawdown Average peak-to-trough decline	-30.55%	-27.90%	-2.65%
Ulcer Index Depth and duration of drawdowns from previous peaks	8.32%	8.91%	-0.59%

Volatility

FLCH vs. CXSE - Volatility Comparison

The current volatility for Franklin FTSE China ETF (FLCH) is 5.65%, while WisdomTree China ex-State-Owned Enterprises Fund (CXSE) has a volatility of 7.45%. This indicates that FLCH experiences smaller price fluctuations and is considered to be less risky than CXSE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLCH	CXSE	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.65%	7.45%	-1.80%
Volatility (6M) Calculated over the trailing 6-month period	14.07%	15.60%	-1.53%
Volatility (1Y) Calculated over the trailing 1-year period	19.43%	21.87%	-2.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	29.63%	32.37%	-2.74%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	27.86%	28.74%	-0.88%

FLCH vs. CXSE - Expense Ratio Comparison

FLCH has a 0.19% expense ratio, which is lower than CXSE's 0.32% expense ratio.

Dividends

FLCH vs. CXSE - Dividend Comparison

FLCH's dividend yield for the trailing twelve months is around 1.77%, less than CXSE's 2.08% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CXSE WisdomTree China ex-State-Owned Enterprises Fund	2.08%	1.95%	1.70%	1.71%	1.55%	0.86%	0.54%	0.96%	1.49%	1.24%	1.39%	2.50%
FLCH Franklin FTSE China ETF	1.77%	2.36%	2.87%	3.47%	2.69%	1.48%	0.91%	1.98%	1.92%	0.01%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FLCH and CXSE in my portfolio?

With a correlation of 0.92, FLCH and CXSE move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, FLCH or CXSE?

CXSE has higher volatility (7.45%) compared to FLCH (5.65%). In terms of maximum drawdown, FLCH dropped -62.09% vs CXSE's -70.01%.

Which ETF is better, FLCH or CXSE?

On 5-year performance, FLCH leads with -5.91% vs -8.91% for CXSE. On fees, FLCH is cheaper at 0.19% per year. On volatility, FLCH has been the lower-risk option at 5.65%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLCH or CXSE?

Over the 5-year period, FLCH has performed better with a -5.91% return vs -8.91%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLCH or CXSE?

FLCH is cheaper with a 0.19% expense ratio, compared with 0.32% for CXSE.

Which ETF pays a higher dividend yield, FLCH or CXSE?

CXSE has the higher dividend yield at 2.08%, compared with 1.77% for FLCH.

What is the main difference between FLCH and CXSE?

FLCH tracks FTSE China RIC Capped Index, while CXSE tracks WisdomTree China ex-State-Owned Enterprises Index. They also come from different issuers: Franklin Templeton and WisdomTree. Their fees differ too: 0.19% for FLCH and 0.32% for CXSE.

Which has better risk-adjusted returns?

CXSE currently has the higher Sharpe Ratio (0.76 vs -0.00), 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.