FLEH vs. IEUR

Last updated Jun 4, 2026

FLEH (Franklin FTSE Europe Hedged ETF) and IEUR (iShares Core MSCI Europe ETF) are both Europe Equities funds - FLEH tracks the FTSE Developed Europe RIC Capped Index while IEUR tracks the MSCI Europe Investable Market Index. Both are passively managed. Over the past 5 years, FLEH returned 11.81%/yr vs 8.03%/yr for IEUR. Their correlation of 0.82 suggests significant overlap in exposure. Both charge a 0.09% expense ratio.

Performance

FLEH vs. IEUR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin FTSE Europe Hedged ETF (FLEH) and iShares Core MSCI Europe ETF (IEUR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLEH achieves a 6.27% return, which is significantly higher than IEUR's 5.64% return.

FLEH

• 1D: -0.88%
• 1M: 4.88%
• YTD: 6.27%
• 6M: 9.17%
• 1Y: 18.35%
• 3Y*: 16.47%
• 5Y*: 11.81%
• 10Y*: —

IEUR

• 1D: -1.20%
• 1M: 2.77%
• YTD: 5.64%
• 6M: 8.52%
• 1Y: 17.47%
• 3Y*: 16.09%
• 5Y*: 8.03%
• 10Y*: 9.15%

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

FLEH vs. IEUR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FLEH Franklin FTSE Europe Hedged ETF	6.27%	41.56%	2.26%	16.21%	-9.14%	23.27%	0.95%	26.94%	-8.54%	-1.24%
IEUR iShares Core MSCI Europe ETF	5.64%	35.67%	1.40%	19.71%	-15.90%	16.71%	5.31%	24.95%	-14.86%	1.33%

Correlation

The correlation between FLEH and IEUR is 0.96 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.96
Correlation (3Y) Calculated over the trailing 3-year period	0.94
Correlation (5Y) Calculated over the trailing 5-year period	0.91
Correlation (All Time) Calculated using the full available price history since Nov 7, 2017	0.82

The correlation between FLEH and IEUR shifts across timeframes, from 0.82 (all time) to 0.96 (1 year), reflecting how their relationship changes across market environments.

FLEH vs. IEUR - Sectors Allocation Comparison

Sectors	FLEH	IEUR
Financial Services	16.0%	22.5%
Industrials	15.3%	20.4%
Healthcare	14.8%	12.5%
Consumer Defensive	12.1%	8.0%
Consumer Cyclical	10.8%	6.9%
Technology	7.5%	8.4%
Basic Materials	6.8%	5.8%
Energy	5.5%	5.3%
Utilities	4.0%	4.8%
Communication Services	3.4%	3.8%
Real Estate	1.3%	1.6%

Return for Risk

FLEH vs. IEUR — Risk / Return Rank

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

FLEH

FLEH Risk / Return Rank: 30
FLEH Sharpe Ratio Rank: 30
FLEH Sortino Ratio Rank: 30
FLEH Omega Ratio Rank: 30
FLEH Calmar Ratio Rank: 28
FLEH Martin Ratio Rank: 33

IEUR

IEUR Risk / Return Rank: 31
IEUR Sharpe Ratio Rank: 31
IEUR Sortino Ratio Rank: 31
IEUR Omega Ratio Rank: 30
IEUR Calmar Ratio Rank: 29
IEUR Martin Ratio Rank: 35

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.

FLEH vs. IEUR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin FTSE Europe Hedged ETF (FLEH) and iShares Core MSCI Europe ETF (IEUR). 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.

	FLEH	IEUR	Difference
Sharpe ratio: Return per unit of total volatility	1.08	1.15	-0.06
Sortino ratio: Return per unit of downside risk	1.62	1.69	-0.07
Omega ratio: Gain probability vs. loss probability	1.20	1.21	0.00
Calmar ratio: Return relative to maximum drawdown	1.37	1.46	-0.08
Martin ratio: Return relative to average drawdown	4.99	5.47	-0.48
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FLEH vs. IEUR - Sharpe Ratio Comparison

The current FLEH Sharpe Ratio is 1.08, which is comparable to the IEUR Sharpe Ratio of 1.15. The chart below compares the historical Sharpe Ratios of FLEH and IEUR, 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

	FLEH	IEUR	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.08	1.15	-0.06
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.73	0.46	+0.27
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.49	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.57	0.35	+0.22

Drawdowns

FLEH vs. IEUR - Drawdown Comparison

The maximum FLEH drawdown since its inception was -33.94%, smaller than the maximum IEUR drawdown of -36.96%. Use the drawdown chart below to compare losses from any high point for FLEH and IEUR.

Drawdown Indicators

	FLEH	IEUR	Difference
Max Drawdown Largest peak-to-trough decline	-33.94%	-36.96%	+3.02%
Max Drawdown (1Y) Largest decline over 1 year	-13.41%	-12.04%	-1.37%
Max Drawdown (3Y) Largest decline over 3 years	-15.67%	-14.25%	-1.42%
Max Drawdown (5Y) Largest decline over 5 years	-18.67%	-32.75%	+14.08%
Max Drawdown (10Y) Largest decline over 10 years	—	-36.96%	—
Current Drawdown Current decline from peak	-1.50%	-2.31%	+0.81%
Average Drawdown Average peak-to-trough decline	-4.71%	-8.23%	+3.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.68%	3.20%	+0.48%

Volatility

FLEH vs. IEUR - Volatility Comparison

Franklin FTSE Europe Hedged ETF (FLEH) has a higher volatility of 6.75% compared to iShares Core MSCI Europe ETF (IEUR) at 5.60%. This indicates that FLEH's price experiences larger fluctuations and is considered to be riskier than IEUR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLEH	IEUR	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.75%	5.60%	+1.15%
Volatility (6M) Calculated over the trailing 6-month period	14.38%	12.75%	+1.63%
Volatility (1Y) Calculated over the trailing 1-year period	17.02%	15.32%	+1.70%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.34%	17.73%	-1.39%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.25%	18.68%	-0.43%

FLEH vs. IEUR - Expense Ratio Comparison

Both FLEH and IEUR have an expense ratio of 0.09%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

FLEH vs. IEUR - Dividend Comparison

FLEH's dividend yield for the trailing twelve months is around 2.09%, less than IEUR's 2.81% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FLEH Franklin FTSE Europe Hedged ETF	2.09%	2.22%	3.18%	3.25%	21.45%	3.03%	1.94%	6.06%	12.17%	0.07%	0.00%	0.00%
IEUR iShares Core MSCI Europe ETF	2.81%	2.97%	3.54%	3.17%	3.05%	2.88%	2.13%	3.26%	3.76%	2.64%	3.19%	2.79%

Frequently Asked Questions

Can I hold both FLEH and IEUR in my portfolio?

With a correlation of 0.96, FLEH and IEUR 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, FLEH or IEUR?

FLEH has higher volatility (6.75%) compared to IEUR (5.60%). In terms of maximum drawdown, FLEH dropped -33.94% vs IEUR's -36.96%.

Which ETF is better, FLEH or IEUR?

On 5-year performance, FLEH leads with 11.81% vs 8.03% for IEUR. Both ETFs have the same 0.09% expense ratio. On volatility, IEUR has been the lower-risk option at 5.60%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLEH or IEUR?

Over the 5-year period, FLEH has performed better with a 11.81% return vs 8.03%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLEH or IEUR?

FLEH and IEUR have the same expense ratio: 0.09% per year.

Which ETF pays a higher dividend yield, FLEH or IEUR?

IEUR has the higher dividend yield at 2.81%, compared with 2.09% for FLEH.

What is the main difference between FLEH and IEUR?

FLEH tracks FTSE Developed Europe RIC Capped Index, while IEUR tracks MSCI Europe Investable Market Index. They also come from different issuers: Franklin Templeton and iShares.

Which has better risk-adjusted returns?

IEUR currently has the higher Sharpe Ratio (1.15 vs 1.08), 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.