FLGB vs. DFE

Last updated Jun 6, 2026

FLGB (Franklin FTSE United Kingdom ETF) and DFE (WisdomTree Europe SmallCap Dividend Fund) are both Europe Equities funds - FLGB tracks the FTSE UK RIC Capped Index while DFE tracks the WisdomTree Europe SmallCap Dividend Index. Both are passively managed. Over the past 5 years, FLGB returned 10.55%/yr vs 3.81%/yr for DFE. Their correlation of 0.80 suggests significant overlap in exposure. FLGB charges 0.09%/yr vs 0.58%/yr for DFE.

Performance

FLGB vs. DFE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin FTSE United Kingdom ETF (FLGB) and WisdomTree Europe SmallCap Dividend Fund (DFE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLGB achieves a 4.93% return, which is significantly higher than DFE's 4.00% return.

FLGB

• 1D: -1.10%
• 1M: -2.39%
• YTD: 4.93%
• 6M: 8.94%
• 1Y: 18.89%
• 3Y*: 17.48%
• 5Y*: 10.55%
• 10Y*: —

DFE

• 1D: -2.05%
• 1M: -3.48%
• YTD: 4.00%
• 6M: 7.13%
• 1Y: 11.86%
• 3Y*: 14.24%
• 5Y*: 3.81%
• 10Y*: 6.62%

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

FLGB vs. DFE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FLGB Franklin FTSE United Kingdom ETF	4.93%	33.73%	8.77%	14.33%	-6.00%	17.14%	-9.47%	23.23%	-11.60%	1.12%
DFE WisdomTree Europe SmallCap Dividend Fund	4.00%	32.85%	-0.61%	14.94%	-22.15%	18.44%	2.15%	27.15%	-21.23%	2.18%

Correlation

The correlation between FLGB and DFE is 0.81, 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	0.81
Correlation (3Y) Calculated over the trailing 3-year period	0.82
Correlation (5Y) Calculated over the trailing 5-year period	0.84
Correlation (All Time) Calculated using the full available price history since Nov 7, 2017	0.80

The correlation between FLGB and DFE has been stable across timeframes, ranging from 0.80 to 0.84 - a consistent structural relationship.

FLGB vs. DFE - Sectors Allocation Comparison

Sectors	FLGB	DFE
Financial Services	24.2%	9.7%
Industrials	14.2%	25.3%
Consumer Defensive	14.0%	4.3%
Healthcare	13.6%	3.5%
Energy	11.8%	6.9%
Basic Materials	8.6%	7.5%
Utilities	5.3%	3.5%
Consumer Cyclical	4.4%	9.5%
Communication Services	2.6%	5.5%
Real Estate	0.7%	6.3%
Technology	0.7%	7.1%

Return for Risk

FLGB vs. DFE — Risk / Return Rank

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

FLGB

FLGB Risk / Return Rank: 40
FLGB Sharpe Ratio Rank: 39
FLGB Sortino Ratio Rank: 39
FLGB Omega Ratio Rank: 38
FLGB Calmar Ratio Rank: 39
FLGB Martin Ratio Rank: 43

DFE

DFE Risk / Return Rank: 24
DFE Sharpe Ratio Rank: 24
DFE Sortino Ratio Rank: 24
DFE Omega Ratio Rank: 23
DFE Calmar Ratio Rank: 24
DFE Martin Ratio Rank: 27

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.

FLGB vs. DFE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin FTSE United Kingdom ETF (FLGB) and WisdomTree Europe SmallCap Dividend Fund (DFE). 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.

	FLGB	DFE	Difference
Sharpe ratio: Return per unit of total volatility	1.33	0.81	+0.52
Sortino ratio: Return per unit of downside risk	1.92	1.21	+0.71
Omega ratio: Gain probability vs. loss probability	1.24	1.15	+0.09
Calmar ratio: Return relative to maximum drawdown	1.85	1.04	+0.81
Martin ratio: Return relative to average drawdown	6.73	3.58	+3.16
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FLGB vs. DFE - Sharpe Ratio Comparison

The current FLGB Sharpe Ratio is 1.33, which is higher than the DFE Sharpe Ratio of 0.81. The chart below compares the historical Sharpe Ratios of FLGB and DFE, 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

	FLGB	DFE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.33	0.81	+0.52
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.64	0.20	+0.44
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.34	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.42	0.29	+0.13

Drawdowns

FLGB vs. DFE - Drawdown Comparison

The maximum FLGB drawdown since its inception was -42.61%, smaller than the maximum DFE drawdown of -69.38%. Use the drawdown chart below to compare losses from any high point for FLGB and DFE.

Drawdown Indicators

	FLGB	DFE	Difference
Max Drawdown Largest peak-to-trough decline	-42.61%	-69.38%	+26.77%
Max Drawdown (1Y) Largest decline over 1 year	-10.26%	-11.41%	+1.15%
Max Drawdown (3Y) Largest decline over 3 years	-13.13%	-16.41%	+3.28%
Max Drawdown (5Y) Largest decline over 5 years	-25.90%	-40.34%	+14.44%
Max Drawdown (10Y) Largest decline over 10 years	—	-49.66%	—
Current Drawdown Current decline from peak	-4.88%	-4.21%	-0.67%
Average Drawdown Average peak-to-trough decline	-6.69%	-17.73%	+11.04%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.81%	3.32%	-0.51%

Volatility

FLGB vs. DFE - Volatility Comparison

Franklin FTSE United Kingdom ETF (FLGB) has a higher volatility of 5.31% compared to WisdomTree Europe SmallCap Dividend Fund (DFE) at 4.89%. This indicates that FLGB's price experiences larger fluctuations and is considered to be riskier than DFE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLGB	DFE	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.31%	4.89%	+0.42%
Volatility (6M) Calculated over the trailing 6-month period	12.14%	12.17%	-0.03%
Volatility (1Y) Calculated over the trailing 1-year period	14.25%	14.74%	-0.49%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.63%	19.02%	-2.39%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.97%	19.78%	-0.81%

FLGB vs. DFE - Expense Ratio Comparison

FLGB has a 0.09% expense ratio, which is lower than DFE's 0.58% expense ratio.

Dividends

FLGB vs. DFE - Dividend Comparison

FLGB's dividend yield for the trailing twelve months is around 3.33%, less than DFE's 3.93% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFE WisdomTree Europe SmallCap Dividend Fund	3.93%	4.38%	4.93%	4.97%	5.84%	2.56%	2.43%	3.39%	4.97%	2.53%	4.05%	2.78%
FLGB Franklin FTSE United Kingdom ETF	3.33%	3.50%	4.42%	3.95%	4.23%	2.93%	2.67%	4.30%	3.92%	0.43%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FLGB and DFE in my portfolio?

FLGB and DFE have a correlation of 0.81, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FLGB or DFE?

FLGB has higher volatility (5.31%) compared to DFE (4.89%). In terms of maximum drawdown, FLGB dropped -42.61% vs DFE's -69.38%.

Which ETF is better, FLGB or DFE?

On 5-year performance, FLGB leads with 10.55% vs 3.81% for DFE. On fees, FLGB is cheaper at 0.09% per year. On volatility, DFE has been the lower-risk option at 4.89%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLGB or DFE?

Over the 5-year period, FLGB has performed better with a 10.55% return vs 3.81%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLGB or DFE?

FLGB is cheaper with a 0.09% expense ratio, compared with 0.58% for DFE.

Which ETF pays a higher dividend yield, FLGB or DFE?

DFE has the higher dividend yield at 3.93%, compared with 3.33% for FLGB.

What is the main difference between FLGB and DFE?

FLGB tracks FTSE UK RIC Capped Index, while DFE tracks WisdomTree Europe SmallCap Dividend Index. They also come from different issuers: Franklin Templeton and WisdomTree. Their fees differ too: 0.09% for FLGB and 0.58% for DFE.

Which has better risk-adjusted returns?

FLGB currently has the higher Sharpe Ratio (1.33 vs 0.81), 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.