FLQL vs. QLC

Last updated Jun 24, 2026

FLQL (Franklin LibertyQ U.S. Equity ETF) and QLC (FlexShares US Quality Large Cap Index Fund) are both exchange-traded funds - FLQL is a Large Cap Growth Equities fund tracking the LibertyQ U.S. Large Cap Equity Index, while QLC is a Large Cap Blend Equities fund tracking the Northern Trust Quality Large Cap Index. Both are passively managed. Over the past 5 years, FLQL returned 14.33%/yr vs 14.86%/yr for QLC. Their correlation of 0.90 suggests significant overlap in exposure. FLQL charges 0.15%/yr vs 0.25%/yr for QLC.

Performance

FLQL vs. QLC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Franklin LibertyQ U.S. Equity ETF (FLQL) and FlexShares US Quality Large Cap Index Fund (QLC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLQL achieves a 11.18% return, which is significantly higher than QLC's 9.59% return.

FLQL

• 1D: -1.38%
• 1M: -0.31%
• YTD: 11.18%
• 6M: 9.76%
• 1Y: 26.76%
• 3Y*: 22.29%
• 5Y*: 14.33%
• 10Y*: —

QLC

• 1D: -1.12%
• 1M: -0.37%
• YTD: 9.59%
• 6M: 8.51%
• 1Y: 29.38%
• 3Y*: 23.96%
• 5Y*: 14.86%
• 10Y*: 14.85%

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

FLQL vs. QLC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FLQL Franklin LibertyQ U.S. Equity ETF	11.18%	19.64%	24.33%	23.58%	-14.83%	26.58%	10.67%	29.09%	-2.79%	15.04%
QLC FlexShares US Quality Large Cap Index Fund	9.59%	23.26%	26.71%	26.02%	-17.21%	28.46%	13.64%	24.51%	-8.12%	14.22%

Correlation

The correlation between FLQL and QLC 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	0.97
Correlation (5Y) Calculated over the trailing 5-year period	0.97
Correlation (All Time) Calculated using the full available price history since Apr 28, 2017	0.90

The correlation between FLQL and QLC has been stable across timeframes, ranging from 0.90 to 0.97 - a consistent structural relationship.

FLQL vs. QLC - Sectors Allocation Comparison

Sectors	FLQL	QLC
Technology	37.0%	37.8%
Communication Services	11.7%	13.0%
Consumer Cyclical	11.3%	7.8%
Healthcare	10.1%	9.6%
Financial Services	9.6%	13.2%
Industrials	9.5%	6.3%
Consumer Defensive	4.1%	3.0%
Real Estate	2.7%	2.1%
Basic Materials	1.7%	2.0%
Utilities	1.4%	3.1%
Energy	0.9%	2.0%

Return for Risk

FLQL vs. QLC — Risk / Return Rank

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

FLQL

FLQL Risk / Return Rank: 67
FLQL Sharpe Ratio Rank: 65
FLQL Sortino Ratio Rank: 64
FLQL Omega Ratio Rank: 65
FLQL Calmar Ratio Rank: 63
FLQL Martin Ratio Rank: 76

QLC

QLC Risk / Return Rank: 75
QLC Sharpe Ratio Rank: 76
QLC Sortino Ratio Rank: 75
QLC Omega Ratio Rank: 73
QLC Calmar Ratio Rank: 70
QLC Martin Ratio Rank: 81

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.

FLQL vs. QLC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin LibertyQ U.S. Equity ETF (FLQL) and FlexShares US Quality Large Cap Index Fund (QLC). 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.

	FLQL	QLC	Difference
Sharpe ratio: Return per unit of total volatility	2.00	2.28	-0.28
Sortino ratio: Return per unit of downside risk	2.79	3.13	-0.33
Omega ratio: Gain probability vs. loss probability	1.37	1.41	-0.04
Calmar ratio: Return relative to maximum drawdown	2.97	3.34	-0.37
Martin ratio: Return relative to average drawdown	13.71	15.18	-1.47

FLQL vs. QLC - Sharpe Ratio Comparison

The current FLQL Sharpe Ratio is 2.00, which is comparable to the QLC Sharpe Ratio of 2.28. The chart below compares the historical Sharpe Ratios of FLQL and QLC, 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

FLQL vs. QLC - Drawdown Comparison

The maximum FLQL drawdown since its inception was -33.64%, smaller than the maximum QLC drawdown of -35.86%. Use the drawdown chart below to compare losses from any high point for FLQL and QLC.

Drawdown Indicators

	FLQL	QLC	Difference
Max Drawdown Largest peak-to-trough decline	-33.64%	-35.86%	+2.22%
Max Drawdown (1Y) Largest decline over 1 year	-9.05%	-8.84%	-0.21%
Max Drawdown (3Y) Largest decline over 3 years	-19.32%	-18.49%	-0.83%
Max Drawdown (5Y) Largest decline over 5 years	-21.41%	-23.81%	+2.40%
Max Drawdown (10Y) Largest decline over 10 years	—	-35.86%	—
Current Drawdown Current decline from peak	-2.01%	-2.34%	+0.33%
Average Drawdown Average peak-to-trough decline	-4.03%	-4.52%	+0.49%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.96%	1.94%	+0.02%

Volatility

FLQL vs. QLC - Volatility Comparison

Franklin LibertyQ U.S. Equity ETF (FLQL) and FlexShares US Quality Large Cap Index Fund (QLC) have volatilities of 4.83% and 4.81%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLQL	QLC	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.83%	4.81%	+0.02%
Volatility (6M) Calculated over the trailing 6-month period	10.94%	10.33%	+0.61%
Volatility (1Y) Calculated over the trailing 1-year period	13.47%	12.98%	+0.49%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.22%	16.92%	-0.70%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.52%	18.46%	-0.94%

FLQL vs. QLC - Expense Ratio Comparison

FLQL has a 0.15% expense ratio, which is lower than QLC's 0.25% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

FLQL vs. QLC - Dividend Comparison

FLQL's dividend yield for the trailing twelve months is around 1.02%, more than QLC's 0.95% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FLQL Franklin LibertyQ U.S. Equity ETF	1.02%	1.10%	1.13%	1.50%	2.07%	1.81%	1.99%	1.78%	1.82%	1.22%	0.00%	0.00%
QLC FlexShares US Quality Large Cap Index Fund	0.95%	0.94%	1.03%	1.26%	1.46%	0.96%	1.40%	1.91%	1.82%	1.29%	1.80%	0.64%

Frequently Asked Questions

Can I hold both FLQL and QLC in my portfolio?

With a correlation of 0.96, FLQL and QLC 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, FLQL or QLC?

FLQL has higher volatility (4.83%) compared to QLC (4.81%). In terms of maximum drawdown, FLQL dropped -33.64% vs QLC's -35.86%.

Which ETF is better, FLQL or QLC?

On 5-year performance, QLC leads with 14.86% vs 14.33% for FLQL. On fees, FLQL is cheaper at 0.15% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLQL or QLC?

Over the 5-year period, QLC has performed better with a 14.86% return vs 14.33%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLQL or QLC?

FLQL is cheaper with a 0.15% expense ratio, compared with 0.25% for QLC.

Which ETF pays a higher dividend yield, FLQL or QLC?

FLQL has the higher dividend yield at 1.02%, compared with 0.95% for QLC.

What is the main difference between FLQL and QLC?

FLQL is categorized as Large Cap Growth Equities, while QLC is Large Cap Blend Equities. FLQL tracks LibertyQ U.S. Large Cap Equity Index, while QLC tracks Northern Trust Quality Large Cap Index. They also come from different issuers: Franklin Templeton and Northern Trust. Their fees differ too: 0.15% for FLQL and 0.25% for QLC.

Which has better risk-adjusted returns?

QLC currently has the higher Sharpe Ratio (2.28 vs 2.00), 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.