FLQL vs. USMF

Last updated Jun 4, 2026

FLQL (Franklin LibertyQ U.S. Equity ETF) and USMF (WisdomTree US Multifactor Fund) are both exchange-traded funds - FLQL is a Large Cap Growth Equities fund tracking the LibertyQ U.S. Large Cap Equity Index, while USMF is a Mid Cap Blend Equities fund tracking the WisdomTree US Multifactor Index. Both are passively managed. Over the past 5 years, FLQL returned 14.70%/yr vs 7.67%/yr for USMF. Their correlation of 0.82 suggests significant overlap in exposure. FLQL charges 0.15%/yr vs 0.28%/yr for USMF.

Performance

FLQL vs. USMF - Performance Comparison

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

Returns By Period

In the year-to-date period, FLQL achieves a 12.66% return, which is significantly higher than USMF's 4.36% return.

FLQL

• 1D: -0.08%
• 1M: 5.00%
• YTD: 12.66%
• 6M: 12.54%
• 1Y: 29.48%
• 3Y*: 23.56%
• 5Y*: 14.70%
• 10Y*: —

USMF

• 1D: -0.56%
• 1M: 3.76%
• YTD: 4.36%
• 6M: 4.80%
• 1Y: 6.28%
• 3Y*: 14.13%
• 5Y*: 7.67%
• 10Y*: —

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

FLQL vs. USMF - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FLQL Franklin LibertyQ U.S. Equity ETF	12.66%	19.64%	24.33%	23.58%	-14.83%	26.58%	10.67%	29.09%	-2.79%	13.01%
USMF WisdomTree US Multifactor Fund	4.36%	4.60%	19.65%	13.47%	-8.82%	21.26%	12.01%	24.06%	-4.72%	11.27%

Correlation

The correlation between FLQL and USMF is 0.63, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.63
Correlation (3Y) Calculated over the trailing 3-year period	0.73
Correlation (5Y) Calculated over the trailing 5-year period	0.82
Correlation (All Time) Calculated using the full available price history since Aug 25, 2017	0.82

The correlation between FLQL and USMF shifts across timeframes, from 0.63 (1 year) to 0.82 (5 years), reflecting how their relationship changes across market environments.

FLQL vs. USMF - Sectors Allocation Comparison

Sectors	FLQL	USMF
Technology	34.3%	35.6%
Communication Services	12.2%	10.3%
Consumer Cyclical	11.5%	11.1%
Healthcare	10.5%	9.3%
Industrials	10.0%	7.8%
Financial Services	9.9%	11.8%
Consumer Defensive	4.4%	5.2%
Real Estate	2.9%	2.0%
Basic Materials	1.7%	0.9%
Utilities	1.6%	2.0%
Energy	1.0%	4.1%

Return for Risk

FLQL vs. USMF — Risk / Return Rank

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

FLQL

FLQL Risk / Return Rank: 71
FLQL Sharpe Ratio Rank: 69
FLQL Sortino Ratio Rank: 70
FLQL Omega Ratio Rank: 70
FLQL Calmar Ratio Rank: 65
FLQL Martin Ratio Rank: 79

USMF

USMF Risk / Return Rank: 19
USMF Sharpe Ratio Rank: 18
USMF Sortino Ratio Rank: 17
USMF Omega Ratio Rank: 17
USMF Calmar Ratio Rank: 22
USMF Martin Ratio Rank: 23

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. USMF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Franklin LibertyQ U.S. Equity ETF (FLQL) and WisdomTree US Multifactor Fund (USMF). 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.

	FLQL	USMF	Difference
Sharpe ratio: Return per unit of total volatility	2.31	0.58	+1.72
Sortino ratio: Return per unit of downside risk	3.24	0.89	+2.35
Omega ratio: Gain probability vs. loss probability	1.42	1.10	+0.32
Calmar ratio: Return relative to maximum drawdown	3.27	0.98	+2.30
Martin ratio: Return relative to average drawdown	15.42	2.93	+12.50
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FLQL vs. USMF - Sharpe Ratio Comparison

The current FLQL Sharpe Ratio is 2.31, which is higher than the USMF Sharpe Ratio of 0.58. The chart below compares the historical Sharpe Ratios of FLQL and USMF, 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

	FLQL	USMF	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.31	0.58	+1.72
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.92	0.54	+0.38
Sharpe Ratio (All Time) Calculated using the full available price history	0.86	0.63	+0.23

Drawdowns

FLQL vs. USMF - Drawdown Comparison

The maximum FLQL drawdown since its inception was -33.64%, smaller than the maximum USMF drawdown of -36.24%. Use the drawdown chart below to compare losses from any high point for FLQL and USMF.

Drawdown Indicators

	FLQL	USMF	Difference
Max Drawdown Largest peak-to-trough decline	-33.64%	-36.24%	+2.60%
Max Drawdown (1Y) Largest decline over 1 year	-9.05%	-6.47%	-2.58%
Max Drawdown (3Y) Largest decline over 3 years	-19.32%	-15.39%	-3.93%
Max Drawdown (5Y) Largest decline over 5 years	-21.41%	-18.10%	-3.31%
Current Drawdown Current decline from peak	-0.08%	-0.56%	+0.48%
Average Drawdown Average peak-to-trough decline	-4.04%	-4.16%	+0.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.92%	2.15%	-0.23%

Volatility

FLQL vs. USMF - Volatility Comparison

Franklin LibertyQ U.S. Equity ETF (FLQL) has a higher volatility of 3.19% compared to WisdomTree US Multifactor Fund (USMF) at 2.30%. This indicates that FLQL's price experiences larger fluctuations and is considered to be riskier than USMF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLQL	USMF	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.19%	2.30%	+0.89%
Volatility (6M) Calculated over the trailing 6-month period	10.21%	7.43%	+2.78%
Volatility (1Y) Calculated over the trailing 1-year period	12.85%	10.79%	+2.06%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.12%	14.27%	+1.85%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.50%	16.97%	+0.53%

FLQL vs. USMF - Expense Ratio Comparison

FLQL has a 0.15% expense ratio, which is lower than USMF's 0.28% expense ratio.

Dividends

FLQL vs. USMF - Dividend Comparison

FLQL's dividend yield for the trailing twelve months is around 1.01%, less than USMF's 1.32% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
FLQL Franklin LibertyQ U.S. Equity ETF	1.01%	1.10%	1.13%	1.50%	2.07%	1.81%	1.99%	1.78%	1.82%	1.22%
USMF WisdomTree US Multifactor Fund	1.32%	1.37%	1.22%	1.33%	1.74%	1.42%	1.34%	1.38%	1.45%	0.67%

Frequently Asked Questions

Can I hold both FLQL and USMF in my portfolio?

FLQL and USMF have a correlation of 0.63, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FLQL or USMF?

FLQL has higher volatility (3.19%) compared to USMF (2.30%). In terms of maximum drawdown, FLQL dropped -33.64% vs USMF's -36.24%.

Which ETF is better, FLQL or USMF?

On 5-year performance, FLQL leads with 14.70% vs 7.67% for USMF. On fees, FLQL is cheaper at 0.15% per year. On volatility, USMF has been the lower-risk option at 2.30%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLQL or USMF?

Over the 5-year period, FLQL has performed better with a 14.70% return vs 7.67%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLQL or USMF?

FLQL is cheaper with a 0.15% expense ratio, compared with 0.28% for USMF.

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

USMF has the higher dividend yield at 1.32%, compared with 1.01% for FLQL.

What is the main difference between FLQL and USMF?

FLQL is categorized as Large Cap Growth Equities, while USMF is Mid Cap Blend Equities. FLQL tracks LibertyQ U.S. Large Cap Equity Index, while USMF tracks WisdomTree US Multifactor Index. They also come from different issuers: Franklin Templeton and WisdomTree. Their fees differ too: 0.15% for FLQL and 0.28% for USMF.

Which has better risk-adjusted returns?

FLQL currently has the higher Sharpe Ratio (2.31 vs 0.58), 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.