FLYD vs. IQSM

Last updated Jun 25, 2026

FLYD (MicroSectors Travel -3X Inverse Leveraged ETNs) and IQSM (IQ Candriam U.S. Mid Cap Equity ETF) are both exchange-traded funds - FLYD is a Inverse Equities fund tracking the MerQube MicroSectors U.S. Travel Index, while IQSM is a Mid Cap Blend Equities fund tracking the IQ Candriam ESG U.S. Mid Cap Equity Index - Benchmark TR Net. Both are passively managed. Over the past 3 years, FLYD returned -56.79%/yr vs 13.82%/yr for IQSM. At a correlation of -0.78, they often move in opposite directions. FLYD charges 0.95%/yr vs 0.15%/yr for IQSM.

Performance

FLYD vs. IQSM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in MicroSectors Travel -3X Inverse Leveraged ETNs (FLYD) and IQ Candriam U.S. Mid Cap Equity ETF (IQSM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FLYD achieves a -32.89% return, which is significantly lower than IQSM's 12.43% return.

FLYD

• 1D: -9.30%
• 1M: -31.47%
• YTD: -32.89%
• 6M: -29.32%
• 1Y: -55.37%
• 3Y*: -56.79%
• 5Y*: —
• 10Y*: —

IQSM

• 1D: 0.66%
• 1M: 2.66%
• YTD: 12.43%
• 6M: 10.24%
• 1Y: 22.29%
• 3Y*: 13.82%
• 5Y*: —
• 10Y*: —

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

FLYD vs. IQSM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
FLYD MicroSectors Travel -3X Inverse Leveraged ETNs	-32.89%	-60.42%	-54.13%	-75.14%	7.25%
IQSM IQ Candriam U.S. Mid Cap Equity ETF	12.43%	7.97%	9.15%	15.82%	2.29%

Correlation

The correlation between FLYD and IQSM is -0.76, meaning they tend to move in opposite directions. This is especially valuable for risk management - when one declines, the other has historically tended to hold steady or rise.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.76
Correlation (3Y) Calculated over the trailing 3-year period	-0.76
Correlation (All Time) Calculated using the full available price history since Oct 25, 2022	-0.78

The correlation between FLYD and IQSM has been stable across timeframes, ranging from -0.78 to -0.76 - a consistent structural relationship.

FLYD vs. IQSM - Sectors Allocation Comparison

Sectors	FLYD	IQSM
Consumer Cyclical	51.1%	9.7%
Industrials	27.8%	20.9%
Technology	13.2%	18.9%
Communication Services	7.8%	3.3%
Real Estate	0.1%	9.5%
Basic Materials	-	4.7%
Consumer Defensive	-	4.5%
Energy	-	1.4%
Financial Services	-	12.1%
Healthcare	-	14.0%
Utilities	-	0.7%

Return for Risk

FLYD vs. IQSM — Risk / Return Rank

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

FLYD

FLYD Risk / Return Rank: 2
FLYD Sharpe Ratio Rank: 4
FLYD Sortino Ratio Rank: 4
FLYD Omega Ratio Rank: 4
FLYD Calmar Ratio Rank: 0
FLYD Martin Ratio Rank: 0

IQSM

IQSM Risk / Return Rank: 52
IQSM Sharpe Ratio Rank: 48
IQSM Sortino Ratio Rank: 49
IQSM Omega Ratio Rank: 44
IQSM Calmar Ratio Rank: 58
IQSM Martin Ratio Rank: 59

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.

FLYD vs. IQSM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for MicroSectors Travel -3X Inverse Leveraged ETNs (FLYD) and IQ Candriam U.S. Mid Cap Equity ETF (IQSM). 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.

	FLYD	IQSM	Difference
Sharpe ratio: Return per unit of total volatility	-0.73	1.47	-2.21
Sortino ratio: Return per unit of downside risk	-0.90	2.15	-3.05
Omega ratio: Gain probability vs. loss probability	0.89	1.25	-0.36
Calmar ratio: Return relative to maximum drawdown	-0.98	2.53	-3.50
Martin ratio: Return relative to average drawdown	-1.86	9.21	-11.07

FLYD vs. IQSM - Sharpe Ratio Comparison

The current FLYD Sharpe Ratio is -0.73, which is lower than the IQSM Sharpe Ratio of 1.47. The chart below compares the historical Sharpe Ratios of FLYD and IQSM, 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

FLYD vs. IQSM - Drawdown Comparison

The maximum FLYD drawdown since its inception was -98.45%, which is greater than IQSM's maximum drawdown of -23.66%. Use the drawdown chart below to compare losses from any high point for FLYD and IQSM.

Drawdown Indicators

	FLYD	IQSM	Difference
Max Drawdown Largest peak-to-trough decline	-98.45%	-23.66%	-74.79%
Max Drawdown (1Y) Largest decline over 1 year	-56.92%	-8.86%	-48.06%
Max Drawdown (3Y) Largest decline over 3 years	-94.61%	-23.66%	-70.95%
Current Drawdown Current decline from peak	-98.45%	-0.68%	-97.77%
Average Drawdown Average peak-to-trough decline	-83.25%	-4.80%	-78.45%
Ulcer Index Depth and duration of drawdowns from previous peaks	29.82%	2.43%	+27.39%

Volatility

FLYD vs. IQSM - Volatility Comparison

MicroSectors Travel -3X Inverse Leveraged ETNs (FLYD) has a higher volatility of 25.88% compared to IQ Candriam U.S. Mid Cap Equity ETF (IQSM) at 4.34%. This indicates that FLYD's price experiences larger fluctuations and is considered to be riskier than IQSM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FLYD	IQSM	Difference
Volatility (1M) Calculated over the trailing 1-month period	25.88%	4.34%	+21.54%
Volatility (6M) Calculated over the trailing 6-month period	62.99%	11.44%	+51.55%
Volatility (1Y) Calculated over the trailing 1-year period	76.25%	15.24%	+61.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	83.85%	17.87%	+65.98%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	83.85%	17.87%	+65.98%

FLYD vs. IQSM - Expense Ratio Comparison

FLYD has a 0.95% expense ratio, which is higher than IQSM's 0.15% expense ratio.

Dividends

FLYD vs. IQSM - Dividend Comparison

FLYD has not paid dividends to shareholders, while IQSM's dividend yield for the trailing twelve months is around 1.07%.

Position	TTM	2025	2024	2023	2022
FLYD MicroSectors Travel -3X Inverse Leveraged ETNs	0.00%	0.00%	0.00%	0.00%	0.00%
IQSM IQ Candriam U.S. Mid Cap Equity ETF	1.07%	1.18%	1.22%	1.11%	0.32%

Frequently Asked Questions

Can I hold both FLYD and IQSM in my portfolio?

FLYD and IQSM have a correlation of -0.76, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FLYD or IQSM?

FLYD has higher volatility (25.88%) compared to IQSM (4.34%). In terms of maximum drawdown, FLYD dropped -98.45% vs IQSM's -23.66%.

Which ETF is better, FLYD or IQSM?

On 3-year performance, IQSM leads with 13.82% vs -56.79% for FLYD. On fees, IQSM is cheaper at 0.15% per year. On volatility, IQSM has been the lower-risk option at 4.34%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FLYD or IQSM?

Over the 3-year period, IQSM has performed better with a 13.82% return vs -56.79%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FLYD or IQSM?

IQSM is cheaper with a 0.15% expense ratio, compared with 0.95% for FLYD.

Which ETF pays a higher dividend yield, FLYD or IQSM?

IQSM has the higher dividend yield at 1.07%, compared with 0.00% for FLYD.

What is the main difference between FLYD and IQSM?

FLYD is categorized as Inverse Equities, while IQSM is Mid Cap Blend Equities. FLYD tracks MerQube MicroSectors U.S. Travel Index, while IQSM tracks IQ Candriam ESG U.S. Mid Cap Equity Index - Benchmark TR Net. They also come from different issuers: REX and IndexIQ. Their fees differ too: 0.95% for FLYD and 0.15% for IQSM.

Which has better risk-adjusted returns?

IQSM currently has the higher Sharpe Ratio (1.47 vs -0.73), 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.