FNDF vs. DXJ

Last updated Jun 14, 2026

FNDF (Schwab Fundamental International Equity ETF) and DXJ (WisdomTree Japan Hedged Equity Fund) are both exchange-traded funds - FNDF is a Foreign Large Cap Equities fund tracking the RAFI Fundamental High Liquidity Developed ex US Large Index (Net), while DXJ is a Japan Equities fund tracking the WisdomTree Japan Hedged Equity Index. Both are passively managed. Over the past 10 years, FNDF returned 12.34%/yr vs 18.72%/yr for DXJ. A 0.70 correlation means they provide meaningful diversification when combined. FNDF charges 0.25%/yr vs 0.48%/yr for DXJ.

Performance

FNDF vs. DXJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Schwab Fundamental International Equity ETF (FNDF) and WisdomTree Japan Hedged Equity Fund (DXJ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with FNDF having a 19.66% return and DXJ slightly lower at 18.74%. Over the past 10 years, FNDF has underperformed DXJ with an annualized return of 12.34%, while DXJ has yielded a comparatively higher 18.72% annualized return.

FNDF

• 1D: 0.39%
• 1M: 2.91%
• YTD: 19.66%
• 6M: 21.60%
• 1Y: 41.60%
• 3Y*: 22.69%
• 5Y*: 13.11%
• 10Y*: 12.34%

DXJ

• 1D: 0.74%
• 1M: 0.35%
• YTD: 18.74%
• 6M: 19.84%
• 1Y: 54.41%
• 3Y*: 30.91%
• 5Y*: 26.01%
• 10Y*: 18.72%

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

FNDF vs. DXJ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FNDF Schwab Fundamental International Equity ETF	19.66%	40.99%	2.29%	20.22%	-7.78%	14.97%	3.61%	18.46%	-14.21%	23.98%
DXJ WisdomTree Japan Hedged Equity Fund	18.74%	32.78%	29.83%	42.04%	5.96%	17.99%	3.94%	18.94%	-19.78%	22.81%

Correlation

The correlation between FNDF and DXJ is 0.66, 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	0.66
Correlation (3Y) Calculated over the trailing 3-year period	0.62
Correlation (5Y) Calculated over the trailing 5-year period	0.67
Correlation (10Y) Calculated over the trailing 10-year period	0.70
Correlation (All Time) Calculated using the full available price history since Aug 15, 2013	0.70

The correlation between FNDF and DXJ has been stable across timeframes, ranging from 0.62 to 0.70 - a consistent structural relationship.

FNDF vs. DXJ - Sectors Allocation Comparison

Sectors	FNDF	DXJ
Financial Services	16.2%	18.3%
Industrials	15.5%	27.4%
Technology	14.4%	12.9%
Basic Materials	11.3%	8.5%
Energy	10.9%	1.7%
Consumer Cyclical	10.8%	15.6%
Consumer Defensive	6.5%	4.7%
Healthcare	5.2%	6.8%
Communication Services	4.9%	2.7%
Utilities	3.5%	0.1%
Real Estate	0.8%	-

Return for Risk

FNDF vs. DXJ — Risk / Return Rank

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

FNDF

FNDF Risk / Return Rank: 85
FNDF Sharpe Ratio Rank: 88
FNDF Sortino Ratio Rank: 85
FNDF Omega Ratio Rank: 86
FNDF Calmar Ratio Rank: 82
FNDF Martin Ratio Rank: 82

DXJ

DXJ Risk / Return Rank: 92
DXJ Sharpe Ratio Rank: 93
DXJ Sortino Ratio Rank: 93
DXJ Omega Ratio Rank: 92
DXJ Calmar Ratio Rank: 90
DXJ Martin Ratio Rank: 91

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.

FNDF vs. DXJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Schwab Fundamental International Equity ETF (FNDF) and WisdomTree Japan Hedged Equity Fund (DXJ). 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.

	FNDF	DXJ	Difference
Sharpe ratio: Return per unit of total volatility	2.53	3.02	-0.49
Sortino ratio: Return per unit of downside risk	3.30	4.04	-0.73
Omega ratio: Gain probability vs. loss probability	1.45	1.54	-0.09
Calmar ratio: Return relative to maximum drawdown	3.82	4.88	-1.07
Martin ratio: Return relative to average drawdown	14.27	18.93	-4.66

FNDF vs. DXJ - Sharpe Ratio Comparison

The current FNDF Sharpe Ratio is 2.53, which is comparable to the DXJ Sharpe Ratio of 3.02. The chart below compares the historical Sharpe Ratios of FNDF and DXJ, 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

FNDF vs. DXJ - Drawdown Comparison

The maximum FNDF drawdown since its inception was -40.14%, smaller than the maximum DXJ drawdown of -49.63%. Use the drawdown chart below to compare losses from any high point for FNDF and DXJ.

Drawdown Indicators

	FNDF	DXJ	Difference
Max Drawdown Largest peak-to-trough decline	-40.14%	-49.63%	+9.49%
Max Drawdown (1Y) Largest decline over 1 year	-10.60%	-10.98%	+0.38%
Max Drawdown (3Y) Largest decline over 3 years	-13.89%	-22.19%	+8.30%
Max Drawdown (5Y) Largest decline over 5 years	-25.56%	-22.19%	-3.37%
Max Drawdown (10Y) Largest decline over 10 years	-40.14%	-39.14%	-1.00%
Current Drawdown Current decline from peak	-1.94%	-1.34%	-0.60%
Average Drawdown Average peak-to-trough decline	-7.63%	-14.32%	+6.69%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.84%	2.83%	+0.01%

Volatility

FNDF vs. DXJ - Volatility Comparison

Schwab Fundamental International Equity ETF (FNDF) has a higher volatility of 6.65% compared to WisdomTree Japan Hedged Equity Fund (DXJ) at 4.64%. This indicates that FNDF's price experiences larger fluctuations and is considered to be riskier than DXJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FNDF	DXJ	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.65%	4.64%	+2.01%
Volatility (6M) Calculated over the trailing 6-month period	13.64%	13.56%	+0.08%
Volatility (1Y) Calculated over the trailing 1-year period	16.00%	17.73%	-1.73%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.35%	19.02%	-2.67%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.71%	20.17%	-2.46%

FNDF vs. DXJ - Expense Ratio Comparison

FNDF has a 0.25% expense ratio, which is lower than DXJ's 0.48% expense ratio.

Dividends

FNDF vs. DXJ - Dividend Comparison

FNDF's dividend yield for the trailing twelve months is around 2.87%, more than DXJ's 1.09% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DXJ WisdomTree Japan Hedged Equity Fund	1.09%	1.29%	3.48%	3.44%	3.02%	2.64%	2.53%	2.47%	2.92%	2.30%	1.98%	5.95%
FNDF Schwab Fundamental International Equity ETF	2.87%	3.44%	4.01%	3.41%	3.10%	3.54%	2.17%	3.20%	3.47%	2.32%	2.42%	2.08%

Frequently Asked Questions

Can I hold both FNDF and DXJ in my portfolio?

FNDF and DXJ have a correlation of 0.66, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FNDF or DXJ?

FNDF has higher volatility (6.65%) compared to DXJ (4.64%). In terms of maximum drawdown, FNDF dropped -40.14% vs DXJ's -49.63%.

Which ETF is better, FNDF or DXJ?

On 10-year performance, DXJ leads with 18.72% vs 12.34% for FNDF. On fees, FNDF is cheaper at 0.25% per year. On volatility, DXJ has been the lower-risk option at 4.64%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FNDF or DXJ?

Over the 10-year period, DXJ has performed better with a 18.72% return vs 12.34%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FNDF or DXJ?

FNDF is cheaper with a 0.25% expense ratio, compared with 0.48% for DXJ.

Which ETF pays a higher dividend yield, FNDF or DXJ?

FNDF has the higher dividend yield at 2.87%, compared with 1.09% for DXJ.

What is the main difference between FNDF and DXJ?

FNDF is categorized as Foreign Large Cap Equities, while DXJ is Japan Equities. FNDF tracks RAFI Fundamental High Liquidity Developed ex US Large Index (Net), while DXJ tracks WisdomTree Japan Hedged Equity Index. They also come from different issuers: Charles Schwab and WisdomTree. Their fees differ too: 0.25% for FNDF and 0.48% for DXJ.

Which has better risk-adjusted returns?

DXJ currently has the higher Sharpe Ratio (3.02 vs 2.53), 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.