PortfoliosLab logoPortfoliosLab logo

Documentation

Upgrade your plan
FSMD vs. IEFA
Performance
Return for Risk
Drawdowns
Volatility
Dividends

FSMD vs. IEFA

Last updated Jun 14, 2026

FSMD (Fidelity Small-Mid Multifactor ETF) and IEFA (iShares Core MSCI EAFE ETF) are both exchange-traded funds - FSMD is a Small Cap Growth Equities fund tracking the Fidelity Small-Mid Multifactor Index, while IEFA is a Foreign Large Cap Equities fund tracking the MSCI EAFE IMI Index (Net). Both are passively managed. Over the past 5 years, FSMD returned 10.00%/yr vs 8.10%/yr for IEFA. A 0.74 correlation means they provide meaningful diversification when combined. FSMD charges 0.29%/yr vs 0.07%/yr for IEFA.

Performance

FSMD vs. IEFA - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Small-Mid Multifactor ETF (FSMD) and iShares Core MSCI EAFE ETF (IEFA). The values are adjusted to include any dividend payments, if applicable.

Loading charts...

Returns By Period

In the year-to-date period, FSMD achieves a 17.58% return, which is significantly higher than IEFA's 9.51% return.

FSMD

1D
1.00%
1M
6.31%
YTD
17.58%
6M
15.58%
1Y
29.65%
3Y*
17.46%
5Y*
10.00%
10Y*
—

IEFA

1D
0.18%
1M
2.90%
YTD
9.51%
6M
11.08%
1Y
22.43%
3Y*
16.31%
5Y*
8.10%
10Y*
9.90%
*Multi-year figures are annualized to reflect compound growth (CAGR)

FSMD vs. IEFA - Yearly Performance Comparison

2026 (YTD)2025202420232022202120202019
FSMD
Fidelity Small-Mid Multifactor ETF		17.58%8.70%15.18%17.37%-11.15%26.40%8.94%8.81%
IEFA
iShares Core MSCI EAFE ETF		9.51%32.08%3.26%17.95%-15.24%11.63%8.18%11.75%

Correlation

The correlation between FSMD and IEFA is 0.69, 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

0.69

Correlation (3Y)
Calculated over the trailing 3-year period

0.69

Correlation (5Y)
Calculated over the trailing 5-year period

0.73

Correlation (All Time)
Calculated using the full available price history since Feb 28, 2019

0.74

The correlation between FSMD and IEFA has been stable across timeframes, ranging from 0.69 to 0.74 - a consistent structural relationship.

FSMD vs. IEFA - Sectors Allocation Comparison

Sectors
FSMD
IEFA

Technology

20.5%
11.6%

Industrials

20.1%
20.1%

Financial Services

14.8%
22.6%

Healthcare

11.7%
9.7%

Consumer Cyclical

10.6%
8.3%

Real Estate

6.2%
2.9%

Energy

4.1%
3.6%

Basic Materials

4.0%
6.8%

Consumer Defensive

3.1%
6.2%

Communication Services

2.9%
4.7%

Utilities

2.1%
3.5%

Technology

FSMD
20.5%
IEFA
11.6%

Industrials

FSMD
20.1%
IEFA
20.1%

Financial Services

FSMD
14.8%
IEFA
22.6%

Healthcare

FSMD
11.7%
IEFA
9.7%

Consumer Cyclical

FSMD
10.6%
IEFA
8.3%

Real Estate

FSMD
6.2%
IEFA
2.9%

Energy

FSMD
4.1%
IEFA
3.6%

Basic Materials

FSMD
4.0%
IEFA
6.8%

Consumer Defensive

FSMD
3.1%
IEFA
6.2%

Communication Services

FSMD
2.9%
IEFA
4.7%

Utilities

FSMD
2.1%
IEFA
3.5%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

Fidelity Small-Mid Multifactor ETF

iShares Core MSCI EAFE ETF

Often compared with FSMD:
FSMD vs. FXAIXFSMD vs. SMLFFSMD vs. IJRFSMD vs. RWJFSMD vs. BFGFXFSMD vs. FLRGFSMD vs. FSOPX
Often compared with IEFA:
IEFA vs. VEAIEFA vs. VXUSIEFA vs. EFAIEFA vs. FSPSXIEFA vs. IEMGIEFA vs. XEF.TOIEFA vs. IXUS

Return for Risk

FSMD vs. IEFA — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
FSMD
FSMD Risk / Return Rank: 6666
Overall Rank
FSMD Sharpe Ratio Rank: 6161
Sharpe Ratio Rank
FSMD Sortino Ratio Rank: 6464
Sortino Ratio Rank
FSMD Omega Ratio Rank: 5858
Omega Ratio Rank
FSMD Calmar Ratio Rank: 7474
Calmar Ratio Rank
FSMD Martin Ratio Rank: 7373
Martin Ratio Rank
IEFA
IEFA Risk / Return Rank: 4444
Overall Rank
IEFA Sharpe Ratio Rank: 4444
Sharpe Ratio Rank
IEFA Sortino Ratio Rank: 4444
Sortino Ratio Rank
IEFA Omega Ratio Rank: 4343
Omega Ratio Rank
IEFA Calmar Ratio Rank: 4242
Calmar Ratio Rank
IEFA Martin Ratio Rank: 4848
Martin Ratio Rank
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.

FSMD vs. IEFA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Small-Mid Multifactor ETF (FSMD) and iShares Core MSCI EAFE ETF (IEFA). 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.

FSMDIEFADifference
Sharpe ratioReturn per unit of total volatility
1.78
1.35

+0.42

Sortino ratioReturn per unit of downside risk
2.58
1.97

+0.61

Omega ratioGain probability vs. loss probability

1.31

1.25

+0.06

Calmar ratioReturn relative to maximum drawdown

3.30

1.83

+1.48

Martin ratioReturn relative to average drawdown

11.89

6.93

+4.95

FSMD vs. IEFA - Sharpe Ratio Comparison

The current FSMD Sharpe Ratio is 1.78, which is higher than the IEFA Sharpe Ratio of 1.35. The chart below compares the historical Sharpe Ratios of FSMD and IEFA, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Loading charts...

Drawdowns

FSMD vs. IEFA - Drawdown Comparison

The maximum FSMD drawdown since its inception was -40.67%, which is greater than IEFA's maximum drawdown of -34.78%. Use the drawdown chart below to compare losses from any high point for FSMD and IEFA.

Loading charts...

Drawdown Indicators

FSMDIEFADifference

Max Drawdown

Largest peak-to-trough decline

-40.67%

-34.78%

-5.89%

Max Drawdown (1Y)

Largest decline over 1 year

-8.44%

-11.50%

+3.06%

Max Drawdown (3Y)

Largest decline over 3 years

-22.16%

-13.76%

-8.40%

Max Drawdown (5Y)

Largest decline over 5 years

-22.16%

-30.41%

+8.25%

Max Drawdown (10Y)

Largest decline over 10 years

—

-34.78%

—

Current Drawdown

Current decline from peak

0.00%

-0.60%

+0.60%

Average Drawdown

Average peak-to-trough decline

-5.98%

-6.68%

+0.70%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.34%

3.03%

-0.69%

Volatility

FSMD vs. IEFA - Volatility Comparison

The current volatility for Fidelity Small-Mid Multifactor ETF (FSMD) is 5.14%, while iShares Core MSCI EAFE ETF (IEFA) has a volatility of 5.50%. This indicates that FSMD experiences smaller price fluctuations and is considered to be less risky than IEFA based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Loading charts...

Volatility by Period

FSMDIEFADifference

Volatility (1M)

Calculated over the trailing 1-month period

5.14%

5.50%

-0.36%

Volatility (6M)

Calculated over the trailing 6-month period

11.85%

13.11%

-1.26%

Volatility (1Y)

Calculated over the trailing 1-year period

15.69%

15.54%

+0.15%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

18.55%

16.61%

+1.94%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

21.43%

17.31%

+4.12%

FSMD vs. IEFA - Expense Ratio Comparison

FSMD has a 0.29% expense ratio, which is higher than IEFA's 0.07% expense ratio.

Dividends

FSMD vs. IEFA - Dividend Comparison

FSMD's dividend yield for the trailing twelve months is around 1.18%, less than IEFA's 3.24% yield.

PositionTTM20252024202320222021202020192018201720162015
FSMD
Fidelity Small-Mid Multifactor ETF		1.18%1.33%1.29%1.37%1.54%1.18%1.32%1.37%0.00%0.00%0.00%0.00%
IEFA
iShares Core MSCI EAFE ETF		3.24%3.55%3.47%3.20%2.70%3.32%1.90%3.18%3.46%2.57%2.96%2.63%

Frequently Asked Questions

FSMD and IEFA have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IEFA has higher volatility (5.50%) compared to FSMD (5.14%). In terms of maximum drawdown, FSMD dropped -40.67% vs IEFA's -34.78%.

On 5-year performance, FSMD leads with 10.00% vs 8.10% for IEFA. On fees, IEFA is cheaper at 0.07% per year. On volatility, FSMD has been the lower-risk option at 5.14%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, FSMD has performed better with a 10.00% return vs 8.10%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

IEFA is cheaper with a 0.07% expense ratio, compared with 0.29% for FSMD.

IEFA has the higher dividend yield at 3.24%, compared with 1.18% for FSMD.

FSMD is categorized as Small Cap Growth Equities, while IEFA is Foreign Large Cap Equities. FSMD tracks Fidelity Small-Mid Multifactor Index, while IEFA tracks MSCI EAFE IMI Index (Net). They also come from different issuers: Fidelity and iShares. Their fees differ too: 0.29% for FSMD and 0.07% for IEFA.

FSMD currently has the higher Sharpe Ratio (1.78 vs 1.35), 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.

Portfolio Optimizer

Find the right allocation for FSMD and IEFA

Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.

Open Portfolio Optimizer