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GARP vs. PSET
Performance
Return for Risk
Drawdowns
Volatility
Dividends

GARP vs. PSET

Last updated Aug 2, 2026
Documentation

GARP (iShares MSCI USA Quality GARP ETF) and PSET (Principal Quality ETF) are both Quality Factor funds - GARP tracks the MSCI USA Quality GARP Select Index while PSET tracks the NASDAQ US Price Setters. Both are passively managed. Over the past 5 years, GARP returned 17.48%/yr vs 8.16%/yr for PSET. Their 0.79 correlation means they have sometimes moved together and sometimes differently. Both charge a 0.15% expense ratio.

Performance

GARP vs. PSET - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI USA Quality GARP ETF (GARP) and Principal Quality ETF (PSET). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, GARP achieves a 16.89% return, which is significantly higher than PSET's 3.11% return.

GARP

1D
0.66%
1M
-1.22%
6M
14.45%
YTD
16.89%
1Y
31.75%
3Y*
28.85%
5Y*
17.48%
10Y*
—
ALL TIME*
20.07%

PSET

1D
0.66%
1M
2.60%
6M
3.83%
YTD
3.11%
1Y
7.37%
3Y*
11.34%
5Y*
8.16%
10Y*
12.71%
ALL TIME*
12.92%
*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

PositionAvg. Volume Value (2W)Avg. Volume Value (1M)Avg. Volume Value (3M)

GARP

iShares MSCI USA Quality GARP ETF
$25.65M$25.43M$23.00M

PSET

Principal Quality ETF
$114.12K$93.60K$180.40K

GARP vs. PSET - Yearly Performance Comparison

2026 (YTD)202520242023202220212020
GARP
iShares MSCI USA Quality GARP ETF		16.89%21.49%37.42%42.86%-26.75%27.99%26.51%
PSET
Principal Quality ETF		3.11%7.27%17.65%24.07%-16.52%29.59%14.41%

Correlation

The correlation between GARP and PSET is 0.77, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

Correlation
Correlation (1Y)
Focuses on recent behavior, but can change the most.

0.77

Correlation (3Y)
Balances recent behavior with more history.

0.86

Correlation (5Y)
Shows whether the relationship held over a longer period.

0.88

Correlation (All Time)
Calculated using the full available price history since Jan 16, 2020

0.79

The correlation between GARP and PSET shifts across timeframes, from 0.77 (1 year) to 0.88 (5 years), reflecting how their relationship changes across market environments.

GARP vs. PSET - Sectors Allocation Comparison

Sectors
GARP
PSET

Technology

54.7%
37.4%

Communication Services

11.0%
6.2%

Consumer Cyclical

9.1%
5.0%

Financial Services

7.9%
13.9%

Industrials

6.4%
20.5%

Healthcare

5.4%
10.9%

Energy

3.0%
1.2%

Utilities

1.3%

-

Basic Materials

1.1%
3.7%

Real Estate

0.4%

-

Consumer Defensive

-

1.1%

Technology

GARP
54.7%
PSET
37.4%

Communication Services

GARP
11.0%
PSET
6.2%

Consumer Cyclical

GARP
9.1%
PSET
5.0%

Financial Services

GARP
7.9%
PSET
13.9%

Industrials

GARP
6.4%
PSET
20.5%

Healthcare

GARP
5.4%
PSET
10.9%

Energy

GARP
3.0%
PSET
1.2%

Utilities

GARP
1.3%
PSET

-

Basic Materials

GARP
1.1%
PSET
3.7%

Real Estate

GARP
0.4%
PSET

-

Consumer Defensive

GARP

-

PSET
1.1%

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iShares MSCI USA Quality GARP ETF

Principal Quality ETF

Often compared with GARP:
GARP vs. SPGPGARP vs. SPMOGARP vs. SCHGGARP vs. QUALGARP vs. SPYGARP vs. VUGGARP vs. SPHQ
Often compared with PSET:
PSET vs. AMAGXPSET vs. FLLVPSET vs. QUALPSET vs. XLKPSET vs. SPYPSET vs. JQUAPSET vs. SCHD

Return for Risk

GARP vs. PSET — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.
GARP
GARP Risk / Return Rank: 6464
Overall Rank
GARP Sharpe Ratio Rank: 6666
Sharpe Ratio Rank
GARP Sortino Ratio Rank: 6262
Sortino Ratio Rank
GARP Omega Ratio Rank: 6060
Omega Ratio Rank
GARP Calmar Ratio Rank: 6363
Calmar Ratio Rank
GARP Martin Ratio Rank: 6666
Martin Ratio Rank
PSET
PSET Risk / Return Rank: 1919
Overall Rank
PSET Sharpe Ratio Rank: 2020
Sharpe Ratio Rank
PSET Sortino Ratio Rank: 1919
Sortino Ratio Rank
PSET Omega Ratio Rank: 1919
Omega Ratio Rank
PSET Calmar Ratio Rank: 1818
Calmar Ratio Rank
PSET Martin Ratio Rank: 2121
Martin Ratio Rank
The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

GARP vs. PSET - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI USA Quality GARP ETF (GARP) and Principal Quality ETF (PSET). 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.

GARPPSETDifference
Sharpe ratioReturn per unit of total volatility
1.50
0.41

+1.09

Sortino ratioReturn per unit of downside risk
2.08
0.66

+1.42

Omega ratioGain probability vs. loss probability

1.26

1.08

+0.18

Calmar ratioReturn relative to maximum drawdown

2.19

0.42

+1.78

Martin ratioReturn relative to average drawdown

7.99

1.36

+6.63

GARP vs. PSET - Sharpe Ratio Comparison

The current GARP Sharpe Ratio is 1.50, which is higher than the PSET Sharpe Ratio of 0.41. The chart below compares the historical Sharpe Ratios of GARP and PSET, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

GARP vs. PSET - Drawdown Comparison

The maximum GARP drawdown since its inception was -31.34%, smaller than the maximum PSET drawdown of -34.74%. Use the drawdown chart below to compare losses from any high point for GARP and PSET.

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Drawdown Indicators

GARPPSETDifference

Max Drawdown

Largest peak-to-trough decline

-31.34%

-34.74%

+3.40%

Max Drawdown (1Y)

Largest decline over 1 year

-13.69%

-12.94%

-0.75%

Max Drawdown (3Y)

Largest decline over 3 years

-23.73%

-21.96%

-1.77%

Max Drawdown (5Y)

Largest decline over 5 years

-30.61%

-25.61%

-5.00%

Max Drawdown (10Y)

Largest decline over 10 years

—

-34.74%

—

Current Drawdown

Current decline from peak

-4.34%

0.00%

-4.34%

Average Drawdown

Average peak-to-trough decline

-7.27%

-4.55%

-2.72%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.75%

3.95%

-0.20%

Volatility

GARP vs. PSET - Volatility Comparison

iShares MSCI USA Quality GARP ETF (GARP) has a higher volatility of 5.68% compared to Principal Quality ETF (PSET) at 3.22%. This indicates that GARP's price experiences larger fluctuations and is considered to be riskier than PSET based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

GARPPSETDifference

Volatility (1M)

Calculated over the trailing 1-month period

5.68%

3.22%

+2.46%

Volatility (6M)

Calculated over the trailing 6-month period

16.18%

10.10%

+6.08%

Volatility (1Y)

Calculated over the trailing 1-year period

20.02%

13.09%

+6.93%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

22.34%

17.60%

+4.74%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

23.92%

18.11%

+5.81%

GARP vs. PSET - Expense Ratio Comparison

Both GARP and PSET have an expense ratio of 0.15%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

GARP vs. PSET - Dividend Comparison

GARP's dividend yield for the trailing twelve months is around 0.27%, less than PSET's 0.69% yield.

PositionTTM2025202420232022202120202019201820172016
GARP
iShares MSCI USA Quality GARP ETF		0.27%0.31%0.38%0.75%1.85%0.67%0.75%0.00%0.00%0.00%0.00%
PSET
Principal Quality ETF		0.69%0.59%0.69%0.85%1.47%0.89%1.09%1.52%1.33%1.02%1.26%

Frequently Asked Questions

GARP and PSET have a correlation of 0.77, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

GARP has higher volatility (5.68%) compared to PSET (3.22%). In terms of maximum drawdown, GARP dropped -31.34% vs PSET's -34.74%.

On 5-year performance, GARP leads with 17.48% vs 8.16% for PSET. Both ETFs have the same 0.15% expense ratio. On volatility, PSET has been the lower-risk option at 3.22%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, GARP has performed better with a 17.48% return vs 8.16%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

GARP and PSET have the same expense ratio: 0.15% per year.

PSET has the higher dividend yield at 0.69%, compared with 0.27% for GARP.

GARP tracks MSCI USA Quality GARP Select Index, while PSET tracks NASDAQ US Price Setters. They also come from different issuers: iShares and Principal.

GARP currently has the higher Sharpe Ratio (1.50 vs 0.41), 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.

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