HAPS vs. FDM

Last updated Jun 3, 2026

HAPS (Harbor Human Capital Factor US Small Cap ETF) and FDM (First Trust Dow Jones Select MicroCap Index Fund) are both Small Cap Blend Equities funds - HAPS tracks the Human Capital Factor Small Cap Index - Benchmark TR Gross while FDM tracks the Dow Jones Select Microcap Index. Both are passively managed. Over the past 3 years, HAPS returned 12.03%/yr vs 18.03%/yr for FDM. Their correlation of 0.87 suggests significant overlap in exposure. Both charge a 0.60% expense ratio.

Performance

HAPS vs. FDM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Harbor Human Capital Factor US Small Cap ETF (HAPS) and First Trust Dow Jones Select MicroCap Index Fund (FDM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, HAPS achieves a 11.51% return, which is significantly higher than FDM's 7.48% return.

HAPS

• 1D: -0.10%
• 1M: 1.27%
• YTD: 11.51%
• 6M: 13.23%
• 1Y: 29.51%
• 3Y*: 12.03%
• 5Y*: —
• 10Y*: —

FDM

• 1D: -2.13%
• 1M: -2.89%
• YTD: 7.48%
• 6M: 7.77%
• 1Y: 27.59%
• 3Y*: 18.03%
• 5Y*: 8.37%
• 10Y*: 11.42%

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

HAPS vs. FDM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
HAPS Harbor Human Capital Factor US Small Cap ETF	11.51%	8.35%	4.08%	12.44%
FDM First Trust Dow Jones Select MicroCap Index Fund	7.48%	18.64%	13.00%	17.77%

Correlation

The correlation between HAPS and FDM is 0.81, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.81
Correlation (3Y) Calculated over the trailing 3-year period	0.87
Correlation (All Time) Calculated using the full available price history since Apr 14, 2023	0.87

The correlation between HAPS and FDM has been stable across timeframes, ranging from 0.81 to 0.87 - a consistent structural relationship.

HAPS vs. FDM - Sectors Allocation Comparison

Sectors	HAPS	FDM
Financial Services	17.7%	41.2%
Healthcare	17.7%	6.2%
Technology	14.0%	6.2%
Industrials	13.5%	16.4%
Consumer Cyclical	8.3%	10.0%
Energy	7.2%	5.0%
Real Estate	6.7%	1.4%
Basic Materials	6.6%	4.2%
Communication Services	3.0%	3.7%
Consumer Defensive	2.9%	4.7%
Utilities	2.4%	1.0%

Return for Risk

HAPS vs. FDM — Risk / Return Rank

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

HAPS

HAPS Risk / Return Rank: 53
HAPS Sharpe Ratio Rank: 50
HAPS Sortino Ratio Rank: 53
HAPS Omega Ratio Rank: 47
HAPS Calmar Ratio Rank: 59
HAPS Martin Ratio Rank: 56

FDM

FDM Risk / Return Rank: 47
FDM Sharpe Ratio Rank: 41
FDM Sortino Ratio Rank: 43
FDM Omega Ratio Rank: 39
FDM Calmar Ratio Rank: 60
FDM Martin Ratio Rank: 52

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.

HAPS vs. FDM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Harbor Human Capital Factor US Small Cap ETF (HAPS) and First Trust Dow Jones Select MicroCap Index Fund (FDM). 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.

	HAPS	FDM	Difference
Sharpe ratio Return per unit of total volatility	1.75	1.47	+0.28
Sortino ratio Return per unit of downside risk	2.57	2.18	+0.40
Omega ratio Gain probability vs. loss probability	1.30	1.26	+0.04
Calmar ratio Return relative to maximum drawdown	2.97	2.98	-0.02
Martin ratio Return relative to average drawdown	10.00	9.04	+0.96
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HAPS vs. FDM - Sharpe Ratio Comparison

The current HAPS Sharpe Ratio is 1.75, which is comparable to the FDM Sharpe Ratio of 1.47. The chart below compares the historical Sharpe Ratios of HAPS and FDM, 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

	HAPS	FDM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.75	1.47	+0.28
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.39	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.49	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.56	0.34	+0.22

Drawdowns

HAPS vs. FDM - Drawdown Comparison

The maximum HAPS drawdown since its inception was -27.44%, smaller than the maximum FDM drawdown of -63.45%. Use the drawdown chart below to compare losses from any high point for HAPS and FDM.

Drawdown Indicators

	HAPS	FDM	Difference
Max Drawdown Largest peak-to-trough decline	-27.44%	-63.45%	+36.01%
Max Drawdown (1Y) Largest decline over 1 year	-10.01%	-9.30%	-0.71%
Max Drawdown (3Y) Largest decline over 3 years	-27.44%	-23.47%	-3.97%
Max Drawdown (5Y) Largest decline over 5 years	—	-23.74%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-47.76%	—
Current Drawdown Current decline from peak	-0.26%	-4.31%	+4.05%
Average Drawdown Average peak-to-trough decline	-6.14%	-11.35%	+5.21%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.97%	3.06%	-0.09%

Volatility

HAPS vs. FDM - Volatility Comparison

The current volatility for Harbor Human Capital Factor US Small Cap ETF (HAPS) is 4.16%, while First Trust Dow Jones Select MicroCap Index Fund (FDM) has a volatility of 4.50%. This indicates that HAPS experiences smaller price fluctuations and is considered to be less risky than FDM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	HAPS	FDM	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.16%	4.50%	-0.34%
Volatility (6M) Calculated over the trailing 6-month period	11.71%	13.22%	-1.51%
Volatility (1Y) Calculated over the trailing 1-year period	16.98%	18.90%	-1.92%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.83%	21.39%	-0.56%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.83%	23.36%	-2.53%

HAPS vs. FDM - Expense Ratio Comparison

Both HAPS and FDM have an expense ratio of 0.60%.

Dividends

HAPS vs. FDM - Dividend Comparison

HAPS's dividend yield for the trailing twelve months is around 0.51%, less than FDM's 1.28% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FDM First Trust Dow Jones Select MicroCap Index Fund	1.28%	1.43%	1.56%	1.81%	1.80%	1.08%	1.68%	1.37%	1.26%	0.97%	1.13%	1.45%
HAPS Harbor Human Capital Factor US Small Cap ETF	0.51%	0.57%	0.72%	0.42%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both HAPS and FDM in my portfolio?

HAPS and FDM have a correlation of 0.81, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, HAPS or FDM?

FDM has higher volatility (4.50%) compared to HAPS (4.16%). In terms of maximum drawdown, HAPS dropped -27.44% vs FDM's -63.45%.

Which ETF is better, HAPS or FDM?

On 3-year performance, FDM leads with 18.03% vs 12.03% for HAPS. Both ETFs have the same 0.60% expense ratio. On volatility, HAPS has been the lower-risk option at 4.16%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, HAPS or FDM?

Over the 3-year period, FDM has performed better with a 18.03% return vs 12.03%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, HAPS or FDM?

HAPS and FDM have the same expense ratio: 0.60% per year.

Which ETF pays a higher dividend yield, HAPS or FDM?

FDM has the higher dividend yield at 1.28%, compared with 0.51% for HAPS.

What is the main difference between HAPS and FDM?

HAPS tracks Human Capital Factor Small Cap Index - Benchmark TR Gross, while FDM tracks Dow Jones Select Microcap Index. They also come from different issuers: Harbor and First Trust.

Which has better risk-adjusted returns?

HAPS currently has the higher Sharpe Ratio (1.75 vs 1.47), 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.