IQLT vs. ESGV

Last updated Jun 16, 2026

IQLT (iShares MSCI Intl Quality Factor ETF) and ESGV (Vanguard ESG U.S. Stock ETF) are both exchange-traded funds - IQLT is a Foreign Large Cap Equities fund tracking the MSCI World ex USA Sector Neutral Quality Index (Net), while ESGV is a Large Cap Blend Equities fund tracking the FTSE US All Cap Choice Index. Both are passively managed. Over the past 5 years, IQLT returned 7.47%/yr vs 12.57%/yr for ESGV. A 0.78 correlation means they provide meaningful diversification when combined. IQLT charges 0.30%/yr vs 0.09%/yr for ESGV.

Performance

IQLT vs. ESGV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI Intl Quality Factor ETF (IQLT) and Vanguard ESG U.S. Stock ETF (ESGV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with IQLT having a 10.27% return and ESGV slightly higher at 10.76%.

IQLT

• 1D: 0.42%
• 1M: 3.66%
• YTD: 10.27%
• 6M: 10.93%
• 1Y: 18.79%
• 3Y*: 13.94%
• 5Y*: 7.47%
• 10Y*: 10.04%

ESGV

• 1D: 2.01%
• 1M: 2.85%
• YTD: 10.76%
• 6M: 11.56%
• 1Y: 28.06%
• 3Y*: 21.07%
• 5Y*: 12.57%
• 10Y*: —

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

IQLT vs. ESGV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
IQLT iShares MSCI Intl Quality Factor ETF	10.27%	25.42%	1.54%	18.73%	-15.22%	12.94%	12.48%	28.18%	-11.28%
ESGV Vanguard ESG U.S. Stock ETF	10.76%	16.48%	24.69%	30.79%	-24.04%	26.55%	25.69%	33.36%	-14.45%

Correlation

The correlation between IQLT and ESGV is 0.74, 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	0.74
Correlation (3Y) Calculated over the trailing 3-year period	0.71
Correlation (5Y) Calculated over the trailing 5-year period	0.76
Correlation (All Time) Calculated using the full available price history since Sep 20, 2018	0.78

The correlation between IQLT and ESGV has been stable across timeframes, ranging from 0.71 to 0.78 - a consistent structural relationship.

IQLT vs. ESGV - Sectors Allocation Comparison

Sectors	IQLT	ESGV
Financial Services	24.9%	12.3%
Industrials	17.8%	4.5%
Technology	11.8%	39.5%
Healthcare	9.2%	9.8%
Consumer Cyclical	8.2%	12.2%
Basic Materials	7.2%	1.9%
Consumer Defensive	6.4%	3.9%
Energy	5.6%	0.1%
Utilities	3.7%	0.2%
Communication Services	3.2%	13.0%
Real Estate	1.5%	2.8%

Return for Risk

IQLT vs. ESGV — Risk / Return Rank

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

IQLT

IQLT Risk / Return Rank: 40
IQLT Sharpe Ratio Rank: 39
IQLT Sortino Ratio Rank: 39
IQLT Omega Ratio Rank: 36
IQLT Calmar Ratio Rank: 40
IQLT Martin Ratio Rank: 46

ESGV

ESGV Risk / Return Rank: 64
ESGV Sharpe Ratio Rank: 69
ESGV Sortino Ratio Rank: 66
ESGV Omega Ratio Rank: 68
ESGV Calmar Ratio Rank: 54
ESGV Martin Ratio Rank: 63

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.

IQLT vs. ESGV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI Intl Quality Factor ETF (IQLT) and Vanguard ESG U.S. Stock ETF (ESGV). 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.

	IQLT	ESGV	Difference
Sharpe ratio: Return per unit of total volatility	1.26	2.02	-0.76
Sortino ratio: Return per unit of downside risk	1.85	2.73	-0.87
Omega ratio: Gain probability vs. loss probability	1.22	1.36	-0.14
Calmar ratio: Return relative to maximum drawdown	1.82	2.43	-0.61
Martin ratio: Return relative to average drawdown	6.90	10.21	-3.31

IQLT vs. ESGV - Sharpe Ratio Comparison

The current IQLT Sharpe Ratio is 1.26, which is lower than the ESGV Sharpe Ratio of 2.02. The chart below compares the historical Sharpe Ratios of IQLT and ESGV, 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

IQLT vs. ESGV - Drawdown Comparison

The maximum IQLT drawdown since its inception was -32.21%, roughly equal to the maximum ESGV drawdown of -33.66%. Use the drawdown chart below to compare losses from any high point for IQLT and ESGV.

Drawdown Indicators

	IQLT	ESGV	Difference
Max Drawdown Largest peak-to-trough decline	-32.21%	-33.66%	+1.45%
Max Drawdown (1Y) Largest decline over 1 year	-10.38%	-11.60%	+1.22%
Max Drawdown (3Y) Largest decline over 3 years	-13.18%	-20.41%	+7.23%
Max Drawdown (5Y) Largest decline over 5 years	-30.24%	-28.81%	-1.43%
Max Drawdown (10Y) Largest decline over 10 years	-32.21%	—	—
Current Drawdown Current decline from peak	0.00%	-0.87%	+0.87%
Average Drawdown Average peak-to-trough decline	-6.21%	-6.41%	+0.20%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.73%	2.75%	-0.02%

Volatility

IQLT vs. ESGV - Volatility Comparison

iShares MSCI Intl Quality Factor ETF (IQLT) and Vanguard ESG U.S. Stock ETF (ESGV) have volatilities of 5.39% and 5.34%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IQLT	ESGV	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.39%	5.34%	+0.05%
Volatility (6M) Calculated over the trailing 6-month period	12.71%	11.13%	+1.58%
Volatility (1Y) Calculated over the trailing 1-year period	14.96%	13.99%	+0.97%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.56%	18.45%	-1.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.98%	20.60%	-3.62%

IQLT vs. ESGV - Expense Ratio Comparison

IQLT has a 0.30% expense ratio, which is higher than ESGV's 0.09% expense ratio.

Dividends

IQLT vs. ESGV - Dividend Comparison

IQLT's dividend yield for the trailing twelve months is around 3.65%, more than ESGV's 0.85% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ESGV Vanguard ESG U.S. Stock ETF	0.85%	0.91%	1.04%	1.16%	1.42%	0.95%	1.11%	1.27%	0.28%	0.00%	0.00%	0.00%
IQLT iShares MSCI Intl Quality Factor ETF	3.65%	2.33%	2.87%	2.27%	3.14%	2.24%	1.61%	2.28%	2.72%	2.36%	2.91%	2.78%

Frequently Asked Questions

Can I hold both IQLT and ESGV in my portfolio?

IQLT and ESGV have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IQLT or ESGV?

IQLT has higher volatility (5.39%) compared to ESGV (5.34%). In terms of maximum drawdown, IQLT dropped -32.21% vs ESGV's -33.66%.

Which ETF is better, IQLT or ESGV?

On 5-year performance, ESGV leads with 12.57% vs 7.47% for IQLT. On fees, ESGV is cheaper at 0.09% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IQLT or ESGV?

Over the 5-year period, ESGV has performed better with a 12.57% return vs 7.47%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IQLT or ESGV?

ESGV is cheaper with a 0.09% expense ratio, compared with 0.30% for IQLT.

Which ETF pays a higher dividend yield, IQLT or ESGV?

IQLT has the higher dividend yield at 3.65%, compared with 0.85% for ESGV.

What is the main difference between IQLT and ESGV?

IQLT is categorized as Foreign Large Cap Equities, while ESGV is Large Cap Blend Equities. IQLT tracks MSCI World ex USA Sector Neutral Quality Index (Net), while ESGV tracks FTSE US All Cap Choice Index. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.30% for IQLT and 0.09% for ESGV.

Which has better risk-adjusted returns?

ESGV currently has the higher Sharpe Ratio (2.02 vs 1.26), 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.