IQSI vs. FNDC

Last updated Jul 17, 2026

IQSI (IQ Candriam ESG International Equity ETF) and FNDC (Schwab Fundamental International Small Equity ETF) are both exchange-traded funds - IQSI is a Foreign Large Cap Equities fund tracking the IQ Candriam ESG International Equity Index, while FNDC is a Foreign Small & Mid Cap Equities fund tracking the RAFI Fundamental High Liquidity Developed ex US Small Index (Net). Both are passively managed. Over the past 5 years, IQSI returned 8.47%/yr vs 7.88%/yr for FNDC. Their correlation of 0.91 suggests significant overlap in exposure. IQSI charges 0.15%/yr vs 0.39%/yr for FNDC.

Performance

IQSI vs. FNDC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in IQ Candriam ESG International Equity ETF (IQSI) and Schwab Fundamental International Small Equity ETF (FNDC). 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 IQSI having a 10.10% return and FNDC slightly higher at 10.15%.

IQSI

• 1D: -0.63%
• 1M: -0.41%
• 6M: 6.69%
• YTD: 10.10%
• 1Y: 20.07%
• 3Y*: 14.31%
• 5Y*: 8.47%
• 10Y*: —

FNDC

• 1D: -0.22%
• 1M: -2.44%
• 6M: 6.19%
• YTD: 10.15%
• 1Y: 20.52%
• 3Y*: 16.37%
• 5Y*: 7.88%
• 10Y*: 8.66%

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

IQSI vs. FNDC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
IQSI IQ Candriam ESG International Equity ETF	10.10%	26.95%	4.84%	16.21%	-14.76%	12.70%	10.36%	0.38%
FNDC Schwab Fundamental International Small Equity ETF	10.15%	35.65%	1.38%	14.92%	-14.71%	10.26%	6.58%	0.18%

Correlation

The correlation between IQSI and FNDC is 0.91, 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	0.91
Correlation (3Y) Calculated over the trailing 3-year period	0.91
Correlation (5Y) Calculated over the trailing 5-year period	0.93
Correlation (All Time) Calculated using the full available price history since Dec 17, 2019	0.91

The correlation between IQSI and FNDC has been stable across timeframes, ranging from 0.91 to 0.93 - a consistent structural relationship.

IQSI vs. FNDC - Sectors Allocation Comparison

Sectors	IQSI	FNDC
Financial Services	22.3%	11.4%
Technology	18.7%	10.1%
Industrials	16.2%	25.3%
Healthcare	13.2%	4.8%
Consumer Cyclical	7.5%	12.9%
Consumer Defensive	5.9%	6.1%
Basic Materials	5.1%	11.3%
Utilities	3.7%	2.6%
Communication Services	3.3%	4.7%
Real Estate	2.3%	6.6%
Energy	0.2%	4.1%

Return for Risk

IQSI vs. FNDC — Risk / Return Rank

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

IQSI

IQSI Risk / Return Rank: 44
IQSI Sharpe Ratio Rank: 45
IQSI Sortino Ratio Rank: 44
IQSI Omega Ratio Rank: 43
IQSI Calmar Ratio Rank: 40
IQSI Martin Ratio Rank: 46

FNDC

FNDC Risk / Return Rank: 48
FNDC Sharpe Ratio Rank: 49
FNDC Sortino Ratio Rank: 48
FNDC Omega Ratio Rank: 48
FNDC Calmar Ratio Rank: 44
FNDC Martin Ratio Rank: 48

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.

IQSI vs. FNDC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for IQ Candriam ESG International Equity ETF (IQSI) and Schwab Fundamental International Small Equity ETF (FNDC). 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.

	IQSI	FNDC	Difference
Sharpe ratio: Return per unit of total volatility	1.28	1.38	-0.10
Sortino ratio: Return per unit of downside risk	1.85	1.98	-0.14
Omega ratio: Gain probability vs. loss probability	1.23	1.25	-0.02
Calmar ratio: Return relative to maximum drawdown	1.68	1.84	-0.16
Martin ratio: Return relative to average drawdown	6.14	6.48	-0.34

IQSI vs. FNDC - Sharpe Ratio Comparison

The current IQSI Sharpe Ratio is 1.28, which is comparable to the FNDC Sharpe Ratio of 1.38. The chart below compares the historical Sharpe Ratios of IQSI and FNDC, 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

IQSI vs. FNDC - Drawdown Comparison

The maximum IQSI drawdown since its inception was -31.90%, smaller than the maximum FNDC drawdown of -43.22%. Use the drawdown chart below to compare losses from any high point for IQSI and FNDC.

Drawdown Indicators

	IQSI	FNDC	Difference
Max Drawdown Largest peak-to-trough decline	-31.90%	-43.22%	+11.32%
Max Drawdown (1Y) Largest decline over 1 year	-12.00%	-11.20%	-0.80%
Max Drawdown (3Y) Largest decline over 3 years	-14.02%	-12.98%	-1.04%
Max Drawdown (5Y) Largest decline over 5 years	-29.86%	-32.13%	+2.27%
Max Drawdown (10Y) Largest decline over 10 years	—	-43.22%	—
Current Drawdown Current decline from peak	-1.65%	-3.15%	+1.50%
Average Drawdown Average peak-to-trough decline	-6.40%	-8.40%	+2.00%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.28%	3.17%	+0.11%

Volatility

IQSI vs. FNDC - Volatility Comparison

IQ Candriam ESG International Equity ETF (IQSI) and Schwab Fundamental International Small Equity ETF (FNDC) have volatilities of 3.98% and 3.83%, 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

	IQSI	FNDC	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.98%	3.83%	+0.15%
Volatility (6M) Calculated over the trailing 6-month period	13.53%	12.87%	+0.66%
Volatility (1Y) Calculated over the trailing 1-year period	15.73%	14.91%	+0.82%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.41%	16.07%	+0.34%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.96%	16.65%	+2.31%

IQSI vs. FNDC - Expense Ratio Comparison

IQSI has a 0.15% expense ratio, which is lower than FNDC's 0.39% expense ratio.

Dividends

IQSI vs. FNDC - Dividend Comparison

IQSI's dividend yield for the trailing twelve months is around 2.71%, less than FNDC's 3.69% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FNDC Schwab Fundamental International Small Equity ETF	3.69%	3.86%	3.59%	2.86%	1.98%	2.58%	1.77%	2.71%	2.68%	1.94%	1.95%	1.30%
IQSI IQ Candriam ESG International Equity ETF	2.71%	2.75%	2.79%	2.98%	2.89%	2.75%	1.65%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both IQSI and FNDC in my portfolio?

With a correlation of 0.91, IQSI and FNDC move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, IQSI or FNDC?

IQSI has higher volatility (3.98%) compared to FNDC (3.83%). In terms of maximum drawdown, IQSI dropped -31.90% vs FNDC's -43.22%.

Which ETF is better, IQSI or FNDC?

On 5-year performance, IQSI leads with 8.47% vs 7.88% for FNDC. On fees, IQSI is cheaper at 0.15% per year. On volatility, FNDC has been the lower-risk option at 3.83%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IQSI or FNDC?

Over the 5-year period, IQSI has performed better with a 8.47% return vs 7.88%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IQSI or FNDC?

IQSI is cheaper with a 0.15% expense ratio, compared with 0.39% for FNDC.

Which ETF pays a higher dividend yield, IQSI or FNDC?

FNDC has the higher dividend yield at 3.69%, compared with 2.71% for IQSI.

What is the main difference between IQSI and FNDC?

IQSI is categorized as Foreign Large Cap Equities, while FNDC is Foreign Small & Mid Cap Equities. IQSI tracks IQ Candriam ESG International Equity Index, while FNDC tracks RAFI Fundamental High Liquidity Developed ex US Small Index (Net). They also come from different issuers: New York Life and Charles Schwab. Their fees differ too: 0.15% for IQSI and 0.39% for FNDC.

Which has better risk-adjusted returns?

FNDC currently has the higher Sharpe Ratio (1.38 vs 1.28), 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.