MGV vs. HSCZ

Last updated Jun 14, 2026

MGV (Vanguard Mega Cap Value ETF) and HSCZ (iShares Currency Hedged MSCI EAFE Small Cap ETF) are both exchange-traded funds - MGV is a Large Cap Value Equities fund tracking the CRSP US Mega Cap Value Index, while HSCZ is a Foreign Small & Mid Cap Equities fund tracking the MSCI EAFE Small-Cap 100% Hedged to USD Index. Both are passively managed. Over the past 10 years, MGV returned 13.15%/yr vs 12.35%/yr for HSCZ. A 0.65 correlation means they provide meaningful diversification when combined. MGV charges 0.05%/yr vs 0.43%/yr for HSCZ.

Performance

MGV vs. HSCZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Mega Cap Value ETF (MGV) and iShares Currency Hedged MSCI EAFE Small Cap ETF (HSCZ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MGV achieves a 15.50% return, which is significantly higher than HSCZ's 10.99% return. Over the past 10 years, MGV has outperformed HSCZ with an annualized return of 13.15%, while HSCZ has yielded a comparatively lower 12.35% annualized return.

MGV

• 1D: 0.90%
• 1M: 4.18%
• YTD: 15.50%
• 6M: 15.37%
• 1Y: 28.69%
• 3Y*: 18.98%
• 5Y*: 12.53%
• 10Y*: 13.15%

HSCZ

• 1D: 0.71%
• 1M: 0.48%
• YTD: 10.99%
• 6M: 13.18%
• 1Y: 29.11%
• 3Y*: 18.32%
• 5Y*: 10.94%
• 10Y*: 12.35%

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

MGV vs. HSCZ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MGV Vanguard Mega Cap Value ETF	15.50%	15.45%	16.94%	9.16%	-1.22%	25.93%	2.50%	25.54%	-4.13%	16.85%
HSCZ iShares Currency Hedged MSCI EAFE Small Cap ETF	10.99%	25.74%	12.89%	17.03%	-11.46%	17.75%	6.40%	27.89%	-13.99%	24.52%

Correlation

The correlation between MGV and HSCZ is 0.64, 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	0.64
Correlation (3Y) Calculated over the trailing 3-year period	0.64
Correlation (5Y) Calculated over the trailing 5-year period	0.69
Correlation (10Y) Calculated over the trailing 10-year period	0.66
Correlation (All Time) Calculated using the full available price history since Jul 14, 2015	0.65

The correlation between MGV and HSCZ has been stable across timeframes, ranging from 0.64 to 0.69 - a consistent structural relationship.

MGV vs. HSCZ - Sectors Allocation Comparison

Sectors	MGV	HSCZ
Financial Services	23.9%	13.3%
Healthcare	16.6%	4.8%
Technology	14.2%	10.8%
Industrials	13.7%	24.4%
Consumer Defensive	11.9%	3.9%
Energy	6.6%	3.8%
Consumer Cyclical	3.7%	10.8%
Communication Services	3.4%	3.1%
Utilities	2.6%	2.4%
Basic Materials	2.4%	10.8%
Real Estate	1.2%	9.5%

Return for Risk

MGV vs. HSCZ — Risk / Return Rank

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

MGV

MGV Risk / Return Rank: 90
MGV Sharpe Ratio Rank: 91
MGV Sortino Ratio Rank: 92
MGV Omega Ratio Rank: 89
MGV Calmar Ratio Rank: 87
MGV Martin Ratio Rank: 88

HSCZ

HSCZ Risk / Return Rank: 80
HSCZ Sharpe Ratio Rank: 86
HSCZ Sortino Ratio Rank: 87
HSCZ Omega Ratio Rank: 85
HSCZ Calmar Ratio Rank: 67
HSCZ Martin Ratio Rank: 75

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.

MGV vs. HSCZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Mega Cap Value ETF (MGV) and iShares Currency Hedged MSCI EAFE Small Cap ETF (HSCZ). 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.

	MGV	HSCZ	Difference
Sharpe ratio: Return per unit of total volatility	2.76	2.45	+0.32
Sortino ratio: Return per unit of downside risk	3.92	3.44	+0.48
Omega ratio: Gain probability vs. loss probability	1.50	1.45	+0.04
Calmar ratio: Return relative to maximum drawdown	4.36	2.95	+1.41
Martin ratio: Return relative to average drawdown	16.56	12.57	+3.98

MGV vs. HSCZ - Sharpe Ratio Comparison

The current MGV Sharpe Ratio is 2.76, which is comparable to the HSCZ Sharpe Ratio of 2.45. The chart below compares the historical Sharpe Ratios of MGV and HSCZ, 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

MGV vs. HSCZ - Drawdown Comparison

The maximum MGV drawdown since its inception was -56.07%, which is greater than HSCZ's maximum drawdown of -34.89%. Use the drawdown chart below to compare losses from any high point for MGV and HSCZ.

Drawdown Indicators

	MGV	HSCZ	Difference
Max Drawdown Largest peak-to-trough decline	-56.07%	-34.89%	-21.18%
Max Drawdown (1Y) Largest decline over 1 year	-6.42%	-9.61%	+3.19%
Max Drawdown (3Y) Largest decline over 3 years	-13.18%	-12.81%	-0.37%
Max Drawdown (5Y) Largest decline over 5 years	-16.54%	-20.11%	+3.57%
Max Drawdown (10Y) Largest decline over 10 years	-35.41%	-34.89%	-0.52%
Current Drawdown Current decline from peak	0.00%	-0.60%	+0.60%
Average Drawdown Average peak-to-trough decline	-7.78%	-4.64%	-3.14%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.69%	2.25%	-0.56%

Volatility

MGV vs. HSCZ - Volatility Comparison

The current volatility for Vanguard Mega Cap Value ETF (MGV) is 3.33%, while iShares Currency Hedged MSCI EAFE Small Cap ETF (HSCZ) has a volatility of 4.08%. This indicates that MGV experiences smaller price fluctuations and is considered to be less risky than HSCZ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MGV	HSCZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.33%	4.08%	-0.75%
Volatility (6M) Calculated over the trailing 6-month period	7.77%	9.68%	-1.91%
Volatility (1Y) Calculated over the trailing 1-year period	10.13%	11.60%	-1.47%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.61%	13.52%	+0.09%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.35%	15.68%	+0.67%

MGV vs. HSCZ - Expense Ratio Comparison

MGV has a 0.05% expense ratio, which is lower than HSCZ's 0.43% expense ratio.

Dividends

MGV vs. HSCZ - Dividend Comparison

MGV's dividend yield for the trailing twelve months is around 1.85%, less than HSCZ's 2.93% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HSCZ iShares Currency Hedged MSCI EAFE Small Cap ETF	2.93%	3.25%	3.26%	2.98%	26.91%	2.90%	1.46%	4.66%	6.15%	2.52%	2.57%	1.75%
MGV Vanguard Mega Cap Value ETF	1.85%	2.04%	2.31%	2.48%	2.45%	2.17%	2.47%	2.69%	2.65%	2.34%	2.53%	2.59%

Frequently Asked Questions

Can I hold both MGV and HSCZ in my portfolio?

MGV and HSCZ have a correlation of 0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MGV or HSCZ?

HSCZ has higher volatility (4.08%) compared to MGV (3.33%). In terms of maximum drawdown, MGV dropped -56.07% vs HSCZ's -34.89%.

Which ETF is better, MGV or HSCZ?

On 10-year performance, MGV leads with 13.15% vs 12.35% for HSCZ. On fees, MGV is cheaper at 0.05% per year. On volatility, MGV has been the lower-risk option at 3.33%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, MGV or HSCZ?

Over the 10-year period, MGV has performed better with a 13.15% return vs 12.35%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, MGV or HSCZ?

MGV is cheaper with a 0.05% expense ratio, compared with 0.43% for HSCZ.

Which ETF pays a higher dividend yield, MGV or HSCZ?

HSCZ has the higher dividend yield at 2.93%, compared with 1.85% for MGV.

What is the main difference between MGV and HSCZ?

MGV is categorized as Large Cap Value Equities, while HSCZ is Foreign Small & Mid Cap Equities. MGV tracks CRSP US Mega Cap Value Index, while HSCZ tracks MSCI EAFE Small-Cap 100% Hedged to USD Index. They also come from different issuers: Vanguard and iShares. Their fees differ too: 0.05% for MGV and 0.43% for HSCZ.

Which has better risk-adjusted returns?

MGV currently has the higher Sharpe Ratio (2.76 vs 2.45), 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.