MSIF vs. QLTY

Last updated Jun 24, 2026

MSIF (MSC Income Fund, Inc.) is a stock, while QLTY (GMO U.S. Quality ETF) is Large Cap Blend Equities fund tracking the S&P 500. Over the past year, MSIF returned -24.92% vs 23.44% for QLTY. At a 0.32 correlation, their price movements are largely independent.

Performance

MSIF vs. QLTY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in MSC Income Fund, Inc. (MSIF) and GMO U.S. Quality ETF (QLTY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, MSIF achieves a -10.68% return, which is significantly lower than QLTY's 5.56% return.

MSIF

• 1D: 0.71%
• 1M: -3.47%
• YTD: -10.68%
• 6M: -8.62%
• 1Y: -24.92%
• 3Y*: —
• 5Y*: —
• 10Y*: —

QLTY

• 1D: -0.98%
• 1M: -1.19%
• YTD: 5.56%
• 6M: 4.84%
• 1Y: 23.44%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

MSIF vs. QLTY - Yearly Performance Comparison

	2026 (YTD)	2025
MSIF MSC Income Fund, Inc.	-10.68%	-6.00%
QLTY GMO U.S. Quality ETF	5.56%	16.38%

Correlation

The correlation between MSIF and QLTY is 0.27, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.27
Correlation (All Time) Calculated using the full available price history since Jan 29, 2025	0.32

Return for Risk

MSIF vs. QLTY — Risk / Return Rank

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

MSIF

MSIF Risk / Return Rank: 8
MSIF Sharpe Ratio Rank: 6
MSIF Sortino Ratio Rank: 8
MSIF Omega Ratio Rank: 10
MSIF Calmar Ratio Rank: 5
MSIF Martin Ratio Rank: 8

QLTY

QLTY Risk / Return Rank: 53
QLTY Sharpe Ratio Rank: 59
QLTY Sortino Ratio Rank: 59
QLTY Omega Ratio Rank: 56
QLTY Calmar Ratio Rank: 43
QLTY Martin Ratio Rank: 51

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.

MSIF vs. QLTY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for MSC Income Fund, Inc. (MSIF) and GMO U.S. Quality ETF (QLTY). 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.

	MSIF	QLTY	Difference
Sharpe ratio: Return per unit of total volatility	-0.93	1.87	-2.80
Sortino ratio: Return per unit of downside risk	-1.31	2.65	-3.96
Omega ratio: Gain probability vs. loss probability	0.86	1.33	-0.47
Calmar ratio: Return relative to maximum drawdown	-0.93	2.01	-2.94
Martin ratio: Return relative to average drawdown	-1.44	8.15	-9.59

MSIF vs. QLTY - Sharpe Ratio Comparison

The current MSIF Sharpe Ratio is -0.93, which is lower than the QLTY Sharpe Ratio of 1.87. The chart below compares the historical Sharpe Ratios of MSIF and QLTY, 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

MSIF vs. QLTY - Drawdown Comparison

The maximum MSIF drawdown since its inception was -30.63%, which is greater than QLTY's maximum drawdown of -17.00%. Use the drawdown chart below to compare losses from any high point for MSIF and QLTY.

Drawdown Indicators

	MSIF	QLTY	Difference
Max Drawdown Largest peak-to-trough decline	-30.63%	-17.00%	-13.63%
Max Drawdown (1Y) Largest decline over 1 year	-26.92%	-11.71%	-15.21%
Current Drawdown Current decline from peak	-29.51%	-2.89%	-26.62%
Average Drawdown Average peak-to-trough decline	-16.74%	-2.04%	-14.70%
Ulcer Index Depth and duration of drawdowns from previous peaks	17.33%	2.88%	+14.45%

Volatility

MSIF vs. QLTY - Volatility Comparison

MSC Income Fund, Inc. (MSIF) has a higher volatility of 7.97% compared to GMO U.S. Quality ETF (QLTY) at 4.05%. This indicates that MSIF's price experiences larger fluctuations and is considered to be riskier than QLTY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MSIF	QLTY	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.97%	4.05%	+3.92%
Volatility (6M) Calculated over the trailing 6-month period	18.77%	9.74%	+9.03%
Volatility (1Y) Calculated over the trailing 1-year period	27.00%	12.65%	+14.35%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	29.47%	14.68%	+14.79%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	29.47%	14.68%	+14.79%

Dividends

MSIF vs. QLTY - Dividend Comparison

MSIF's dividend yield for the trailing twelve months is around 12.64%, more than QLTY's 0.72% yield.

Position	TTM	2025	2024	2023
MSIF MSC Income Fund, Inc.	12.64%	10.96%	0.00%	0.00%
QLTY GMO U.S. Quality ETF	0.72%	0.73%	0.79%	0.15%

Frequently Asked Questions

Can I hold both MSIF and QLTY in my portfolio?

MSIF and QLTY have a correlation of 0.27, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, MSIF or QLTY?

MSIF has higher volatility (7.97%) compared to QLTY (4.05%). In terms of maximum drawdown, MSIF dropped -30.63% vs QLTY's -17.00%.

Which has better risk-adjusted returns?

QLTY currently has the higher Sharpe Ratio (1.87 vs -0.93), 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.