MSSM vs. OVS

Last updated Apr 1, 2026

Compare and contrast key facts about Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM) and Overlay Shares Small Cap Equity ETF (OVS).

MSSM and OVS are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. MSSM is an actively managed fund by Morgan Stanley. It was launched on Dec 9, 2024. OVS is an actively managed fund by Liquid Strategies. It was launched on Sep 30, 2019.

Performance

MSSM vs. OVS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM) and Overlay Shares Small Cap Equity ETF (OVS). The values are adjusted to include any dividend payments, if applicable.

MSSM vs. OVS - Yearly Performance Comparison

	2026 (YTD)	2025	2024
MSSM Morgan Stanley Pathway Small-Mid Cap Equity ETF	2.02%	11.33%	-5.83%
OVS Overlay Shares Small Cap Equity ETF	4.70%	6.15%	-7.28%

Returns By Period

In the year-to-date period, MSSM achieves a 2.02% return, which is significantly lower than OVS's 4.70% return.

MSSM

• 1D: 3.41%
• 1M: -5.48%
• YTD: 2.02%
• 6M: 4.73%
• 1Y: 23.35%
• 3Y*: —
• 5Y*: —
• 10Y*: —

OVS

• 1D: 3.03%
• 1M: -3.86%
• YTD: 4.70%
• 6M: 6.98%
• 1Y: 23.91%
• 3Y*: 12.01%
• 5Y*: 4.50%
• 10Y*: —

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

MSSM vs. OVS - Expense Ratio Comparison

MSSM has a 0.62% expense ratio, which is lower than OVS's 0.83% expense ratio.

OVS

Overlay Shares Small Cap Equity ETF

MSSM

Morgan Stanley Pathway Small-Mid Cap Equity ETF

Return for Risk

MSSM vs. OVS — Risk / Return Rank

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

MSSM

MSSM Risk / Return Rank: 60
MSSM Sharpe Ratio Rank: 58
MSSM Sortino Ratio Rank: 59
MSSM Omega Ratio Rank: 55
MSSM Calmar Ratio Rank: 62
MSSM Martin Ratio Rank: 66

OVS

OVS Risk / Return Rank: 56
OVS Sharpe Ratio Rank: 52
OVS Sortino Ratio Rank: 56
OVS Omega Ratio Rank: 51
OVS Calmar Ratio Rank: 60
OVS 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.

MSSM vs. OVS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM) and Overlay Shares Small Cap Equity ETF (OVS). 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.

	MSSM	OVS	Difference
Sharpe ratio Return per unit of total volatility	1.07	0.96	+0.11
Sortino ratio Return per unit of downside risk	1.58	1.48	+0.10
Omega ratio Gain probability vs. loss probability	1.21	1.20	+0.02
Calmar ratio Return relative to maximum drawdown	1.63	1.56	+0.07
Martin ratio Return relative to average drawdown	6.89	6.45	+0.44
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MSSM vs. OVS - Sharpe Ratio Comparison

The current MSSM Sharpe Ratio is 1.07, which is comparable to the OVS Sharpe Ratio of 0.96. The chart below compares the historical Sharpe Ratios of MSSM and OVS, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	MSSM	OVS	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.07	0.96	+0.11
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.19	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.25	0.37	-0.12

Correlation

The correlation between MSSM and OVS is 0.95, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.

Dividends

MSSM vs. OVS - Dividend Comparison

MSSM's dividend yield for the trailing twelve months is around 3.09%, less than OVS's 6.32% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019
MSSM Morgan Stanley Pathway Small-Mid Cap Equity ETF	3.09%	3.15%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
OVS Overlay Shares Small Cap Equity ETF	6.32%	3.69%	4.08%	3.19%	3.43%	4.05%	1.74%	0.54%

Drawdowns

MSSM vs. OVS - Drawdown Comparison

The maximum MSSM drawdown since its inception was -24.18%, smaller than the maximum OVS drawdown of -45.09%. Use the drawdown chart below to compare losses from any high point for MSSM and OVS.

Drawdown Indicators

	MSSM	OVS	Difference
Max Drawdown Largest peak-to-trough decline	-24.18%	-45.09%	+20.91%
Max Drawdown (1Y) Largest decline over 1 year	-14.13%	-15.95%	+1.82%
Max Drawdown (5Y) Largest decline over 5 years	—	-30.49%	—
Current Drawdown Current decline from peak	-6.42%	-5.40%	-1.02%
Average Drawdown Average peak-to-trough decline	-5.12%	-11.63%	+6.51%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.34%	3.85%	-0.51%

Volatility

MSSM vs. OVS - Volatility Comparison

Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM) has a higher volatility of 7.40% compared to Overlay Shares Small Cap Equity ETF (OVS) at 6.99%. This indicates that MSSM's price experiences larger fluctuations and is considered to be riskier than OVS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MSSM	OVS	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.40%	6.99%	+0.41%
Volatility (6M) Calculated over the trailing 6-month period	13.24%	14.80%	-1.56%
Volatility (1Y) Calculated over the trailing 1-year period	21.97%	24.98%	-3.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.36%	23.35%	-1.99%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.36%	27.72%	-6.36%