MSSM vs. RUSC

Last updated Jun 4, 2026

MSSM (Morgan Stanley Pathway Small-Mid Cap Equity ETF) and RUSC (U.S. Small Cap Equity Active ETF) are both Small Cap Blend Equities funds. Both are actively managed. Over the past year, MSSM returned 35.45% vs 38.22% for RUSC. With a 0.97 correlation, they move nearly in lockstep. MSSM charges 0.62%/yr vs 0.64%/yr for RUSC.

Performance

MSSM vs. RUSC - 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 U.S. Small Cap Equity Active ETF (RUSC). 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 MSSM having a 17.34% return and RUSC slightly higher at 18.04%.

MSSM

• 1D: -0.79%
• 1M: 3.77%
• YTD: 17.34%
• 6M: 17.18%
• 1Y: 35.45%
• 3Y*: —
• 5Y*: —
• 10Y*: —

RUSC

• 1D: -0.75%
• 1M: 2.94%
• YTD: 18.04%
• 6M: 17.30%
• 1Y: 38.22%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

MSSM vs. RUSC - Yearly Performance Comparison

	2026 (YTD)	2025
MSSM Morgan Stanley Pathway Small-Mid Cap Equity ETF	17.34%	16.10%
RUSC U.S. Small Cap Equity Active ETF	18.04%	17.50%

Correlation

The correlation between MSSM and RUSC is 0.97 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.97
Correlation (All Time) Calculated using the full available price history since May 15, 2025	0.97

The correlation between MSSM and RUSC has been stable across timeframes, ranging from 0.97 to 0.97 - a consistent structural relationship.

Return for Risk

MSSM vs. RUSC — Risk / Return Rank

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

MSSM

MSSM Risk / Return Rank: 67
MSSM Sharpe Ratio Rank: 63
MSSM Sortino Ratio Rank: 63
MSSM Omega Ratio Rank: 58
MSSM Calmar Ratio Rank: 75
MSSM Martin Ratio Rank: 76

RUSC

RUSC Risk / Return Rank: 70
RUSC Sharpe Ratio Rank: 65
RUSC Sortino Ratio Rank: 66
RUSC Omega Ratio Rank: 61
RUSC Calmar Ratio Rank: 81
RUSC Martin Ratio Rank: 78

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. RUSC - 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 U.S. Small Cap Equity Active ETF (RUSC). 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	RUSC	Difference
Sharpe ratio: Return per unit of total volatility	2.07	2.12	-0.06
Sortino ratio: Return per unit of downside risk	2.90	3.01	-0.10
Omega ratio: Gain probability vs. loss probability	1.35	1.37	-0.02
Calmar ratio: Return relative to maximum drawdown	3.75	4.18	-0.43
Martin ratio: Return relative to average drawdown	14.47	14.94	-0.46
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. RUSC - Sharpe Ratio Comparison

The current MSSM Sharpe Ratio is 2.07, which is comparable to the RUSC Sharpe Ratio of 2.12. The chart below compares the historical Sharpe Ratios of MSSM and RUSC, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	MSSM	RUSC	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.07	2.12	-0.06
Sharpe Ratio (All Time) Calculated using the full available price history	0.73	2.03	-1.30

Drawdowns

MSSM vs. RUSC - Drawdown Comparison

The maximum MSSM drawdown since its inception was -24.18%, which is greater than RUSC's maximum drawdown of -9.18%. Use the drawdown chart below to compare losses from any high point for MSSM and RUSC.

Drawdown Indicators

	MSSM	RUSC	Difference
Max Drawdown Largest peak-to-trough decline	-24.18%	-9.18%	-15.00%
Max Drawdown (1Y) Largest decline over 1 year	-9.50%	-9.18%	-0.32%
Current Drawdown Current decline from peak	-0.79%	-1.27%	+0.48%
Average Drawdown Average peak-to-trough decline	-4.67%	-1.75%	-2.92%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.46%	2.57%	-0.11%

Volatility

MSSM vs. RUSC - Volatility Comparison

The current volatility for Morgan Stanley Pathway Small-Mid Cap Equity ETF (MSSM) is 5.05%, while U.S. Small Cap Equity Active ETF (RUSC) has a volatility of 5.36%. This indicates that MSSM experiences smaller price fluctuations and is considered to be less risky than RUSC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MSSM	RUSC	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.05%	5.36%	-0.31%
Volatility (6M) Calculated over the trailing 6-month period	12.76%	12.99%	-0.23%
Volatility (1Y) Calculated over the trailing 1-year period	17.27%	18.14%	-0.87%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.91%	18.09%	+2.82%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.91%	18.09%	+2.82%

MSSM vs. RUSC - Expense Ratio Comparison

MSSM has a 0.62% expense ratio, which is lower than RUSC's 0.64% expense ratio.

Dividends

MSSM vs. RUSC - Dividend Comparison

MSSM's dividend yield for the trailing twelve months is around 2.69%, more than RUSC's 0.32% yield.

Position	TTM	2025
MSSM Morgan Stanley Pathway Small-Mid Cap Equity ETF	2.69%	3.15%
RUSC U.S. Small Cap Equity Active ETF	0.32%	0.38%

Frequently Asked Questions

Can I hold both MSSM and RUSC in my portfolio?

With a correlation of 0.97, MSSM and RUSC 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, MSSM or RUSC?

RUSC has higher volatility (5.36%) compared to MSSM (5.05%). In terms of maximum drawdown, MSSM dropped -24.18% vs RUSC's -9.18%.

Which ETF is better, MSSM or RUSC?

On 1-year performance, RUSC leads with 38.22% vs 35.45% for MSSM. On fees, MSSM is cheaper at 0.62% per year. On volatility, MSSM has been the lower-risk option at 5.05%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, MSSM or RUSC?

Over the 1-year period, RUSC has performed better with a 38.22% return vs 35.45%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, MSSM or RUSC?

MSSM is cheaper with a 0.62% expense ratio, compared with 0.64% for RUSC.

Which ETF pays a higher dividend yield, MSSM or RUSC?

MSSM has the higher dividend yield at 2.69%, compared with 0.32% for RUSC.

What is the main difference between MSSM and RUSC?

They also come from different issuers: Morgan Stanley and Russell. Their fees differ too: 0.62% for MSSM and 0.64% for RUSC.

Which has better risk-adjusted returns?

RUSC currently has the higher Sharpe Ratio (2.12 vs 2.07), 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.