PRF vs. FSMD

Last updated Jun 16, 2026

PRF (Invesco RAFI US 1000 ETF) and FSMD (Fidelity Small-Mid Multifactor ETF) are both exchange-traded funds - PRF is a Large Cap Value Equities fund tracking the RAFI Fundamental Select US 1000 Index, while FSMD is a Small Cap Growth Equities fund tracking the Fidelity Small-Mid Multifactor Index. Both are passively managed. Over the past 5 years, PRF returned 13.06%/yr vs 10.41%/yr for FSMD. Their correlation of 0.90 suggests significant overlap in exposure. PRF charges 0.34%/yr vs 0.29%/yr for FSMD.

Performance

PRF vs. FSMD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco RAFI US 1000 ETF (PRF) and Fidelity Small-Mid Multifactor ETF (FSMD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PRF achieves a 16.44% return, which is significantly lower than FSMD's 18.15% return.

PRF

• 1D: 0.68%
• 1M: 4.19%
• YTD: 16.44%
• 6M: 16.00%
• 1Y: 34.32%
• 3Y*: 20.74%
• 5Y*: 13.06%
• 10Y*: 13.94%

FSMD

• 1D: 0.48%
• 1M: 6.83%
• YTD: 18.15%
• 6M: 16.30%
• 1Y: 30.28%
• 3Y*: 17.72%
• 5Y*: 10.41%
• 10Y*: —

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

PRF vs. FSMD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
PRF Invesco RAFI US 1000 ETF	16.44%	18.33%	16.73%	15.72%	-7.79%	31.12%	7.78%	13.98%
FSMD Fidelity Small-Mid Multifactor ETF	18.15%	8.70%	15.18%	17.37%	-11.15%	26.40%	8.94%	8.81%

Correlation

The correlation between PRF and FSMD is 0.89, 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	0.89
Correlation (3Y) Calculated over the trailing 3-year period	0.90
Correlation (5Y) Calculated over the trailing 5-year period	0.92
Correlation (All Time) Calculated using the full available price history since Feb 28, 2019	0.90

The correlation between PRF and FSMD has been stable across timeframes, ranging from 0.89 to 0.92 - a consistent structural relationship.

PRF vs. FSMD - Sectors Allocation Comparison

Sectors	PRF	FSMD
Technology	23.1%	20.5%
Financial Services	15.4%	14.8%
Healthcare	12.0%	11.7%
Communication Services	9.4%	2.9%
Industrials	8.9%	20.1%
Consumer Cyclical	8.7%	10.6%
Energy	7.9%	4.1%
Consumer Defensive	6.0%	3.1%
Basic Materials	3.3%	4.0%
Utilities	3.0%	2.1%
Real Estate	2.4%	6.2%

Return for Risk

PRF vs. FSMD — Risk / Return Rank

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

PRF

PRF Risk / Return Rank: 93
PRF Sharpe Ratio Rank: 94
PRF Sortino Ratio Rank: 94
PRF Omega Ratio Rank: 93
PRF Calmar Ratio Rank: 91
PRF Martin Ratio Rank: 93

FSMD

FSMD Risk / Return Rank: 69
FSMD Sharpe Ratio Rank: 65
FSMD Sortino Ratio Rank: 68
FSMD Omega Ratio Rank: 62
FSMD Calmar Ratio Rank: 77
FSMD 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.

PRF vs. FSMD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco RAFI US 1000 ETF (PRF) and Fidelity Small-Mid Multifactor ETF (FSMD). 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.

	PRF	FSMD	Difference
Sharpe ratio: Return per unit of total volatility	3.16	1.95	+1.21
Sortino ratio: Return per unit of downside risk	4.34	2.80	+1.53
Omega ratio: Gain probability vs. loss probability	1.58	1.34	+0.24
Calmar ratio: Return relative to maximum drawdown	5.23	3.61	+1.62
Martin ratio: Return relative to average drawdown	21.40	12.98	+8.42

PRF vs. FSMD - Sharpe Ratio Comparison

The current PRF Sharpe Ratio is 3.16, which is higher than the FSMD Sharpe Ratio of 1.95. The chart below compares the historical Sharpe Ratios of PRF and FSMD, 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

PRF vs. FSMD - Drawdown Comparison

The maximum PRF drawdown since its inception was -60.35%, which is greater than FSMD's maximum drawdown of -40.67%. Use the drawdown chart below to compare losses from any high point for PRF and FSMD.

Drawdown Indicators

	PRF	FSMD	Difference
Max Drawdown Largest peak-to-trough decline	-60.35%	-40.67%	-19.68%
Max Drawdown (1Y) Largest decline over 1 year	-6.59%	-8.44%	+1.85%
Max Drawdown (3Y) Largest decline over 3 years	-15.82%	-22.16%	+6.34%
Max Drawdown (5Y) Largest decline over 5 years	-19.72%	-22.16%	+2.44%
Max Drawdown (10Y) Largest decline over 10 years	-38.16%	—	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-6.92%	-5.98%	-0.94%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.61%	2.34%	-0.73%

Volatility

PRF vs. FSMD - Volatility Comparison

The current volatility for Invesco RAFI US 1000 ETF (PRF) is 3.64%, while Fidelity Small-Mid Multifactor ETF (FSMD) has a volatility of 5.15%. This indicates that PRF experiences smaller price fluctuations and is considered to be less risky than FSMD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PRF	FSMD	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.64%	5.15%	-1.51%
Volatility (6M) Calculated over the trailing 6-month period	8.18%	11.81%	-3.63%
Volatility (1Y) Calculated over the trailing 1-year period	10.93%	15.64%	-4.71%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.24%	18.55%	-3.31%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.69%	21.42%	-3.73%

PRF vs. FSMD - Expense Ratio Comparison

PRF has a 0.34% expense ratio, which is higher than FSMD's 0.29% expense ratio.

Dividends

PRF vs. FSMD - Dividend Comparison

PRF's dividend yield for the trailing twelve months is around 1.36%, more than FSMD's 1.18% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FSMD Fidelity Small-Mid Multifactor ETF	1.18%	1.33%	1.29%	1.37%	1.54%	1.18%	1.32%	1.37%	0.00%	0.00%	0.00%	0.00%
PRF Invesco RAFI US 1000 ETF	1.36%	1.59%	1.78%	1.84%	2.01%	1.58%	1.97%	1.99%	2.25%	1.58%	2.17%	2.25%

Frequently Asked Questions

Can I hold both PRF and FSMD in my portfolio?

PRF and FSMD have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PRF or FSMD?

FSMD has higher volatility (5.15%) compared to PRF (3.64%). In terms of maximum drawdown, PRF dropped -60.35% vs FSMD's -40.67%.

Which ETF is better, PRF or FSMD?

On 5-year performance, PRF leads with 13.06% vs 10.41% for FSMD. On fees, FSMD is cheaper at 0.29% per year. On volatility, PRF has been the lower-risk option at 3.64%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, PRF or FSMD?

Over the 5-year period, PRF has performed better with a 13.06% return vs 10.41%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, PRF or FSMD?

FSMD is cheaper with a 0.29% expense ratio, compared with 0.34% for PRF.

Which ETF pays a higher dividend yield, PRF or FSMD?

PRF has the higher dividend yield at 1.36%, compared with 1.18% for FSMD.

What is the main difference between PRF and FSMD?

PRF is categorized as Large Cap Value Equities, while FSMD is Small Cap Growth Equities. PRF tracks RAFI Fundamental Select US 1000 Index, while FSMD tracks Fidelity Small-Mid Multifactor Index. They also come from different issuers: Invesco and Fidelity. Their fees differ too: 0.34% for PRF and 0.29% for FSMD.

Which has better risk-adjusted returns?

PRF currently has the higher Sharpe Ratio (3.16 vs 1.95), 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.