QLV vs. USMV

Last updated Jun 24, 2026

QLV (FlexShares US Quality Low Volatility Index Fund) and USMV (iShares MSCI USA Min Vol Factor ETF) are both exchange-traded funds - QLV is a Volatility Hedged Equity fund tracking the Northern Trust Quality Low Volatility Index, while USMV is a Large Cap Blend Equities fund tracking the MSCI USA Minimum Volatility Index. Both are passively managed. Over the past 5 years, QLV returned 10.02%/yr vs 7.02%/yr for USMV. Their correlation of 0.94 suggests significant overlap in exposure. QLV charges 0.22%/yr vs 0.15%/yr for USMV.

Performance

QLV vs. USMV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares US Quality Low Volatility Index Fund (QLV) and iShares MSCI USA Min Vol Factor ETF (USMV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, QLV achieves a 4.13% return, which is significantly higher than USMV's 1.14% return.

QLV

• 1D: 0.43%
• 1M: -2.08%
• YTD: 4.13%
• 6M: 3.50%
• 1Y: 12.78%
• 3Y*: 14.34%
• 5Y*: 10.02%
• 10Y*: —

USMV

• 1D: 0.29%
• 1M: -2.10%
• YTD: 1.14%
• 6M: 0.51%
• 1Y: 3.59%
• 3Y*: 10.93%
• 5Y*: 7.02%
• 10Y*: 9.79%

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

QLV vs. USMV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
QLV FlexShares US Quality Low Volatility Index Fund	4.13%	12.28%	18.08%	13.71%	-9.97%	26.08%	9.63%	5.97%
USMV iShares MSCI USA Min Vol Factor ETF	1.14%	7.65%	15.74%	10.33%	-9.43%	20.85%	5.64%	4.34%

Correlation

The correlation between QLV and USMV is 0.86, 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	0.86
Correlation (3Y) Calculated over the trailing 3-year period	0.89
Correlation (5Y) Calculated over the trailing 5-year period	0.93
Correlation (All Time) Calculated using the full available price history since Jul 16, 2019	0.94

The correlation between QLV and USMV has been stable across timeframes, ranging from 0.86 to 0.94 - a consistent structural relationship.

QLV vs. USMV - Sectors Allocation Comparison

Sectors	QLV	USMV
Technology	31.1%	33.9%
Healthcare	13.0%	12.6%
Financial Services	11.8%	11.7%
Communication Services	8.2%	6.2%
Consumer Defensive	8.1%	9.4%
Consumer Cyclical	6.4%	5.7%
Utilities	6.1%	6.9%
Industrials	6.1%	6.1%
Energy	5.2%	2.7%
Basic Materials	2.3%	2.4%
Real Estate	1.7%	2.5%

Return for Risk

QLV vs. USMV — Risk / Return Rank

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

QLV

QLV Risk / Return Rank: 50
QLV Sharpe Ratio Rank: 52
QLV Sortino Ratio Rank: 53
QLV Omega Ratio Rank: 49
QLV Calmar Ratio Rank: 44
QLV Martin Ratio Rank: 53

USMV

USMV Risk / Return Rank: 15
USMV Sharpe Ratio Rank: 15
USMV Sortino Ratio Rank: 13
USMV Omega Ratio Rank: 13
USMV Calmar Ratio Rank: 15
USMV Martin Ratio Rank: 17

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.

QLV vs. USMV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares US Quality Low Volatility Index Fund (QLV) and iShares MSCI USA Min Vol Factor ETF (USMV). 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.

	QLV	USMV	Difference
Sharpe ratio: Return per unit of total volatility	1.69	0.42	+1.27
Sortino ratio: Return per unit of downside risk	2.42	0.65	+1.78
Omega ratio: Gain probability vs. loss probability	1.30	1.08	+0.22
Calmar ratio: Return relative to maximum drawdown	2.07	0.56	+1.51
Martin ratio: Return relative to average drawdown	8.63	1.82	+6.81

QLV vs. USMV - Sharpe Ratio Comparison

The current QLV Sharpe Ratio is 1.69, which is higher than the USMV Sharpe Ratio of 0.42. The chart below compares the historical Sharpe Ratios of QLV and USMV, 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

QLV vs. USMV - Drawdown Comparison

The maximum QLV drawdown since its inception was -33.71%, roughly equal to the maximum USMV drawdown of -33.10%. Use the drawdown chart below to compare losses from any high point for QLV and USMV.

Drawdown Indicators

	QLV	USMV	Difference
Max Drawdown Largest peak-to-trough decline	-33.71%	-33.10%	-0.61%
Max Drawdown (1Y) Largest decline over 1 year	-6.19%	-6.46%	+0.27%
Max Drawdown (3Y) Largest decline over 3 years	-12.05%	-9.36%	-2.69%
Max Drawdown (5Y) Largest decline over 5 years	-17.93%	-17.93%	0.00%
Max Drawdown (10Y) Largest decline over 10 years	—	-33.10%	—
Current Drawdown Current decline from peak	-2.08%	-2.63%	+0.55%
Average Drawdown Average peak-to-trough decline	-3.98%	-2.87%	-1.11%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.48%	1.98%	-0.50%

Volatility

QLV vs. USMV - Volatility Comparison

The current volatility for FlexShares US Quality Low Volatility Index Fund (QLV) is 2.05%, while iShares MSCI USA Min Vol Factor ETF (USMV) has a volatility of 2.63%. This indicates that QLV experiences smaller price fluctuations and is considered to be less risky than USMV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	QLV	USMV	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.05%	2.63%	-0.58%
Volatility (6M) Calculated over the trailing 6-month period	5.53%	6.14%	-0.61%
Volatility (1Y) Calculated over the trailing 1-year period	7.66%	8.60%	-0.94%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.63%	12.35%	+0.28%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.52%	14.51%	+2.01%

QLV vs. USMV - Expense Ratio Comparison

QLV has a 0.22% expense ratio, which is higher than USMV's 0.15% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

QLV vs. USMV - Dividend Comparison

QLV's dividend yield for the trailing twelve months is around 1.60%, more than USMV's 1.53% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
QLV FlexShares US Quality Low Volatility Index Fund	1.60%	1.60%	1.66%	1.60%	1.74%	0.96%	1.24%	0.58%	0.00%	0.00%	0.00%	0.00%
USMV iShares MSCI USA Min Vol Factor ETF	1.53%	1.49%	1.67%	1.82%	1.62%	1.26%	1.81%	1.88%	2.12%	1.77%	2.22%	2.02%

Frequently Asked Questions

Can I hold both QLV and USMV in my portfolio?

QLV and USMV have a correlation of 0.86, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, QLV or USMV?

USMV has higher volatility (2.63%) compared to QLV (2.05%). In terms of maximum drawdown, QLV dropped -33.71% vs USMV's -33.10%.

Which ETF is better, QLV or USMV?

On 5-year performance, QLV leads with 10.02% vs 7.02% for USMV. On fees, USMV is cheaper at 0.15% per year. On volatility, QLV has been the lower-risk option at 2.05%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, QLV or USMV?

Over the 5-year period, QLV has performed better with a 10.02% return vs 7.02%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, QLV or USMV?

USMV is cheaper with a 0.15% expense ratio, compared with 0.22% for QLV.

Which ETF pays a higher dividend yield, QLV or USMV?

QLV has the higher dividend yield at 1.60%, compared with 1.53% for USMV.

What is the main difference between QLV and USMV?

QLV is categorized as Volatility Hedged Equity, while USMV is Large Cap Blend Equities. QLV tracks Northern Trust Quality Low Volatility Index, while USMV tracks MSCI USA Minimum Volatility Index. They also come from different issuers: Northern Trust and iShares. Their fees differ too: 0.22% for QLV and 0.15% for USMV.

Which has better risk-adjusted returns?

QLV currently has the higher Sharpe Ratio (1.69 vs 0.42), 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.