QLVE vs. XSHD

Last updated Jun 4, 2026

QLVE (FlexShares Emerging Markets Quality Low Volatility Index Fund) and XSHD (Invesco S&P SmallCap High Dividend Low Volatility ETF) are both Volatility Hedged Equity funds - QLVE tracks the Northern Trust Emerging Markets Quality Low Volatility Index while XSHD tracks the S&P SmallCap 600 Low Volatility High Dividend Index. Both are passively managed. Over the past 5 years, QLVE returned 7.43%/yr vs -5.26%/yr for XSHD. At a 0.46 correlation, their price movements are largely independent. QLVE charges 0.40%/yr vs 0.30%/yr for XSHD.

Performance

QLVE vs. XSHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares Emerging Markets Quality Low Volatility Index Fund (QLVE) and Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, QLVE achieves a 18.06% return, which is significantly higher than XSHD's 6.99% return.

QLVE

• 1D: -1.29%
• 1M: 7.29%
• YTD: 18.06%
• 6M: 19.74%
• 1Y: 34.41%
• 3Y*: 18.46%
• 5Y*: 7.43%
• 10Y*: —

XSHD

• 1D: -1.25%
• 1M: -1.41%
• YTD: 6.99%
• 6M: 6.10%
• 1Y: 6.80%
• 3Y*: 1.31%
• 5Y*: -5.26%
• 10Y*: —

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

QLVE vs. XSHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
QLVE FlexShares Emerging Markets Quality Low Volatility Index Fund	18.06%	21.87%	10.17%	8.53%	-13.10%	0.90%	4.16%	4.98%
XSHD Invesco S&P SmallCap High Dividend Low Volatility ETF	6.99%	-6.41%	-5.25%	3.00%	-19.48%	18.31%	-13.55%	5.88%

Correlation

The correlation between QLVE and XSHD is 0.32, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.32
Correlation (3Y) Calculated over the trailing 3-year period	0.43
Correlation (5Y) Calculated over the trailing 5-year period	0.45
Correlation (All Time) Calculated using the full available price history since Jul 17, 2019	0.46

The correlation between QLVE and XSHD shifts across timeframes, from 0.32 (1 year) to 0.46 (all time), reflecting how their relationship changes across market environments.

QLVE vs. XSHD - Sectors Allocation Comparison

Sectors	QLVE	XSHD
Technology	59.6%	-
Financial Services	38.5%	2.2%
Communication Services	18.4%	1.9%
Consumer Defensive	10.8%	9.6%
Consumer Cyclical	10.4%	6.8%
Healthcare	7.6%	2.7%
Energy	7.2%	7.6%
Industrials	7.1%	10.4%
Basic Materials	5.5%	5.4%
Utilities	5.4%	10.7%
Real Estate	0.1%	45.1%

Return for Risk

QLVE vs. XSHD — Risk / Return Rank

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

QLVE

QLVE Risk / Return Rank: 64
QLVE Sharpe Ratio Rank: 62
QLVE Sortino Ratio Rank: 64
QLVE Omega Ratio Rank: 70
QLVE Calmar Ratio Rank: 60
QLVE Martin Ratio Rank: 66

XSHD

XSHD Risk / Return Rank: 16
XSHD Sharpe Ratio Rank: 16
XSHD Sortino Ratio Rank: 16
XSHD Omega Ratio Rank: 15
XSHD Calmar Ratio Rank: 17
XSHD 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.

QLVE vs. XSHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares Emerging Markets Quality Low Volatility Index Fund (QLVE) and Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD). 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.

	QLVE	XSHD	Difference
Sharpe ratio: Return per unit of total volatility	2.10	0.46	+1.64
Sortino ratio: Return per unit of downside risk	2.99	0.78	+2.20
Omega ratio: Gain probability vs. loss probability	1.42	1.09	+0.33
Calmar ratio: Return relative to maximum drawdown	2.98	0.65	+2.33
Martin ratio: Return relative to average drawdown	11.97	1.75	+10.22
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

QLVE vs. XSHD - Sharpe Ratio Comparison

The current QLVE Sharpe Ratio is 2.10, which is higher than the XSHD Sharpe Ratio of 0.46. The chart below compares the historical Sharpe Ratios of QLVE and XSHD, 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

	QLVE	XSHD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.10	0.46	+1.64
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.55	-0.28	+0.83
Sharpe Ratio (All Time) Calculated using the full available price history	0.48	-0.03	+0.51

Drawdowns

QLVE vs. XSHD - Drawdown Comparison

The maximum QLVE drawdown since its inception was -29.96%, smaller than the maximum XSHD drawdown of -49.53%. Use the drawdown chart below to compare losses from any high point for QLVE and XSHD.

Drawdown Indicators

	QLVE	XSHD	Difference
Max Drawdown Largest peak-to-trough decline	-29.96%	-49.53%	+19.57%
Max Drawdown (1Y) Largest decline over 1 year	-11.60%	-10.51%	-1.09%
Max Drawdown (3Y) Largest decline over 3 years	-13.29%	-20.77%	+7.48%
Max Drawdown (5Y) Largest decline over 5 years	-23.94%	-36.84%	+12.90%
Current Drawdown Current decline from peak	-1.29%	-25.49%	+24.20%
Average Drawdown Average peak-to-trough decline	-8.29%	-16.36%	+8.07%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.88%	3.89%	-1.01%

Volatility

QLVE vs. XSHD - Volatility Comparison

FlexShares Emerging Markets Quality Low Volatility Index Fund (QLVE) has a higher volatility of 6.82% compared to Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD) at 3.52%. This indicates that QLVE's price experiences larger fluctuations and is considered to be riskier than XSHD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	QLVE	XSHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.82%	3.52%	+3.30%
Volatility (6M) Calculated over the trailing 6-month period	14.82%	9.77%	+5.05%
Volatility (1Y) Calculated over the trailing 1-year period	16.46%	14.77%	+1.69%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.48%	18.88%	-5.40%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.79%	22.24%	-6.45%

QLVE vs. XSHD - Expense Ratio Comparison

QLVE has a 0.40% expense ratio, which is higher than XSHD's 0.30% expense ratio.

Dividends

QLVE vs. XSHD - Dividend Comparison

QLVE's dividend yield for the trailing twelve months is around 2.42%, less than XSHD's 5.40% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
QLVE FlexShares Emerging Markets Quality Low Volatility Index Fund	2.42%	3.14%	3.11%	3.00%	2.48%	2.57%	1.66%	1.27%	0.00%	0.00%	0.00%
XSHD Invesco S&P SmallCap High Dividend Low Volatility ETF	5.40%	6.45%	7.25%	7.62%	6.77%	3.86%	5.55%	4.88%	5.49%	4.11%	0.41%

Frequently Asked Questions

Can I hold both QLVE and XSHD in my portfolio?

QLVE and XSHD have a correlation of 0.32, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, QLVE or XSHD?

QLVE has higher volatility (6.82%) compared to XSHD (3.52%). In terms of maximum drawdown, QLVE dropped -29.96% vs XSHD's -49.53%.

Which ETF is better, QLVE or XSHD?

On 5-year performance, QLVE leads with 7.43% vs -5.26% for XSHD. On fees, XSHD is cheaper at 0.30% per year. On volatility, XSHD has been the lower-risk option at 3.52%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, QLVE or XSHD?

Over the 5-year period, QLVE has performed better with a 7.43% return vs -5.26%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, QLVE or XSHD?

XSHD is cheaper with a 0.30% expense ratio, compared with 0.40% for QLVE.

Which ETF pays a higher dividend yield, QLVE or XSHD?

XSHD has the higher dividend yield at 5.40%, compared with 2.42% for QLVE.

What is the main difference between QLVE and XSHD?

QLVE tracks Northern Trust Emerging Markets Quality Low Volatility Index, while XSHD tracks S&P SmallCap 600 Low Volatility High Dividend Index. They also come from different issuers: Northern Trust and Invesco. Their fees differ too: 0.40% for QLVE and 0.30% for XSHD.

Which has better risk-adjusted returns?

QLVE currently has the higher Sharpe Ratio (2.10 vs 0.46), 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.