QSML vs. FSMD

Last updated Aug 4, 2026

QSML (Wisdomtree U.S. Smallcap Quality Growth Fund) and FSMD (Fidelity Small-Mid Multifactor ETF) are both exchange-traded funds - QSML is a Quality Factor fund tracking the WisdomTree US SmallCap Quality Growth Index - Benchmark TR Gross, while FSMD is a Small Cap Blend Equities fund tracking the Fidelity Small-Mid Multifactor Index. Both are passively managed. Over the past year, QSML returned 31.80% vs 26.51% for FSMD. Their correlation of 0.90 means they have usually moved in the same direction. QSML charges 0.38%/yr vs 0.15%/yr for FSMD.

Performance

QSML vs. FSMD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Wisdomtree U.S. Smallcap Quality Growth Fund (QSML) 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, QSML achieves a 19.46% return, which is significantly higher than FSMD's 17.58% return.

QSML

• 1D: 1.98%
• 1M: 2.30%
• 6M: 15.89%
• YTD: 19.46%
• 1Y: 31.80%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 13.80%

FSMD

• 1D: 1.54%
• 1M: -0.21%
• 6M: 12.51%
• YTD: 17.58%
• 1Y: 26.51%
• 3Y*: 16.15%
• 5Y*: 10.38%
• 10Y*: —
• ALL TIME*: 11.87%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
FSMD Fidelity Small-Mid Multifactor ETF	$4.79M	$5.01M	$5.73M
QSML Wisdomtree U.S. Smallcap Quality Growth Fund	$17.22K	$17.81K	$19.02K

QSML vs. FSMD - Yearly Performance Comparison

	2026 (YTD)	2025	2024
QSML Wisdomtree U.S. Smallcap Quality Growth Fund	19.46%	5.49%	9.93%
FSMD Fidelity Small-Mid Multifactor ETF	17.58%	8.70%	16.50%

Correlation

The correlation between QSML and FSMD is 0.82, meaning they have usually moved in the same direction, including during past declines.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.82
Correlation (All Time) Calculated using the full available price history since Jan 25, 2024	0.90

The correlation between QSML and FSMD has been stable across timeframes, ranging from 0.82 to 0.90 - a consistent structural relationship.

QSML vs. FSMD - Sectors Allocation Comparison

Sectors	QSML	FSMD
Technology	21.4%	20.9%
Consumer Cyclical	18.1%	10.6%
Financial Services	15.6%	15.2%
Industrials	13.8%	20.3%
Healthcare	13.7%	12.2%
Consumer Defensive	7.6%	2.9%
Energy	4.0%	3.7%
Communication Services	2.9%	2.8%
Basic Materials	2.4%	3.5%
Real Estate	0.3%	6.1%
Utilities	0.2%	1.9%

Return for Risk

QSML vs. FSMD — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

QSML

QSML Risk / Return Rank: 75
QSML Sharpe Ratio Rank: 75
QSML Sortino Ratio Rank: 79
QSML Omega Ratio Rank: 70
QSML Calmar Ratio Rank: 78
QSML Martin Ratio Rank: 75

FSMD

FSMD Risk / Return Rank: 76
FSMD Sharpe Ratio Rank: 71
FSMD Sortino Ratio Rank: 75
FSMD Omega Ratio Rank: 69
FSMD Calmar Ratio Rank: 83
FSMD Martin Ratio Rank: 79

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

QSML vs. FSMD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Wisdomtree U.S. Smallcap Quality Growth Fund (QSML) 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.

	QSML	FSMD	Difference
Sharpe ratio: Return per unit of total volatility	1.83	1.68	+0.15
Sortino ratio: Return per unit of downside risk	2.73	2.49	+0.24
Omega ratio: Gain probability vs. loss probability	1.31	1.30	+0.01
Calmar ratio: Return relative to maximum drawdown	2.98	3.16	-0.18
Martin ratio: Return relative to average drawdown	10.05	10.55	-0.50

QSML vs. FSMD - Sharpe Ratio Comparison

The current QSML Sharpe Ratio is 1.83, which is comparable to the FSMD Sharpe Ratio of 1.68. The chart below compares the historical Sharpe Ratios of QSML 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

QSML vs. FSMD - Drawdown Comparison

The maximum QSML drawdown since its inception was -28.54%, smaller than the maximum FSMD drawdown of -40.67%. Use the drawdown chart below to compare losses from any high point for QSML and FSMD.

Drawdown Indicators

	QSML	FSMD	Difference
Max Drawdown Largest peak-to-trough decline	-28.54%	-40.67%	+12.13%
Max Drawdown (1Y) Largest decline over 1 year	-10.72%	-8.44%	-2.28%
Max Drawdown (3Y) Largest decline over 3 years	—	-22.16%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-22.16%	—
Current Drawdown Current decline from peak	0.00%	-2.52%	+2.52%
Average Drawdown Average peak-to-trough decline	-5.63%	-5.92%	+0.29%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.17%	2.52%	+0.65%

Volatility

QSML vs. FSMD - Volatility Comparison

Wisdomtree U.S. Smallcap Quality Growth Fund (QSML) has a higher volatility of 4.71% compared to Fidelity Small-Mid Multifactor ETF (FSMD) at 4.20%. This indicates that QSML's price experiences larger fluctuations and is considered to be riskier than FSMD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	QSML	FSMD	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.71%	4.20%	+0.51%
Volatility (6M) Calculated over the trailing 6-month period	12.38%	12.40%	-0.02%
Volatility (1Y) Calculated over the trailing 1-year period	17.49%	15.87%	+1.62%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.59%	18.55%	+2.04%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.59%	21.33%	-0.74%

QSML vs. FSMD - Expense Ratio Comparison

QSML has a 0.38% expense ratio, which is higher than FSMD's 0.15% expense ratio.

Dividends

QSML vs. FSMD - Dividend Comparison

QSML's dividend yield for the trailing twelve months is around 0.52%, less than FSMD's 1.23% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019
FSMD Fidelity Small-Mid Multifactor ETF	1.23%	1.33%	1.29%	1.37%	1.54%	1.18%	1.32%	1.37%
QSML Wisdomtree U.S. Smallcap Quality Growth Fund	0.52%	0.62%	0.32%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both QSML and FSMD in my portfolio?

QSML and FSMD have a correlation of 0.82, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, QSML or FSMD?

QSML has higher volatility (4.71%) compared to FSMD (4.20%). In terms of maximum drawdown, QSML dropped -28.54% vs FSMD's -40.67%.

Which ETF is better, QSML or FSMD?

On 1-year performance, QSML leads with 31.80% vs 26.51% for FSMD. On fees, FSMD is cheaper at 0.15% per year. On volatility, FSMD has been the lower-risk option at 4.20%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, QSML or FSMD?

Over the 1-year period, QSML has performed better with a 31.80% return vs 26.51%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, QSML or FSMD?

FSMD is cheaper with a 0.15% expense ratio, compared with 0.38% for QSML.

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

FSMD has the higher dividend yield at 1.23%, compared with 0.52% for QSML.

What is the main difference between QSML and FSMD?

QSML is categorized as Quality Factor, while FSMD is Small Cap Blend Equities. QSML tracks WisdomTree US SmallCap Quality Growth Index - Benchmark TR Gross, while FSMD tracks Fidelity Small-Mid Multifactor Index. They also come from different issuers: WisdomTree and Fidelity. Their fees differ too: 0.38% for QSML and 0.15% for FSMD.

Which has better risk-adjusted returns?

QSML currently has the higher Sharpe Ratio (1.83 vs 1.68), 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.