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QUAL vs. VFQY
Performance
Return for Risk
Drawdowns
Volatility
Dividends

QUAL vs. VFQY

Last updated Aug 4, 2026
Documentation

QUAL (iShares MSCI USA Quality Factor ETF) and VFQY (Vanguard U.S. Quality Factor ETF) are both Quality Factor funds. QUAL is passively managed, while VFQY is actively managed. Over the past 5 years, QUAL returned 11.26%/yr vs 9.15%/yr for VFQY. Their correlation of 0.87 means they have usually moved in the same direction. QUAL charges 0.15%/yr vs 0.13%/yr for VFQY.

Performance

QUAL vs. VFQY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI USA Quality Factor ETF (QUAL) and Vanguard U.S. Quality Factor ETF (VFQY). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, QUAL achieves a 12.08% return, which is significantly lower than VFQY's 14.20% return.

QUAL

1D
1.10%
1M
1.52%
6M
9.27%
YTD
12.08%
1Y
22.77%
3Y*
18.73%
5Y*
11.26%
10Y*
14.16%
ALL TIME*
13.75%

VFQY

1D
1.05%
1M
2.21%
6M
10.27%
YTD
14.20%
1Y
23.29%
3Y*
15.72%
5Y*
9.15%
10Y*
—
ALL TIME*
11.62%
*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

PositionAvg. Volume Value (2W)Avg. Volume Value (1M)Avg. Volume Value (3M)

QUAL

iShares MSCI USA Quality Factor ETF
$217.13M$238.90M$384.89M

VFQY

Vanguard U.S. Quality Factor ETF
$948.51K$988.82K$1.06M

QUAL vs. VFQY - Yearly Performance Comparison

2026 (YTD)20252024202320222021202020192018
QUAL
iShares MSCI USA Quality Factor ETF		12.08%12.65%22.29%30.88%-20.50%26.94%17.04%33.89%-6.36%
VFQY
Vanguard U.S. Quality Factor ETF		14.20%10.24%12.93%22.48%-15.74%27.96%16.97%25.75%-8.19%

Correlation

The correlation between QUAL and VFQY is 0.84, 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.

0.84

Correlation (3Y)
Balances recent behavior with more history.

0.85

Correlation (5Y)
Shows whether the relationship held over a longer period.

0.89

Correlation (All Time)
Calculated using the full available price history since Feb 15, 2018

0.87

The correlation between QUAL and VFQY has been stable across timeframes, ranging from 0.84 to 0.89 - a consistent structural relationship.

QUAL vs. VFQY - Sectors Allocation Comparison

Sectors
QUAL
VFQY

Technology

40.2%
25.8%

Financial Services

10.9%
18.9%

Communication Services

10.3%
2.8%

Healthcare

9.2%
8.9%

Consumer Cyclical

9.0%
13.3%

Industrials

7.4%
16.8%

Consumer Defensive

4.3%
9.2%

Energy

2.9%
2.2%

Utilities

2.1%

-

Basic Materials

1.9%
2.2%

Real Estate

1.7%

-

Technology

QUAL
40.2%
VFQY
25.8%

Financial Services

QUAL
10.9%
VFQY
18.9%

Communication Services

QUAL
10.3%
VFQY
2.8%

Healthcare

QUAL
9.2%
VFQY
8.9%

Consumer Cyclical

QUAL
9.0%
VFQY
13.3%

Industrials

QUAL
7.4%
VFQY
16.8%

Consumer Defensive

QUAL
4.3%
VFQY
9.2%

Energy

QUAL
2.9%
VFQY
2.2%

Utilities

QUAL
2.1%
VFQY

-

Basic Materials

QUAL
1.9%
VFQY
2.2%

Real Estate

QUAL
1.7%
VFQY

-

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares MSCI USA Quality Factor ETF

Vanguard U.S. Quality Factor ETF

Often compared with QUAL:
QUAL vs. SPHQQUAL vs. SPYQUAL vs. MTUMQUAL vs. USMVQUAL vs. VOOQUAL vs. IVVQUAL vs. SCHD
Often compared with VFQY:
VFQY vs. JQUAVFQY vs. VYMVFQY vs. VFMFVFQY vs. VFVAVFQY vs. LVHIVFQY vs. VIGVFQY vs. VFMO

Return for Risk

QUAL vs. VFQY — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.
QUAL
QUAL Risk / Return Rank: 7878
Overall Rank
QUAL Sharpe Ratio Rank: 8080
Sharpe Ratio Rank
QUAL Sortino Ratio Rank: 8080
Sortino Ratio Rank
QUAL Omega Ratio Rank: 7878
Omega Ratio Rank
QUAL Calmar Ratio Rank: 7171
Calmar Ratio Rank
QUAL Martin Ratio Rank: 8383
Martin Ratio Rank
VFQY
VFQY Risk / Return Rank: 7474
Overall Rank
VFQY Sharpe Ratio Rank: 7575
Sharpe Ratio Rank
VFQY Sortino Ratio Rank: 7676
Sortino Ratio Rank
VFQY Omega Ratio Rank: 7070
Omega Ratio Rank
VFQY Calmar Ratio Rank: 7171
Calmar Ratio Rank
VFQY Martin Ratio Rank: 7575
Martin Ratio Rank
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.

QUAL vs. VFQY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI USA Quality Factor ETF (QUAL) and Vanguard U.S. Quality Factor ETF (VFQY). 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.

QUALVFQYDifference
Sharpe ratioReturn per unit of total volatility
1.86
1.75

+0.11

Sortino ratioReturn per unit of downside risk
2.63
2.53

+0.10

Omega ratioGain probability vs. loss probability

1.33

1.30

+0.03

Calmar ratioReturn relative to maximum drawdown

2.53

2.57

-0.03

Martin ratioReturn relative to average drawdown

11.33

9.69

+1.65

QUAL vs. VFQY - Sharpe Ratio Comparison

The current QUAL Sharpe Ratio is 1.86, which is comparable to the VFQY Sharpe Ratio of 1.75. The chart below compares the historical Sharpe Ratios of QUAL and VFQY, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

QUAL vs. VFQY - Drawdown Comparison

The maximum QUAL drawdown since its inception was -34.06%, smaller than the maximum VFQY drawdown of -37.41%. Use the drawdown chart below to compare losses from any high point for QUAL and VFQY.

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Drawdown Indicators

QUALVFQYDifference

Max Drawdown

Largest peak-to-trough decline

-34.06%

-37.41%

+3.35%

Max Drawdown (1Y)

Largest decline over 1 year

-9.03%

-9.12%

+0.09%

Max Drawdown (3Y)

Largest decline over 3 years

-18.00%

-20.67%

+2.67%

Max Drawdown (5Y)

Largest decline over 5 years

-28.23%

-25.93%

-2.30%

Max Drawdown (10Y)

Largest decline over 10 years

-34.06%

—

—

Current Drawdown

Current decline from peak

0.00%

0.00%

0.00%

Average Drawdown

Average peak-to-trough decline

-4.07%

-6.57%

+2.50%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.01%

2.41%

-0.40%

Volatility

QUAL vs. VFQY - Volatility Comparison

iShares MSCI USA Quality Factor ETF (QUAL) and Vanguard U.S. Quality Factor ETF (VFQY) have volatilities of 3.07% and 3.12%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

QUALVFQYDifference

Volatility (1M)

Calculated over the trailing 1-month period

3.07%

3.12%

-0.05%

Volatility (6M)

Calculated over the trailing 6-month period

9.70%

9.58%

+0.12%

Volatility (1Y)

Calculated over the trailing 1-year period

12.33%

13.37%

-1.04%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

17.39%

18.29%

-0.90%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

18.10%

20.73%

-2.63%

QUAL vs. VFQY - Expense Ratio Comparison

QUAL has a 0.15% expense ratio, which is higher than VFQY's 0.13% 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

QUAL vs. VFQY - Dividend Comparison

QUAL's dividend yield for the trailing twelve months is around 0.85%, less than VFQY's 1.03% yield.

PositionTTM20252024202320222021202020192018201720162015
QUAL
iShares MSCI USA Quality Factor ETF		0.85%0.94%1.02%1.23%1.59%1.20%1.39%1.60%2.00%1.76%1.96%1.63%
VFQY
Vanguard U.S. Quality Factor ETF		1.03%1.17%1.34%1.38%1.43%0.98%1.22%1.34%1.31%0.00%0.00%0.00%

Frequently Asked Questions

QUAL and VFQY have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

VFQY has higher volatility (3.12%) compared to QUAL (3.07%). In terms of maximum drawdown, QUAL dropped -34.06% vs VFQY's -37.41%.

On 5-year performance, QUAL leads with 11.26% vs 9.15% for VFQY. On fees, VFQY is cheaper at 0.13% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, QUAL has performed better with a 11.26% return vs 9.15%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

VFQY is cheaper with a 0.13% expense ratio, compared with 0.15% for QUAL.

VFQY has the higher dividend yield at 1.03%, compared with 0.85% for QUAL.

They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.15% for QUAL and 0.13% for VFQY.

QUAL currently has the higher Sharpe Ratio (1.86 vs 1.75), 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.

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