SMEA.L vs. IWQU.L

Last updated Jun 16, 2026

SMEA.L (iShares Core MSCI Europe UCITS ETF EUR (Acc)) and IWQU.L (iShares MSCI World Quality Factor UCITS) are both exchange-traded funds - SMEA.L is a Europe Equities fund tracking the MSCI Europe NR EUR, while IWQU.L is a Global Equities fund tracking the MSCI ACWI NR USD. Both are passively managed. Over the past 10 years, SMEA.L returned 10.90%/yr vs 13.62%/yr for IWQU.L. A 0.75 correlation means they provide meaningful diversification when combined. SMEA.L charges 0.12%/yr vs 0.30%/yr for IWQU.L.

Performance

SMEA.L vs. IWQU.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in iShares Core MSCI Europe UCITS ETF EUR (Acc) (SMEA.L) and iShares MSCI World Quality Factor UCITS (IWQU.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

SMEA.L is traded in GBp, while IWQU.L is traded in USD. To make them comparable, the IWQU.L values have been converted to GBp using the latest available exchange rates.

Returns By Period

In the year-to-date period, SMEA.L achieves a 8.24% return, which is significantly lower than IWQU.L's 10.29% return. Over the past 10 years, SMEA.L has underperformed IWQU.L with an annualized return of 10.90%, while IWQU.L has yielded a comparatively higher 13.62% annualized return.

SMEA.L

• 1D: 0.27%
• 1M: 4.14%
• YTD: 8.24%
• 6M: 9.09%
• 1Y: 21.13%
• 3Y*: 14.21%
• 5Y*: 10.04%
• 10Y*: 10.90%

IWQU.L

• 1D: 0.93%
• 1M: 2.69%
• YTD: 10.29%
• 6M: 10.41%
• 1Y: 23.99%
• 3Y*: 15.74%
• 5Y*: 11.30%
• 10Y*: 13.62%

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

SMEA.L vs. IWQU.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SMEA.L iShares Core MSCI Europe UCITS ETF EUR (Acc)	8.24%	25.88%	3.68%	13.36%	-3.48%	16.94%	2.44%	19.59%	-9.45%	14.92%
IWQU.L iShares MSCI World Quality Factor UCITS	10.29%	7.07%	19.21%	19.60%	-9.66%	24.87%	11.57%	24.71%	-2.05%	12.88%

Correlation

The correlation between SMEA.L and IWQU.L is 0.72, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.72
Correlation (3Y) Calculated over the trailing 3-year period	0.64
Correlation (5Y) Calculated over the trailing 5-year period	0.68
Correlation (10Y) Calculated over the trailing 10-year period	0.74
Correlation (All Time) Calculated using the full available price history since Oct 6, 2014	0.75

The correlation between SMEA.L and IWQU.L shifts across timeframes, from 0.64 (3 years) to 0.75 (all time), reflecting how their relationship changes across market environments.

SMEA.L vs. IWQU.L - Sectors Allocation Comparison

Sectors	SMEA.L	IWQU.L
Financial Services	23.3%	14.7%
Industrials	19.7%	10.3%
Healthcare	13.1%	8.8%
Technology	8.6%	31.2%
Consumer Defensive	8.4%	4.8%
Consumer Cyclical	6.3%	9.2%
Basic Materials	5.6%	3.4%
Energy	5.4%	3.9%
Utilities	5.1%	2.5%
Communication Services	3.7%	9.6%
Real Estate	0.8%	1.7%

Return for Risk

SMEA.L vs. IWQU.L — Risk / Return Rank

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

SMEA.L

SMEA.L Risk / Return Rank: 52
SMEA.L Sharpe Ratio Rank: 56
SMEA.L Sortino Ratio Rank: 56
SMEA.L Omega Ratio Rank: 58
SMEA.L Calmar Ratio Rank: 43
SMEA.L Martin Ratio Rank: 47

IWQU.L

IWQU.L Risk / Return Rank: 65
IWQU.L Sharpe Ratio Rank: 65
IWQU.L Sortino Ratio Rank: 74
IWQU.L Omega Ratio Rank: 64
IWQU.L Calmar Ratio Rank: 58
IWQU.L Martin Ratio Rank: 66

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.

SMEA.L vs. IWQU.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core MSCI Europe UCITS ETF EUR (Acc) (SMEA.L) and iShares MSCI World Quality Factor UCITS (IWQU.L). 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.

	SMEA.L	IWQU.L	Difference
Sharpe ratio: Return per unit of total volatility	1.74	2.12	-0.39
Sortino ratio: Return per unit of downside risk	2.48	3.01	-0.53
Omega ratio: Gain probability vs. loss probability	1.33	1.39	-0.07
Calmar ratio: Return relative to maximum drawdown	1.99	3.58	-1.59
Martin ratio: Return relative to average drawdown	7.11	14.16	-7.05

SMEA.L vs. IWQU.L - Sharpe Ratio Comparison

The current SMEA.L Sharpe Ratio is 1.74, which is comparable to the IWQU.L Sharpe Ratio of 2.12. The chart below compares the historical Sharpe Ratios of SMEA.L and IWQU.L, 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

SMEA.L vs. IWQU.L - Drawdown Comparison

The maximum SMEA.L drawdown since its inception was -30.06%, which is greater than IWQU.L's maximum drawdown of -24.70%. Use the drawdown chart below to compare losses from any high point for SMEA.L and IWQU.L.

Drawdown Indicators

	SMEA.L	IWQU.L	Difference
Max Drawdown Largest peak-to-trough decline	-30.06%	-24.70%	-5.36%
Max Drawdown (1Y) Largest decline over 1 year	-10.56%	-6.67%	-3.89%
Max Drawdown (3Y) Largest decline over 3 years	-14.06%	-18.12%	+4.06%
Max Drawdown (5Y) Largest decline over 5 years	-15.76%	-18.12%	+2.36%
Max Drawdown (10Y) Largest decline over 10 years	-28.56%	-24.70%	-3.86%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-6.65%	-3.67%	-2.98%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.96%	1.69%	+1.27%

Volatility

SMEA.L vs. IWQU.L - Volatility Comparison

iShares Core MSCI Europe UCITS ETF EUR (Acc) (SMEA.L) and iShares MSCI World Quality Factor UCITS (IWQU.L) have volatilities of 3.27% and 3.16%, 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.

Volatility by Period

	SMEA.L	IWQU.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.27%	3.16%	+0.11%
Volatility (6M) Calculated over the trailing 6-month period	10.27%	8.70%	+1.57%
Volatility (1Y) Calculated over the trailing 1-year period	12.15%	11.28%	+0.87%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.17%	14.51%	+3.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.03%	15.51%	+1.52%

SMEA.L vs. IWQU.L - Expense Ratio Comparison

SMEA.L has a 0.12% expense ratio, which is lower than IWQU.L's 0.30% expense ratio.

Dividends

SMEA.L vs. IWQU.L - Dividend Comparison

Neither SMEA.L nor IWQU.L has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both SMEA.L and IWQU.L in my portfolio?

SMEA.L and IWQU.L have a correlation of 0.72, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, SMEA.L or IWQU.L?

On fees, SMEA.L is cheaper at 0.12% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, SMEA.L or IWQU.L?

SMEA.L is cheaper with a 0.12% expense ratio, compared with 0.30% for IWQU.L.

What is the main difference between SMEA.L and IWQU.L?

SMEA.L is categorized as Europe Equities, while IWQU.L is Global Equities. SMEA.L tracks MSCI Europe NR EUR, while IWQU.L tracks MSCI ACWI NR USD. Their fees differ too: 0.12% for SMEA.L and 0.30% for IWQU.L.