SMLF vs. DFSTX

Last updated Jun 4, 2026

SMLF (iShares MSCI USA Small-Cap Multifactor ETF) and DFSTX (DFA U.S. Small Cap Portfolio) are both Small Cap Blend Equities funds. Over the past 10 years, SMLF returned 12.36%/yr vs 10.93%/yr for DFSTX. Their correlation of 0.91 suggests significant overlap in exposure. SMLF charges 0.30%/yr vs 0.27%/yr for DFSTX.

Performance

SMLF vs. DFSTX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI USA Small-Cap Multifactor ETF (SMLF) and DFA U.S. Small Cap Portfolio (DFSTX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with SMLF having a 14.46% return and DFSTX slightly higher at 14.69%. Over the past 10 years, SMLF has outperformed DFSTX with an annualized return of 12.36%, while DFSTX has yielded a comparatively lower 10.93% annualized return.

SMLF

• 1D: -0.72%
• 1M: 4.07%
• YTD: 14.46%
• 6M: 14.20%
• 1Y: 30.98%
• 3Y*: 19.85%
• 5Y*: 10.89%
• 10Y*: 12.36%

DFSTX

• 1D: 0.76%
• 1M: 3.51%
• YTD: 14.69%
• 6M: 13.91%
• 1Y: 29.09%
• 3Y*: 16.25%
• 5Y*: 8.13%
• 10Y*: 10.93%

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

SMLF vs. DFSTX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SMLF iShares MSCI USA Small-Cap Multifactor ETF	14.46%	12.30%	16.33%	19.99%	-12.19%	26.53%	8.38%	21.56%	-8.42%	12.70%
DFSTX DFA U.S. Small Cap Portfolio	14.69%	8.07%	11.50%	17.66%	-13.50%	30.50%	11.19%	21.78%	-13.20%	11.19%

Correlation

The correlation between SMLF and DFSTX is 0.95 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.95
Correlation (3Y) Calculated over the trailing 3-year period	0.97
Correlation (5Y) Calculated over the trailing 5-year period	0.97
Correlation (10Y) Calculated over the trailing 10-year period	0.95
Correlation (All Time) Calculated using the full available price history since May 1, 2015	0.91

The correlation between SMLF and DFSTX has been stable across timeframes, ranging from 0.91 to 0.97 - a consistent structural relationship.

Return for Risk

SMLF vs. DFSTX — Risk / Return Rank

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

SMLF

SMLF Risk / Return Rank: 58
SMLF Sharpe Ratio Rank: 52
SMLF Sortino Ratio Rank: 52
SMLF Omega Ratio Rank: 48
SMLF Calmar Ratio Rank: 71
SMLF Martin Ratio Rank: 66

DFSTX

DFSTX Risk / Return Rank: 51
DFSTX Sharpe Ratio Rank: 41
DFSTX Sortino Ratio Rank: 42
DFSTX Omega Ratio Rank: 38
DFSTX Calmar Ratio Rank: 75
DFSTX Martin Ratio Rank: 58

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.

SMLF vs. DFSTX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI USA Small-Cap Multifactor ETF (SMLF) and DFA U.S. Small Cap Portfolio (DFSTX). 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.

	SMLF	DFSTX	Difference
Sharpe ratio Return per unit of total volatility	1.81	1.87	-0.05
Sortino ratio Return per unit of downside risk	2.56	2.73	-0.17
Omega ratio Gain probability vs. loss probability	1.31	1.32	-0.01
Calmar ratio Return relative to maximum drawdown	3.57	3.42	+0.15
Martin ratio Return relative to average drawdown	12.27	11.58	+0.69
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SMLF vs. DFSTX - Sharpe Ratio Comparison

The current SMLF Sharpe Ratio is 1.81, which is comparable to the DFSTX Sharpe Ratio of 1.87. The chart below compares the historical Sharpe Ratios of SMLF and DFSTX, 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

	SMLF	DFSTX	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.81	1.87	-0.05
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.52	0.40	+0.12
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.57	0.50	+0.07
Sharpe Ratio (All Time) Calculated using the full available price history	0.54	0.50	+0.04

Drawdowns

SMLF vs. DFSTX - Drawdown Comparison

The maximum SMLF drawdown since its inception was -41.89%, smaller than the maximum DFSTX drawdown of -60.99%. Use the drawdown chart below to compare losses from any high point for SMLF and DFSTX.

Drawdown Indicators

	SMLF	DFSTX	Difference
Max Drawdown Largest peak-to-trough decline	-41.89%	-60.99%	+19.10%
Max Drawdown (1Y) Largest decline over 1 year	-8.71%	-9.16%	+0.45%
Max Drawdown (3Y) Largest decline over 3 years	-26.28%	-25.91%	-0.37%
Max Drawdown (5Y) Largest decline over 5 years	-26.28%	-25.91%	-0.37%
Max Drawdown (10Y) Largest decline over 10 years	-41.89%	-44.78%	+2.89%
Current Drawdown Current decline from peak	-0.72%	0.00%	-0.72%
Average Drawdown Average peak-to-trough decline	-6.60%	-8.77%	+2.17%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.53%	2.69%	-0.16%

Volatility

SMLF vs. DFSTX - Volatility Comparison

iShares MSCI USA Small-Cap Multifactor ETF (SMLF) has a higher volatility of 4.80% compared to DFA U.S. Small Cap Portfolio (DFSTX) at 4.45%. This indicates that SMLF's price experiences larger fluctuations and is considered to be riskier than DFSTX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SMLF	DFSTX	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.80%	4.45%	+0.35%
Volatility (6M) Calculated over the trailing 6-month period	12.31%	11.57%	+0.74%
Volatility (1Y) Calculated over the trailing 1-year period	17.21%	16.76%	+0.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.09%	20.56%	+0.53%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.78%	22.08%	-0.30%

SMLF vs. DFSTX - Expense Ratio Comparison

SMLF has a 0.30% expense ratio, which is higher than DFSTX's 0.27% expense ratio.

Dividends

SMLF vs. DFSTX - Dividend Comparison

SMLF's dividend yield for the trailing twelve months is around 1.03%, more than DFSTX's 0.95% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFSTX DFA U.S. Small Cap Portfolio	0.95%	1.08%	1.05%	2.45%	5.18%	6.39%	1.08%	3.30%	5.16%	4.56%	3.10%	5.90%
SMLF iShares MSCI USA Small-Cap Multifactor ETF	1.03%	1.14%	1.33%	1.13%	1.23%	1.07%	1.33%	1.39%	1.17%	0.93%	0.78%	0.79%

Frequently Asked Questions

Can I hold both SMLF and DFSTX in my portfolio?

With a correlation of 0.95, SMLF and DFSTX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, SMLF or DFSTX?

SMLF has higher volatility (4.80%) compared to DFSTX (4.45%). In terms of maximum drawdown, SMLF dropped -41.89% vs DFSTX's -60.99%.

Which has better risk-adjusted returns?

DFSTX currently has the higher Sharpe Ratio (1.87 vs 1.81), 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.