SMMD vs. BKSE

Last updated Jun 5, 2026

SMMD (iShares Russell 2500 ETF) and BKSE (BNY Mellon US Small Cap Core Equity ETF) are both Small Cap Growth Equities funds - SMMD tracks the Russell 2500 Index while BKSE tracks the Morningstar US Small Cap Index. Both are passively managed. Over the past 5 years, SMMD returned 7.75%/yr vs 7.11%/yr for BKSE. With a 0.97 correlation, they move nearly in lockstep. SMMD charges 0.15%/yr vs 0.04%/yr for BKSE.

Performance

SMMD vs. BKSE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Russell 2500 ETF (SMMD) and BNY Mellon US Small Cap Core Equity ETF (BKSE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SMMD achieves a 18.99% return, which is significantly higher than BKSE's 14.19% return.

SMMD

• 1D: 0.52%
• 1M: 3.44%
• YTD: 18.99%
• 6M: 17.98%
• 1Y: 36.93%
• 3Y*: 19.07%
• 5Y*: 7.75%
• 10Y*: —

BKSE

• 1D: 1.03%
• 1M: 2.24%
• YTD: 14.19%
• 6M: 12.98%
• 1Y: 34.31%
• 3Y*: 18.21%
• 5Y*: 7.11%
• 10Y*: —

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

SMMD vs. BKSE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
SMMD iShares Russell 2500 ETF	18.99%	11.72%	11.87%	17.71%	-18.53%	18.30%	56.54%
BKSE BNY Mellon US Small Cap Core Equity ETF	14.19%	13.09%	9.56%	22.37%	-18.44%	16.18%	55.56%

Correlation

The correlation between SMMD and BKSE is 0.96 - 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	0.96
Correlation (3Y) Calculated over the trailing 3-year period	0.98
Correlation (5Y) Calculated over the trailing 5-year period	0.99
Correlation (All Time) Calculated using the full available price history since Apr 13, 2020	0.97

The correlation between SMMD and BKSE has been stable across timeframes, ranging from 0.96 to 0.99 - a consistent structural relationship.

SMMD vs. BKSE - Sectors Allocation Comparison

Sectors	SMMD	BKSE
Industrials	21.0%	15.4%
Technology	18.8%	16.8%
Financial Services	13.8%	16.4%
Healthcare	11.8%	11.4%
Consumer Cyclical	10.6%	13.3%
Real Estate	6.7%	6.6%
Energy	4.9%	7.0%
Basic Materials	4.4%	4.5%
Consumer Defensive	2.8%	3.2%
Utilities	2.7%	3.4%
Communication Services	2.5%	2.2%

Return for Risk

SMMD vs. BKSE — Risk / Return Rank

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

SMMD

SMMD Risk / Return Rank: 70
SMMD Sharpe Ratio Rank: 66
SMMD Sortino Ratio Rank: 67
SMMD Omega Ratio Rank: 61
SMMD Calmar Ratio Rank: 77
SMMD Martin Ratio Rank: 77

BKSE

BKSE Risk / Return Rank: 63
BKSE Sharpe Ratio Rank: 59
BKSE Sortino Ratio Rank: 61
BKSE Omega Ratio Rank: 54
BKSE Calmar Ratio Rank: 74
BKSE Martin Ratio Rank: 70

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.

SMMD vs. BKSE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Russell 2500 ETF (SMMD) and BNY Mellon US Small Cap Core Equity ETF (BKSE). 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.

	SMMD	BKSE	Difference
Sharpe ratio: Return per unit of total volatility	2.16	1.96	+0.20
Sortino ratio: Return per unit of downside risk	3.02	2.83	+0.19
Omega ratio: Gain probability vs. loss probability	1.37	1.33	+0.03
Calmar ratio: Return relative to maximum drawdown	3.84	3.67	+0.18
Martin ratio: Return relative to average drawdown	14.65	12.77	+1.88
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SMMD vs. BKSE - Sharpe Ratio Comparison

The current SMMD Sharpe Ratio is 2.16, which is comparable to the BKSE Sharpe Ratio of 1.96. The chart below compares the historical Sharpe Ratios of SMMD and BKSE, 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

	SMMD	BKSE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.16	1.96	+0.20
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.37	0.33	+0.04
Sharpe Ratio (All Time) Calculated using the full available price history	0.50	0.74	-0.24

Drawdowns

SMMD vs. BKSE - Drawdown Comparison

The maximum SMMD drawdown since its inception was -41.06%, which is greater than BKSE's maximum drawdown of -29.08%. Use the drawdown chart below to compare losses from any high point for SMMD and BKSE.

Drawdown Indicators

	SMMD	BKSE	Difference
Max Drawdown Largest peak-to-trough decline	-41.06%	-29.08%	-11.98%
Max Drawdown (1Y) Largest decline over 1 year	-9.66%	-9.40%	-0.26%
Max Drawdown (3Y) Largest decline over 3 years	-25.50%	-26.76%	+1.26%
Max Drawdown (5Y) Largest decline over 5 years	-28.26%	-29.08%	+0.82%
Current Drawdown Current decline from peak	-0.11%	-0.09%	-0.02%
Average Drawdown Average peak-to-trough decline	-8.37%	-9.05%	+0.68%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.53%	2.69%	-0.16%

Volatility

SMMD vs. BKSE - Volatility Comparison

iShares Russell 2500 ETF (SMMD) has a higher volatility of 5.01% compared to BNY Mellon US Small Cap Core Equity ETF (BKSE) at 4.38%. This indicates that SMMD's price experiences larger fluctuations and is considered to be riskier than BKSE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SMMD	BKSE	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.01%	4.38%	+0.63%
Volatility (6M) Calculated over the trailing 6-month period	12.58%	11.99%	+0.59%
Volatility (1Y) Calculated over the trailing 1-year period	17.16%	17.58%	-0.42%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.82%	21.44%	-0.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.36%	22.29%	+0.07%

SMMD vs. BKSE - Expense Ratio Comparison

SMMD has a 0.15% expense ratio, which is higher than BKSE's 0.04% 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

SMMD vs. BKSE - Dividend Comparison

SMMD's dividend yield for the trailing twelve months is around 1.05%, less than BKSE's 1.15% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
BKSE BNY Mellon US Small Cap Core Equity ETF	1.15%	1.26%	1.55%	1.38%	1.50%	1.17%	0.82%	0.00%	0.00%	0.00%
SMMD iShares Russell 2500 ETF	1.05%	1.28%	1.27%	1.44%	1.79%	1.12%	1.31%	1.50%	2.45%	0.68%

Frequently Asked Questions

Can I hold both SMMD and BKSE in my portfolio?

With a correlation of 0.96, SMMD and BKSE 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, SMMD or BKSE?

SMMD has higher volatility (5.01%) compared to BKSE (4.38%). In terms of maximum drawdown, SMMD dropped -41.06% vs BKSE's -29.08%.

Which ETF is better, SMMD or BKSE?

On 5-year performance, SMMD leads with 7.75% vs 7.11% for BKSE. On fees, BKSE is cheaper at 0.04% per year. On volatility, BKSE has been the lower-risk option at 4.38%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SMMD or BKSE?

Over the 5-year period, SMMD has performed better with a 7.75% return vs 7.11%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SMMD or BKSE?

BKSE is cheaper with a 0.04% expense ratio, compared with 0.15% for SMMD.

Which ETF pays a higher dividend yield, SMMD or BKSE?

BKSE has the higher dividend yield at 1.15%, compared with 1.05% for SMMD.

What is the main difference between SMMD and BKSE?

SMMD tracks Russell 2500 Index, while BKSE tracks Morningstar US Small Cap Index. They also come from different issuers: iShares and BNY Mellon. Their fees differ too: 0.15% for SMMD and 0.04% for BKSE.

Which has better risk-adjusted returns?

SMMD currently has the higher Sharpe Ratio (2.16 vs 1.96), 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.