TLTD vs. DFAI

Last updated Aug 4, 2026

TLTD (FlexShares Morningstar Developed Markets ex-US Factor Tilt) and DFAI (Dimensional International Core Equity Market ETF) are both exchange-traded funds - TLTD is a Global Equities fund tracking the Morningstar Developed Markets ex-US Factor Tilt Index, while DFAI is a Foreign Large Cap Equities fund actively managed by Dimensional. TLTD is passively managed, while DFAI is actively managed. Over the past 5 years, TLTD returned 10.43%/yr vs 10.24%/yr for DFAI. Their 0.98 correlation means they have historically moved very closely together. TLTD charges 0.39%/yr vs 0.18%/yr for DFAI.

Performance

TLTD vs. DFAI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares Morningstar Developed Markets ex-US Factor Tilt (TLTD) and Dimensional International Core Equity Market ETF (DFAI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TLTD achieves a 11.20% return, which is significantly lower than DFAI's 12.47% return.

TLTD

• 1D: 0.36%
• 1M: 2.49%
• 6M: 5.50%
• YTD: 11.20%
• 1Y: 27.13%
• 3Y*: 19.91%
• 5Y*: 10.43%
• 10Y*: 9.84%
• ALL TIME*: 8.38%

DFAI

• 1D: 0.40%
• 1M: 1.66%
• 6M: 6.44%
• YTD: 12.47%
• 1Y: 27.22%
• 3Y*: 18.65%
• 5Y*: 10.24%
• 10Y*: —
• ALL TIME*: 12.29%

*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)
DFAI Dimensional International Core Equity Market ETF	$74.51M	$70.03M	$61.85M
TLTD FlexShares Morningstar Developed Markets ex-US Factor Tilt	$470.57K	$675.01K	$784.22K

TLTD vs. DFAI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
TLTD FlexShares Morningstar Developed Markets ex-US Factor Tilt	11.20%	39.69%	4.78%	17.19%	-13.74%	12.84%	6.33%
DFAI Dimensional International Core Equity Market ETF	12.47%	34.04%	4.68%	17.60%	-12.95%	13.86%	5.34%

Correlation

The correlation between TLTD and DFAI is 0.97 - they have historically moved very closely together. At this level, their price movements offset little of one another.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.97
Correlation (3Y) Balances recent behavior with more history.	0.98
Correlation (5Y) Shows whether the relationship held over a longer period.	0.98
Correlation (All Time) Calculated using the full available price history since Nov 18, 2020	0.98

The correlation between TLTD and DFAI has been stable across timeframes, ranging from 0.97 to 0.98 - a consistent structural relationship.

TLTD vs. DFAI - Sectors Allocation Comparison

Sectors	TLTD	DFAI
Financial Services	25.3%	23.1%
Industrials	17.2%	19.1%
Consumer Cyclical	10.2%	8.6%
Basic Materials	9.7%	8.4%
Technology	6.7%	11.1%
Healthcare	6.1%	8.8%
Energy	5.7%	5.8%
Consumer Defensive	5.0%	6.4%
Real Estate	3.6%	1.4%
Communication Services	3.5%	3.6%
Utilities	3.1%	3.8%

Return for Risk

TLTD vs. DFAI — Risk / Return Rank

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

TLTD

TLTD Risk / Return Rank: 71
TLTD Sharpe Ratio Rank: 77
TLTD Sortino Ratio Rank: 76
TLTD Omega Ratio Rank: 76
TLTD Calmar Ratio Rank: 61
TLTD Martin Ratio Rank: 66

DFAI

DFAI Risk / Return Rank: 77
DFAI Sharpe Ratio Rank: 80
DFAI Sortino Ratio Rank: 79
DFAI Omega Ratio Rank: 78
DFAI Calmar Ratio Rank: 70
DFAI Martin Ratio Rank: 76

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.

TLTD vs. DFAI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares Morningstar Developed Markets ex-US Factor Tilt (TLTD) and Dimensional International Core Equity Market ETF (DFAI). 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.

	TLTD	DFAI	Difference
Sharpe ratio: Return per unit of total volatility	1.83	1.87	-0.04
Sortino ratio: Return per unit of downside risk	2.57	2.62	-0.05
Omega ratio: Gain probability vs. loss probability	1.33	1.33	0.00
Calmar ratio: Return relative to maximum drawdown	2.25	2.50	-0.25
Martin ratio: Return relative to average drawdown	8.35	9.83	-1.48

TLTD vs. DFAI - Sharpe Ratio Comparison

The current TLTD Sharpe Ratio is 1.83, which is comparable to the DFAI Sharpe Ratio of 1.87. The chart below compares the historical Sharpe Ratios of TLTD and DFAI, 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

TLTD vs. DFAI - Drawdown Comparison

The maximum TLTD drawdown since its inception was -40.62%, which is greater than DFAI's maximum drawdown of -27.44%. Use the drawdown chart below to compare losses from any high point for TLTD and DFAI.

Drawdown Indicators

	TLTD	DFAI	Difference
Max Drawdown Largest peak-to-trough decline	-40.62%	-27.44%	-13.18%
Max Drawdown (1Y) Largest decline over 1 year	-12.11%	-10.95%	-1.16%
Max Drawdown (3Y) Largest decline over 3 years	-13.10%	-13.25%	+0.15%
Max Drawdown (5Y) Largest decline over 5 years	-28.96%	-27.44%	-1.52%
Max Drawdown (10Y) Largest decline over 10 years	-40.62%	—	—
Current Drawdown Current decline from peak	-0.23%	-0.24%	+0.01%
Average Drawdown Average peak-to-trough decline	-7.62%	-5.01%	-2.61%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.26%	2.78%	+0.48%

Volatility

TLTD vs. DFAI - Volatility Comparison

FlexShares Morningstar Developed Markets ex-US Factor Tilt (TLTD) and Dimensional International Core Equity Market ETF (DFAI) have volatilities of 4.05% and 4.10%, 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

	TLTD	DFAI	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.05%	4.10%	-0.05%
Volatility (6M) Calculated over the trailing 6-month period	12.64%	12.59%	+0.05%
Volatility (1Y) Calculated over the trailing 1-year period	14.91%	14.65%	+0.26%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.01%	16.00%	+0.01%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.54%	15.69%	+0.85%

TLTD vs. DFAI - Expense Ratio Comparison

TLTD has a 0.39% expense ratio, which is higher than DFAI's 0.18% expense ratio.

Dividends

TLTD vs. DFAI - Dividend Comparison

TLTD's dividend yield for the trailing twelve months is around 3.29%, more than DFAI's 2.29% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFAI Dimensional International Core Equity Market ETF	2.29%	2.45%	2.72%	2.64%	2.72%	2.06%	0.09%	0.00%	0.00%	0.00%	0.00%	0.00%
TLTD FlexShares Morningstar Developed Markets ex-US Factor Tilt	3.29%	3.44%	3.88%	3.39%	2.76%	3.44%	2.04%	3.46%	3.16%	2.71%	2.93%	2.56%

Frequently Asked Questions

Can I hold both TLTD and DFAI in my portfolio?

With a correlation of 0.97, TLTD and DFAI 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, TLTD or DFAI?

DFAI has higher volatility (4.10%) compared to TLTD (4.05%). In terms of maximum drawdown, TLTD dropped -40.62% vs DFAI's -27.44%.

Which ETF is better, TLTD or DFAI?

On 5-year performance, TLTD leads with 10.43% vs 10.24% for DFAI. On fees, DFAI is cheaper at 0.18% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TLTD or DFAI?

Over the 5-year period, TLTD has performed better with a 10.43% return vs 10.24%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TLTD or DFAI?

DFAI is cheaper with a 0.18% expense ratio, compared with 0.39% for TLTD.

Which ETF pays a higher dividend yield, TLTD or DFAI?

TLTD has the higher dividend yield at 3.29%, compared with 2.29% for DFAI.

What is the main difference between TLTD and DFAI?

TLTD is categorized as Global Equities, while DFAI is Foreign Large Cap Equities. They also come from different issuers: Northern Trust and Dimensional. Their fees differ too: 0.39% for TLTD and 0.18% for DFAI.

Which has better risk-adjusted returns?

DFAI currently has the higher Sharpe Ratio (1.87 vs 1.83), 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.