TMED vs. FHLC

Last updated Jun 25, 2026

TMED (T. Rowe Price Health Care ETF) and FHLC (Fidelity MSCI Health Care Index ETF) are both Health & Biotech Equities funds. Over the past year, TMED returned 33.64% vs 19.01% for FHLC. Their correlation of 0.91 suggests significant overlap in exposure. TMED charges 0.44%/yr vs 0.08%/yr for FHLC.

Performance

TMED vs. FHLC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in T. Rowe Price Health Care ETF (TMED) and Fidelity MSCI Health Care Index ETF (FHLC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TMED achieves a 10.47% return, which is significantly higher than FHLC's 1.10% return.

TMED

• 1D: 1.71%
• 1M: 5.92%
• YTD: 10.47%
• 6M: 9.58%
• 1Y: 33.64%
• 3Y*: —
• 5Y*: —
• 10Y*: —

FHLC

• 1D: 0.99%
• 1M: 3.71%
• YTD: 1.10%
• 6M: 0.13%
• 1Y: 19.01%
• 3Y*: 7.41%
• 5Y*: 4.66%
• 10Y*: 10.13%

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

TMED vs. FHLC - Yearly Performance Comparison

	2026 (YTD)	2025
TMED T. Rowe Price Health Care ETF	10.47%	19.49%
FHLC Fidelity MSCI Health Care Index ETF	1.10%	16.64%

Correlation

The correlation between TMED and FHLC is 0.91, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.91
Correlation (All Time) Calculated using the full available price history since Jun 12, 2025	0.91

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

Return for Risk

TMED vs. FHLC — Risk / Return Rank

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

TMED

TMED Risk / Return Rank: 66
TMED Sharpe Ratio Rank: 66
TMED Sortino Ratio Rank: 69
TMED Omega Ratio Rank: 61
TMED Calmar Ratio Rank: 70
TMED Martin Ratio Rank: 64

FHLC

FHLC Risk / Return Rank: 39
FHLC Sharpe Ratio Rank: 40
FHLC Sortino Ratio Rank: 43
FHLC Omega Ratio Rank: 37
FHLC Calmar Ratio Rank: 40
FHLC Martin Ratio Rank: 34

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.

TMED vs. FHLC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for T. Rowe Price Health Care ETF (TMED) and Fidelity MSCI Health Care Index ETF (FHLC). 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.

	TMED	FHLC	Difference
Sharpe ratio: Return per unit of total volatility	1.86	1.30	+0.56
Sortino ratio: Return per unit of downside risk	2.72	2.01	+0.71
Omega ratio: Gain probability vs. loss probability	1.32	1.23	+0.10
Calmar ratio: Return relative to maximum drawdown	3.04	1.84	+1.20
Martin ratio: Return relative to average drawdown	9.95	4.54	+5.41

TMED vs. FHLC - Sharpe Ratio Comparison

The current TMED Sharpe Ratio is 1.86, which is higher than the FHLC Sharpe Ratio of 1.30. The chart below compares the historical Sharpe Ratios of TMED and FHLC, 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

TMED vs. FHLC - Drawdown Comparison

The maximum TMED drawdown since its inception was -11.11%, smaller than the maximum FHLC drawdown of -28.76%. Use the drawdown chart below to compare losses from any high point for TMED and FHLC.

Drawdown Indicators

	TMED	FHLC	Difference
Max Drawdown Largest peak-to-trough decline	-11.11%	-28.76%	+17.65%
Max Drawdown (1Y) Largest decline over 1 year	-11.11%	-10.38%	-0.73%
Max Drawdown (3Y) Largest decline over 3 years	—	-16.87%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-17.73%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-28.76%	—
Current Drawdown Current decline from peak	0.00%	-2.12%	+2.12%
Average Drawdown Average peak-to-trough decline	-2.47%	-5.19%	+2.72%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.39%	4.19%	-0.80%

Volatility

TMED vs. FHLC - Volatility Comparison

T. Rowe Price Health Care ETF (TMED) has a higher volatility of 6.00% compared to Fidelity MSCI Health Care Index ETF (FHLC) at 5.04%. This indicates that TMED's price experiences larger fluctuations and is considered to be riskier than FHLC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TMED	FHLC	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.00%	5.04%	+0.96%
Volatility (6M) Calculated over the trailing 6-month period	13.61%	10.56%	+3.05%
Volatility (1Y) Calculated over the trailing 1-year period	18.21%	14.76%	+3.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.08%	15.03%	+3.05%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.08%	16.82%	+1.26%

TMED vs. FHLC - Expense Ratio Comparison

TMED has a 0.44% expense ratio, which is higher than FHLC's 0.08% expense ratio.

Dividends

TMED vs. FHLC - Dividend Comparison

TMED's dividend yield for the trailing twelve months is around 0.49%, less than FHLC's 1.37% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FHLC Fidelity MSCI Health Care Index ETF	1.37%	1.40%	1.51%	1.40%	1.30%	1.16%	1.45%	1.18%	1.38%	1.38%	1.40%	2.07%
TMED T. Rowe Price Health Care ETF	0.49%	0.54%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both TMED and FHLC in my portfolio?

With a correlation of 0.91, TMED and FHLC 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, TMED or FHLC?

TMED has higher volatility (6.00%) compared to FHLC (5.04%). In terms of maximum drawdown, TMED dropped -11.11% vs FHLC's -28.76%.

Which ETF is better, TMED or FHLC?

On 1-year performance, TMED leads with 33.64% vs 19.01% for FHLC. On fees, FHLC is cheaper at 0.08% per year. On volatility, FHLC has been the lower-risk option at 5.04%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TMED or FHLC?

Over the 1-year period, TMED has performed better with a 33.64% return vs 19.01%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TMED or FHLC?

FHLC is cheaper with a 0.08% expense ratio, compared with 0.44% for TMED.

Which ETF pays a higher dividend yield, TMED or FHLC?

FHLC has the higher dividend yield at 1.37%, compared with 0.49% for TMED.

What is the main difference between TMED and FHLC?

They also come from different issuers: T. Rowe Price and Fidelity. Their fees differ too: 0.44% for TMED and 0.08% for FHLC.

Which has better risk-adjusted returns?

TMED currently has the higher Sharpe Ratio (1.86 vs 1.30), 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.