TMSL vs. VFMO

Last updated Jun 21, 2026

TMSL (T. Rowe Price Small-Mid Cap ETF) and VFMO (Vanguard U.S. Momentum Factor ETF) are both exchange-traded funds - TMSL is a Mid Cap Blend Equities fund actively managed by T. Rowe Price, while VFMO is a Momentum fund actively managed by Vanguard. Both are actively managed. Over the past 3 years, TMSL returned 20.03%/yr vs 27.60%/yr for VFMO. Their correlation of 0.89 suggests significant overlap in exposure. TMSL charges 0.55%/yr vs 0.13%/yr for VFMO.

Performance

TMSL vs. VFMO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in T. Rowe Price Small-Mid Cap ETF (TMSL) and Vanguard U.S. Momentum Factor ETF (VFMO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TMSL achieves a 19.72% return, which is significantly lower than VFMO's 26.75% return.

TMSL

• 1D: 1.49%
• 1M: 4.60%
• YTD: 19.72%
• 6M: 18.47%
• 1Y: 35.14%
• 3Y*: 20.03%
• 5Y*: —
• 10Y*: —

VFMO

• 1D: 1.61%
• 1M: 6.08%
• YTD: 26.75%
• 6M: 25.12%
• 1Y: 47.12%
• 3Y*: 27.60%
• 5Y*: 15.30%
• 10Y*: —

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

TMSL vs. VFMO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
TMSL T. Rowe Price Small-Mid Cap ETF	19.72%	11.95%	15.81%	11.79%
VFMO Vanguard U.S. Momentum Factor ETF	26.75%	17.39%	26.14%	10.99%

Correlation

The correlation between TMSL and VFMO is 0.86, 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	0.86
Correlation (3Y) Calculated over the trailing 3-year period	0.89
Correlation (All Time) Calculated using the full available price history since Jun 15, 2023	0.89

The correlation between TMSL and VFMO has been stable across timeframes, ranging from 0.86 to 0.89 - a consistent structural relationship.

TMSL vs. VFMO - Sectors Allocation Comparison

Sectors	TMSL	VFMO
Technology	25.8%	17.5%
Industrials	19.3%	24.7%
Healthcare	13.8%	22.9%
Financial Services	13.6%	6.5%
Consumer Cyclical	9.0%	8.7%
Energy	5.9%	7.3%
Real Estate	4.3%	0.1%
Basic Materials	4.1%	6.4%
Consumer Defensive	1.6%	2.5%
Utilities	1.5%	0.2%
Communication Services	1.0%	3.4%

Return for Risk

TMSL vs. VFMO — Risk / Return Rank

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

TMSL

TMSL Risk / Return Rank: 64
TMSL Sharpe Ratio Rank: 61
TMSL Sortino Ratio Rank: 62
TMSL Omega Ratio Rank: 59
TMSL Calmar Ratio Rank: 66
TMSL Martin Ratio Rank: 71

VFMO

VFMO Risk / Return Rank: 72
VFMO Sharpe Ratio Rank: 69
VFMO Sortino Ratio Rank: 62
VFMO Omega Ratio Rank: 63
VFMO Calmar Ratio Rank: 84
VFMO Martin Ratio Rank: 83

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.

TMSL vs. VFMO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for T. Rowe Price Small-Mid Cap ETF (TMSL) and Vanguard U.S. Momentum Factor ETF (VFMO). 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.

	TMSL	VFMO	Difference
Sharpe ratio: Return per unit of total volatility	1.94	2.13	-0.20
Sortino ratio: Return per unit of downside risk	2.75	2.75	0.00
Omega ratio: Gain probability vs. loss probability	1.34	1.36	-0.02
Calmar ratio: Return relative to maximum drawdown	3.13	4.30	-1.17
Martin ratio: Return relative to average drawdown	12.74	16.03	-3.29

TMSL vs. VFMO - Sharpe Ratio Comparison

The current TMSL Sharpe Ratio is 1.94, which is comparable to the VFMO Sharpe Ratio of 2.13. The chart below compares the historical Sharpe Ratios of TMSL and VFMO, 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

TMSL vs. VFMO - Drawdown Comparison

The maximum TMSL drawdown since its inception was -24.39%, smaller than the maximum VFMO drawdown of -36.77%. Use the drawdown chart below to compare losses from any high point for TMSL and VFMO.

Drawdown Indicators

	TMSL	VFMO	Difference
Max Drawdown Largest peak-to-trough decline	-24.39%	-36.77%	+12.38%
Max Drawdown (1Y) Largest decline over 1 year	-11.19%	-10.98%	-0.21%
Max Drawdown (3Y) Largest decline over 3 years	-24.39%	-24.40%	+0.01%
Max Drawdown (5Y) Largest decline over 5 years	—	-25.80%	—
Current Drawdown Current decline from peak	-0.28%	0.00%	-0.28%
Average Drawdown Average peak-to-trough decline	-3.90%	-7.73%	+3.83%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.75%	2.94%	-0.19%

Volatility

TMSL vs. VFMO - Volatility Comparison

The current volatility for T. Rowe Price Small-Mid Cap ETF (TMSL) is 6.88%, while Vanguard U.S. Momentum Factor ETF (VFMO) has a volatility of 8.00%. This indicates that TMSL experiences smaller price fluctuations and is considered to be less risky than VFMO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TMSL	VFMO	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.88%	8.00%	-1.12%
Volatility (6M) Calculated over the trailing 6-month period	14.66%	17.45%	-2.79%
Volatility (1Y) Calculated over the trailing 1-year period	18.10%	22.16%	-4.06%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.57%	21.88%	-3.31%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.57%	23.63%	-5.06%

TMSL vs. VFMO - Expense Ratio Comparison

TMSL has a 0.55% expense ratio, which is higher than VFMO's 0.13% expense ratio.

Dividends

TMSL vs. VFMO - Dividend Comparison

TMSL's dividend yield for the trailing twelve months is around 0.47%, less than VFMO's 0.61% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
TMSL T. Rowe Price Small-Mid Cap ETF	0.47%	0.57%	0.44%	0.34%	0.00%	0.00%	0.00%	0.00%	0.00%
VFMO Vanguard U.S. Momentum Factor ETF	0.38%	0.82%	0.72%	0.89%	1.72%	0.81%	0.45%	1.22%	0.70%

Frequently Asked Questions

Can I hold both TMSL and VFMO in my portfolio?

TMSL and VFMO have a correlation of 0.86, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TMSL or VFMO?

VFMO has higher volatility (8.00%) compared to TMSL (6.88%). In terms of maximum drawdown, TMSL dropped -24.39% vs VFMO's -36.77%.

Which ETF is better, TMSL or VFMO?

On 3-year performance, VFMO leads with 27.60% vs 20.03% for TMSL. On fees, VFMO is cheaper at 0.13% per year. On volatility, TMSL has been the lower-risk option at 6.88%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TMSL or VFMO?

Over the 3-year period, VFMO has performed better with a 27.60% return vs 20.03%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TMSL or VFMO?

VFMO is cheaper with a 0.13% expense ratio, compared with 0.55% for TMSL.

Which ETF pays a higher dividend yield, TMSL or VFMO?

TMSL has the higher dividend yield at 0.47%, compared with 0.38% for VFMO.

What is the main difference between TMSL and VFMO?

TMSL is categorized as Mid Cap Blend Equities, while VFMO is Momentum. They also come from different issuers: T. Rowe Price and Vanguard. Their fees differ too: 0.55% for TMSL and 0.13% for VFMO.

Which has better risk-adjusted returns?

VFMO currently has the higher Sharpe Ratio (2.13 vs 1.94), 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.