TOPC vs. ESN

Last updated Jun 30, 2026

TOPC (iShares S&P 500 3% Capped ETF) and ESN (Essential 40 Stock ETF) are both Large Cap Blend Equities funds - TOPC tracks the S&P 500 3% Capped Index while ESN tracks the Essential 40 Stock Index. Both are passively managed. Over the past year, TOPC returned 22.63% vs 25.29% for ESN. Their correlation of 0.83 suggests significant overlap in exposure. TOPC charges 0.09%/yr vs 0.70%/yr for ESN.

Performance

TOPC vs. ESN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares S&P 500 3% Capped ETF (TOPC) and Essential 40 Stock ETF (ESN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TOPC achieves a 11.31% return, which is significantly lower than ESN's 15.40% return.

TOPC

• 1D: 1.05%
• 1M: 0.07%
• YTD: 11.31%
• 6M: 10.23%
• 1Y: 22.63%
• 3Y*: —
• 5Y*: —
• 10Y*: —

ESN

• 1D: 0.63%
• 1M: 0.09%
• YTD: 15.40%
• 6M: 14.70%
• 1Y: 25.29%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

TOPC vs. ESN - Yearly Performance Comparison

	2026 (YTD)	2025
TOPC iShares S&P 500 3% Capped ETF	11.31%	25.80%
ESN Essential 40 Stock ETF	15.40%	17.90%

Correlation

The correlation between TOPC and ESN is 0.82, 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	0.82
Correlation (All Time) Calculated using the full available price history since Apr 16, 2025	0.83

The correlation between TOPC and ESN has been stable across timeframes, ranging from 0.82 to 0.83 - a consistent structural relationship.

Return for Risk

TOPC vs. ESN — Risk / Return Rank

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

TOPC

TOPC Risk / Return Rank: 70
TOPC Sharpe Ratio Rank: 69
TOPC Sortino Ratio Rank: 67
TOPC Omega Ratio Rank: 68
TOPC Calmar Ratio Rank: 67
TOPC Martin Ratio Rank: 78

ESN

ESN Risk / Return Rank: 87
ESN Sharpe Ratio Rank: 90
ESN Sortino Ratio Rank: 90
ESN Omega Ratio Rank: 86
ESN Calmar Ratio Rank: 84
ESN Martin Ratio Rank: 87

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.

TOPC vs. ESN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares S&P 500 3% Capped ETF (TOPC) and Essential 40 Stock ETF (ESN). 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.

	TOPC	ESN	Difference
Sharpe ratio: Return per unit of total volatility	1.91	2.56	-0.65
Sortino ratio: Return per unit of downside risk	2.61	3.54	-0.94
Omega ratio: Gain probability vs. loss probability	1.34	1.44	-0.10
Calmar ratio: Return relative to maximum drawdown	2.83	3.96	-1.13
Martin ratio: Return relative to average drawdown	12.77	15.42	-2.64

TOPC vs. ESN - Sharpe Ratio Comparison

The current TOPC Sharpe Ratio is 1.91, which is comparable to the ESN Sharpe Ratio of 2.56. The chart below compares the historical Sharpe Ratios of TOPC and ESN, 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

TOPC vs. ESN - Drawdown Comparison

The maximum TOPC drawdown since its inception was -8.04%, smaller than the maximum ESN drawdown of -13.60%. Use the drawdown chart below to compare losses from any high point for TOPC and ESN.

Drawdown Indicators

	TOPC	ESN	Difference
Max Drawdown Largest peak-to-trough decline	-8.04%	-13.60%	+5.56%
Max Drawdown (1Y) Largest decline over 1 year	-8.04%	-6.42%	-1.62%
Current Drawdown Current decline from peak	-0.63%	-0.44%	-0.19%
Average Drawdown Average peak-to-trough decline	-0.96%	-1.86%	+0.90%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.78%	1.64%	+0.14%

Volatility

TOPC vs. ESN - Volatility Comparison

iShares S&P 500 3% Capped ETF (TOPC) has a higher volatility of 4.78% compared to Essential 40 Stock ETF (ESN) at 3.28%. This indicates that TOPC's price experiences larger fluctuations and is considered to be riskier than ESN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TOPC	ESN	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.78%	3.28%	+1.50%
Volatility (6M) Calculated over the trailing 6-month period	9.52%	7.51%	+2.01%
Volatility (1Y) Calculated over the trailing 1-year period	11.95%	9.95%	+2.00%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.54%	13.24%	-0.70%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	12.54%	13.24%	-0.70%

TOPC vs. ESN - Expense Ratio Comparison

TOPC has a 0.09% expense ratio, which is lower than ESN's 0.70% expense ratio.

Dividends

TOPC vs. ESN - Dividend Comparison

TOPC's dividend yield for the trailing twelve months is around 1.04%, more than ESN's 0.79% yield.

Position	TTM	2025	2024
ESN Essential 40 Stock ETF	0.79%	0.91%	0.76%
TOPC iShares S&P 500 3% Capped ETF	1.04%	0.80%	0.00%

Frequently Asked Questions

Can I hold both TOPC and ESN in my portfolio?

TOPC and ESN have a correlation of 0.82, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TOPC or ESN?

TOPC has higher volatility (4.78%) compared to ESN (3.28%). In terms of maximum drawdown, TOPC dropped -8.04% vs ESN's -13.60%.

Which ETF is better, TOPC or ESN?

On 1-year performance, ESN leads with 25.29% vs 22.63% for TOPC. On fees, TOPC is cheaper at 0.09% per year. On volatility, ESN has been the lower-risk option at 3.28%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TOPC or ESN?

Over the 1-year period, ESN has performed better with a 25.29% return vs 22.63%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TOPC or ESN?

TOPC is cheaper with a 0.09% expense ratio, compared with 0.70% for ESN.

Which ETF pays a higher dividend yield, TOPC or ESN?

TOPC has the higher dividend yield at 1.04%, compared with 0.79% for ESN.

What is the main difference between TOPC and ESN?

TOPC tracks S&P 500 3% Capped Index, while ESN tracks Essential 40 Stock Index. They also come from different issuers: iShares and KKM Financial. Their fees differ too: 0.09% for TOPC and 0.70% for ESN.

Which has better risk-adjusted returns?

ESN currently has the higher Sharpe Ratio (2.56 vs 1.91), 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.