USMV vs. IQLT

Last updated Jun 21, 2026

USMV (iShares MSCI USA Min Vol Factor ETF) and IQLT (iShares MSCI Intl Quality Factor ETF) are both exchange-traded funds - USMV is a Large Cap Blend Equities fund tracking the MSCI USA Minimum Volatility Index, while IQLT is a Foreign Large Cap Equities fund tracking the MSCI World ex USA Sector Neutral Quality Index (Net). Both are passively managed. Over the past 10 years, USMV returned 9.68%/yr vs 9.67%/yr for IQLT. A 0.62 correlation means they provide meaningful diversification when combined. USMV charges 0.15%/yr vs 0.30%/yr for IQLT.

Performance

USMV vs. IQLT - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI USA Min Vol Factor ETF (USMV) and iShares MSCI Intl Quality Factor ETF (IQLT). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, USMV achieves a 0.81% return, which is significantly lower than IQLT's 10.18% return. Both investments have delivered pretty close results over the past 10 years, with USMV having a 9.68% annualized return and IQLT not far behind at 9.67%.

USMV

• 1D: -0.42%
• 1M: -2.42%
• YTD: 0.81%
• 6M: 0.85%
• 1Y: 4.23%
• 3Y*: 10.26%
• 5Y*: 7.31%
• 10Y*: 9.68%

IQLT

• 1D: 0.43%
• 1M: 1.44%
• YTD: 10.18%
• 6M: 10.87%
• 1Y: 20.80%
• 3Y*: 13.90%
• 5Y*: 7.97%
• 10Y*: 9.67%

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

USMV vs. IQLT - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
USMV iShares MSCI USA Min Vol Factor ETF	0.81%	7.65%	15.74%	10.33%	-9.43%	20.85%	5.64%	27.69%	1.33%	18.91%
IQLT iShares MSCI Intl Quality Factor ETF	10.18%	25.42%	1.54%	18.73%	-15.22%	12.94%	12.48%	28.18%	-10.76%	24.04%

Correlation

The correlation between USMV and IQLT is 0.49, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.49
Correlation (3Y) Calculated over the trailing 3-year period	0.57
Correlation (5Y) Calculated over the trailing 5-year period	0.65
Correlation (10Y) Calculated over the trailing 10-year period	0.65
Correlation (All Time) Calculated using the full available price history since Jan 15, 2015	0.62

The correlation between USMV and IQLT shifts across timeframes, from 0.49 (1 year) to 0.65 (10 years), reflecting how their relationship changes across market environments.

USMV vs. IQLT - Sectors Allocation Comparison

Sectors	USMV	IQLT
Technology	33.9%	13.0%
Healthcare	12.6%	8.7%
Financial Services	11.7%	25.0%
Consumer Defensive	9.4%	6.4%
Utilities	6.9%	3.5%
Communication Services	6.2%	3.1%
Industrials	6.1%	17.7%
Consumer Cyclical	5.7%	8.3%
Energy	2.7%	4.9%
Real Estate	2.5%	1.5%
Basic Materials	2.4%	7.2%

Return for Risk

USMV vs. IQLT — Risk / Return Rank

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

USMV

USMV Risk / Return Rank: 16
USMV Sharpe Ratio Rank: 16
USMV Sortino Ratio Rank: 15
USMV Omega Ratio Rank: 14
USMV Calmar Ratio Rank: 17
USMV Martin Ratio Rank: 19

IQLT

IQLT Risk / Return Rank: 40
IQLT Sharpe Ratio Rank: 39
IQLT Sortino Ratio Rank: 39
IQLT Omega Ratio Rank: 36
IQLT Calmar Ratio Rank: 40
IQLT Martin Ratio Rank: 46

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.

USMV vs. IQLT - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI USA Min Vol Factor ETF (USMV) and iShares MSCI Intl Quality Factor ETF (IQLT). 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.

	USMV	IQLT	Difference
Sharpe ratio: Return per unit of total volatility	0.50	1.33	-0.84
Sortino ratio: Return per unit of downside risk	0.75	1.95	-1.19
Omega ratio: Gain probability vs. loss probability	1.09	1.23	-0.15
Calmar ratio: Return relative to maximum drawdown	0.66	1.92	-1.25
Martin ratio: Return relative to average drawdown	2.18	7.29	-5.11

USMV vs. IQLT - Sharpe Ratio Comparison

The current USMV Sharpe Ratio is 0.50, which is lower than the IQLT Sharpe Ratio of 1.33. The chart below compares the historical Sharpe Ratios of USMV and IQLT, 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

USMV vs. IQLT - Drawdown Comparison

The maximum USMV drawdown since its inception was -33.10%, roughly equal to the maximum IQLT drawdown of -32.21%. Use the drawdown chart below to compare losses from any high point for USMV and IQLT.

Drawdown Indicators

	USMV	IQLT	Difference
Max Drawdown Largest peak-to-trough decline	-33.10%	-32.21%	-0.89%
Max Drawdown (1Y) Largest decline over 1 year	-6.46%	-10.38%	+3.92%
Max Drawdown (3Y) Largest decline over 3 years	-9.36%	-13.18%	+3.82%
Max Drawdown (5Y) Largest decline over 5 years	-17.93%	-30.24%	+12.31%
Max Drawdown (10Y) Largest decline over 10 years	-33.10%	-32.21%	-0.89%
Current Drawdown Current decline from peak	-2.95%	-0.18%	-2.77%
Average Drawdown Average peak-to-trough decline	-2.87%	-6.20%	+3.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.96%	2.72%	-0.76%

Volatility

USMV vs. IQLT - Volatility Comparison

The current volatility for iShares MSCI USA Min Vol Factor ETF (USMV) is 2.62%, while iShares MSCI Intl Quality Factor ETF (IQLT) has a volatility of 5.02%. This indicates that USMV experiences smaller price fluctuations and is considered to be less risky than IQLT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	USMV	IQLT	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.62%	5.02%	-2.40%
Volatility (6M) Calculated over the trailing 6-month period	6.13%	12.68%	-6.55%
Volatility (1Y) Calculated over the trailing 1-year period	8.60%	14.90%	-6.30%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.36%	16.54%	-4.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.51%	16.97%	-2.46%

USMV vs. IQLT - Expense Ratio Comparison

USMV has a 0.15% expense ratio, which is lower than IQLT's 0.30% expense ratio.

Dividends

USMV vs. IQLT - Dividend Comparison

USMV's dividend yield for the trailing twelve months is around 1.53%, less than IQLT's 2.42% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IQLT iShares MSCI Intl Quality Factor ETF	2.42%	2.33%	2.87%	2.27%	3.14%	2.24%	1.61%	2.28%	2.72%	2.36%	2.91%	2.78%
USMV iShares MSCI USA Min Vol Factor ETF	1.53%	1.49%	1.67%	1.82%	1.62%	1.26%	1.81%	1.88%	2.12%	1.77%	2.22%	2.02%

Frequently Asked Questions

Can I hold both USMV and IQLT in my portfolio?

USMV and IQLT have a correlation of 0.49, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, USMV or IQLT?

IQLT has higher volatility (5.02%) compared to USMV (2.62%). In terms of maximum drawdown, USMV dropped -33.10% vs IQLT's -32.21%.

Which ETF is better, USMV or IQLT?

On 10-year performance, USMV leads with 9.68% vs 9.67% for IQLT. On fees, USMV is cheaper at 0.15% per year. On volatility, USMV has been the lower-risk option at 2.62%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, USMV or IQLT?

Over the 10-year period, USMV has performed better with a 9.68% return vs 9.67%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, USMV or IQLT?

USMV is cheaper with a 0.15% expense ratio, compared with 0.30% for IQLT.

Which ETF pays a higher dividend yield, USMV or IQLT?

IQLT has the higher dividend yield at 2.42%, compared with 1.53% for USMV.

What is the main difference between USMV and IQLT?

USMV is categorized as Large Cap Blend Equities, while IQLT is Foreign Large Cap Equities. USMV tracks MSCI USA Minimum Volatility Index, while IQLT tracks MSCI World ex USA Sector Neutral Quality Index (Net). Their fees differ too: 0.15% for USMV and 0.30% for IQLT.

Which has better risk-adjusted returns?

IQLT currently has the higher Sharpe Ratio (1.33 vs 0.50), 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.