FLJH vs MJSC

FLJHAFranklin FTSE Japan Hedged ETF

MJSCCMUFG Japan Small Cap Active ETF

In short

FLJH Japan stocks with the yen taken out of the equation. FLJH hedges the currency back to dollars for 0.09% a year, the same fee as Franklin's unhedged twin and a fraction of the typical Japan fund.

MJSC MUFG's first US-listed ETF: an active Tokyo stock-picking desk digging through Japanese small caps, roughly 100 names deep, in a category otherwise run by index trackers.

Stated mandate

FLJH The Fund seeks to closely track, before fees and expenses, the performance of the FTSE Japan Capped Hedged Index through passive indexing, using replication or representative sampling.

MJSC The Fund seeks long-term capital appreciation.

Why people hold it

• FLJH 0.09% a year. Currency hedging usually carries a surcharge; here it costs the same as Franklin's unhedged FLJP and far less than the median Japan fund.
• The hedge is the whole point: it aims to strip out yen-dollar moves so what you own is Japanese share prices, not a bet on the currency.
• Broad and deliberately un-top-heavy: roughly 500 Japanese companies tracked through a capped index, so no single name can swell into an outsized slice.
• Live since 2017 and one of the stronger builds in a crowded Japan peer group of index trackers.

• MJSC Active where the category is mostly passive: a quantitative screen on market cap and credit risk, then growth, quality and value work, rather than cloning a small-cap index.mufgetfs.com
• Japanese plumbing, not a Japan sleeve bolted onto a US shop. Mitsubishi UFJ Trust and Banking sub-advises alongside Clearbrook, so the research sits near the companies.mufgetfs.cometfexpress.com
• The portfolio matches what the prospectus promises: Japanese small-cap equities aimed at long-term capital appreciation, spread across about 100 names.

Worth knowing

• FLJH The hedge cuts both ways. When the yen strengthens against the dollar, you give up the tailwind an unhedged Japan fund would capture.
• Thinly traded and small next to the Japan heavyweights, so bid-ask spreads can run wider than headline fee comparisons suggest.
• Distributions land once or twice a year, not monthly or quarterly, so income arrives in lumps.

• MJSC Active Japan costs: 1.01% net of a waiver through December 31, 2027 (1.68% gross), above the category's typical fee. Index peers SCJ (0.50%) and FLJP (0.09%) charge far less.
• A small fund that trades lightly, which can mean wider spreads and larger premiums or discounts than the category's big index names.
• Launched in 2025, so there is little track record to judge, and cash comes back once or twice a year rather than quarterly.

Full FLJH profile⁠

Full MJSC profile⁠