FTCE vs QUAL: Grades, Fees and Holdings Compared

First Trust New Constructs Core Earnings Leaders ETF

FTCECNYSE Arca

iShares MSCI USA Quality Factor ETF

QUALACboe

Overlap

24.4%by weight

Expense ratio

QUAL −0.45pt a year

FTCE0.60%QUAL0.15%

Avg volume · 30D

QUAL 596.9×the volume

FTCE7.17KQUAL4.28M

FTCE vs QUAL Performance

Nov 7, 2025 – Nov 9, 2026

+10.9%FTCE+16.3%QUAL

Expense ratio: FTCE 0.60%; QUAL 0.15%, better
Fund size: FTCE $80M; QUAL $47.6B
1Y total return: FTCE +10.9%; QUAL +16.3%, better
Yield (12M): FTCE 0.73%; QUAL No data
Holdings: FTCE 101; QUAL 121
Avg volume (30D): FTCE 7.17K sh; QUAL 4.28M sh, better
NAV per share: FTCE $26.30; QUAL $54.80
52W range

ETF.net Grade

Pillar letters and Scores for FTCE, QUAL, with each pillar’s weight
Pillar	FTCE	QUAL
Cost30% weight	F2	A84Higher
Mission25% weight	A93	A95Higher
Risk15% weight	D37	A74Higher
Tradability15% weight	C48	B60Higher
Holdings10% weight	C51Higher	D37
Durability5% weight	C41	A96Higher

Rank among US Quality Index funds

How we build Categories ›

Same Category. FTCE and QUAL are both graded against the same 26 US Quality Index funds, so their Grades compare head to head.

US Quality Index⁠

Category · 26 funds

See all 26 ›

QUAL ranks 2nd and FTCE 20th of 26 funds in the US Quality Index Category.

Rank 1AJQUAJPMorgan U.S. Quality Factor ETFScore 81
Rank 2AQUALiShares MSCI USA Quality Factor ETFScore 77
Rank 3AFQALFidelity Quality Factor ETFScore 76
Rank 19CABFLAbacus FCF Leaders ETFScore 44
Rank 20CFTCEFirst Trust New Constructs Core Earnings Leaders ETFScore 43
Rank 21CQFRDPacer S&P 500 Quality FCF R&D Leaders ETFScore 40

Our read on each fund

ETF.net Research

FTCECFirst Trust New Constructs Core Earnings Leaders ETF

QUALAiShares MSCI USA Quality Factor ETF

In short

FTCE Quality investing with a forensic-accounting accent. FTCE tracks a Bloomberg index built on New Constructs core earnings work, holding about 100 US companies. A 2024 launch that charges 0.60% in a category full of cheaper giants.

QUAL QUAL screens US large and mid caps for high return on equity, low debt and steady earnings, then does it sector by sector, so the portfolio stays spread across the market instead of piling into whichever sector looks healthiest.

Stated mandate

FTCE The Fund seeks to track the price and yield performance of the Bloomberg New Constructs Core Earnings Leaders Index before fees and expenses.

QUAL The fund tracks an index of U.S. large- and mid-capitalization stocks selected for quality characteristics, including high return on equity, stable earnings, and low debt.

Why people hold it

FTCE A screen no other fund in the US quality group runs: the Bloomberg New Constructs Core Earnings Leaders Index, profitability-driven and rules-based rather than a repackaged cap-weighted quality score.ftportfolios.com
The mandate is plain on the tin: US stocks, quality and profitability screens, index tracking, no manager improvising between rebalances.ftportfolios.com
Concentrated by design: roughly 100 names, tight enough for the screen to show up in results. Distributions come quarterly.

QUAL At 0.15%, it undercuts the typical quality-factor fund, where the cohort median sits at 0.29%.
Sector neutral by design: companies are ranked on return on equity, leverage and earnings variability against rivals in their own GICS sector.msci.com ishares.com
Running since 2013, now a $25B-$100B fund that trades actively, with returns that stay close to its index.

Worth knowing

FTCE The fee is the headline trade-off: 0.60% a year, against a category median near 0.29% and the big quality names at 0.12% (JQUA) or 0.15% (QUAL).
Thinly traded compared with the household-name quality funds, so spreads can be wider and large orders take more care at the open and close.
Launched in 2024, so the record is short. There is not yet a full market cycle showing how the core earnings screen behaves when leadership shifts.

QUAL About 120 large and mid caps, leaning on the same familiar giants as a broad US index fund. This is a tilt on core equity, not new ground.
Sector neutrality cuts both ways: it keeps a foot in every sector rather than stepping away from ones with weak fundamentals.msci.com
Cheap, not cheapest. JQUA (0.12%) and VFQY (0.13%) shave a basis point or three off the fee.

Full FTCE profile⁠

Full QUAL profile⁠

FTCE vs QUAL Holdings

How FTCE and QUAL differ

Overlap by weight

24.4%

Shared holdings make up 37.4% of FTCE and 25.1% of QUAL.

Level by level

Holdings27 in both24.4%
Sector11 Sectors92.7%
Countryby domicile98.8%
Asset classStocks100%

Sector

Sector weights in FTCE and QUAL, widest gap first
Sector	Gap	FTCE	QUAL
Technology	FTCE +6.1 points	40.4%	34.3%
Communication	QUAL +2.9 points	6.4%	9.3%
Industrials	QUAL +1.8 points	7.0%	8.8%
Consumer Discretionary	QUAL +1.2 points	8.6%	9.8%
Financials	QUAL +0.8 points	12.3%	13.2%
Energy	FTCE +0.6 points	4.0%	3.4%
Real Estate	FTCE +0.5 points	2.0%	1.6%
Materials	QUAL +0.2 points	1.6%	1.9%
Utilities	QUAL +0.1 points	2.0%	2.2%
Health Care	FTCE +0.2 points	10.7%	10.5%
Consumer Staples	QUAL +0.1 points	4.8%	4.9%

Country, concentration and asset class

Country by domicile

Country weights in FTCE and QUAL, widest gap first
Country	Gap	FTCE	QUAL
Switzerland	QUAL +1.2 points	0.0%	1.2%
Mexico	FTCE +0.7 points	0.7%	0.0%
United States	FTCE +0.5 points	99.3%	98.8%

Concentration

Weight in the 10 largest Holdings

FTCE40.1%
QUAL44.0%

Securities held

FTCE100
QUAL118

Asset class

FTCE: Stocks
QUAL: Stocks

Holdings

Only in FTCE73
In both27
Only in QUAL91

Only in FTCE

73 securities, 62.5% of FTCE by weight

International Business Machines Corporation5.37%
Starbucks Corporation4.51%
Palo Alto Networks, Inc.3.81%
General Motors Company2.84%
Cloudflare, Inc. (Class A)2.61%
Altria Group, Inc.2.47%
Seagate Technology Holdings Plc2.41%
Intel Corporation2.25%
AbbVie Inc.1.89%
Ford Motor Company1.82%
Take-Two Interactive Software, Inc.1.80%
Amphenol Corporation1.70%
Colgate-Palmolive Company1.50%
Strategy Incorporated (Class A)1.30%
Lumentum Holdings Inc.1.26%
Eaton Corporation Plc1.23%
VeriSign, Inc.1.17%
Newmont Corporation1.15%
Live Nation Entertainment, Inc.1.05%
HP Inc.0.79%
Flex Ltd.0.77%
United Parcel Service, Inc. (Class B)0.75%
ON Semiconductor Corporation0.75%
Quanta Services, Inc.0.75%
Atlassian Corporation (Class A)0.74%
The Kroger Co.0.74%
Diamondback Energy, Inc.0.67%
Equinix, Inc.0.65%
FedEx Corporation0.62%
TransDigm Group Incorporated0.62%
Air Products and Chemicals, Inc.0.61%
Pfizer Inc.0.61%
Entegris, Inc.0.59%
Cummins Inc.0.58%
The Estee Lauder Companies Inc.0.52%
Bristol-Myers Squibb Company0.47%
Arthur J. Gallagher & Co.0.43%
Dominion Energy, Inc.0.43%
Vylor Inc.0.42%
CVS Health Corporation0.39%
Rockwell Automation, Inc.0.39%
Robinhood Markets, Inc. (Class A)0.38%
Sempra0.36%
Realty Income Corporation0.36%
Moderna, Inc.0.34%
Vistra Corp.0.29%
Fifth Third Bancorp0.29%
Apollo Global Management, Inc.0.28%
Otis Worldwide Corporation0.28%
Ventas, Inc.0.28%

Only in QUAL

91 securities, 74.7% of QUAL by weight

Microsoft8.23%
Apple7.41%
NVIDIA5.48%
Tjx3.44%
Lam Research2.40%
Exxonmobil Holdings Corp2.34%
Johnson & Johnson2.24%
Berkshire Hathaway Inc Class B2.07%
Applied Material Inc2.05%
Kla1.88%
Alphabet Class A1.65%
Netflix1.52%
Ross Stores Inc1.44%
Automatic Data Processing Inc1.35%
Arista Networks1.32%
Alphabet Class C1.31%
Costco Wholesale Corp1.23%
Walmart1.12%
Linde PLC1.10%
Procter & Gamble0.94%
Lockheed Martin0.94%
Chipotle Mexican Grill0.92%
Garmin0.89%
Coca-Cola0.89%
Fortinet0.85%
Williams Sonoma Inc0.77%
Illinois Tool Inc0.76%
Applovin Class A0.74%
Prologis Reit0.74%
Trane Technologies PLC0.70%
Cintas0.70%
Ulta Beauty Inc0.62%
Howmet Aerospace0.61%
Intuit0.58%
Fastenal0.57%
Cadence Design Systems0.54%
Xcel Energy Inc0.53%
Vertex Pharmaceuticals0.48%
Motorola Solutions Inc0.48%
Pultegroup0.44%
Progressive0.43%
S&P Global0.41%
Best Buy0.40%
Autodesk0.40%
Sherwin Williams0.37%
Cme Group Class A0.36%
Pepsico0.36%
Comfort Systems Usa0.36%
Nvr0.36%
Chubb0.36%

Weight gaps

All 27 Holdings in both funds, largest gap first.

Holding weights in FTCE and QUAL, widest gap first
Holding	Gap	FTCE	QUAL
Accenture plcACN	FTCE +3.78 points	4.86%	1.08%
Adobe IncorporatedADBE	FTCE +1.95 points	2.89%	0.94%
EOG Resources, Inc.EOG	FTCE +1.11 points	1.43%	0.32%
SLB Ltd.SLB	FTCE +1.06 points	1.35%	0.29%
NetApp, Inc.NTAP	FTCE +0.79 points	1.01%	0.22%
Cognizant Technology Solutions CorporationCTSH	FTCE +0.70 points	0.89%	0.19%
Visa Inc. (Class A)V	FTCE +0.66 points	4.34%	3.68%
Mastercard IncorporatedMA	FTCE +0.57 points	3.19%	2.62%
Jabil Inc.JBL	FTCE +0.56 points	0.75%	0.19%
BlackRock, Inc.BLK	FTCE +0.48 points	1.00%	0.52%
The Charles Schwab CorporationSCHW	FTCE +0.47 points	0.90%	0.43%
Halliburton CompanyHAL	FTCE +0.34 points	0.43%	0.09%
Marsh & McLennan Companies, Inc.MRSH	FTCE +0.29 points	0.59%	0.30%
Atmos Energy CorporationATO	QUAL +0.24 points	0.20%	0.44%
Consolidated Edison, Inc.ED	QUAL +0.22 points	0.31%	0.53%
PayPal Holdings, Inc.PYPL	FTCE +0.14 points	0.31%	0.17%
Eli Lilly and CompanyLLY	QUAL +0.10 points	4.24%	4.34%
3M CompanyMMM	QUAL +0.09 points	0.89%	0.98%
Merck & Co., Inc.MRK	QUAL +0.08 points	1.33%	1.41%
T. Rowe Price Group, Inc.TROW	FTCE +0.05 points	0.14%	0.09%
Paychex, Inc.PAYX	FTCE +0.05 points	0.35%	0.30%
Edwards Lifesciences CorporationEW	FTCE +0.04 points	0.22%	0.18%
Gilead Sciences, Inc.GILD	QUAL +0.03 points	0.76%	0.79%
W.W. Grainger, Inc.GWW	FTCE +0.02 points	0.60%	0.58%
Meta Platforms, Inc. (Class A)META	QUAL +0.02 points	4.05%	4.07%
Waters CorporationWAT	FTCE +0.01 points	0.17%	0.16%
CBRE Group, Inc.CBRE	Same weight	0.25%	0.25%

All 100 FTCE holdings⁠All 118 QUAL holdings⁠

How we measure overlap

Each holding counts at its smaller weight in the two funds, summed over the full Holdings. Sector, country and asset class use the same rule on each fund’s split. Cash, FX and derivative lines stay out of the counts. Two bond funds get no overlap figure.

FTCE vs QUAL Cost

Overpaying FTCE vs QUAL

$8,680

On $10,000 over 30 years. 7% growth a year before fees, expense ratio only.

FTCE 0.60%
$11,817
QUAL 0.15%
$3,137

Amount$10,000

Years30 years

Cost over time

FTCE 0.60%
QUAL 0.15%
Overpaying

Year by year

Year	FTCE	QUAL	Overpaying
10	$1,076	$274	$802
20	$4,116	$1,071	$3,045
30	$11,817	$3,137	$8,680

Expense ratio

0.60%FTCE
0.15%QUAL, cheaper

QUAL0.15%FTCE0.60%

0.12%0.60%

Middle half of US Quality Index funds
Median 0.39%

QUAL 3rd cheapest of 26 funds

FTCE 25th cheapest of 26 funds

FTCE vs QUAL Dividends

Last 12 months to Nov 9, 2026

Yield (12M): FTCE 0.73%; QUAL No data
Payout (12M): FTCE $0.20; QUAL No data
Last payment: FTCE $0.06; QUAL $0.12
Ex-dividend: FTCE Sep 24, 2026; QUAL Sep 15, 2026
Paid on: FTCE Sep 30, 2026; QUAL Sep 18, 2026
Frequency: FTCE Quarterly; QUAL Quarterly

Distribution history

Per share, 2017 to 2026, same scale for both

FTCEQuarterly · 8 paymentsAll FTCE payments⁠

QUALQuarterly · 32 paymentsAll QUAL payments⁠

FTCE vs QUAL Risk

Fall from peak · 5 years

This chart needs five years of history for both funds.

Risk facts

VolatilityStd dev, 3 years: FTCE 14.8%since Nov 2024QUAL 11.8%
Return per unit of riskSharpe ratio, 3 years: FTCE 0.97since Nov 2024QUAL 1.25
Worst fallMax drawdown, 5 years: FTCE −18.1%since Oct 2024QUAL −28.2%
Market sensitivityBeta, 5 years: FTCE 1.02QUAL 0.90; Market = 1

FTCE and QUAL in the news

All news⁠

New ETFs
Two old strategies got ETF tickers. Jensen's new one lets a rule pick the stocks.
Oct 5, 2026QUAL
New ETFs
Jensen's first passive ETF charges 0.25% for a 10-year profit test
Oct 5, 2026QUAL
Category Review
Cash-flow quality returned 42% while QUAL returned 17%
Updated Sep 22, 2026QUAL

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FTCE vs QUAL

In short

Stated mandate

Why people hold it