At a glance
QLC charges 0.25% a year, above the 0.07% average of the 8 funds most like it (the most expensive of 9). It has $1.01B in assets, the 9th largest of that group; it paid 0.94% of its price in distributions over the past 12 months, quarterly. Over the past year it returned +15.1% with distributions reinvested (S&P 500: +11.5%), the best of those 9 funds; over three years it returned +27.0% a year. At its worst it fell 35.6% in the 2020 crash (S&P 500: 33.7%) and 23.8% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 5 months and 14 months after the lows. Its ten largest positions make up 37.6% of the fund, out of 181 in all.
The short version
FlexShares US Quality Large Cap Index Fund (QLC), from Northern Trust, tracks the Northern Trust Quality Large Cap Index. The index picks large US companies that score well on three traits: quality, value and momentum. The fund's 0.25% expense ratio is well above the 0.03% charged by S&P 500 funds such as VOO and IVV. Over 10 years through December 31, 2025, it slightly trailed the S&P 500, but over 5 years it came out ahead.
Price history
The interactive chart needs JavaScript.
QLC +15.1% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| QLC official prospectus, to Dec 31, 2025 | — | +23.27% | — | +15.91% | +13.71% | — |
| Sand P500Index index, same period | — | +17.88% | — | +14.43% | +14.82% | — |
| Northern Trust Quality Large Cap Index index, same period | — | +23.66% | — | +16.28% | +14.05% | — |
| QLC price data to Oct 27, 2026 | +13.1% | +15.1% | +27.0% | +14.2% | +14.8% | +14.1% |
- Over the year to Oct 27, 2026, QLC returned +15.1%, 1st of 9 among similar funds.
- Its 5-year annualized return was +14.2% and its 10-year +14.8%.
- In the 2020 COVID crash it fell 35.6% and regained its old high 5.1 months after the low.
- Its worst full calendar year was 2022 (-17.2%); its best was 2021 (+28.5%).
- The deepest fall in its price history was 35.6% (Feb 14, 2020 to Mar 23, 2020), recovered by Aug 24, 2020.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +13.1% | — |
| 2025 | +23.3% | +23.27% |
| 2024 | +26.7% | +26.68% |
| 2023 | +26.0% | +25.86% |
| 2022 | -17.2% | -17.15% |
| 2021 | +28.5% | +28.51% |
| 2020 | +13.7% | +13.64% |
| 2019 | +24.5% | +23.93% |
| 2018 | -8.1% | -7.54% |
| 2017 | +21.8% | +21.32% |
| 2016 | +9.0% | +9.36% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 35.6% over that stretch · deepest drop along the way 35.6%, back to its old high 5.1 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 23.3% over that stretch · deepest drop along the way 23.8%, back to its old high 14.3 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $0.5800 | |
| 2025 | $0.7700 | +13.2% |
| 2024 | $0.6800 | +1.5% |
| 2023 | $0.6700 | +8.1% |
| 2022 | $0.6200 | +24.0% |
| 2021 | $0.5000 | -13.8% |
| 2020 | $0.5800 | -17.1% |
| 2019 | $0.7000 | +27.3% |
| 2018 | $0.5500 | +25.0% |
| 2017 | $0.4400 | -12.0% |
| 2016 | $0.5000 |
What's inside
As of Jul 31, 2026, the fund held 181 securities; the ten largest made up 37.62% of assets.
| Holding | Weight | |
|---|---|---|
| Apple, Inc. | 7.33% | |
| NVIDIA Corp. | 7.10% | |
| Microsoft Corp. | 4.25% | |
| Alphabet, Inc. Class A | 4.09% | |
| Alphabet, Inc. Class C | 3.66% | |
| Broadcom, Inc. | 2.94% | |
| Amazon.com, Inc. | 2.59% | |
| JPMorgan Chase & Co. | 1.98% | |
| Cisco Systems, Inc. | 1.85% | |
| Johnson & Johnson | 1.81% | |
| Citigroup, Inc. | 1.66% | |
| Bank of America Corp. | 1.46% | |
| Meta Platforms, Inc. | 1.40% | |
| Berkshire Hathaway, Inc. | 1.27% | |
| GE Aerospace | 1.21% |
By country
United States 98.02%United Kingdom 0.45%Ireland 0.45%Canada 0.44%Luxembourg 0.33%By asset type
Stocks 99.69%RA 0.84%Other 0%By sector
Sectors of the companies held, for the 85.9% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of Jul 31, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jul 31, 2026, investors added a net $61.9M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +5.03%, +0.09%, +0.59%.
How it works
Northern Trust Investments (NTI) is both the index provider and the fund's adviser. It starts with the 600 largest companies in the Northern Trust 1250 Index and gives each one a blended score. The score has three parts. Quality looks at financial strength and stability. Value looks at how cheap a stock is compared with its own history, its book value or its peers. Momentum looks at recent price trends.
An optimization process then chooses stocks and sets their weights to get the highest overall score, within limits. Sector and industry weights, single-stock weights, beta (sensitivity to market moves), liquidity, the number of holdings and turnover all have to stay within set bands of the 600-stock universe. So the result stays fairly close to the large-cap market. As of December 31, 2025, the index held 170 stocks, ranging from $12.4 billion to $4.5 trillion in market value, and was concentrated in information technology. The index is rebuilt every quarter. Portfolio turnover was 19%.
The fund uses representative sampling, which means it may hold a sample that behaves like the index rather than every stock in it. It keeps at least 80% of assets in index securities. It may use cash, futures or other securities with the rest, and it may lend up to one-third of its assets. It never moves to cash when markets fall.
What it really costs
- QLC charges 0.25% a year, versus an average of 0.07% for the similar funds below (9th of 9, cheapest first).
- The fee includes a 0.01% waiver from the adviser, which may end.
- Using the prospectus's standard example, $10,000 invested would cost about $26 in the first year and $330 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| QLC | $26 | $83 | $145 | $330 |
In a retirement portfolio
It holds about 180 large US companies and moves almost in step with the market, with a one-year beta of 0.99 as of October 27, 2026.
QLC can serve as a core US stock holding with a factor tilt. It launched in 2015, so it has no 2008 record. It fell 35.6% from February 14 to March 23, 2020, and was back to its old high by August 24, 2020. In 2022 it dropped 23.8% by September 30 and did not regain its peak until December 8, 2023. Its worst calendar year was 2022, at about −17%. Someone selling shares for spending during that stretch would have been selling at a loss for more than a year. Income is small: the trailing yield was 0.94% as of October 27, 2026, paid quarterly. In the SEC's standard example, costs come to $330 over 10 years on $10,000. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors who want large US companies tilted toward quality, value and momentum, while keeping sector weights and market risk close to the broad market.
- Those willing to pay 0.25% a year, compared with 0.03% for VOO or IVV, for Northern Trust's rules-based multi-factor index.
- Long-term holders who can sit through drops like the 23.8% fall in 2022, which took until December 2023 to recover.
Look elsewhere if
- Cost-focused investors: QLC ranks 9th of 9 on cost among similar funds, whose average expense ratio is 0.07%.
- Investors who need income: the trailing yield was 0.94% as of October 27, 2026, paid quarterly.
- Those wanting less big-tech exposure: Apple, NVIDIA, Microsoft and Alphabet made up about 26% of assets as of July 31, 2026.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| QLC this fund | — | 0.25% | $1.01B | +15.1% | +27.0% |
| SPYX SPDR S&P 500 Fossil Fuel Reserves Free ETF | 58% | 0.2% | $2.74B | +12.6% | +24.8% |
| IWL iShares Russell Top 200 ETF | 58% | 0.15% | $2.19B | +12.5% | +25.5% |
| SPY SPDR S&P 500 ETF Trust | 57% | 0.0945% | $781.19B | +11.5% | +21.9% |
| IVV iShares Core S&P 500 ETF | 57% | 0.03% | $888.13B | +11.5% | +22.0% |
| VOO Vanguard S&P 500 ETF | 57% | 0.03% | $1.67T | +12.4% | +23.6% |
| USPX Franklin U.S. Equity Index ETF | 57% | 0.03% | $1.98B | +12.9% | +24.9% |
| BKLC BNY Mellon US Large Cap Core Equity ETF | 57% | 0% | $5.47B | +13.4% | +25.4% |
Questions investors ask
What does QLC invest in?
QLC owns large US stocks chosen by the Northern Trust Quality Large Cap Index. The index starts with the 600 largest companies in the Northern Trust 1250 Index. It favors those that score well on quality (financial strength), value (low prices versus their history or peers) and momentum (stocks whose prices have been rising). As of July 31, 2026, the fund had 181 holdings. The largest were Apple at 7.3%, NVIDIA at 7.1%, Microsoft at 4.3%, and Alphabet's two share classes at 4.1% and 3.7%.
Is QLC good for retirement income?
Not primarily. QLC is built for growth more than income. Its yield, based on dividends paid over the past year, was 0.94% as of October 27, 2026, or $0.86 per share, paid quarterly. A retiree who wants steady income from it would mostly need to sell shares. The fund is almost entirely stocks. It fell 35.6% in the 2020 COVID crash and 23.8% in the 2022 bear market, and it took 14.3 months to make back the 2022 loss. It may suit retirees as a growth holding alongside bonds or cash.
What is QLC's expense ratio?
QLC's expense ratio, the yearly fee taken from fund assets, is 0.25%, according to the prospectus filed February 25, 2026. In the SEC's standard example of $10,000 earning 5% a year, that comes to $26 after one year and $330 over 10 years. That makes QLC the most expensive of the nine funds in our comparison. The eight similar funds average 0.07%, and S&P 500 funds such as VOO and IVV charge 0.03%. To match them after costs, QLC's stock picks have to make up that gap.
What's the difference between QLC and IWL?
Both hold big US companies, but they choose them differently. IWL, the iShares Russell Top 200 ETF, tracks the largest US stocks without screening for quality, value or momentum. QLC selects and weights its stocks on those three traits. Their portfolios overlap by 58%, based on the funds' SEC holdings reports. IWL costs 0.15% a year, compared with 0.25% for QLC. As of October 27, 2026, QLC returned 15.1% over one year and 27% a year over three years, versus 12.5% and 25.5% for IWL. Past gaps may not repeat.
Has QLC beaten the S&P 500?
Over one and five years, yes. Over 10 years, no. As of December 31, 2025, QLC's average annual return was 23.27% for one year and 15.91% for five years. The S&P 500 returned 17.88% and 14.43% over the same periods. Over 10 years, QLC returned 13.71% a year versus 14.82% for the S&P 500. It also trailed its own index, which returned 14.05% a year over 10 years, partly because of fees. Factor strategies can lag the market for long stretches.