AOM vs. IAU

Last updated Jun 4, 2026

AOM (iShares Core Moderate Allocation ETF) and IAU (iShares Gold Trust) are both exchange-traded funds - AOM is a Diversified Portfolio fund tracking the S&P Target Risk Moderate, while IAU is a Gold fund tracking the LBMA Gold Price. Both are passively managed. Over the past 10 years, AOM returned 6.22%/yr vs 13.31%/yr for IAU. At a 0.19 correlation, their price movements are largely independent. Both charge a 0.25% expense ratio.

Performance

AOM vs. IAU - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Core Moderate Allocation ETF (AOM) and iShares Gold Trust (IAU). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, AOM achieves a 5.00% return, which is significantly higher than IAU's 2.98% return. Over the past 10 years, AOM has underperformed IAU with an annualized return of 6.22%, while IAU has yielded a comparatively higher 13.31% annualized return.

AOM

• 1D: -0.46%
• 1M: 2.13%
• YTD: 5.00%
• 6M: 5.31%
• 1Y: 14.51%
• 3Y*: 10.87%
• 5Y*: 4.80%
• 10Y*: 6.22%

IAU

• 1D: -0.98%
• 1M: -1.62%
• YTD: 2.98%
• 6M: 5.50%
• 1Y: 32.20%
• 3Y*: 31.29%
• 5Y*: 18.32%
• 10Y*: 13.31%

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

AOM vs. IAU - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
AOM iShares Core Moderate Allocation ETF	5.00%	13.28%	7.95%	12.38%	-14.54%	6.93%	10.02%	15.58%	-3.88%	11.63%
IAU iShares Gold Trust	2.98%	63.95%	26.85%	12.84%	-0.63%	-4.00%	25.03%	17.98%	-1.76%	12.91%

Correlation

The correlation between AOM and IAU is 0.32, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.32
Correlation (3Y) Calculated over the trailing 3-year period	0.30
Correlation (5Y) Calculated over the trailing 5-year period	0.30
Correlation (10Y) Calculated over the trailing 10-year period	0.24
Correlation (All Time) Calculated using the full available price history since Nov 12, 2008	0.19

The correlation between AOM and IAU shifts across timeframes, from 0.19 (all time) to 0.32 (1 year), reflecting how their relationship changes across market environments.

AOM vs. IAU - Sectors Allocation Comparison

Sectors	AOM	IAU
Technology	27.9%	-
Financial Services	16.1%	-
Industrials	11.9%	-
Consumer Cyclical	9.5%	-
Communication Services	8.1%	-
Healthcare	8.0%	-
Consumer Defensive	5.0%	-
Energy	4.3%	-
Basic Materials	4.2%	-
Utilities	2.7%	-
Real Estate	2.4%	100.0%

Return for Risk

AOM vs. IAU — Risk / Return Rank

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

AOM

AOM Risk / Return Rank: 65
AOM Sharpe Ratio Rank: 66
AOM Sortino Ratio Rank: 69
AOM Omega Ratio Rank: 67
AOM Calmar Ratio Rank: 57
AOM Martin Ratio Rank: 67

IAU

IAU Risk / Return Rank: 32
IAU Sharpe Ratio Rank: 33
IAU Sortino Ratio Rank: 29
IAU Omega Ratio Rank: 36
IAU Calmar Ratio Rank: 33
IAU Martin Ratio Rank: 29

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.

AOM vs. IAU - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core Moderate Allocation ETF (AOM) and iShares Gold Trust (IAU). 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.

	AOM	IAU	Difference
Sharpe ratio Return per unit of total volatility	2.23	1.23	+1.00
Sortino ratio Return per unit of downside risk	3.22	1.62	+1.60
Omega ratio Gain probability vs. loss probability	1.42	1.24	+0.17
Calmar ratio Return relative to maximum drawdown	2.85	1.69	+1.17
Martin ratio Return relative to average drawdown	12.45	4.19	+8.26
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

AOM vs. IAU - Sharpe Ratio Comparison

The current AOM Sharpe Ratio is 2.23, which is higher than the IAU Sharpe Ratio of 1.23. The chart below compares the historical Sharpe Ratios of AOM and IAU, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	AOM	IAU	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.23	1.23	+1.00
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.59	1.03	-0.43
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.79	0.84	-0.05
Sharpe Ratio (All Time) Calculated using the full available price history	0.69	0.62	+0.07

Drawdowns

AOM vs. IAU - Drawdown Comparison

The maximum AOM drawdown since its inception was -19.96%, smaller than the maximum IAU drawdown of -45.14%. Use the drawdown chart below to compare losses from any high point for AOM and IAU.

Drawdown Indicators

	AOM	IAU	Difference
Max Drawdown Largest peak-to-trough decline	-19.96%	-45.14%	+25.18%
Max Drawdown (1Y) Largest decline over 1 year	-5.11%	-19.18%	+14.07%
Max Drawdown (3Y) Largest decline over 3 years	-6.85%	-19.18%	+12.33%
Max Drawdown (5Y) Largest decline over 5 years	-19.96%	-20.93%	+0.97%
Max Drawdown (10Y) Largest decline over 10 years	-19.96%	-21.82%	+1.86%
Current Drawdown Current decline from peak	-0.46%	-17.70%	+17.24%
Average Drawdown Average peak-to-trough decline	-2.70%	-15.96%	+13.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.17%	7.71%	-6.54%

Volatility

AOM vs. IAU - Volatility Comparison

The current volatility for iShares Core Moderate Allocation ETF (AOM) is 2.17%, while iShares Gold Trust (IAU) has a volatility of 5.50%. This indicates that AOM experiences smaller price fluctuations and is considered to be less risky than IAU based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AOM	IAU	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.17%	5.50%	-3.33%
Volatility (6M) Calculated over the trailing 6-month period	5.22%	23.02%	-17.80%
Volatility (1Y) Calculated over the trailing 1-year period	6.55%	26.42%	-19.87%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	8.14%	17.95%	-9.81%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	7.93%	15.90%	-7.97%

AOM vs. IAU - Expense Ratio Comparison

Both AOM and IAU have an expense ratio of 0.25%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

AOM vs. IAU - Dividend Comparison

AOM's dividend yield for the trailing twelve months is around 2.98%, while IAU has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AOM iShares Core Moderate Allocation ETF	2.98%	2.98%	3.10%	2.79%	2.27%	1.56%	2.02%	2.66%	2.53%	3.31%	2.14%	1.98%
IAU iShares Gold Trust	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both AOM and IAU in my portfolio?

AOM and IAU have a correlation of 0.32, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, AOM or IAU?

IAU has higher volatility (5.50%) compared to AOM (2.17%). In terms of maximum drawdown, AOM dropped -19.96% vs IAU's -45.14%.

Which ETF is better, AOM or IAU?

On 10-year performance, IAU leads with 13.31% vs 6.22% for AOM. Both ETFs have the same 0.25% expense ratio. On volatility, AOM has been the lower-risk option at 2.17%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, AOM or IAU?

Over the 10-year period, IAU has performed better with a 13.31% return vs 6.22%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, AOM or IAU?

AOM and IAU have the same expense ratio: 0.25% per year.

Which ETF pays a higher dividend yield, AOM or IAU?

AOM has the higher dividend yield at 2.98%, compared with 0.00% for IAU.

What is the main difference between AOM and IAU?

AOM is categorized as Diversified Portfolio, while IAU is Gold. AOM tracks S&P Target Risk Moderate, while IAU tracks LBMA Gold Price.

Which has better risk-adjusted returns?

AOM currently has the higher Sharpe Ratio (2.23 vs 1.23), 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.