DFE vs. IEUS

Last updated Aug 2, 2026

DFE (WisdomTree Europe SmallCap Dividend Fund) and IEUS (iShares MSCI Europe Small-Cap ETF) are both Europe Equities funds - DFE tracks the WisdomTree Europe SmallCap Dividend Index while IEUS tracks the MSCI Europe Small Cap Index. Both are passively managed. Over the past 10 years, DFE returned 7.77%/yr vs 8.17%/yr for IEUS. Their correlation of 0.86 means they have usually moved in the same direction. DFE charges 0.58%/yr vs 0.40%/yr for IEUS.

Performance

DFE vs. IEUS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in WisdomTree Europe SmallCap Dividend Fund (DFE) and iShares MSCI Europe Small-Cap ETF (IEUS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with DFE having a 7.42% return and IEUS slightly lower at 7.11%. Over the past 10 years, DFE has underperformed IEUS with an annualized return of 7.77%, while IEUS has yielded a comparatively higher 8.17% annualized return.

DFE

• 1D: -0.38%
• 1M: 3.01%
• 6M: 3.22%
• YTD: 7.42%
• 1Y: 14.13%
• 3Y*: 14.41%
• 5Y*: 4.54%
• 10Y*: 7.77%
• ALL TIME*: 6.45%

IEUS

• 1D: -0.30%
• 1M: 2.41%
• 6M: 2.21%
• YTD: 7.11%
• 1Y: 13.96%
• 3Y*: 13.41%
• 5Y*: 3.24%
• 10Y*: 8.17%
• ALL TIME*: 4.89%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
DFE WisdomTree Europe SmallCap Dividend Fund	$212.25K	$423.32K	$471.65K
IEUS iShares MSCI Europe Small-Cap ETF	$225.98K	$421.89K	$691.04K

DFE vs. IEUS - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
DFE WisdomTree Europe SmallCap Dividend Fund	7.42%	32.85%	-0.61%	14.94%	-22.15%	18.44%	2.15%	27.15%	-21.23%	32.71%
IEUS iShares MSCI Europe Small-Cap ETF	7.11%	32.06%	-1.59%	17.34%	-27.07%	15.06%	12.99%	29.72%	-20.17%	35.04%

Correlation

The correlation between DFE and IEUS is 0.94, meaning they have usually moved in the same direction, including during past declines.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.94
Correlation (3Y) Balances recent behavior with more history.	0.93
Correlation (5Y) Shows whether the relationship held over a longer period.	0.94
Correlation (10Y) Provides a long-term view across more market conditions.	0.94
Correlation (All Time) Calculated using the full available price history since Nov 19, 2007	0.87

The correlation between DFE and IEUS has been stable across timeframes, ranging from 0.86 to 0.94 - a consistent structural relationship.

DFE vs. IEUS - Sectors Allocation Comparison

Sectors	DFE	IEUS
Industrials	25.7%	26.4%
Financial Services	10.0%	15.7%
Consumer Cyclical	9.4%	12.4%
Basic Materials	7.7%	7.0%
Energy	6.8%	4.7%
Technology	6.8%	7.6%
Real Estate	6.5%	8.5%
Communication Services	5.8%	4.4%
Consumer Defensive	3.5%	3.7%
Utilities	3.5%	2.3%
Healthcare	3.4%	7.5%

Return for Risk

DFE vs. IEUS — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

DFE

DFE Risk / Return Rank: 36
DFE Sharpe Ratio Rank: 37
DFE Sortino Ratio Rank: 37
DFE Omega Ratio Rank: 35
DFE Calmar Ratio Rank: 36
DFE Martin Ratio Rank: 38

IEUS

IEUS Risk / Return Rank: 32
IEUS Sharpe Ratio Rank: 32
IEUS Sortino Ratio Rank: 32
IEUS Omega Ratio Rank: 31
IEUS Calmar Ratio Rank: 31
IEUS Martin Ratio Rank: 36

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

DFE vs. IEUS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree Europe SmallCap Dividend Fund (DFE) and iShares MSCI Europe Small-Cap ETF (IEUS). 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.

	DFE	IEUS	Difference
Sharpe ratio: Return per unit of total volatility	0.92	0.81	+0.11
Sortino ratio: Return per unit of downside risk	1.38	1.24	+0.14
Omega ratio: Gain probability vs. loss probability	1.17	1.15	+0.02
Calmar ratio: Return relative to maximum drawdown	1.21	1.03	+0.18
Martin ratio: Return relative to average drawdown	3.88	3.54	+0.34

DFE vs. IEUS - Sharpe Ratio Comparison

The current DFE Sharpe Ratio is 0.92, which is comparable to the IEUS Sharpe Ratio of 0.81. The chart below compares the historical Sharpe Ratios of DFE and IEUS, 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

DFE vs. IEUS - Drawdown Comparison

The maximum DFE drawdown since its inception was -69.38%, which is greater than IEUS's maximum drawdown of -63.09%. Use the drawdown chart below to compare losses from any high point for DFE and IEUS.

Drawdown Indicators

	DFE	IEUS	Difference
Max Drawdown Largest peak-to-trough decline	-69.38%	-63.09%	-6.29%
Max Drawdown (1Y) Largest decline over 1 year	-11.41%	-12.81%	+1.40%
Max Drawdown (3Y) Largest decline over 3 years	-13.86%	-15.60%	+1.74%
Max Drawdown (5Y) Largest decline over 5 years	-40.34%	-44.86%	+4.52%
Max Drawdown (10Y) Largest decline over 10 years	-49.66%	-44.86%	-4.80%
Current Drawdown Current decline from peak	-1.05%	-0.64%	-0.41%
Average Drawdown Average peak-to-trough decline	-17.62%	-15.43%	-2.19%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.56%	3.74%	-0.18%

Volatility

DFE vs. IEUS - Volatility Comparison

The current volatility for WisdomTree Europe SmallCap Dividend Fund (DFE) is 4.06%, while iShares MSCI Europe Small-Cap ETF (IEUS) has a volatility of 4.78%. This indicates that DFE experiences smaller price fluctuations and is considered to be less risky than IEUS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DFE	IEUS	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.06%	4.78%	-0.72%
Volatility (6M) Calculated over the trailing 6-month period	12.82%	14.11%	-1.29%
Volatility (1Y) Calculated over the trailing 1-year period	15.15%	16.40%	-1.25%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.04%	20.83%	-1.79%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.20%	19.92%	-0.72%

DFE vs. IEUS - Expense Ratio Comparison

DFE has a 0.58% expense ratio, which is higher than IEUS's 0.40% expense ratio.

Dividends

DFE vs. IEUS - Dividend Comparison

DFE's dividend yield for the trailing twelve months is around 3.95%, more than IEUS's 3.13% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFE WisdomTree Europe SmallCap Dividend Fund	3.95%	4.38%	4.93%	4.97%	5.84%	2.56%	2.43%	3.39%	4.97%	2.53%	4.05%	2.78%
IEUS iShares MSCI Europe Small-Cap ETF	3.13%	3.19%	3.25%	2.97%	3.00%	2.63%	1.21%	4.03%	3.21%	2.13%	2.48%	2.06%

Frequently Asked Questions

Can I hold both DFE and IEUS in my portfolio?

With a correlation of 0.94, DFE and IEUS move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, DFE or IEUS?

IEUS has higher volatility (4.78%) compared to DFE (4.06%). In terms of maximum drawdown, DFE dropped -69.38% vs IEUS's -63.09%.

Which ETF is better, DFE or IEUS?

On 10-year performance, IEUS leads with 8.17% vs 7.77% for DFE. On fees, IEUS is cheaper at 0.40% per year. On volatility, DFE has been the lower-risk option at 4.06%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DFE or IEUS?

Over the 10-year period, IEUS has performed better with a 8.17% return vs 7.77%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DFE or IEUS?

IEUS is cheaper with a 0.40% expense ratio, compared with 0.58% for DFE.

Which ETF pays a higher dividend yield, DFE or IEUS?

DFE has the higher dividend yield at 3.95%, compared with 3.13% for IEUS.

What is the main difference between DFE and IEUS?

DFE tracks WisdomTree Europe SmallCap Dividend Index, while IEUS tracks MSCI Europe Small Cap Index. They also come from different issuers: WisdomTree and iShares. Their fees differ too: 0.58% for DFE and 0.40% for IEUS.

Which has better risk-adjusted returns?

DFE currently has the higher Sharpe Ratio (0.92 vs 0.81), 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.