DFNL vs. IAK

Last updated Jun 4, 2026

DFNL (Davis Select Financial ETF) and IAK (iShares U.S. Insurance ETF) are both Financials Equities funds. DFNL is actively managed, while IAK is passively managed. Over the past 5 years, DFNL returned 10.20%/yr vs 11.50%/yr for IAK. A 0.79 correlation means they provide meaningful diversification when combined. DFNL charges 0.64%/yr vs 0.43%/yr for IAK.

Performance

DFNL vs. IAK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Davis Select Financial ETF (DFNL) and iShares U.S. Insurance ETF (IAK). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, DFNL achieves a -5.82% return, which is significantly lower than IAK's -4.56% return.

DFNL

• 1D: -1.60%
• 1M: -1.94%
• YTD: -5.82%
• 6M: -1.79%
• 1Y: 12.54%
• 3Y*: 22.23%
• 5Y*: 10.20%
• 10Y*: —

IAK

• 1D: -0.88%
• 1M: -2.27%
• YTD: -4.56%
• 6M: -1.81%
• 1Y: -4.16%
• 3Y*: 16.73%
• 5Y*: 11.50%
• 10Y*: 11.66%

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

DFNL vs. IAK - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
DFNL Davis Select Financial ETF	-5.82%	28.59%	28.56%	14.45%	-8.45%	31.25%	-4.97%	27.37%	-11.59%	20.46%
IAK iShares U.S. Insurance ETF	-4.56%	9.50%	28.25%	11.28%	11.33%	26.84%	-2.86%	25.94%	-11.48%	14.56%

Correlation

The correlation between DFNL and IAK is 0.57, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.57
Correlation (3Y) Calculated over the trailing 3-year period	0.63
Correlation (5Y) Calculated over the trailing 5-year period	0.75
Correlation (All Time) Calculated using the full available price history since Jan 13, 2017	0.79

Over the past year, the correlation between DFNL and IAK has dropped to 0.57 - well below their long-term average of 0.79, suggesting their price drivers have been diverging.

DFNL vs. IAK - Sectors Allocation Comparison

Sectors	DFNL	IAK
Financial Services	92.6%	99.5%
Technology	3.7%	-
Industrials	2.7%	-
Consumer Cyclical	1.0%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	0.5%
Real Estate	-	-
Utilities	-	-

Return for Risk

DFNL vs. IAK — Risk / Return Rank

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

DFNL

DFNL Risk / Return Rank: 23
DFNL Sharpe Ratio Rank: 24
DFNL Sortino Ratio Rank: 23
DFNL Omega Ratio Rank: 23
DFNL Calmar Ratio Rank: 22
DFNL Martin Ratio Rank: 22

IAK

IAK Risk / Return Rank: 5
IAK Sharpe Ratio Rank: 6
IAK Sortino Ratio Rank: 6
IAK Omega Ratio Rank: 5
IAK Calmar Ratio Rank: 4
IAK Martin Ratio Rank: 3

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.

DFNL vs. IAK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Davis Select Financial ETF (DFNL) and iShares U.S. Insurance ETF (IAK). 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.

	DFNL	IAK	Difference
Sharpe ratio: Return per unit of total volatility	0.86	-0.28	+1.14
Sortino ratio: Return per unit of downside risk	1.27	-0.29	+1.56
Omega ratio: Gain probability vs. loss probability	1.15	0.97	+0.19
Calmar ratio: Return relative to maximum drawdown	0.97	-0.55	+1.52
Martin ratio: Return relative to average drawdown	2.84	-1.14	+3.98
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

DFNL vs. IAK - Sharpe Ratio Comparison

The current DFNL Sharpe Ratio is 0.86, which is higher than the IAK Sharpe Ratio of -0.28. The chart below compares the historical Sharpe Ratios of DFNL and IAK, 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

	DFNL	IAK	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.86	-0.28	+1.14
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.53	0.64	-0.11
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.56	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.51	0.26	+0.25

Drawdowns

DFNL vs. IAK - Drawdown Comparison

The maximum DFNL drawdown since its inception was -44.51%, smaller than the maximum IAK drawdown of -77.38%. Use the drawdown chart below to compare losses from any high point for DFNL and IAK.

Drawdown Indicators

	DFNL	IAK	Difference
Max Drawdown Largest peak-to-trough decline	-44.51%	-77.38%	+32.87%
Max Drawdown (1Y) Largest decline over 1 year	-12.94%	-7.62%	-5.32%
Max Drawdown (3Y) Largest decline over 3 years	-16.05%	-11.58%	-4.47%
Max Drawdown (5Y) Largest decline over 5 years	-26.27%	-14.76%	-11.51%
Max Drawdown (10Y) Largest decline over 10 years	—	-44.95%	—
Current Drawdown Current decline from peak	-8.54%	-5.82%	-2.72%
Average Drawdown Average peak-to-trough decline	-7.66%	-16.13%	+8.47%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.43%	3.96%	+0.47%

Volatility

DFNL vs. IAK - Volatility Comparison

Davis Select Financial ETF (DFNL) and iShares U.S. Insurance ETF (IAK) have volatilities of 3.93% and 3.82%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DFNL	IAK	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.93%	3.82%	+0.11%
Volatility (6M) Calculated over the trailing 6-month period	11.22%	9.98%	+1.24%
Volatility (1Y) Calculated over the trailing 1-year period	14.68%	14.77%	-0.09%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.33%	18.07%	+1.26%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	22.62%	20.89%	+1.73%

DFNL vs. IAK - Expense Ratio Comparison

DFNL has a 0.64% expense ratio, which is higher than IAK's 0.43% expense ratio.

Dividends

DFNL vs. IAK - Dividend Comparison

DFNL's dividend yield for the trailing twelve months is around 1.45%, less than IAK's 2.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFNL Davis Select Financial ETF	1.45%	1.37%	2.19%	2.33%	3.34%	2.45%	1.45%	2.52%	3.12%	1.10%	0.00%	0.00%
IAK iShares U.S. Insurance ETF	2.76%	1.69%	1.49%	1.44%	1.69%	2.26%	2.07%	1.84%	2.33%	1.62%	1.68%	1.62%

Frequently Asked Questions

Can I hold both DFNL and IAK in my portfolio?

DFNL and IAK have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, DFNL or IAK?

DFNL has higher volatility (3.93%) compared to IAK (3.82%). In terms of maximum drawdown, DFNL dropped -44.51% vs IAK's -77.38%.

Which ETF is better, DFNL or IAK?

On 5-year performance, IAK leads with 11.50% vs 10.20% for DFNL. On fees, IAK is cheaper at 0.43% per year. On volatility, IAK has been the lower-risk option at 3.82%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DFNL or IAK?

Over the 5-year period, IAK has performed better with a 11.50% return vs 10.20%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DFNL or IAK?

IAK is cheaper with a 0.43% expense ratio, compared with 0.64% for DFNL.

Which ETF pays a higher dividend yield, DFNL or IAK?

IAK has the higher dividend yield at 2.76%, compared with 1.45% for DFNL.

What is the main difference between DFNL and IAK?

They also come from different issuers: Davis Advisers and iShares. Their fees differ too: 0.64% for DFNL and 0.43% for IAK.

Which has better risk-adjusted returns?

DFNL currently has the higher Sharpe Ratio (0.86 vs -0.28), 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.