IDEF vs. ACWI

Last updated Aug 2, 2026

IDEF (iShares Defense Industrials Active ETF) and ACWI (iShares MSCI ACWI ETF) are both exchange-traded funds - IDEF is a Aerospace & Defense fund actively managed by iShares, while ACWI is a Global Equities fund tracking the MSCI All Country World Index. IDEF is actively managed, while ACWI is passively managed. Over the past year, IDEF returned 13.32% vs 23.78% for ACWI. Their 0.64 correlation means they have sometimes moved together and sometimes differently. IDEF charges 0.55%/yr vs 0.32%/yr for ACWI.

Performance

IDEF vs. ACWI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Defense Industrials Active ETF (IDEF) and iShares MSCI ACWI ETF (ACWI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IDEF achieves a 5.28% return, which is significantly lower than ACWI's 11.28% return.

IDEF

• 1D: 0.33%
• 1M: -1.85%
• 6M: -6.23%
• YTD: 5.28%
• 1Y: 13.32%
• 3Y*: —
• 5Y*: —
• 10Y*: —
• ALL TIME*: 22.90%

ACWI

• 1D: 0.49%
• 1M: 0.18%
• 6M: 8.21%
• YTD: 11.28%
• 1Y: 23.78%
• 3Y*: 18.53%
• 5Y*: 10.82%
• 10Y*: 12.53%
• ALL TIME*: 8.47%

*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)
ACWI iShares MSCI ACWI ETF	$420.02M	$465.87M	$510.46M
IDEF iShares Defense Industrials Active ETF	$16.78M	$18.59M	$29.23M

IDEF vs. ACWI - Yearly Performance Comparison

	2026 (YTD)	2025
IDEF iShares Defense Industrials Active ETF	5.28%	21.50%
ACWI iShares MSCI ACWI ETF	11.28%	15.73%

Correlation

The correlation between IDEF and ACWI is 0.65, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.65
Correlation (All Time) Calculated using the full available price history since May 21, 2025	0.64

The correlation between IDEF and ACWI has been stable across timeframes, ranging from 0.64 to 0.65 - a consistent structural relationship.

IDEF vs. ACWI - Sectors Allocation Comparison

Sectors	IDEF	ACWI
Industrials	84.4%	10.8%
Technology	12.9%	32.7%
Energy	0.9%	3.6%
Basic Materials	0.7%	3.4%
Utilities	0.3%	2.4%
Communication Services	0.1%	8.0%
Financial Services	0.1%	16.0%
Consumer Cyclical	-	8.7%
Consumer Defensive	-	4.7%
Healthcare	-	8.3%
Real Estate	-	1.6%

Return for Risk

IDEF vs. ACWI — Risk / Return Rank

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

IDEF

IDEF Risk / Return Rank: 24
IDEF Sharpe Ratio Rank: 25
IDEF Sortino Ratio Rank: 25
IDEF Omega Ratio Rank: 23
IDEF Calmar Ratio Rank: 26
IDEF Martin Ratio Rank: 23

ACWI

ACWI Risk / Return Rank: 71
ACWI Sharpe Ratio Rank: 71
ACWI Sortino Ratio Rank: 69
ACWI Omega Ratio Rank: 69
ACWI Calmar Ratio Rank: 67
ACWI Martin Ratio Rank: 77

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.

IDEF vs. ACWI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Defense Industrials Active ETF (IDEF) and iShares MSCI ACWI ETF (ACWI). 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.

	IDEF	ACWI	Difference
Sharpe ratio: Return per unit of total volatility	0.56	1.59	-1.04
Sortino ratio: Return per unit of downside risk	0.95	2.23	-1.29
Omega ratio: Gain probability vs. loss probability	1.11	1.29	-0.18
Calmar ratio: Return relative to maximum drawdown	0.80	2.29	-1.49
Martin ratio: Return relative to average drawdown	1.65	9.58	-7.93

IDEF vs. ACWI - Sharpe Ratio Comparison

The current IDEF Sharpe Ratio is 0.56, which is lower than the ACWI Sharpe Ratio of 1.59. The chart below compares the historical Sharpe Ratios of IDEF and ACWI, 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

IDEF vs. ACWI - Drawdown Comparison

The maximum IDEF drawdown since its inception was -15.78%, smaller than the maximum ACWI drawdown of -56.00%. Use the drawdown chart below to compare losses from any high point for IDEF and ACWI.

Drawdown Indicators

	IDEF	ACWI	Difference
Max Drawdown Largest peak-to-trough decline	-15.78%	-56.00%	+40.22%
Max Drawdown (1Y) Largest decline over 1 year	-15.78%	-9.73%	-6.05%
Max Drawdown (3Y) Largest decline over 3 years	—	-16.55%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-26.42%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-33.53%	—
Current Drawdown Current decline from peak	-11.86%	-1.58%	-10.28%
Average Drawdown Average peak-to-trough decline	-5.11%	-8.55%	+3.44%
Ulcer Index Depth and duration of drawdowns from previous peaks	7.67%	2.33%	+5.34%

Volatility

IDEF vs. ACWI - Volatility Comparison

iShares Defense Industrials Active ETF (IDEF) has a higher volatility of 7.10% compared to iShares MSCI ACWI ETF (ACWI) at 4.03%. This indicates that IDEF's price experiences larger fluctuations and is considered to be riskier than ACWI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IDEF	ACWI	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.10%	4.03%	+3.07%
Volatility (6M) Calculated over the trailing 6-month period	18.86%	11.71%	+7.15%
Volatility (1Y) Calculated over the trailing 1-year period	22.81%	14.01%	+8.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.65%	16.23%	+5.42%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.65%	17.06%	+4.59%

IDEF vs. ACWI - Expense Ratio Comparison

IDEF has a 0.55% expense ratio, which is higher than ACWI's 0.32% expense ratio.

Dividends

IDEF vs. ACWI - Dividend Comparison

IDEF's dividend yield for the trailing twelve months is around 0.33%, less than ACWI's 1.44% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ACWI iShares MSCI ACWI ETF	1.44%	1.55%	1.70%	1.88%	1.79%	1.71%	1.43%	2.33%	2.18%	1.94%	2.19%	2.56%
IDEF iShares Defense Industrials Active ETF	0.33%	0.17%	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 IDEF and ACWI in my portfolio?

IDEF and ACWI have a correlation of 0.65, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IDEF or ACWI?

IDEF has higher volatility (7.10%) compared to ACWI (4.03%). In terms of maximum drawdown, IDEF dropped -15.78% vs ACWI's -56.00%.

Which ETF is better, IDEF or ACWI?

On 1-year performance, ACWI leads with 23.78% vs 13.32% for IDEF. On fees, ACWI is cheaper at 0.32% per year. On volatility, ACWI has been the lower-risk option at 4.03%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IDEF or ACWI?

Over the 1-year period, ACWI has performed better with a 23.78% return vs 13.32%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IDEF or ACWI?

ACWI is cheaper with a 0.32% expense ratio, compared with 0.55% for IDEF.

Which ETF pays a higher dividend yield, IDEF or ACWI?

ACWI has the higher dividend yield at 1.44%, compared with 0.33% for IDEF.

What is the main difference between IDEF and ACWI?

IDEF is categorized as Aerospace & Defense, while ACWI is Global Equities. Their fees differ too: 0.55% for IDEF and 0.32% for ACWI.

Which has better risk-adjusted returns?

ACWI currently has the higher Sharpe Ratio (1.59 vs 0.56), 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.