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IEF vs. GBPUSD=X
Performance
Return for Risk
Drawdowns
Volatility

Performance

IEF vs. GBPUSD=X - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares 7-10 Year Treasury Bond ETF (IEF) and GBP/USD (GBPUSD=X). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

The year-to-date returns for both investments are quite close, with IEF having a -0.47% return and GBPUSD=X slightly higher at -0.45%. Over the past 10 years, IEF has outperformed GBPUSD=X with an annualized return of 0.59%, while GBPUSD=X has yielded a comparatively lower -0.52% annualized return.


IEF

1D
-0.17%
1M
0.19%
YTD
-0.47%
6M
-0.18%
1Y
3.39%
3Y*
2.86%
5Y*
-1.24%
10Y*
0.59%

GBPUSD=X

1D
-0.16%
1M
-0.95%
YTD
-0.45%
6M
0.22%
1Y
-1.60%
3Y*
2.03%
5Y*
-1.04%
10Y*
-0.52%
*Multi-year figures are annualized to reflect compound growth (CAGR)

IEF vs. GBPUSD=X - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
IEF
iShares 7-10 Year Treasury Bond ETF
-0.47%8.03%-0.63%3.64%-15.15%-3.33%10.01%8.03%0.99%2.55%
GBPUSD=X
GBP/USD
-0.45%7.55%-1.67%5.28%-10.69%-0.91%3.06%4.01%-5.66%9.52%

Correlation

The correlation between IEF and GBPUSD=X is 0.33, which is low. Their price movements are largely independent, making them effective diversification partners.


Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.33

Correlation (3Y)
Calculated over the trailing 3-year period

0.30

Correlation (5Y)
Calculated over the trailing 5-year period

0.24

Correlation (10Y)
Calculated over the trailing 10-year period

0.13

Correlation (All Time)
Calculated using the full available price history since Jul 11, 2007

0.02

Over the past year, IEF and GBPUSD=X have become more correlated (0.33) than their long-term average of 0.02, meaning their price movements have been converging.

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Return for Risk

IEF vs. GBPUSD=X — Risk / Return Rank

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

IEF
IEF Risk / Return Rank: 2222
Overall Rank
IEF Sharpe Ratio Rank: 2323
Sharpe Ratio Rank
IEF Sortino Ratio Rank: 2222
Sortino Ratio Rank
IEF Omega Ratio Rank: 2121
Omega Ratio Rank
IEF Calmar Ratio Rank: 2121
Calmar Ratio Rank
IEF Martin Ratio Rank: 2121
Martin Ratio Rank

GBPUSD=X
GBPUSD=X Risk / Return Rank: 3636
Overall Rank
GBPUSD=X Sharpe Ratio Rank: 3737
Sharpe Ratio Rank
GBPUSD=X Sortino Ratio Rank: 3636
Sortino Ratio Rank
GBPUSD=X Omega Ratio Rank: 3737
Omega Ratio Rank
GBPUSD=X Calmar Ratio Rank: 3636
Calmar Ratio Rank
GBPUSD=X Martin Ratio Rank: 3636
Martin Ratio Rank
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.

IEF vs. GBPUSD=X - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares 7-10 Year Treasury Bond ETF (IEF) and GBP/USD (GBPUSD=X). 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.


IEFGBPUSD=XDifference
Sharpe ratioReturn per unit of total volatility

+0.93

Sortino ratioReturn per unit of downside risk

+1.36

Omega ratioGain probability vs. loss probability

1.12

0.97

+0.15

Calmar ratioReturn relative to maximum drawdown

0.84

-0.25

+1.08

Martin ratioReturn relative to average drawdown

2.35

-0.47

+2.82

IEF vs. GBPUSD=X - Sharpe Ratio Comparison

The current IEF Sharpe Ratio is 0.72, which is higher than the GBPUSD=X Sharpe Ratio of -0.21. The chart below compares the historical Sharpe Ratios of IEF and GBPUSD=X, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.


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Drawdowns

IEF vs. GBPUSD=X - Drawdown Comparison

The maximum IEF drawdown since its inception was -23.93%, smaller than the maximum GBPUSD=X drawdown of -49.29%. Use the drawdown chart below to compare losses from any high point for IEF and GBPUSD=X.


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Drawdown Indicators


IEFGBPUSD=XDifference

Max Drawdown

Largest peak-to-trough decline

-23.93%

-49.29%

+25.36%

Max Drawdown (1Y)

Largest decline over 1 year

-4.07%

-5.26%

+1.19%

Max Drawdown (3Y)

Largest decline over 3 years

-7.74%

-9.34%

+1.60%

Max Drawdown (5Y)

Largest decline over 5 years

-21.40%

-24.23%

+2.83%

Max Drawdown (10Y)

Largest decline over 10 years

-23.93%

-27.99%

+4.06%

Current Drawdown

Current decline from peak

-11.18%

-36.44%

+25.26%

Average Drawdown

Average peak-to-trough decline

-5.35%

-31.18%

+25.83%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.45%

2.56%

-1.11%

Volatility

IEF vs. GBPUSD=X - Volatility Comparison

iShares 7-10 Year Treasury Bond ETF (IEF) has a higher volatility of 1.62% compared to GBP/USD (GBPUSD=X) at 1.22%. This indicates that IEF's price experiences larger fluctuations and is considered to be riskier than GBPUSD=X based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


IEFGBPUSD=XDifference

Volatility (1M)

Calculated over the trailing 1-month period

1.62%

1.22%

+0.40%

Volatility (6M)

Calculated over the trailing 6-month period

3.42%

4.96%

-1.54%

Volatility (1Y)

Calculated over the trailing 1-year period

4.72%

6.25%

-1.53%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

7.71%

8.24%

-0.53%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

6.63%

9.09%

-2.46%

Frequently Asked Questions


IEF and GBPUSD=X have a correlation of 0.33, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IEF has higher volatility (1.62%) compared to GBPUSD=X (1.22%). In terms of maximum drawdown, IEF dropped -23.93% vs GBPUSD=X's -49.29%.

IEF currently has the higher Sharpe Ratio (0.72 vs -0.21), 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.

Portfolio Optimizer

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