IEFM.L vs. IWFQ.L

Last updated Jun 9, 2026

IEFM.L (iShares Edge MSCI Europe Momentum Factor UCITS ETF) and IWFQ.L (iShares MSCI World Quality Factor UCITS) are both exchange-traded funds - IEFM.L is a Momentum fund tracking the MSCI Europe Momentum Index, while IWFQ.L is a Global Equities fund tracking the MSCI ACWI NR USD. Both are passively managed. Over the past 10 years, IEFM.L returned 12.57%/yr vs 13.11%/yr for IWFQ.L. A 0.75 correlation means they provide meaningful diversification when combined. IEFM.L charges 0.25%/yr vs 0.30%/yr for IWFQ.L.

Performance

IEFM.L vs. IWFQ.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in iShares Edge MSCI Europe Momentum Factor UCITS ETF (IEFM.L) and iShares MSCI World Quality Factor UCITS (IWFQ.L). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IEFM.L achieves a 6.32% return, which is significantly lower than IWFQ.L's 8.04% return. Both investments have delivered pretty close results over the past 10 years, with IEFM.L having a 12.57% annualized return and IWFQ.L not far ahead at 13.11%.

IEFM.L

• 1D: 0.21%
• 1M: 2.16%
• YTD: 6.32%
• 6M: 9.51%
• 1Y: 19.03%
• 3Y*: 20.47%
• 5Y*: 11.30%
• 10Y*: 12.57%

IWFQ.L

• 1D: -0.16%
• 1M: 2.84%
• YTD: 8.04%
• 6M: 8.42%
• 1Y: 20.82%
• 3Y*: 15.56%
• 5Y*: 11.23%
• 10Y*: 13.11%

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

IEFM.L vs. IWFQ.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IEFM.L iShares Edge MSCI Europe Momentum Factor UCITS ETF	6.32%	33.05%	15.03%	10.37%	-9.80%	14.07%	17.04%	23.39%	-9.34%	15.91%
IWFQ.L iShares MSCI World Quality Factor UCITS	8.04%	7.40%	18.93%	19.15%	-9.55%	25.17%	10.93%	25.86%	-2.34%	12.47%

Correlation

The correlation between IEFM.L and IWFQ.L is 0.58, 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	0.58
Correlation (3Y) Calculated over the trailing 3-year period	0.61
Correlation (5Y) Calculated over the trailing 5-year period	0.65
Correlation (10Y) Calculated over the trailing 10-year period	0.73
Correlation (All Time) Calculated using the full available price history since Jan 19, 2015	0.75

The correlation between IEFM.L and IWFQ.L shifts across timeframes, from 0.58 (1 year) to 0.75 (all time), reflecting how their relationship changes across market environments.

IEFM.L vs. IWFQ.L - Sectors Allocation Comparison

Sectors	IEFM.L	IWFQ.L
Financial Services	23.8%	14.1%
Healthcare	15.7%	9.4%
Industrials	15.0%	9.8%
Utilities	11.9%	2.5%
Energy	10.3%	4.2%
Technology	9.2%	32.2%
Basic Materials	7.6%	3.3%
Consumer Defensive	2.9%	5.1%
Communication Services	2.8%	9.1%
Consumer Cyclical	0.5%	8.8%
Real Estate	0.4%	1.7%

Return for Risk

IEFM.L vs. IWFQ.L — Risk / Return Rank

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

IEFM.L

IEFM.L Risk / Return Rank: 37
IEFM.L Sharpe Ratio Rank: 37
IEFM.L Sortino Ratio Rank: 38
IEFM.L Omega Ratio Rank: 37
IEFM.L Calmar Ratio Rank: 34
IEFM.L Martin Ratio Rank: 40

IWFQ.L

IWFQ.L Risk / Return Rank: 73
IWFQ.L Sharpe Ratio Rank: 73
IWFQ.L Sortino Ratio Rank: 75
IWFQ.L Omega Ratio Rank: 76
IWFQ.L Calmar Ratio Rank: 65
IWFQ.L Martin Ratio Rank: 73

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.

IEFM.L vs. IWFQ.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Edge MSCI Europe Momentum Factor UCITS ETF (IEFM.L) and iShares MSCI World Quality Factor UCITS (IWFQ.L). 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.

	IEFM.L	IWFQ.L	Difference
Sharpe ratio: Return per unit of total volatility	1.18	2.13	-0.95
Sortino ratio: Return per unit of downside risk	1.78	3.03	-1.24
Omega ratio: Gain probability vs. loss probability	1.22	1.40	-0.18
Calmar ratio: Return relative to maximum drawdown	1.57	2.96	-1.39
Martin ratio: Return relative to average drawdown	5.80	12.47	-6.66
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IEFM.L vs. IWFQ.L - Sharpe Ratio Comparison

The current IEFM.L Sharpe Ratio is 1.18, which is lower than the IWFQ.L Sharpe Ratio of 2.13. The chart below compares the historical Sharpe Ratios of IEFM.L and IWFQ.L, 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

	IEFM.L	IWFQ.L	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.18	2.13	-0.95
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.72	0.59	+0.14
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.79	0.76	+0.03
Sharpe Ratio (All Time) Calculated using the full available price history	0.71	0.41	+0.30

Drawdowns

IEFM.L vs. IWFQ.L - Drawdown Comparison

The maximum IEFM.L drawdown since its inception was -23.88%, smaller than the maximum IWFQ.L drawdown of -40.49%. Use the drawdown chart below to compare losses from any high point for IEFM.L and IWFQ.L.

Drawdown Indicators

	IEFM.L	IWFQ.L	Difference
Max Drawdown Largest peak-to-trough decline	-23.88%	-40.49%	+16.61%
Max Drawdown (1Y) Largest decline over 1 year	-12.05%	-7.01%	-5.04%
Max Drawdown (3Y) Largest decline over 3 years	-12.95%	-20.20%	+7.25%
Max Drawdown (5Y) Largest decline over 5 years	-21.33%	-20.20%	-1.13%
Max Drawdown (10Y) Largest decline over 10 years	-23.88%	-23.91%	+0.03%
Current Drawdown Current decline from peak	-2.17%	-0.60%	-1.57%
Average Drawdown Average peak-to-trough decline	-5.04%	-8.99%	+3.95%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.27%	1.67%	+1.60%

Volatility

IEFM.L vs. IWFQ.L - Volatility Comparison

iShares Edge MSCI Europe Momentum Factor UCITS ETF (IEFM.L) has a higher volatility of 3.42% compared to iShares MSCI World Quality Factor UCITS (IWFQ.L) at 2.35%. This indicates that IEFM.L's price experiences larger fluctuations and is considered to be riskier than IWFQ.L based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IEFM.L	IWFQ.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.42%	2.35%	+1.07%
Volatility (6M) Calculated over the trailing 6-month period	13.84%	7.10%	+6.74%
Volatility (1Y) Calculated over the trailing 1-year period	16.06%	9.77%	+6.29%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.62%	19.18%	-3.56%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.94%	17.33%	-1.39%

IEFM.L vs. IWFQ.L - Expense Ratio Comparison

IEFM.L has a 0.25% expense ratio, which is lower than IWFQ.L's 0.30% expense ratio.

Dividends

IEFM.L vs. IWFQ.L - Dividend Comparison

Neither IEFM.L nor IWFQ.L has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both IEFM.L and IWFQ.L in my portfolio?

IEFM.L and IWFQ.L have a correlation of 0.58, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, IEFM.L or IWFQ.L?

On fees, IEFM.L is cheaper at 0.25% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, IEFM.L or IWFQ.L?

IEFM.L is cheaper with a 0.25% expense ratio, compared with 0.30% for IWFQ.L.

What is the main difference between IEFM.L and IWFQ.L?

IEFM.L is categorized as Momentum, while IWFQ.L is Global Equities. IEFM.L tracks MSCI Europe Momentum Index, while IWFQ.L tracks MSCI ACWI NR USD. Their fees differ too: 0.25% for IEFM.L and 0.30% for IWFQ.L.