IEFM.L vs. R2SC.L

Last updated Jul 16, 2026

IEFM.L (iShares Edge MSCI Europe Momentum Factor UCITS ETF) and R2SC.L (SPDR Russell 2000 US Small Cap UCITS ETF) are both exchange-traded funds - IEFM.L is a Momentum fund tracking the MSCI Europe Momentum Index, while R2SC.L is a Small Cap Blend Equities fund tracking the Russell 2000 TR USD. Both are passively managed. Over the past 10 years, IEFM.L returned 11.43%/yr vs 10.30%/yr for R2SC.L. A 0.59 correlation means they provide meaningful diversification when combined. IEFM.L charges 0.25%/yr vs 0.30%/yr for R2SC.L.

Performance

IEFM.L vs. R2SC.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 SPDR Russell 2000 US Small Cap UCITS ETF (R2SC.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

IEFM.L is traded in GBp, while R2SC.L is traded in GBP. To make them comparable, the R2SC.L values have been converted to GBp using the latest available exchange rates.

Returns By Period

In the year-to-date period, IEFM.L achieves a 5.20% return, which is significantly lower than R2SC.L's 19.64% return. Over the past 10 years, IEFM.L has outperformed R2SC.L with an annualized return of 11.43%, while R2SC.L has yielded a comparatively lower 10.30% annualized return.

IEFM.L

• 1D: -1.37%
• 1M: -2.25%
• 6M: 0.87%
• YTD: 5.20%
• 1Y: 16.58%
• 3Y*: 19.60%
• 5Y*: 11.49%
• 10Y*: 11.43%

R2SC.L

• 1D: -0.12%
• 1M: -0.19%
• 6M: 13.03%
• YTD: 19.64%
• 1Y: 33.89%
• 3Y*: 15.65%
• 5Y*: 7.84%
• 10Y*: 10.30%

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

IEFM.L vs. R2SC.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	5.20%	33.05%	15.03%	10.37%	-9.80%	14.07%	17.04%	23.39%	-9.34%	15.91%
R2SC.L SPDR Russell 2000 US Small Cap UCITS ETF	19.64%	4.66%	11.88%	12.16%	-11.55%	15.87%	15.73%	20.67%	-7.45%	4.45%

Correlation

The correlation between IEFM.L and R2SC.L is 0.49, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.49
Correlation (3Y) Calculated over the trailing 3-year period	0.50
Correlation (5Y) Calculated over the trailing 5-year period	0.54
Correlation (10Y) Calculated over the trailing 10-year period	0.57
Correlation (All Time) Calculated using the full available price history since Jan 19, 2015	0.59

The correlation between IEFM.L and R2SC.L has been stable across timeframes, ranging from 0.49 to 0.59 - a consistent structural relationship.

IEFM.L vs. R2SC.L - Sectors Allocation Comparison

Sectors	IEFM.L	R2SC.L
Financial Services	22.9%	15.5%
Healthcare	16.3%	16.3%
Industrials	13.6%	17.9%
Technology	12.3%	19.2%
Energy	11.1%	5.3%
Utilities	10.9%	2.7%
Basic Materials	7.1%	4.7%
Communication Services	2.7%	2.5%
Consumer Defensive	2.6%	2.2%
Real Estate	0.3%	5.9%
Consumer Cyclical	0.1%	7.9%

Return for Risk

IEFM.L vs. R2SC.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: 34
IEFM.L Sharpe Ratio Rank: 33
IEFM.L Sortino Ratio Rank: 33
IEFM.L Omega Ratio Rank: 32
IEFM.L Calmar Ratio Rank: 33
IEFM.L Martin Ratio Rank: 38

R2SC.L

R2SC.L Risk / Return Rank: 77
R2SC.L Sharpe Ratio Rank: 76
R2SC.L Sortino Ratio Rank: 75
R2SC.L Omega Ratio Rank: 69
R2SC.L Calmar Ratio Rank: 87
R2SC.L Martin Ratio Rank: 76

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. R2SC.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 SPDR Russell 2000 US Small Cap UCITS ETF (R2SC.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.

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.

	IEFM.L	R2SC.L	Difference
Sharpe ratio: Return per unit of total volatility	1.00	1.95	-0.95
Sortino ratio: Return per unit of downside risk	1.53	2.70	-1.17
Omega ratio: Gain probability vs. loss probability	1.19	1.33	-0.14
Calmar ratio: Return relative to maximum drawdown	1.37	3.91	-2.54
Martin ratio: Return relative to average drawdown	4.97	11.37	-6.40

IEFM.L vs. R2SC.L - Sharpe Ratio Comparison

The current IEFM.L Sharpe Ratio is 1.00, which is lower than the R2SC.L Sharpe Ratio of 1.95. The chart below compares the historical Sharpe Ratios of IEFM.L and R2SC.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.

Drawdowns

IEFM.L vs. R2SC.L - Drawdown Comparison

The maximum IEFM.L drawdown since its inception was -23.88%, smaller than the maximum R2SC.L drawdown of -44.96%. Use the drawdown chart below to compare losses from any high point for IEFM.L and R2SC.L.

Drawdown Indicators

	IEFM.L	R2SC.L	Difference
Max Drawdown Largest peak-to-trough decline	-23.88%	-44.96%	+21.08%
Max Drawdown (1Y) Largest decline over 1 year	-12.05%	-8.63%	-3.42%
Max Drawdown (3Y) Largest decline over 3 years	-12.95%	-30.00%	+17.05%
Max Drawdown (5Y) Largest decline over 5 years	-21.33%	-30.00%	+8.67%
Max Drawdown (10Y) Largest decline over 10 years	-23.88%	-35.03%	+11.15%
Current Drawdown Current decline from peak	-3.55%	-3.67%	+0.12%
Average Drawdown Average peak-to-trough decline	-5.01%	-13.77%	+8.76%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.33%	2.97%	+0.36%

Volatility

IEFM.L vs. R2SC.L - Volatility Comparison

iShares Edge MSCI Europe Momentum Factor UCITS ETF (IEFM.L) and SPDR Russell 2000 US Small Cap UCITS ETF (R2SC.L) have volatilities of 4.67% and 4.52%, 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

	IEFM.L	R2SC.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.67%	4.52%	+0.15%
Volatility (6M) Calculated over the trailing 6-month period	14.48%	12.41%	+2.07%
Volatility (1Y) Calculated over the trailing 1-year period	16.56%	17.32%	-0.76%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.67%	26.11%	-10.44%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.92%	23.82%	-7.90%

IEFM.L vs. R2SC.L - Expense Ratio Comparison

IEFM.L has a 0.25% expense ratio, which is lower than R2SC.L's 0.30% expense ratio.

Dividends

IEFM.L vs. R2SC.L - Dividend Comparison

Neither IEFM.L nor R2SC.L has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both IEFM.L and R2SC.L in my portfolio?

IEFM.L and R2SC.L have a correlation of 0.49, 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 R2SC.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 R2SC.L?

IEFM.L is cheaper with a 0.25% expense ratio, compared with 0.30% for R2SC.L.

What is the main difference between IEFM.L and R2SC.L?

IEFM.L is categorized as Momentum, while R2SC.L is Small Cap Blend Equities. IEFM.L tracks MSCI Europe Momentum Index, while R2SC.L tracks Russell 2000 TR USD. They also come from different issuers: iShares and State Street. Their fees differ too: 0.25% for IEFM.L and 0.30% for R2SC.L.