IEI vs. IWN

Last updated Jun 4, 2026

IEI (iShares 3-7 Year Treasury Bond ETF) and IWN (iShares Russell 2000 Value ETF) are both exchange-traded funds - IEI is a Government Bonds fund tracking the ICE U.S. Treasury 3-7 Year Bond Index, while IWN is a Small Cap Value Equities fund tracking the Russell 2000 Value Index. Both are passively managed. Over the past 10 years, IEI returned 1.28%/yr vs 10.16%/yr for IWN. At a correlation of -0.25, they often move in opposite directions. IEI charges 0.15%/yr vs 0.24%/yr for IWN.

Performance

IEI vs. IWN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares 3-7 Year Treasury Bond ETF (IEI) and iShares Russell 2000 Value ETF (IWN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IEI achieves a -0.42% return, which is significantly lower than IWN's 17.42% return. Over the past 10 years, IEI has underperformed IWN with an annualized return of 1.28%, while IWN has yielded a comparatively higher 10.16% annualized return.

IEI

• 1D: -0.13%
• 1M: -0.17%
• YTD: -0.42%
• 6M: -0.49%
• 1Y: 3.28%
• 3Y*: 3.52%
• 5Y*: 0.23%
• 10Y*: 1.28%

IWN

• 1D: -1.31%
• 1M: 2.73%
• YTD: 17.42%
• 6M: 16.54%
• 1Y: 41.15%
• 3Y*: 17.66%
• 5Y*: 6.48%
• 10Y*: 10.16%

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

IEI vs. IWN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IEI iShares 3-7 Year Treasury Bond ETF	-0.42%	6.96%	1.81%	4.42%	-9.51%	-2.54%	6.95%	5.71%	1.36%	1.22%
IWN iShares Russell 2000 Value ETF	17.42%	12.40%	7.63%	14.56%	-14.77%	27.96%	4.66%	22.01%	-13.01%	7.69%

Correlation

The correlation between IEI and IWN is 0.20, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.20
Correlation (3Y) Calculated over the trailing 3-year period	0.17
Correlation (5Y) Calculated over the trailing 5-year period	0.09
Correlation (10Y) Calculated over the trailing 10-year period	-0.10
Correlation (All Time) Calculated using the full available price history since Jan 12, 2007	-0.25

The correlation between IEI and IWN shifts across timeframes, from -0.25 (all time) to 0.20 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

IEI vs. IWN — Risk / Return Rank

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

IEI

IEI Risk / Return Rank: 28
IEI Sharpe Ratio Rank: 29
IEI Sortino Ratio Rank: 30
IEI Omega Ratio Rank: 27
IEI Calmar Ratio Rank: 27
IEI Martin Ratio Rank: 27

IWN

IWN Risk / Return Rank: 74
IWN Sharpe Ratio Rank: 69
IWN Sortino Ratio Rank: 71
IWN Omega Ratio Rank: 64
IWN Calmar Ratio Rank: 86
IWN Martin Ratio Rank: 81

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.

IEI vs. IWN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares 3-7 Year Treasury Bond ETF (IEI) and iShares Russell 2000 Value ETF (IWN). 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.

	IEI	IWN	Difference
Sharpe ratio Return per unit of total volatility	1.09	2.33	-1.24
Sortino ratio Return per unit of downside risk	1.65	3.28	-1.63
Omega ratio Gain probability vs. loss probability	1.19	1.40	-0.21
Calmar ratio Return relative to maximum drawdown	1.32	4.89	-3.57
Martin ratio Return relative to average drawdown	3.96	16.44	-12.48
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IEI vs. IWN - Sharpe Ratio Comparison

The current IEI Sharpe Ratio is 1.09, which is lower than the IWN Sharpe Ratio of 2.33. The chart below compares the historical Sharpe Ratios of IEI and IWN, 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

	IEI	IWN	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.09	2.33	-1.24
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.05	0.30	-0.25
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.33	0.44	-0.11
Sharpe Ratio (All Time) Calculated using the full available price history	0.70	0.39	+0.31

Drawdowns

IEI vs. IWN - Drawdown Comparison

The maximum IEI drawdown since its inception was -14.60%, smaller than the maximum IWN drawdown of -61.55%. Use the drawdown chart below to compare losses from any high point for IEI and IWN.

Drawdown Indicators

	IEI	IWN	Difference
Max Drawdown Largest peak-to-trough decline	-14.60%	-61.55%	+46.95%
Max Drawdown (1Y) Largest decline over 1 year	-2.50%	-8.45%	+5.95%
Max Drawdown (3Y) Largest decline over 3 years	-3.66%	-26.70%	+23.04%
Max Drawdown (5Y) Largest decline over 5 years	-13.88%	-26.70%	+12.82%
Max Drawdown (10Y) Largest decline over 10 years	-14.60%	-46.08%	+31.48%
Current Drawdown Current decline from peak	-1.85%	-1.47%	-0.38%
Average Drawdown Average peak-to-trough decline	-2.67%	-10.16%	+7.49%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.83%	2.51%	-1.68%

Volatility

IEI vs. IWN - Volatility Comparison

The current volatility for iShares 3-7 Year Treasury Bond ETF (IEI) is 0.91%, while iShares Russell 2000 Value ETF (IWN) has a volatility of 4.91%. This indicates that IEI experiences smaller price fluctuations and is considered to be less risky than IWN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IEI	IWN	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.91%	4.91%	-4.00%
Volatility (6M) Calculated over the trailing 6-month period	2.13%	11.86%	-9.73%
Volatility (1Y) Calculated over the trailing 1-year period	3.04%	17.81%	-14.77%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.77%	21.43%	-16.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	3.93%	23.39%	-19.46%

IEI vs. IWN - Expense Ratio Comparison

IEI has a 0.15% expense ratio, which is lower than IWN's 0.24% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

IEI vs. IWN - Dividend Comparison

IEI's dividend yield for the trailing twelve months is around 3.64%, more than IWN's 1.46% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IEI iShares 3-7 Year Treasury Bond ETF	3.64%	3.48%	3.18%	2.36%	1.37%	0.73%	1.12%	2.01%	1.95%	1.51%	1.33%	1.39%
IWN iShares Russell 2000 Value ETF	1.46%	1.70%	1.80%	2.04%	2.12%	1.48%	1.60%	1.92%	1.99%	1.78%	1.74%	2.15%

Frequently Asked Questions

Can I hold both IEI and IWN in my portfolio?

IEI and IWN have a correlation of 0.20, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IEI or IWN?

IWN has higher volatility (4.91%) compared to IEI (0.91%). In terms of maximum drawdown, IEI dropped -14.60% vs IWN's -61.55%.

Which ETF is better, IEI or IWN?

On 10-year performance, IWN leads with 10.16% vs 1.28% for IEI. On fees, IEI is cheaper at 0.15% per year. On volatility, IEI has been the lower-risk option at 0.91%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IEI or IWN?

Over the 10-year period, IWN has performed better with a 10.16% return vs 1.28%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IEI or IWN?

IEI is cheaper with a 0.15% expense ratio, compared with 0.24% for IWN.

Which ETF pays a higher dividend yield, IEI or IWN?

IEI has the higher dividend yield at 3.64%, compared with 1.46% for IWN.

What is the main difference between IEI and IWN?

IEI is categorized as Government Bonds, while IWN is Small Cap Value Equities. IEI tracks ICE U.S. Treasury 3-7 Year Bond Index, while IWN tracks Russell 2000 Value Index. Their fees differ too: 0.15% for IEI and 0.24% for IWN.

Which has better risk-adjusted returns?

IWN currently has the higher Sharpe Ratio (2.33 vs 1.09), 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.