IEMG vs. IJR

Last updated Jun 30, 2026

IEMG (iShares Core MSCI Emerging Markets ETF) and IJR (iShares Core S&P Small-Cap ETF) are both exchange-traded funds - IEMG is a Emerging Markets Diversified fund tracking the MSCI Emerging Markets Investable Market Index (USD) (Net), while IJR is a Small Cap Blend Equities fund tracking the S&P SmallCap 600 Index. Both are passively managed. Over the past 10 years, IEMG returned 9.78%/yr vs 11.37%/yr for IJR. A 0.59 correlation means they provide meaningful diversification when combined. IEMG charges 0.09%/yr vs 0.06%/yr for IJR.

Performance

IEMG vs. IJR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Core MSCI Emerging Markets ETF (IEMG) and iShares Core S&P Small-Cap ETF (IJR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with IEMG having a 22.55% return and IJR slightly higher at 23.18%. Over the past 10 years, IEMG has underperformed IJR with an annualized return of 9.78%, while IJR has yielded a comparatively higher 11.37% annualized return.

IEMG

• 1D: 0.52%
• 1M: -1.31%
• YTD: 22.55%
• 6M: 22.55%
• 1Y: 40.26%
• 3Y*: 21.88%
• 5Y*: 7.13%
• 10Y*: 9.78%

IJR

• 1D: -0.03%
• 1M: 6.60%
• YTD: 23.18%
• 6M: 20.82%
• 1Y: 36.35%
• 3Y*: 15.75%
• 5Y*: 7.15%
• 10Y*: 11.37%

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

IEMG vs. IJR - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IEMG iShares Core MSCI Emerging Markets ETF	22.55%	32.56%	6.50%	11.52%	-19.98%	-0.64%	17.87%	17.81%	-14.92%	37.38%
IJR iShares Core S&P Small-Cap ETF	23.18%	5.89%	8.63%	16.06%	-16.20%	26.58%	11.28%	22.82%	-8.51%	13.15%

Correlation

The correlation between IEMG and IJR 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	0.57
Correlation (5Y) Calculated over the trailing 5-year period	0.59
Correlation (10Y) Calculated over the trailing 10-year period	0.58
Correlation (All Time) Calculated using the full available price history since Oct 24, 2012	0.59

The correlation between IEMG and IJR has been stable across timeframes, ranging from 0.57 to 0.59 - a consistent structural relationship.

IEMG vs. IJR - Sectors Allocation Comparison

Sectors	IEMG	IJR
Technology	42.1%	14.7%
Financial Services	16.7%	17.9%
Consumer Cyclical	8.5%	13.1%
Industrials	8.0%	15.7%
Basic Materials	6.3%	4.6%
Communication Services	5.6%	3.0%
Energy	3.3%	6.0%
Healthcare	3.2%	12.0%
Consumer Defensive	2.8%	3.8%
Utilities	1.9%	1.8%
Real Estate	1.6%	7.3%

Return for Risk

IEMG vs. IJR — Risk / Return Rank

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

IEMG

IEMG Risk / Return Rank: 67
IEMG Sharpe Ratio Rank: 66
IEMG Sortino Ratio Rank: 59
IEMG Omega Ratio Rank: 71
IEMG Calmar Ratio Rank: 71
IEMG Martin Ratio Rank: 71

IJR

IJR Risk / Return Rank: 79
IJR Sharpe Ratio Rank: 76
IJR Sortino Ratio Rank: 78
IJR Omega Ratio Rank: 70
IJR Calmar Ratio Rank: 86
IJR Martin Ratio Rank: 83

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.

IEMG vs. IJR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Core MSCI Emerging Markets ETF (IEMG) and iShares Core S&P Small-Cap ETF (IJR). 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.

	IEMG	IJR	Difference
Sharpe ratio: Return per unit of total volatility	1.84	2.07	-0.23
Sortino ratio: Return per unit of downside risk	2.39	2.97	-0.58
Omega ratio: Gain probability vs. loss probability	1.36	1.35	0.00
Calmar ratio: Return relative to maximum drawdown	3.06	4.20	-1.14
Martin ratio: Return relative to average drawdown	11.03	14.12	-3.10

IEMG vs. IJR - Sharpe Ratio Comparison

The current IEMG Sharpe Ratio is 1.84, which is comparable to the IJR Sharpe Ratio of 2.07. The chart below compares the historical Sharpe Ratios of IEMG and IJR, 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

IEMG vs. IJR - Drawdown Comparison

The maximum IEMG drawdown since its inception was -38.71%, smaller than the maximum IJR drawdown of -58.15%. Use the drawdown chart below to compare losses from any high point for IEMG and IJR.

Drawdown Indicators

	IEMG	IJR	Difference
Max Drawdown Largest peak-to-trough decline	-38.71%	-58.15%	+19.44%
Max Drawdown (1Y) Largest decline over 1 year	-13.21%	-8.68%	-4.53%
Max Drawdown (3Y) Largest decline over 3 years	-17.21%	-28.02%	+10.81%
Max Drawdown (5Y) Largest decline over 5 years	-34.98%	-28.02%	-6.96%
Max Drawdown (10Y) Largest decline over 10 years	-38.71%	-44.36%	+5.65%
Current Drawdown Current decline from peak	-4.98%	-0.03%	-4.95%
Average Drawdown Average peak-to-trough decline	-12.93%	-9.26%	-3.67%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.66%	2.58%	+1.08%

Volatility

IEMG vs. IJR - Volatility Comparison

iShares Core MSCI Emerging Markets ETF (IEMG) has a higher volatility of 11.73% compared to iShares Core S&P Small-Cap ETF (IJR) at 4.96%. This indicates that IEMG's price experiences larger fluctuations and is considered to be riskier than IJR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IEMG	IJR	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.73%	4.96%	+6.77%
Volatility (6M) Calculated over the trailing 6-month period	20.17%	12.14%	+8.03%
Volatility (1Y) Calculated over the trailing 1-year period	22.07%	17.69%	+4.38%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	19.00%	21.40%	-2.40%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.16%	22.86%	-2.70%

IEMG vs. IJR - Expense Ratio Comparison

IEMG has a 0.09% expense ratio, which is higher than IJR's 0.06% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

IEMG vs. IJR - Dividend Comparison

IEMG's dividend yield for the trailing twelve months is around 2.20%, more than IJR's 1.11% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IEMG iShares Core MSCI Emerging Markets ETF	2.20%	2.75%	3.20%	2.89%	2.71%	3.06%	1.87%	3.15%	2.76%	2.35%	2.28%	2.53%
IJR iShares Core S&P Small-Cap ETF	1.11%	1.44%	2.05%	1.31%	1.41%	1.53%	1.11%	1.44%	1.58%	1.20%	1.22%	1.48%

Frequently Asked Questions

Can I hold both IEMG and IJR in my portfolio?

IEMG and IJR 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 is riskier, IEMG or IJR?

IEMG has higher volatility (11.73%) compared to IJR (4.96%). In terms of maximum drawdown, IEMG dropped -38.71% vs IJR's -58.15%.

Which ETF is better, IEMG or IJR?

On 10-year performance, IJR leads with 11.37% vs 9.78% for IEMG. On fees, IJR is cheaper at 0.06% per year. On volatility, IJR has been the lower-risk option at 4.96%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IEMG or IJR?

Over the 10-year period, IJR has performed better with a 11.37% return vs 9.78%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IEMG or IJR?

IJR is cheaper with a 0.06% expense ratio, compared with 0.09% for IEMG.

Which ETF pays a higher dividend yield, IEMG or IJR?

IEMG has the higher dividend yield at 2.20%, compared with 1.11% for IJR.

What is the main difference between IEMG and IJR?

IEMG is categorized as Emerging Markets Diversified, while IJR is Small Cap Blend Equities. IEMG tracks MSCI Emerging Markets Investable Market Index (USD) (Net), while IJR tracks S&P SmallCap 600 Index. Their fees differ too: 0.09% for IEMG and 0.06% for IJR.

Which has better risk-adjusted returns?

IJR currently has the higher Sharpe Ratio (2.07 vs 1.84), 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.