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IHE vs. IXJ
Performance
Return for Risk
Drawdowns
Volatility
Dividends

IHE vs. IXJ

Last updated Jun 4, 2026

IHE (iShares U.S. Pharmaceuticals ETF) and IXJ (iShares Global Healthcare ETF) are both Health & Biotech Equities funds from iShares - IHE tracks the Dow Jones U.S. Select Pharmaceuticals Index while IXJ tracks the S&P Global Healthcare Sector Index. Both are passively managed. Over the past 10 years, IHE returned 7.81%/yr vs 7.66%/yr for IXJ. Their correlation of 0.84 suggests significant overlap in exposure. IHE charges 0.42%/yr vs 0.46%/yr for IXJ.

Performance

IHE vs. IXJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Pharmaceuticals ETF (IHE) and iShares Global Healthcare ETF (IXJ). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, IHE achieves a 6.47% return, which is significantly higher than IXJ's -5.26% return. Both investments have delivered pretty close results over the past 10 years, with IHE having a 7.81% annualized return and IXJ not far behind at 7.66%.

IHE

1D
1.16%
1M
1.80%
YTD
6.47%
6M
8.51%
1Y
40.15%
3Y*
17.47%
5Y*
9.98%
10Y*
7.81%

IXJ

1D
0.39%
1M
0.34%
YTD
-5.26%
6M
-4.88%
1Y
9.30%
3Y*
4.42%
5Y*
4.02%
10Y*
7.66%
*Multi-year figures are annualized to reflect compound growth (CAGR)

IHE vs. IXJ - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
IHE
iShares U.S. Pharmaceuticals ETF		6.47%31.69%8.13%1.06%-4.87%13.07%13.66%15.47%-7.76%10.64%
IXJ
iShares Global Healthcare ETF		-5.26%14.99%0.55%3.62%-4.94%19.60%12.74%23.23%2.83%20.44%

Correlation

The correlation between IHE and IXJ is 0.85, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

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

0.85

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

0.83

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

0.85

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

0.83

Correlation (All Time)
Calculated using the full available price history since May 8, 2006

0.84

The correlation between IHE and IXJ has been stable across timeframes, ranging from 0.83 to 0.85 - a consistent structural relationship.

IHE vs. IXJ - Sectors Allocation Comparison

Sectors
IHE
IXJ

Healthcare

100.0%
98.9%

Basic Materials

-

-

Communication Services

-

-

Consumer Cyclical

-

-

Consumer Defensive

-

0.5%

Energy

-

-

Financial Services

-

-

Industrials

-

-

Real Estate

-

-

Technology

-

-

Utilities

-

-

Healthcare

IHE
100.0%
IXJ
98.9%

Basic Materials

IHE

-

IXJ

-

Communication Services

IHE

-

IXJ

-

Consumer Cyclical

IHE

-

IXJ

-

Consumer Defensive

IHE

-

IXJ
0.5%

Energy

IHE

-

IXJ

-

Financial Services

IHE

-

IXJ

-

Industrials

IHE

-

IXJ

-

Real Estate

IHE

-

IXJ

-

Technology

IHE

-

IXJ

-

Utilities

IHE

-

IXJ

-

Compare stocks, funds, or ETFs

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iShares U.S. Pharmaceuticals ETF

iShares Global Healthcare ETF

Often compared with IHE:
IHE vs. PPHIHE vs. XPHIHE vs. XLVIHE vs. VYMIHE vs. PJPIHE vs. IAKIHE vs. BBP
Often compared with IXJ:
IXJ vs. XLVIXJ vs. VHTIXJ vs. XDWH.LIXJ vs. IHIIXJ vs. FHLCIXJ vs. IVVIXJ vs. HLTH.L

Return for Risk

IHE vs. IXJ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
IHE
IHE Risk / Return Rank: 7474
Overall Rank
IHE Sharpe Ratio Rank: 7171
Sharpe Ratio Rank
IHE Sortino Ratio Rank: 7575
Sortino Ratio Rank
IHE Omega Ratio Rank: 6565
Omega Ratio Rank
IHE Calmar Ratio Rank: 8585
Calmar Ratio Rank
IHE Martin Ratio Rank: 7575
Martin Ratio Rank
IXJ
IXJ Risk / Return Rank: 1919
Overall Rank
IXJ Sharpe Ratio Rank: 1919
Sharpe Ratio Rank
IXJ Sortino Ratio Rank: 2020
Sortino Ratio Rank
IXJ Omega Ratio Rank: 1818
Omega Ratio Rank
IXJ Calmar Ratio Rank: 2020
Calmar Ratio Rank
IXJ Martin Ratio Rank: 1919
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.

IHE vs. IXJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Pharmaceuticals ETF (IHE) and iShares Global Healthcare ETF (IXJ). 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.

IHEIXJDifference
Sharpe ratioReturn per unit of total volatility
2.36
0.64

+1.72

Sortino ratioReturn per unit of downside risk
3.43
1.06

+2.37

Omega ratioGain probability vs. loss probability

1.40

1.12

+0.28

Calmar ratioReturn relative to maximum drawdown

4.76

0.87

+3.89

Martin ratioReturn relative to average drawdown

14.35

2.11

+12.24

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IHE vs. IXJ - Sharpe Ratio Comparison

The current IHE Sharpe Ratio is 2.36, which is higher than the IXJ Sharpe Ratio of 0.64. The chart below compares the historical Sharpe Ratios of IHE and IXJ, 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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Sharpe Ratios by Period

IHEIXJDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.36

0.64

+1.72

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.62

0.28

+0.33

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.43

0.49

-0.06

Sharpe Ratio (All Time)

Calculated using the full available price history

0.51

0.42

+0.09

Drawdowns

IHE vs. IXJ - Drawdown Comparison

The maximum IHE drawdown since its inception was -38.20%, smaller than the maximum IXJ drawdown of -40.60%. Use the drawdown chart below to compare losses from any high point for IHE and IXJ.

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Drawdown Indicators

IHEIXJDifference

Max Drawdown

Largest peak-to-trough decline

-38.20%

-40.60%

+2.40%

Max Drawdown (1Y)

Largest decline over 1 year

-8.47%

-10.78%

+2.31%

Max Drawdown (3Y)

Largest decline over 3 years

-15.92%

-18.14%

+2.22%

Max Drawdown (5Y)

Largest decline over 5 years

-16.03%

-18.14%

+2.11%

Max Drawdown (10Y)

Largest decline over 10 years

-29.59%

-27.35%

-2.24%

Current Drawdown

Current decline from peak

-2.80%

-9.27%

+6.47%

Average Drawdown

Average peak-to-trough decline

-7.92%

-6.92%

-1.00%

Ulcer Index

Depth and duration of drawdowns from previous peaks

2.81%

4.41%

-1.60%

Volatility

IHE vs. IXJ - Volatility Comparison

iShares U.S. Pharmaceuticals ETF (IHE) has a higher volatility of 5.53% compared to iShares Global Healthcare ETF (IXJ) at 3.75%. This indicates that IHE's price experiences larger fluctuations and is considered to be riskier than IXJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

IHEIXJDifference

Volatility (1M)

Calculated over the trailing 1-month period

5.53%

3.75%

+1.78%

Volatility (6M)

Calculated over the trailing 6-month period

12.48%

10.05%

+2.43%

Volatility (1Y)

Calculated over the trailing 1-year period

17.07%

14.55%

+2.52%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

16.24%

14.21%

+2.03%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

18.05%

15.67%

+2.38%

IHE vs. IXJ - Expense Ratio Comparison

IHE has a 0.42% expense ratio, which is lower than IXJ's 0.46% expense ratio.

Dividends

IHE vs. IXJ - Dividend Comparison

IHE's dividend yield for the trailing twelve months is around 1.65%, more than IXJ's 1.47% yield.

PositionTTM20252024202320222021202020192018201720162015
IHE
iShares U.S. Pharmaceuticals ETF		1.65%1.76%1.73%1.39%2.01%1.49%1.19%1.40%1.25%1.36%0.92%1.93%
IXJ
iShares Global Healthcare ETF		1.47%1.40%1.50%1.38%1.17%1.12%1.27%1.42%2.11%1.46%1.73%2.85%

Frequently Asked Questions

IHE and IXJ have a correlation of 0.85, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IHE has higher volatility (5.53%) compared to IXJ (3.75%). In terms of maximum drawdown, IHE dropped -38.20% vs IXJ's -40.60%.

On 10-year performance, IHE leads with 7.81% vs 7.66% for IXJ. On fees, IHE is cheaper at 0.42% per year. On volatility, IXJ has been the lower-risk option at 3.75%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, IHE has performed better with a 7.81% return vs 7.66%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

IHE is cheaper with a 0.42% expense ratio, compared with 0.46% for IXJ.

IHE has the higher dividend yield at 1.65%, compared with 1.47% for IXJ.

IHE tracks Dow Jones U.S. Select Pharmaceuticals Index, while IXJ tracks S&P Global Healthcare Sector Index. Their fees differ too: 0.42% for IHE and 0.46% for IXJ.

IHE currently has the higher Sharpe Ratio (2.36 vs 0.64), 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.

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