ILF vs. EPU

Last updated Jun 23, 2026

ILF (iShares Latin American 40 ETF) and EPU (iShares MSCI Peru ETF) are both exchange-traded funds - ILF is a Latin America Equities fund tracking the S&P Latin America 40 Index, while EPU is a Mid Cap Blend Equities fund tracking the MSCI All Peru Capped Index. Both are passively managed. Over the past 10 years, ILF returned 8.49%/yr vs 15.17%/yr for EPU. A 0.61 correlation means they provide meaningful diversification when combined. ILF charges 0.48%/yr vs 0.59%/yr for EPU.

Performance

ILF vs. EPU - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Latin American 40 ETF (ILF) and iShares MSCI Peru ETF (EPU). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ILF achieves a 13.05% return, which is significantly lower than EPU's 23.09% return. Over the past 10 years, ILF has underperformed EPU with an annualized return of 8.49%, while EPU has yielded a comparatively higher 15.17% annualized return.

ILF

• 1D: 0.27%
• 1M: -1.45%
• YTD: 13.05%
• 6M: 14.29%
• 1Y: 40.46%
• 3Y*: 13.51%
• 5Y*: 9.00%
• 10Y*: 8.49%

EPU

• 1D: -0.24%
• 1M: 7.82%
• YTD: 23.09%
• 6M: 23.55%
• 1Y: 89.94%
• 3Y*: 48.43%
• 5Y*: 31.01%
• 10Y*: 15.17%

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

ILF vs. EPU - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ILF iShares Latin American 40 ETF	13.05%	52.65%	-23.11%	33.14%	9.81%	-13.59%	-11.71%	13.77%	-6.85%	26.33%
EPU iShares MSCI Peru ETF	23.09%	86.87%	21.73%	25.34%	2.05%	-11.81%	-4.31%	7.30%	-12.17%	29.70%

Correlation

The correlation between ILF and EPU is 0.69, 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	0.69
Correlation (3Y) Calculated over the trailing 3-year period	0.65
Correlation (5Y) Calculated over the trailing 5-year period	0.63
Correlation (10Y) Calculated over the trailing 10-year period	0.59
Correlation (All Time) Calculated using the full available price history since Jun 22, 2009	0.61

The correlation between ILF and EPU has been stable across timeframes, ranging from 0.59 to 0.69 - a consistent structural relationship.

ILF vs. EPU - Sectors Allocation Comparison

Sectors	ILF	EPU
Financial Services	33.3%	27.9%
Basic Materials	24.0%	54.2%
Energy	12.0%	-
Consumer Defensive	9.5%	3.0%
Industrials	9.3%	2.6%
Utilities	4.4%	2.8%
Communication Services	4.4%	1.5%
Consumer Cyclical	1.3%	4.1%
Healthcare	1.1%	0.9%
Real Estate	0.8%	3.0%
Technology	-	-

Return for Risk

ILF vs. EPU — Risk / Return Rank

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

ILF

ILF Risk / Return Rank: 54
ILF Sharpe Ratio Rank: 56
ILF Sortino Ratio Rank: 52
ILF Omega Ratio Rank: 51
ILF Calmar Ratio Rank: 61
ILF Martin Ratio Rank: 51

EPU

EPU Risk / Return Rank: 80
EPU Sharpe Ratio Rank: 90
EPU Sortino Ratio Rank: 77
EPU Omega Ratio Rank: 79
EPU Calmar Ratio Rank: 83
EPU Martin Ratio Rank: 69

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.

ILF vs. EPU - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Latin American 40 ETF (ILF) and iShares MSCI Peru ETF (EPU). 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.

	ILF	EPU	Difference
Sharpe ratio: Return per unit of total volatility	1.83	2.91	-1.08
Sortino ratio: Return per unit of downside risk	2.44	3.28	-0.84
Omega ratio: Gain probability vs. loss probability	1.31	1.45	-0.14
Calmar ratio: Return relative to maximum drawdown	2.92	4.34	-1.42
Martin ratio: Return relative to average drawdown	8.56	12.45	-3.90

ILF vs. EPU - Sharpe Ratio Comparison

The current ILF Sharpe Ratio is 1.83, which is lower than the EPU Sharpe Ratio of 2.91. The chart below compares the historical Sharpe Ratios of ILF and EPU, 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

ILF vs. EPU - Drawdown Comparison

The maximum ILF drawdown since its inception was -67.48%, which is greater than EPU's maximum drawdown of -60.62%. Use the drawdown chart below to compare losses from any high point for ILF and EPU.

Drawdown Indicators

	ILF	EPU	Difference
Max Drawdown Largest peak-to-trough decline	-67.48%	-60.62%	-6.86%
Max Drawdown (1Y) Largest decline over 1 year	-13.94%	-20.85%	+6.91%
Max Drawdown (3Y) Largest decline over 3 years	-23.97%	-20.85%	-3.12%
Max Drawdown (5Y) Largest decline over 5 years	-29.71%	-35.59%	+5.88%
Max Drawdown (10Y) Largest decline over 10 years	-57.79%	-50.97%	-6.82%
Current Drawdown Current decline from peak	-9.65%	-5.10%	-4.55%
Average Drawdown Average peak-to-trough decline	-23.91%	-18.79%	-5.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.74%	7.25%	-2.51%

Volatility

ILF vs. EPU - Volatility Comparison

The current volatility for iShares Latin American 40 ETF (ILF) is 6.44%, while iShares MSCI Peru ETF (EPU) has a volatility of 12.16%. This indicates that ILF experiences smaller price fluctuations and is considered to be less risky than EPU based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ILF	EPU	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.44%	12.16%	-5.72%
Volatility (6M) Calculated over the trailing 6-month period	18.33%	26.96%	-8.63%
Volatility (1Y) Calculated over the trailing 1-year period	22.25%	31.14%	-8.89%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.28%	25.06%	-1.78%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	28.40%	23.65%	+4.75%

ILF vs. EPU - Expense Ratio Comparison

ILF has a 0.48% expense ratio, which is lower than EPU's 0.59% expense ratio.

Dividends

ILF vs. EPU - Dividend Comparison

ILF's dividend yield for the trailing twelve months is around 3.47%, more than EPU's 1.95% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EPU iShares MSCI Peru ETF	1.95%	1.63%	5.78%	4.17%	5.56%	3.13%	1.91%	2.67%	1.53%	3.30%	0.85%	1.90%
ILF iShares Latin American 40 ETF	3.47%	4.39%	7.44%	4.61%	12.72%	8.47%	1.88%	3.09%	3.12%	1.80%	1.59%	3.25%

Frequently Asked Questions

Can I hold both ILF and EPU in my portfolio?

ILF and EPU have a correlation of 0.69, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ILF or EPU?

EPU has higher volatility (12.16%) compared to ILF (6.44%). In terms of maximum drawdown, ILF dropped -67.48% vs EPU's -60.62%.

Which ETF is better, ILF or EPU?

On 10-year performance, EPU leads with 15.17% vs 8.49% for ILF. On fees, ILF is cheaper at 0.48% per year. On volatility, ILF has been the lower-risk option at 6.44%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ILF or EPU?

Over the 10-year period, EPU has performed better with a 15.17% return vs 8.49%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ILF or EPU?

ILF is cheaper with a 0.48% expense ratio, compared with 0.59% for EPU.

Which ETF pays a higher dividend yield, ILF or EPU?

ILF has the higher dividend yield at 3.47%, compared with 1.95% for EPU.

What is the main difference between ILF and EPU?

ILF is categorized as Latin America Equities, while EPU is Mid Cap Blend Equities. ILF tracks S&P Latin America 40 Index, while EPU tracks MSCI All Peru Capped Index. Their fees differ too: 0.48% for ILF and 0.59% for EPU.

Which has better risk-adjusted returns?

EPU currently has the higher Sharpe Ratio (2.91 vs 1.83), 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.