IQLT vs. ACWX

Last updated Jun 24, 2026

IQLT (iShares MSCI Intl Quality Factor ETF) and ACWX (iShares MSCI ACWI ex U.S. ETF) are both Foreign Large Cap Equities funds from iShares - IQLT tracks the MSCI World ex USA Sector Neutral Quality Index (Net) while ACWX tracks the MSCI All Country World ex-U.S. Index. Both are passively managed. Over the past 10 years, IQLT returned 10.06%/yr vs 10.06%/yr for ACWX. Their correlation of 0.87 suggests significant overlap in exposure. IQLT charges 0.30%/yr vs 0.32%/yr for ACWX.

Performance

IQLT vs. ACWX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI Intl Quality Factor ETF (IQLT) and iShares MSCI ACWI ex U.S. ETF (ACWX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IQLT achieves a 8.35% return, which is significantly lower than ACWX's 12.88% return. Over a longer period, both investments have demonstrated similar performance, with their 10-year annualized returns being quite close: IQLT at 10.06% and ACWX at 10.06%.

IQLT

• 1D: -1.68%
• 1M: -0.25%
• YTD: 8.35%
• 6M: 7.81%
• 1Y: 17.86%
• 3Y*: 14.58%
• 5Y*: 7.26%
• 10Y*: 10.06%

ACWX

• 1D: -3.17%
• 1M: 0.91%
• YTD: 12.88%
• 6M: 12.78%
• 1Y: 29.85%
• 3Y*: 19.03%
• 5Y*: 8.31%
• 10Y*: 10.06%

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

IQLT vs. ACWX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IQLT iShares MSCI Intl Quality Factor ETF	8.35%	25.42%	1.54%	18.73%	-15.22%	12.94%	12.48%	28.18%	-10.76%	24.04%
ACWX iShares MSCI ACWI ex U.S. ETF	12.88%	32.59%	5.17%	15.63%	-16.07%	7.67%	10.29%	21.05%	-13.99%	27.20%

Correlation

The correlation between IQLT and ACWX is 0.94, 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	0.94
Correlation (3Y) Calculated over the trailing 3-year period	0.95
Correlation (5Y) Calculated over the trailing 5-year period	0.95
Correlation (10Y) Calculated over the trailing 10-year period	0.93
Correlation (All Time) Calculated using the full available price history since Jan 15, 2015	0.87

The correlation between IQLT and ACWX has been stable across timeframes, ranging from 0.87 to 0.95 - a consistent structural relationship.

IQLT vs. ACWX - Sectors Allocation Comparison

Sectors	IQLT	ACWX
Financial Services	25.0%	23.7%
Industrials	17.7%	13.6%
Technology	13.0%	23.8%
Healthcare	8.7%	6.5%
Consumer Cyclical	8.3%	7.0%
Basic Materials	7.2%	6.6%
Consumer Defensive	6.4%	5.0%
Energy	4.9%	4.4%
Utilities	3.5%	2.9%
Communication Services	3.1%	4.6%
Real Estate	1.5%	1.3%

Return for Risk

IQLT vs. ACWX — Risk / Return Rank

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

IQLT

IQLT Risk / Return Rank: 36
IQLT Sharpe Ratio Rank: 35
IQLT Sortino Ratio Rank: 35
IQLT Omega Ratio Rank: 33
IQLT Calmar Ratio Rank: 36
IQLT Martin Ratio Rank: 42

ACWX

ACWX Risk / Return Rank: 55
ACWX Sharpe Ratio Rank: 55
ACWX Sortino Ratio Rank: 52
ACWX Omega Ratio Rank: 55
ACWX Calmar Ratio Rank: 55
ACWX Martin Ratio Rank: 59

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.

IQLT vs. ACWX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI Intl Quality Factor ETF (IQLT) and iShares MSCI ACWI ex U.S. ETF (ACWX). 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.

	IQLT	ACWX	Difference
Sharpe ratio: Return per unit of total volatility	1.20	1.79	-0.59
Sortino ratio: Return per unit of downside risk	1.77	2.44	-0.68
Omega ratio: Gain probability vs. loss probability	1.21	1.33	-0.12
Calmar ratio: Return relative to maximum drawdown	1.73	2.62	-0.90
Martin ratio: Return relative to average drawdown	6.57	10.05	-3.48

IQLT vs. ACWX - Sharpe Ratio Comparison

The current IQLT Sharpe Ratio is 1.20, which is lower than the ACWX Sharpe Ratio of 1.79. The chart below compares the historical Sharpe Ratios of IQLT and ACWX, 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

IQLT vs. ACWX - Drawdown Comparison

The maximum IQLT drawdown since its inception was -32.21%, smaller than the maximum ACWX drawdown of -60.40%. Use the drawdown chart below to compare losses from any high point for IQLT and ACWX.

Drawdown Indicators

	IQLT	ACWX	Difference
Max Drawdown Largest peak-to-trough decline	-32.21%	-60.40%	+28.19%
Max Drawdown (1Y) Largest decline over 1 year	-10.38%	-11.42%	+1.04%
Max Drawdown (3Y) Largest decline over 3 years	-13.18%	-13.84%	+0.66%
Max Drawdown (5Y) Largest decline over 5 years	-30.24%	-29.78%	-0.46%
Max Drawdown (10Y) Largest decline over 10 years	-32.21%	-35.38%	+3.17%
Current Drawdown Current decline from peak	-1.84%	-3.17%	+1.33%
Average Drawdown Average peak-to-trough decline	-6.20%	-13.30%	+7.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.73%	2.98%	-0.25%

Volatility

IQLT vs. ACWX - Volatility Comparison

The current volatility for iShares MSCI Intl Quality Factor ETF (IQLT) is 5.10%, while iShares MSCI ACWI ex U.S. ETF (ACWX) has a volatility of 7.37%. This indicates that IQLT experiences smaller price fluctuations and is considered to be less risky than ACWX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IQLT	ACWX	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.10%	7.37%	-2.27%
Volatility (6M) Calculated over the trailing 6-month period	12.75%	14.77%	-2.02%
Volatility (1Y) Calculated over the trailing 1-year period	14.97%	16.74%	-1.77%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.55%	16.53%	+0.02%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.80%	17.27%	-0.47%

IQLT vs. ACWX - Expense Ratio Comparison

IQLT has a 0.30% expense ratio, which is lower than ACWX's 0.32% expense ratio.

Dividends

IQLT vs. ACWX - Dividend Comparison

IQLT's dividend yield for the trailing twelve months is around 2.47%, less than ACWX's 2.54% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ACWX iShares MSCI ACWI ex U.S. ETF	2.54%	2.82%	2.97%	2.96%	2.68%	2.74%	1.88%	3.22%	2.60%	2.40%	2.77%	2.51%
IQLT iShares MSCI Intl Quality Factor ETF	2.47%	2.33%	2.87%	2.27%	3.14%	2.24%	1.61%	2.28%	2.72%	2.36%	2.91%	2.78%

Frequently Asked Questions

Can I hold both IQLT and ACWX in my portfolio?

With a correlation of 0.94, IQLT and ACWX move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, IQLT or ACWX?

ACWX has higher volatility (7.37%) compared to IQLT (5.10%). In terms of maximum drawdown, IQLT dropped -32.21% vs ACWX's -60.40%.

Which ETF is better, IQLT or ACWX?

On 10-year performance, ACWX leads with 10.06% vs 10.06% for IQLT. On fees, IQLT is cheaper at 0.30% per year. On volatility, IQLT has been the lower-risk option at 5.10%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IQLT or ACWX?

Over the 10-year period, ACWX has performed better with a 10.06% return vs 10.06%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IQLT or ACWX?

IQLT is cheaper with a 0.30% expense ratio, compared with 0.32% for ACWX.

Which ETF pays a higher dividend yield, IQLT or ACWX?

ACWX has the higher dividend yield at 2.54%, compared with 2.47% for IQLT.

What is the main difference between IQLT and ACWX?

IQLT tracks MSCI World ex USA Sector Neutral Quality Index (Net), while ACWX tracks MSCI All Country World ex-U.S. Index. Their fees differ too: 0.30% for IQLT and 0.32% for ACWX.

Which has better risk-adjusted returns?

ACWX currently has the higher Sharpe Ratio (1.79 vs 1.20), 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.