ITA vs. IDEF

Last updated Jun 4, 2026

ITA (iShares U.S. Aerospace & Defense ETF) and IDEF (iShares Defense Industrials Active ETF) are both Aerospace & Defense funds from iShares. ITA is passively managed, while IDEF is actively managed. Over the past year, ITA returned 26.06% vs 21.86% for IDEF. Their correlation of 0.84 suggests significant overlap in exposure. ITA charges 0.38%/yr vs 0.55%/yr for IDEF.

Performance

ITA vs. IDEF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Aerospace & Defense ETF (ITA) and iShares Defense Industrials Active ETF (IDEF). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with ITA having a 4.82% return and IDEF slightly lower at 4.74%.

ITA

• 1D: -1.51%
• 1M: 4.93%
• YTD: 4.82%
• 6M: 11.61%
• 1Y: 26.06%
• 3Y*: 26.89%
• 5Y*: 15.93%
• 10Y*: 14.82%

IDEF

• 1D: -2.54%
• 1M: -2.65%
• YTD: 4.74%
• 6M: 9.45%
• 1Y: 21.86%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

ITA vs. IDEF - Yearly Performance Comparison

	2026 (YTD)	2025
ITA iShares U.S. Aerospace & Defense ETF	4.82%	26.29%
IDEF iShares Defense Industrials Active ETF	4.74%	23.05%

Correlation

The correlation between ITA and IDEF is 0.84, 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	0.84
Correlation (All Time) Calculated using the full available price history since May 22, 2025	0.84

The correlation between ITA and IDEF has been stable across timeframes, ranging from 0.84 to 0.84 - a consistent structural relationship.

Return for Risk

ITA vs. IDEF — Risk / Return Rank

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

ITA

ITA Risk / Return Rank: 32
ITA Sharpe Ratio Rank: 34
ITA Sortino Ratio Rank: 34
ITA Omega Ratio Rank: 32
ITA Calmar Ratio Rank: 33
ITA Martin Ratio Rank: 30

IDEF

IDEF Risk / Return Rank: 28
IDEF Sharpe Ratio Rank: 28
IDEF Sortino Ratio Rank: 28
IDEF Omega Ratio Rank: 26
IDEF Calmar Ratio Rank: 30
IDEF Martin Ratio Rank: 27

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.

ITA vs. IDEF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Aerospace & Defense ETF (ITA) and iShares Defense Industrials Active ETF (IDEF). 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.

	ITA	IDEF	Difference
Sharpe ratio: Return per unit of total volatility	1.26	1.04	+0.22
Sortino ratio: Return per unit of downside risk	1.84	1.56	+0.28
Omega ratio: Gain probability vs. loss probability	1.22	1.18	+0.03
Calmar ratio: Return relative to maximum drawdown	1.65	1.50	+0.15
Martin ratio: Return relative to average drawdown	4.49	3.90	+0.58
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ITA vs. IDEF - Sharpe Ratio Comparison

The current ITA Sharpe Ratio is 1.26, which is comparable to the IDEF Sharpe Ratio of 1.04. The chart below compares the historical Sharpe Ratios of ITA and IDEF, 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

	ITA	IDEF	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.26	1.04	+0.22
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.80	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.64	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.51	1.33	-0.83

Drawdowns

ITA vs. IDEF - Drawdown Comparison

The maximum ITA drawdown since its inception was -59.72%, which is greater than IDEF's maximum drawdown of -14.63%. Use the drawdown chart below to compare losses from any high point for ITA and IDEF.

Drawdown Indicators

	ITA	IDEF	Difference
Max Drawdown Largest peak-to-trough decline	-59.72%	-14.63%	-45.09%
Max Drawdown (1Y) Largest decline over 1 year	-15.82%	-14.63%	-1.19%
Max Drawdown (3Y) Largest decline over 3 years	-15.82%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-18.72%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-51.00%	—	—
Current Drawdown Current decline from peak	-10.19%	-12.31%	+2.12%
Average Drawdown Average peak-to-trough decline	-9.46%	-3.90%	-5.56%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.82%	5.61%	+0.21%

Volatility

ITA vs. IDEF - Volatility Comparison

The current volatility for iShares U.S. Aerospace & Defense ETF (ITA) is 7.28%, while iShares Defense Industrials Active ETF (IDEF) has a volatility of 7.87%. This indicates that ITA experiences smaller price fluctuations and is considered to be less risky than IDEF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ITA	IDEF	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.28%	7.87%	-0.59%
Volatility (6M) Calculated over the trailing 6-month period	17.47%	17.98%	-0.51%
Volatility (1Y) Calculated over the trailing 1-year period	20.86%	21.15%	-0.29%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.02%	21.07%	-1.05%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.14%	21.07%	+2.07%

ITA vs. IDEF - Expense Ratio Comparison

ITA has a 0.38% expense ratio, which is lower than IDEF's 0.55% expense ratio.

Dividends

ITA vs. IDEF - Dividend Comparison

ITA's dividend yield for the trailing twelve months is around 0.48%, more than IDEF's 0.16% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IDEF iShares Defense Industrials Active ETF	0.16%	0.17%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ITA iShares U.S. Aerospace & Defense ETF	0.48%	0.55%	0.85%	0.93%	0.95%	0.82%	1.07%	1.54%	1.13%	0.91%	1.07%	1.04%

Frequently Asked Questions

Can I hold both ITA and IDEF in my portfolio?

ITA and IDEF have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ITA or IDEF?

IDEF has higher volatility (7.87%) compared to ITA (7.28%). In terms of maximum drawdown, ITA dropped -59.72% vs IDEF's -14.63%.

Which ETF is better, ITA or IDEF?

On 1-year performance, ITA leads with 26.06% vs 21.86% for IDEF. On fees, ITA is cheaper at 0.38% per year. On volatility, ITA has been the lower-risk option at 7.28%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, ITA or IDEF?

Over the 1-year period, ITA has performed better with a 26.06% return vs 21.86%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, ITA or IDEF?

ITA is cheaper with a 0.38% expense ratio, compared with 0.55% for IDEF.

Which ETF pays a higher dividend yield, ITA or IDEF?

ITA has the higher dividend yield at 0.48%, compared with 0.16% for IDEF.

What is the main difference between ITA and IDEF?

Their fees differ too: 0.38% for ITA and 0.55% for IDEF.

Which has better risk-adjusted returns?

ITA currently has the higher Sharpe Ratio (1.26 vs 1.04), 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.