IWC vs. DGRO

Last updated Jul 14, 2026

IWC (iShares Micro-Cap ETF) and DGRO (iShares Core Dividend Growth ETF) are both exchange-traded funds - IWC is a Small Cap Blend Equities fund tracking the Russell Microcap Index, while DGRO is a Large Cap Growth Equities fund tracking the Morningstar US Dividend Growth Index. Both are passively managed. Over the past 10 years, IWC returned 11.37%/yr vs 13.26%/yr for DGRO. A 0.70 correlation means they provide meaningful diversification when combined. IWC charges 0.60%/yr vs 0.08%/yr for DGRO.

Performance

IWC vs. DGRO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Micro-Cap ETF (IWC) and iShares Core Dividend Growth ETF (DGRO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IWC achieves a 23.21% return, which is significantly higher than DGRO's 12.23% return. Over the past 10 years, IWC has underperformed DGRO with an annualized return of 11.37%, while DGRO has yielded a comparatively higher 13.26% annualized return.

IWC

• 1D: -1.02%
• 1M: 2.50%
• 6M: 16.07%
• YTD: 23.21%
• 1Y: 48.46%
• 3Y*: 21.80%
• 5Y*: 7.27%
• 10Y*: 11.37%

DGRO

• 1D: 0.19%
• 1M: 2.16%
• 6M: 9.63%
• YTD: 12.23%
• 1Y: 21.63%
• 3Y*: 16.92%
• 5Y*: 11.06%
• 10Y*: 13.26%

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

IWC vs. DGRO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IWC iShares Micro-Cap ETF	23.21%	22.45%	13.63%	8.99%	-21.93%	18.67%	20.88%	22.20%	-13.13%	12.79%
DGRO iShares Core Dividend Growth ETF	12.23%	15.69%	16.62%	10.47%	-7.91%	26.64%	9.50%	29.87%	-2.38%	23.00%

Correlation

The correlation between IWC and DGRO is 0.56, 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	0.56
Correlation (3Y) Calculated over the trailing 3-year period	0.67
Correlation (5Y) Calculated over the trailing 5-year period	0.70
Correlation (10Y) Calculated over the trailing 10-year period	0.70
Correlation (All Time) Calculated using the full available price history since Jun 12, 2014	0.70

The correlation between IWC and DGRO shifts across timeframes, from 0.56 (1 year) to 0.70 (5 years), reflecting how their relationship changes across market environments.

IWC vs. DGRO - Sectors Allocation Comparison

Sectors	IWC	DGRO
Healthcare	26.8%	16.5%
Technology	21.7%	22.0%
Financial Services	17.6%	20.6%
Industrials	13.3%	10.4%
Consumer Cyclical	5.2%	5.4%
Basic Materials	4.1%	2.4%
Energy	4.0%	5.1%
Real Estate	3.3%	-
Communication Services	1.9%	0.1%
Consumer Defensive	1.6%	11.1%
Utilities	0.5%	6.4%

Return for Risk

IWC vs. DGRO — Risk / Return Rank

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

IWC

IWC Risk / Return Rank: 78
IWC Sharpe Ratio Rank: 80
IWC Sortino Ratio Rank: 76
IWC Omega Ratio Rank: 68
IWC Calmar Ratio Rank: 87
IWC Martin Ratio Rank: 82

DGRO

DGRO Risk / Return Rank: 86
DGRO Sharpe Ratio Rank: 88
DGRO Sortino Ratio Rank: 90
DGRO Omega Ratio Rank: 87
DGRO Calmar Ratio Rank: 80
DGRO 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.

IWC vs. DGRO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Micro-Cap ETF (IWC) and iShares Core Dividend Growth ETF (DGRO). 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.

	IWC	DGRO	Difference
Sharpe ratio: Return per unit of total volatility	2.01	2.29	-0.28
Sortino ratio: Return per unit of downside risk	2.68	3.33	-0.65
Omega ratio: Gain probability vs. loss probability	1.32	1.42	-0.10
Calmar ratio: Return relative to maximum drawdown	3.92	3.36	+0.56
Martin ratio: Return relative to average drawdown	12.71	12.98	-0.27

IWC vs. DGRO - Sharpe Ratio Comparison

The current IWC Sharpe Ratio is 2.01, which is comparable to the DGRO Sharpe Ratio of 2.29. The chart below compares the historical Sharpe Ratios of IWC and DGRO, 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

IWC vs. DGRO - Drawdown Comparison

The maximum IWC drawdown since its inception was -64.61%, which is greater than DGRO's maximum drawdown of -35.10%. Use the drawdown chart below to compare losses from any high point for IWC and DGRO.

Drawdown Indicators

	IWC	DGRO	Difference
Max Drawdown Largest peak-to-trough decline	-64.61%	-35.10%	-29.51%
Max Drawdown (1Y) Largest decline over 1 year	-12.43%	-6.47%	-5.96%
Max Drawdown (3Y) Largest decline over 3 years	-29.46%	-14.03%	-15.43%
Max Drawdown (5Y) Largest decline over 5 years	-40.61%	-19.31%	-21.30%
Max Drawdown (10Y) Largest decline over 10 years	-47.21%	-35.10%	-12.11%
Current Drawdown Current decline from peak	-3.40%	-0.50%	-2.90%
Average Drawdown Average peak-to-trough decline	-15.21%	-3.42%	-11.79%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.82%	1.67%	+2.15%

Volatility

IWC vs. DGRO - Volatility Comparison

iShares Micro-Cap ETF (IWC) has a higher volatility of 5.99% compared to iShares Core Dividend Growth ETF (DGRO) at 2.52%. This indicates that IWC's price experiences larger fluctuations and is considered to be riskier than DGRO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IWC	DGRO	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.99%	2.52%	+3.47%
Volatility (6M) Calculated over the trailing 6-month period	18.27%	6.94%	+11.33%
Volatility (1Y) Calculated over the trailing 1-year period	24.27%	9.50%	+14.77%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.53%	13.79%	+10.74%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.47%	16.57%	+7.90%

IWC vs. DGRO - Expense Ratio Comparison

IWC has a 0.60% expense ratio, which is higher than DGRO's 0.08% expense ratio.

Dividends

IWC vs. DGRO - Dividend Comparison

IWC's dividend yield for the trailing twelve months is around 0.98%, less than DGRO's 1.91% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DGRO iShares Core Dividend Growth ETF	1.91%	2.09%	2.26%	2.45%	2.34%	1.93%	2.30%	2.21%	2.44%	2.03%	2.27%	2.52%
IWC iShares Micro-Cap ETF	0.98%	1.10%	1.06%	1.17%	1.18%	0.78%	0.98%	1.19%	1.01%	1.09%	1.16%	1.49%

Frequently Asked Questions

Can I hold both IWC and DGRO in my portfolio?

IWC and DGRO have a correlation of 0.56, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IWC or DGRO?

IWC has higher volatility (5.99%) compared to DGRO (2.52%). In terms of maximum drawdown, IWC dropped -64.61% vs DGRO's -35.10%.

Which ETF is better, IWC or DGRO?

On 10-year performance, DGRO leads with 13.26% vs 11.37% for IWC. On fees, DGRO is cheaper at 0.08% per year. On volatility, DGRO has been the lower-risk option at 2.52%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IWC or DGRO?

Over the 10-year period, DGRO has performed better with a 13.26% return vs 11.37%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IWC or DGRO?

DGRO is cheaper with a 0.08% expense ratio, compared with 0.60% for IWC.

Which ETF pays a higher dividend yield, IWC or DGRO?

DGRO has the higher dividend yield at 1.91%, compared with 0.98% for IWC.

What is the main difference between IWC and DGRO?

IWC is categorized as Small Cap Blend Equities, while DGRO is Large Cap Growth Equities. IWC tracks Russell Microcap Index, while DGRO tracks Morningstar US Dividend Growth Index. Their fees differ too: 0.60% for IWC and 0.08% for DGRO.

Which has better risk-adjusted returns?

DGRO currently has the higher Sharpe Ratio (2.29 vs 2.01), 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.