IWM vs. BBSC

Last updated Jun 4, 2026

IWM (iShares Russell 2000 ETF) and BBSC (JPMorgan BetaBuilders U.S. Small Cap Equity ETF) are both Small Cap Blend Equities funds - IWM tracks the Russell 2000 Index while BBSC tracks the Morningstar US Small Cap Target Market Exposure Extended Index. Both are passively managed. Over the past 5 years, IWM returned 6.11%/yr vs 6.64%/yr for BBSC. With a 0.99 correlation, they move nearly in lockstep. IWM charges 0.19%/yr vs 0.09%/yr for BBSC.

Performance

IWM vs. BBSC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Russell 2000 ETF (IWM) and JPMorgan BetaBuilders U.S. Small Cap Equity ETF (BBSC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IWM achieves a 17.07% return, which is significantly higher than BBSC's 15.75% return.

IWM

• 1D: -1.37%
• 1M: 3.52%
• YTD: 17.07%
• 6M: 15.83%
• 1Y: 39.10%
• 3Y*: 17.88%
• 5Y*: 6.11%
• 10Y*: 10.93%

BBSC

• 1D: -1.11%
• 1M: 2.71%
• YTD: 15.75%
• 6M: 14.20%
• 1Y: 35.98%
• 3Y*: 17.34%
• 5Y*: 6.64%
• 10Y*: —

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

IWM vs. BBSC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
IWM iShares Russell 2000 ETF	17.07%	12.66%	11.38%	16.83%	-20.48%	14.54%	10.21%
BBSC JPMorgan BetaBuilders U.S. Small Cap Equity ETF	15.75%	10.38%	12.31%	20.07%	-19.75%	15.44%	11.94%

Correlation

The correlation between IWM and BBSC is 0.99 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.99
Correlation (3Y) Calculated over the trailing 3-year period	0.99
Correlation (5Y) Calculated over the trailing 5-year period	0.99
Correlation (All Time) Calculated using the full available price history since Nov 18, 2020	0.99

The correlation between IWM and BBSC has been stable across timeframes, ranging from 0.99 to 0.99 - a consistent structural relationship.

IWM vs. BBSC - Sectors Allocation Comparison

Sectors	IWM	BBSC
Technology	19.5%	18.5%
Industrials	17.1%	14.9%
Financial Services	15.8%	16.9%
Healthcare	15.8%	15.7%
Consumer Cyclical	7.8%	9.0%
Energy	6.0%	6.4%
Real Estate	5.7%	7.7%
Basic Materials	4.5%	4.1%
Utilities	3.0%	1.2%
Consumer Defensive	2.1%	3.2%
Communication Services	2.0%	2.4%

Return for Risk

IWM vs. BBSC — Risk / Return Rank

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

IWM

IWM Risk / Return Rank: 62
IWM Sharpe Ratio Rank: 59
IWM Sortino Ratio Rank: 59
IWM Omega Ratio Rank: 53
IWM Calmar Ratio Rank: 70
IWM Martin Ratio Rank: 67

BBSC

BBSC Risk / Return Rank: 61
BBSC Sharpe Ratio Rank: 55
BBSC Sortino Ratio Rank: 56
BBSC Omega Ratio Rank: 50
BBSC Calmar Ratio Rank: 75
BBSC Martin Ratio Rank: 67

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.

IWM vs. BBSC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Russell 2000 ETF (IWM) and JPMorgan BetaBuilders U.S. Small Cap Equity ETF (BBSC). 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.

	IWM	BBSC	Difference
Sharpe ratio: Return per unit of total volatility	2.05	1.90	+0.16
Sortino ratio: Return per unit of downside risk	2.85	2.70	+0.15
Omega ratio: Gain probability vs. loss probability	1.34	1.32	+0.02
Calmar ratio: Return relative to maximum drawdown	3.56	3.79	-0.23
Martin ratio: Return relative to average drawdown	12.64	12.35	+0.29
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IWM vs. BBSC - Sharpe Ratio Comparison

The current IWM Sharpe Ratio is 2.05, which is comparable to the BBSC Sharpe Ratio of 1.90. The chart below compares the historical Sharpe Ratios of IWM and BBSC, 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

	IWM	BBSC	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.05	1.90	+0.16
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.27	0.29	-0.02
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.48	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.37	0.49	-0.12

Drawdowns

IWM vs. BBSC - Drawdown Comparison

The maximum IWM drawdown since its inception was -59.05%, which is greater than BBSC's maximum drawdown of -30.96%. Use the drawdown chart below to compare losses from any high point for IWM and BBSC.

Drawdown Indicators

	IWM	BBSC	Difference
Max Drawdown Largest peak-to-trough decline	-59.05%	-30.96%	-28.09%
Max Drawdown (1Y) Largest decline over 1 year	-11.03%	-9.54%	-1.49%
Max Drawdown (3Y) Largest decline over 3 years	-27.50%	-29.32%	+1.82%
Max Drawdown (5Y) Largest decline over 5 years	-31.91%	-30.96%	-0.95%
Max Drawdown (10Y) Largest decline over 10 years	-41.13%	—	—
Current Drawdown Current decline from peak	-1.49%	-1.48%	-0.01%
Average Drawdown Average peak-to-trough decline	-10.77%	-11.49%	+0.72%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.10%	2.92%	+0.18%

Volatility

IWM vs. BBSC - Volatility Comparison

iShares Russell 2000 ETF (IWM) has a higher volatility of 5.75% compared to JPMorgan BetaBuilders U.S. Small Cap Equity ETF (BBSC) at 4.91%. This indicates that IWM's price experiences larger fluctuations and is considered to be riskier than BBSC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IWM	BBSC	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.75%	4.91%	+0.84%
Volatility (6M) Calculated over the trailing 6-month period	13.53%	12.98%	+0.55%
Volatility (1Y) Calculated over the trailing 1-year period	19.20%	19.12%	+0.08%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.52%	22.93%	-0.41%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.04%	22.86%	+0.18%

IWM vs. BBSC - Expense Ratio Comparison

IWM has a 0.19% expense ratio, which is higher than BBSC's 0.09% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

IWM vs. BBSC - Dividend Comparison

IWM's dividend yield for the trailing twelve months is around 0.88%, less than BBSC's 1.03% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BBSC JPMorgan BetaBuilders U.S. Small Cap Equity ETF	1.03%	1.13%	1.29%	1.58%	1.37%	1.06%	0.18%	0.00%	0.00%	0.00%	0.00%	0.00%
IWM iShares Russell 2000 ETF	0.88%	1.04%	1.15%	1.35%	1.48%	0.94%	1.04%	1.26%	1.40%	1.26%	1.38%	1.54%

Frequently Asked Questions

Can I hold both IWM and BBSC in my portfolio?

With a correlation of 0.99, IWM and BBSC 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, IWM or BBSC?

IWM has higher volatility (5.75%) compared to BBSC (4.91%). In terms of maximum drawdown, IWM dropped -59.05% vs BBSC's -30.96%.

Which ETF is better, IWM or BBSC?

On 5-year performance, BBSC leads with 6.64% vs 6.11% for IWM. On fees, BBSC is cheaper at 0.09% per year. On volatility, BBSC has been the lower-risk option at 4.91%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IWM or BBSC?

Over the 5-year period, BBSC has performed better with a 6.64% return vs 6.11%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IWM or BBSC?

BBSC is cheaper with a 0.09% expense ratio, compared with 0.19% for IWM.

Which ETF pays a higher dividend yield, IWM or BBSC?

BBSC has the higher dividend yield at 1.03%, compared with 0.88% for IWM.

What is the main difference between IWM and BBSC?

IWM tracks Russell 2000 Index, while BBSC tracks Morningstar US Small Cap Target Market Exposure Extended Index. They also come from different issuers: iShares and JPMorgan. Their fees differ too: 0.19% for IWM and 0.09% for BBSC.

Which has better risk-adjusted returns?

IWM currently has the higher Sharpe Ratio (2.05 vs 1.90), 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.