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IWM vs. PABD
Performance
Return for Risk
Drawdowns
Volatility
Dividends

IWM vs. PABD

Last updated Jun 16, 2026

IWM (iShares Russell 2000 ETF) and PABD (iShares Paris-Aligned Climate MSCI World Ex USA ETF) are both exchange-traded funds - IWM is a Small Cap Blend Equities fund tracking the Russell 2000 Index, while PABD is a Foreign Large Cap Equities fund tracking the MSCI World ex USA Climate Paris Aligned Benchmark Extended Select Index - Benchmark TR Net. Both are passively managed. Over the past year, IWM returned 42.91% vs 20.80% for PABD. A 0.68 correlation means they provide meaningful diversification when combined. IWM charges 0.19%/yr vs 0.12%/yr for PABD.

Performance

IWM vs. PABD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Russell 2000 ETF (IWM) and iShares Paris-Aligned Climate MSCI World Ex USA ETF (PABD). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, IWM achieves a 20.19% return, which is significantly higher than PABD's 8.37% return.

IWM

1D
0.82%
1M
6.39%
YTD
20.19%
6M
17.83%
1Y
42.91%
3Y*
17.97%
5Y*
6.41%
10Y*
11.40%

PABD

1D
0.75%
1M
4.79%
YTD
8.37%
6M
9.38%
1Y
20.80%
3Y*
—
5Y*
—
10Y*
—
*Multi-year figures are annualized to reflect compound growth (CAGR)

IWM vs. PABD - Yearly Performance Comparison

2026 (YTD)20252024
IWM
iShares Russell 2000 ETF		20.19%12.66%17.29%
PABD
iShares Paris-Aligned Climate MSCI World Ex USA ETF		8.37%30.06%5.32%

Correlation

The correlation between IWM and PABD is 0.73, 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

0.73

Correlation (All Time)
Calculated using the full available price history since Jan 19, 2024

0.68

The correlation between IWM and PABD has been stable across timeframes, ranging from 0.68 to 0.73 - a consistent structural relationship.

IWM vs. PABD - Sectors Allocation Comparison

Sectors
IWM
PABD

Technology

19.2%
13.9%

Industrials

17.9%
15.9%

Healthcare

16.3%
11.8%

Financial Services

15.4%
29.2%

Consumer Cyclical

7.9%
4.6%

Real Estate

5.9%
6.1%

Energy

5.4%
0.2%

Basic Materials

4.7%
5.0%

Utilities

2.7%
4.6%

Communication Services

2.5%
3.3%

Consumer Defensive

2.2%
4.8%

Technology

IWM
19.2%
PABD
13.9%

Industrials

IWM
17.9%
PABD
15.9%

Healthcare

IWM
16.3%
PABD
11.8%

Financial Services

IWM
15.4%
PABD
29.2%

Consumer Cyclical

IWM
7.9%
PABD
4.6%

Real Estate

IWM
5.9%
PABD
6.1%

Energy

IWM
5.4%
PABD
0.2%

Basic Materials

IWM
4.7%
PABD
5.0%

Utilities

IWM
2.7%
PABD
4.6%

Communication Services

IWM
2.5%
PABD
3.3%

Consumer Defensive

IWM
2.2%
PABD
4.8%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares Russell 2000 ETF

iShares Paris-Aligned Climate MSCI World Ex USA ETF

Often compared with IWM:
IWM vs. SPYIWM vs. VTWOIWM vs. IJRIWM vs. AVUVIWM vs. IWNIWM vs. VOOIWM vs. TNA
Often compared with PABD:
PABD vs. ESMVPABD vs. CVIEPABD vs. DMXFPABD vs. VOOPABD vs. CHPSPABD vs. ESGDPABD vs. BBEU

Return for Risk

IWM vs. PABD — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
IWM
IWM Risk / Return Rank: 7676
Overall Rank
IWM Sharpe Ratio Rank: 7777
Sharpe Ratio Rank
IWM Sortino Ratio Rank: 7575
Sortino Ratio Rank
IWM Omega Ratio Rank: 6767
Omega Ratio Rank
IWM Calmar Ratio Rank: 8282
Calmar Ratio Rank
IWM Martin Ratio Rank: 7979
Martin Ratio Rank
PABD
PABD Risk / Return Rank: 3838
Overall Rank
PABD Sharpe Ratio Rank: 3939
Sharpe Ratio Rank
PABD Sortino Ratio Rank: 3939
Sortino Ratio Rank
PABD Omega Ratio Rank: 3737
Omega Ratio Rank
PABD Calmar Ratio Rank: 3535
Calmar Ratio Rank
PABD Martin Ratio Rank: 4141
Martin Ratio Rank
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. PABD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Russell 2000 ETF (IWM) and iShares Paris-Aligned Climate MSCI World Ex USA ETF (PABD). 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.

IWMPABDDifference
Sharpe ratioReturn per unit of total volatility
2.20
1.31

+0.89

Sortino ratioReturn per unit of downside risk
2.99
1.91

+1.08

Omega ratioGain probability vs. loss probability

1.36

1.23

+0.12

Calmar ratioReturn relative to maximum drawdown

3.91

1.66

+2.24

Martin ratioReturn relative to average drawdown

13.84

6.21

+7.62

IWM vs. PABD - Sharpe Ratio Comparison

The current IWM Sharpe Ratio is 2.20, which is higher than the PABD Sharpe Ratio of 1.31. The chart below compares the historical Sharpe Ratios of IWM and PABD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

IWM vs. PABD - Drawdown Comparison

The maximum IWM drawdown since its inception was -59.05%, which is greater than PABD's maximum drawdown of -13.37%. Use the drawdown chart below to compare losses from any high point for IWM and PABD.

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Drawdown Indicators

IWMPABDDifference

Max Drawdown

Largest peak-to-trough decline

-59.05%

-13.37%

-45.68%

Max Drawdown (1Y)

Largest decline over 1 year

-11.03%

-12.55%

+1.52%

Max Drawdown (3Y)

Largest decline over 3 years

-27.50%

—

—

Max Drawdown (5Y)

Largest decline over 5 years

-31.91%

—

—

Max Drawdown (10Y)

Largest decline over 10 years

-41.13%

—

—

Current Drawdown

Current decline from peak

0.00%

-0.02%

+0.02%

Average Drawdown

Average peak-to-trough decline

-10.75%

-2.62%

-8.13%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.11%

3.36%

-0.25%

Volatility

IWM vs. PABD - Volatility Comparison

iShares Russell 2000 ETF (IWM) has a higher volatility of 7.17% compared to iShares Paris-Aligned Climate MSCI World Ex USA ETF (PABD) at 5.54%. This indicates that IWM's price experiences larger fluctuations and is considered to be riskier than PABD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

IWMPABDDifference

Volatility (1M)

Calculated over the trailing 1-month period

7.17%

5.54%

+1.63%

Volatility (6M)

Calculated over the trailing 6-month period

14.27%

13.57%

+0.70%

Volatility (1Y)

Calculated over the trailing 1-year period

19.67%

16.00%

+3.67%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

22.62%

15.66%

+6.96%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

23.09%

15.66%

+7.43%

IWM vs. PABD - Expense Ratio Comparison

IWM has a 0.19% expense ratio, which is higher than PABD's 0.12% 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. PABD - Dividend Comparison

IWM's dividend yield for the trailing twelve months is around 1.10%, less than PABD's 4.03% yield.

PositionTTM20252024202320222021202020192018201720162015
IWM
iShares Russell 2000 ETF		1.10%1.04%1.15%1.35%1.48%0.94%1.04%1.26%1.40%1.26%1.38%1.54%
PABD
iShares Paris-Aligned Climate MSCI World Ex USA ETF		4.03%2.74%2.87%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%

Frequently Asked Questions

IWM and PABD have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IWM has higher volatility (7.17%) compared to PABD (5.54%). In terms of maximum drawdown, IWM dropped -59.05% vs PABD's -13.37%.

On 1-year performance, IWM leads with 42.91% vs 20.80% for PABD. On fees, PABD is cheaper at 0.12% per year. On volatility, PABD has been the lower-risk option at 5.54%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 1-year period, IWM has performed better with a 42.91% return vs 20.80%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

PABD is cheaper with a 0.12% expense ratio, compared with 0.19% for IWM.

PABD has the higher dividend yield at 4.03%, compared with 1.10% for IWM.

IWM is categorized as Small Cap Blend Equities, while PABD is Foreign Large Cap Equities. IWM tracks Russell 2000 Index, while PABD tracks MSCI World ex USA Climate Paris Aligned Benchmark Extended Select Index - Benchmark TR Net. Their fees differ too: 0.19% for IWM and 0.12% for PABD.

IWM currently has the higher Sharpe Ratio (2.20 vs 1.31), 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.

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