IWO vs. IWN

Last updated Jun 26, 2026

IWO (iShares Russell 2000 Growth ETF) and IWN (iShares Russell 2000 Value ETF) are both exchange-traded funds - IWO is a Small Cap Growth Equities fund tracking the Russell 2000 Growth Index, while IWN is a Small Cap Value Equities fund tracking the Russell 2000 Value Index. Both are passively managed. Over the past 10 years, IWO returned 12.48%/yr vs 11.23%/yr for IWN. Their correlation of 0.91 suggests significant overlap in exposure. Both charge a 0.24% expense ratio.

Performance

IWO vs. IWN - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Russell 2000 Growth ETF (IWO) and iShares Russell 2000 Value ETF (IWN). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with IWO having a 21.51% return and IWN slightly higher at 22.24%. Over the past 10 years, IWO has outperformed IWN with an annualized return of 12.48%, while IWN has yielded a comparatively lower 11.23% annualized return.

IWO

• 1D: 0.75%
• 1M: 3.34%
• YTD: 21.51%
• 6M: 17.87%
• 1Y: 40.60%
• 3Y*: 19.65%
• 5Y*: 5.33%
• 10Y*: 12.48%

IWN

• 1D: 0.70%
• 1M: 2.89%
• YTD: 22.24%
• 6M: 19.65%
• 1Y: 44.28%
• 3Y*: 19.49%
• 5Y*: 7.47%
• 10Y*: 11.23%

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

IWO vs. IWN - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IWO iShares Russell 2000 Growth ETF	21.51%	12.90%	15.04%	18.51%	-26.27%	2.54%	34.68%	28.48%	-9.43%	22.25%
IWN iShares Russell 2000 Value ETF	22.24%	12.40%	7.63%	14.56%	-14.77%	27.96%	4.66%	22.01%	-13.01%	7.69%

Correlation

The correlation between IWO and IWN is 0.88, 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	0.88
Correlation (3Y) Calculated over the trailing 3-year period	0.90
Correlation (5Y) Calculated over the trailing 5-year period	0.91
Correlation (10Y) Calculated over the trailing 10-year period	0.88
Correlation (All Time) Calculated using the full available price history since Jul 28, 2000	0.91

The correlation between IWO and IWN has been stable across timeframes, ranging from 0.88 to 0.91 - a consistent structural relationship.

IWO vs. IWN - Sectors Allocation Comparison

Sectors	IWO	IWN
Technology	25.9%	11.6%
Industrials	23.0%	12.1%
Healthcare	21.9%	10.1%
Financial Services	7.8%	23.9%
Consumer Cyclical	7.0%	8.9%
Basic Materials	4.0%	5.4%
Energy	3.1%	7.9%
Consumer Defensive	2.3%	2.1%
Communication Services	2.2%	2.7%
Real Estate	2.0%	10.2%
Utilities	0.6%	5.1%

Return for Risk

IWO vs. IWN — Risk / Return Rank

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

IWO

IWO Risk / Return Rank: 62
IWO Sharpe Ratio Rank: 65
IWO Sortino Ratio Rank: 62
IWO Omega Ratio Rank: 56
IWO Calmar Ratio Rank: 64
IWO Martin Ratio Rank: 63

IWN

IWN Risk / Return Rank: 88
IWN Sharpe Ratio Rank: 87
IWN Sortino Ratio Rank: 88
IWN Omega Ratio Rank: 82
IWN Calmar Ratio Rank: 92
IWN Martin Ratio Rank: 90

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.

IWO vs. IWN - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Russell 2000 Growth ETF (IWO) and iShares Russell 2000 Value ETF (IWN). 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.

	IWO	IWN	Difference
Sharpe ratio: Return per unit of total volatility	1.85	2.48	-0.63
Sortino ratio: Return per unit of downside risk	2.51	3.44	-0.93
Omega ratio: Gain probability vs. loss probability	1.30	1.42	-0.12
Calmar ratio: Return relative to maximum drawdown	2.74	5.26	-2.52
Martin ratio: Return relative to average drawdown	9.79	17.71	-7.92

IWO vs. IWN - Sharpe Ratio Comparison

The current IWO Sharpe Ratio is 1.85, which is comparable to the IWN Sharpe Ratio of 2.48. The chart below compares the historical Sharpe Ratios of IWO and IWN, 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

IWO vs. IWN - Drawdown Comparison

The maximum IWO drawdown since its inception was -60.11%, roughly equal to the maximum IWN drawdown of -61.55%. Use the drawdown chart below to compare losses from any high point for IWO and IWN.

Drawdown Indicators

	IWO	IWN	Difference
Max Drawdown Largest peak-to-trough decline	-60.11%	-61.55%	+1.44%
Max Drawdown (1Y) Largest decline over 1 year	-14.87%	-8.45%	-6.42%
Max Drawdown (3Y) Largest decline over 3 years	-28.57%	-26.70%	-1.87%
Max Drawdown (5Y) Largest decline over 5 years	-40.51%	-26.70%	-13.81%
Max Drawdown (10Y) Largest decline over 10 years	-42.02%	-46.08%	+4.06%
Current Drawdown Current decline from peak	-0.49%	0.00%	-0.49%
Average Drawdown Average peak-to-trough decline	-16.67%	-10.13%	-6.54%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.16%	2.51%	+1.65%

Volatility

IWO vs. IWN - Volatility Comparison

iShares Russell 2000 Growth ETF (IWO) has a higher volatility of 7.60% compared to iShares Russell 2000 Value ETF (IWN) at 5.10%. This indicates that IWO's price experiences larger fluctuations and is considered to be riskier than IWN based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IWO	IWN	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.60%	5.10%	+2.50%
Volatility (6M) Calculated over the trailing 6-month period	16.58%	12.29%	+4.29%
Volatility (1Y) Calculated over the trailing 1-year period	22.14%	17.99%	+4.15%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.64%	21.41%	+3.23%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.17%	23.39%	+0.78%

IWO vs. IWN - Expense Ratio Comparison

Both IWO and IWN have an expense ratio of 0.24%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

IWO vs. IWN - Dividend Comparison

IWO's dividend yield for the trailing twelve months is around 0.42%, less than IWN's 1.45% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IWN iShares Russell 2000 Value ETF	1.45%	1.70%	1.80%	2.04%	2.12%	1.48%	1.60%	1.92%	1.99%	1.78%	1.74%	2.15%
IWO iShares Russell 2000 Growth ETF	0.42%	0.56%	0.80%	0.73%	0.73%	0.32%	0.44%	0.71%	0.76%	0.73%	0.97%	0.89%

Frequently Asked Questions

Can I hold both IWO and IWN in my portfolio?

IWO and IWN have a correlation of 0.88, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IWO or IWN?

IWO has higher volatility (7.60%) compared to IWN (5.10%). In terms of maximum drawdown, IWO dropped -60.11% vs IWN's -61.55%.

Which ETF is better, IWO or IWN?

On 10-year performance, IWO leads with 12.48% vs 11.23% for IWN. Both ETFs have the same 0.24% expense ratio. On volatility, IWN 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, IWO or IWN?

Over the 10-year period, IWO has performed better with a 12.48% return vs 11.23%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IWO or IWN?

IWO and IWN have the same expense ratio: 0.24% per year.

Which ETF pays a higher dividend yield, IWO or IWN?

IWN has the higher dividend yield at 1.45%, compared with 0.42% for IWO.

What is the main difference between IWO and IWN?

IWO is categorized as Small Cap Growth Equities, while IWN is Small Cap Value Equities. IWO tracks Russell 2000 Growth Index, while IWN tracks Russell 2000 Value Index.

Which has better risk-adjusted returns?

IWN currently has the higher Sharpe Ratio (2.48 vs 1.85), 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.