IYM vs. IYK

Last updated Jun 14, 2026

IYM (iShares U.S. Basic Materials ETF) and IYK (iShares U.S. Consumer Goods ETF) are both exchange-traded funds - IYM is a Materials fund tracking the Dow Jones U.S. Basic Materials Index, while IYK is a Consumer Staples Equities fund tracking the Dow Jones U.S. Consumer Goods Index. Both are passively managed. Over the past 10 years, IYM returned 11.23%/yr vs 9.42%/yr for IYK. A 0.58 correlation means they provide meaningful diversification when combined. Both charge a 0.42% expense ratio.

Performance

IYM vs. IYK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Basic Materials ETF (IYM) and iShares U.S. Consumer Goods ETF (IYK). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IYM achieves a 22.39% return, which is significantly higher than IYK's 10.91% return. Over the past 10 years, IYM has outperformed IYK with an annualized return of 11.23%, while IYK has yielded a comparatively lower 9.42% annualized return.

IYM

• 1D: 1.70%
• 1M: 1.07%
• YTD: 22.39%
• 6M: 23.93%
• 1Y: 37.90%
• 3Y*: 14.64%
• 5Y*: 8.31%
• 10Y*: 11.23%

IYK

• 1D: 0.70%
• 1M: 1.92%
• YTD: 10.91%
• 6M: 10.35%
• 1Y: 7.28%
• 3Y*: 6.56%
• 5Y*: 6.67%
• 10Y*: 9.42%

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

IYM vs. IYK - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IYM iShares U.S. Basic Materials ETF	22.39%	20.41%	-4.54%	12.83%	-9.15%	25.62%	17.87%	19.22%	-16.63%	24.83%
IYK iShares U.S. Consumer Goods ETF	10.91%	4.78%	5.27%	-2.84%	3.57%	17.32%	32.65%	28.12%	-13.84%	16.53%

Correlation

The correlation between IYM and IYK is 0.25, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.25
Correlation (3Y) Calculated over the trailing 3-year period	0.34
Correlation (5Y) Calculated over the trailing 5-year period	0.42
Correlation (10Y) Calculated over the trailing 10-year period	0.52
Correlation (All Time) Calculated using the full available price history since Jun 20, 2000	0.58

Over the past year, the correlation between IYM and IYK has dropped to 0.25 - well below their long-term average of 0.58, suggesting their price drivers have been diverging.

IYM vs. IYK - Sectors Allocation Comparison

Sectors	IYM	IYK
Basic Materials	84.5%	2.6%
Industrials	11.9%	0.1%
Consumer Cyclical	3.3%	1.4%
Communication Services	-	-
Consumer Defensive	-	85.2%
Energy	-	-
Financial Services	-	-
Healthcare	-	10.7%
Real Estate	-	-
Technology	-	-
Utilities	-	-

Return for Risk

IYM vs. IYK — Risk / Return Rank

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

IYM

IYM Risk / Return Rank: 63
IYM Sharpe Ratio Rank: 67
IYM Sortino Ratio Rank: 62
IYM Omega Ratio Rank: 60
IYM Calmar Ratio Rank: 62
IYM Martin Ratio Rank: 65

IYK

IYK Risk / Return Rank: 17
IYK Sharpe Ratio Rank: 18
IYK Sortino Ratio Rank: 17
IYK Omega Ratio Rank: 17
IYK Calmar Ratio Rank: 17
IYK Martin Ratio Rank: 16

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.

IYM vs. IYK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Basic Materials ETF (IYM) and iShares U.S. Consumer Goods ETF (IYK). 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.

	IYM	IYK	Difference
Sharpe ratio: Return per unit of total volatility	1.90	0.50	+1.40
Sortino ratio: Return per unit of downside risk	2.55	0.80	+1.75
Omega ratio: Gain probability vs. loss probability	1.32	1.09	+0.23
Calmar ratio: Return relative to maximum drawdown	2.74	0.59	+2.14
Martin ratio: Return relative to average drawdown	10.29	1.23	+9.06

IYM vs. IYK - Sharpe Ratio Comparison

The current IYM Sharpe Ratio is 1.90, which is higher than the IYK Sharpe Ratio of 0.50. The chart below compares the historical Sharpe Ratios of IYM and IYK, 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

IYM vs. IYK - Drawdown Comparison

The maximum IYM drawdown since its inception was -67.78%, which is greater than IYK's maximum drawdown of -42.64%. Use the drawdown chart below to compare losses from any high point for IYM and IYK.

Drawdown Indicators

	IYM	IYK	Difference
Max Drawdown Largest peak-to-trough decline	-67.78%	-42.64%	-25.14%
Max Drawdown (1Y) Largest decline over 1 year	-13.61%	-10.68%	-2.93%
Max Drawdown (3Y) Largest decline over 3 years	-23.62%	-12.14%	-11.48%
Max Drawdown (5Y) Largest decline over 5 years	-29.94%	-15.05%	-14.89%
Max Drawdown (10Y) Largest decline over 10 years	-42.76%	-33.19%	-9.57%
Current Drawdown Current decline from peak	-0.61%	-4.40%	+3.79%
Average Drawdown Average peak-to-trough decline	-11.45%	-5.07%	-6.38%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.61%	5.13%	-1.52%

Volatility

IYM vs. IYK - Volatility Comparison

iShares U.S. Basic Materials ETF (IYM) has a higher volatility of 8.10% compared to iShares U.S. Consumer Goods ETF (IYK) at 4.75%. This indicates that IYM's price experiences larger fluctuations and is considered to be riskier than IYK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IYM	IYK	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.10%	4.75%	+3.35%
Volatility (6M) Calculated over the trailing 6-month period	15.79%	9.77%	+6.02%
Volatility (1Y) Calculated over the trailing 1-year period	19.55%	12.59%	+6.96%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.53%	13.05%	+7.48%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.77%	15.53%	+6.24%

IYM vs. IYK - Expense Ratio Comparison

Both IYM and IYK have an expense ratio of 0.42%.

Dividends

IYM vs. IYK - Dividend Comparison

IYM's dividend yield for the trailing twelve months is around 1.23%, less than IYK's 2.56% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IYK iShares U.S. Consumer Goods ETF	2.56%	2.75%	2.63%	2.74%	2.16%	1.49%	1.42%	2.21%	2.81%	1.74%	2.63%	2.11%
IYM iShares U.S. Basic Materials ETF	1.23%	1.51%	1.65%	1.77%	2.14%	1.48%	1.39%	2.08%	1.68%	1.43%	1.47%	2.04%

Frequently Asked Questions

Can I hold both IYM and IYK in my portfolio?

IYM and IYK have a correlation of 0.25, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IYM or IYK?

IYM has higher volatility (8.10%) compared to IYK (4.75%). In terms of maximum drawdown, IYM dropped -67.78% vs IYK's -42.64%.

Which ETF is better, IYM or IYK?

On 10-year performance, IYM leads with 11.23% vs 9.42% for IYK. Both ETFs have the same 0.42% expense ratio. On volatility, IYK has been the lower-risk option at 4.75%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IYM or IYK?

Over the 10-year period, IYM has performed better with a 11.23% return vs 9.42%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IYM or IYK?

IYM and IYK have the same expense ratio: 0.42% per year.

Which ETF pays a higher dividend yield, IYM or IYK?

IYK has the higher dividend yield at 2.56%, compared with 1.23% for IYM.

What is the main difference between IYM and IYK?

IYM is categorized as Materials, while IYK is Consumer Staples Equities. IYM tracks Dow Jones U.S. Basic Materials Index, while IYK tracks Dow Jones U.S. Consumer Goods Index.

Which has better risk-adjusted returns?

IYM currently has the higher Sharpe Ratio (1.90 vs 0.50), 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.