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IYM vs. IYY
Performance
Return for Risk
Drawdowns
Volatility
Dividends

IYM vs. IYY

Last updated Jun 23, 2026

IYM (iShares U.S. Basic Materials ETF) and IYY (iShares Dow Jones U.S. ETF) are both exchange-traded funds - IYM is a Materials fund tracking the Dow Jones U.S. Basic Materials Index, while IYY is a Large Cap Blend Equities fund tracking the Dow Jones U.S. Index. Both are passively managed. Over the past 10 years, IYM returned 11.29%/yr vs 15.23%/yr for IYY. A 0.75 correlation means they provide meaningful diversification when combined. IYM charges 0.42%/yr vs 0.20%/yr for IYY.

Performance

IYM vs. IYY - Performance Comparison

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

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Returns By Period

In the year-to-date period, IYM achieves a 20.88% return, which is significantly higher than IYY's 9.81% return. Over the past 10 years, IYM has underperformed IYY with an annualized return of 11.29%, while IYY has yielded a comparatively higher 15.23% annualized return.

IYM

1D
-0.12%
1M
2.18%
YTD
20.88%
6M
19.00%
1Y
37.99%
3Y*
14.87%
5Y*
9.23%
10Y*
11.29%

IYY

1D
-0.50%
1M
0.33%
YTD
9.81%
6M
9.17%
1Y
26.14%
3Y*
21.07%
5Y*
12.55%
10Y*
15.23%
*Multi-year figures are annualized to reflect compound growth (CAGR)

IYM vs. IYY - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
IYM
iShares U.S. Basic Materials ETF		20.88%20.41%-4.54%12.83%-9.15%25.62%17.87%19.22%-16.63%24.83%
IYY
iShares Dow Jones U.S. ETF		9.81%17.08%24.15%26.48%-19.57%26.38%20.10%30.78%-5.16%21.33%

Correlation

The correlation between IYM and IYY is 0.59, 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

0.59

Correlation (3Y)
Calculated over the trailing 3-year period

0.64

Correlation (5Y)
Calculated over the trailing 5-year period

0.70

Correlation (10Y)
Calculated over the trailing 10-year period

0.73

Correlation (All Time)
Calculated using the full available price history since Jun 20, 2000

0.75

The correlation between IYM and IYY shifts across timeframes, from 0.59 (1 year) to 0.75 (all time), reflecting how their relationship changes across market environments.

IYM vs. IYY - Sectors Allocation Comparison

Sectors
IYM
IYY

Basic Materials

83.8%
1.9%

Industrials

12.5%
8.5%

Consumer Cyclical

3.4%
9.9%

Communication Services

-

10.1%

Consumer Defensive

-

4.4%

Energy

-

3.2%

Financial Services

-

11.2%

Healthcare

-

8.4%

Real Estate

-

2.0%

Technology

-

38.3%

Utilities

-

2.1%

Basic Materials

IYM
83.8%
IYY
1.9%

Industrials

IYM
12.5%
IYY
8.5%

Consumer Cyclical

IYM
3.4%
IYY
9.9%

Communication Services

IYM

-

IYY
10.1%

Consumer Defensive

IYM

-

IYY
4.4%

Energy

IYM

-

IYY
3.2%

Financial Services

IYM

-

IYY
11.2%

Healthcare

IYM

-

IYY
8.4%

Real Estate

IYM

-

IYY
2.0%

Technology

IYM

-

IYY
38.3%

Utilities

IYM

-

IYY
2.1%

Compare stocks, funds, or ETFs

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iShares U.S. Basic Materials ETF

iShares Dow Jones U.S. ETF

Often compared with IYM:
IYM vs. VAWIYM vs. MXIIYM vs. CSDIYM vs. VTIIYM vs. IVVIYM vs. SOXXIYM vs. XLB
Often compared with IYY:
IYY vs. DIAIYY vs. VOOIYY vs. VTIIYY vs. QQQIYY vs. CIND.LIYY vs. SCHBIYY vs. TQQQ

Return for Risk

IYM vs. IYY — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
IYM
IYM Risk / Return Rank: 5858
Overall Rank
IYM Sharpe Ratio Rank: 6060
Sharpe Ratio Rank
IYM Sortino Ratio Rank: 5656
Sortino Ratio Rank
IYM Omega Ratio Rank: 5454
Omega Ratio Rank
IYM Calmar Ratio Rank: 5959
Calmar Ratio Rank
IYM Martin Ratio Rank: 6060
Martin Ratio Rank
IYY
IYY Risk / Return Rank: 6565
Overall Rank
IYY Sharpe Ratio Rank: 6666
Sharpe Ratio Rank
IYY Sortino Ratio Rank: 6363
Sortino Ratio Rank
IYY Omega Ratio Rank: 6565
Omega Ratio Rank
IYY Calmar Ratio Rank: 6161
Calmar Ratio Rank
IYY Martin Ratio Rank: 7272
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.

IYM vs. IYY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Basic Materials ETF (IYM) and iShares Dow Jones U.S. ETF (IYY). 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.

IYMIYYDifference
Sharpe ratioReturn per unit of total volatility
1.95
2.08

-0.13

Sortino ratioReturn per unit of downside risk
2.60
2.83

-0.23

Omega ratioGain probability vs. loss probability

1.33

1.38

-0.05

Calmar ratioReturn relative to maximum drawdown

2.80

2.94

-0.13

Martin ratioReturn relative to average drawdown

10.54

13.08

-2.54

IYM vs. IYY - Sharpe Ratio Comparison

The current IYM Sharpe Ratio is 1.95, which is comparable to the IYY Sharpe Ratio of 2.08. The chart below compares the historical Sharpe Ratios of IYM and IYY, 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

IYM vs. IYY - Drawdown Comparison

The maximum IYM drawdown since its inception was -67.78%, which is greater than IYY's maximum drawdown of -55.17%. Use the drawdown chart below to compare losses from any high point for IYM and IYY.

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Drawdown Indicators

IYMIYYDifference

Max Drawdown

Largest peak-to-trough decline

-67.78%

-55.17%

-12.61%

Max Drawdown (1Y)

Largest decline over 1 year

-13.61%

-8.94%

-4.67%

Max Drawdown (3Y)

Largest decline over 3 years

-23.62%

-19.06%

-4.56%

Max Drawdown (5Y)

Largest decline over 5 years

-29.94%

-25.46%

-4.48%

Max Drawdown (10Y)

Largest decline over 10 years

-42.76%

-34.90%

-7.86%

Current Drawdown

Current decline from peak

-2.07%

-1.72%

-0.35%

Average Drawdown

Average peak-to-trough decline

-11.44%

-10.82%

-0.62%

Ulcer Index

Depth and duration of drawdowns from previous peaks

3.61%

2.00%

+1.61%

Volatility

IYM vs. IYY - Volatility Comparison

iShares U.S. Basic Materials ETF (IYM) has a higher volatility of 7.05% compared to iShares Dow Jones U.S. ETF (IYY) at 4.79%. This indicates that IYM's price experiences larger fluctuations and is considered to be riskier than IYY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

IYMIYYDifference

Volatility (1M)

Calculated over the trailing 1-month period

7.05%

4.79%

+2.26%

Volatility (6M)

Calculated over the trailing 6-month period

15.71%

9.93%

+5.78%

Volatility (1Y)

Calculated over the trailing 1-year period

19.58%

12.64%

+6.94%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

20.48%

17.22%

+3.26%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

21.78%

18.21%

+3.57%

IYM vs. IYY - Expense Ratio Comparison

IYM has a 0.42% expense ratio, which is higher than IYY's 0.20% expense ratio.

Dividends

IYM vs. IYY - Dividend Comparison

IYM's dividend yield for the trailing twelve months is around 1.26%, more than IYY's 0.88% yield.

PositionTTM20252024202320222021202020192018201720162015
IYM
iShares U.S. Basic Materials ETF		1.26%1.51%1.65%1.77%2.14%1.48%1.39%2.08%1.68%1.43%1.47%2.04%
IYY
iShares Dow Jones U.S. ETF		0.88%0.95%1.05%1.29%1.48%1.04%1.31%1.80%1.97%1.62%1.81%1.97%

Frequently Asked Questions

IYM and IYY have a correlation of 0.59, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IYM has higher volatility (7.05%) compared to IYY (4.79%). In terms of maximum drawdown, IYM dropped -67.78% vs IYY's -55.17%.

On 10-year performance, IYY leads with 15.23% vs 11.29% for IYM. On fees, IYY is cheaper at 0.20% per year. On volatility, IYY has been the lower-risk option at 4.79%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, IYY has performed better with a 15.23% return vs 11.29%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

IYY is cheaper with a 0.20% expense ratio, compared with 0.42% for IYM.

IYM has the higher dividend yield at 1.26%, compared with 0.88% for IYY.

IYM is categorized as Materials, while IYY is Large Cap Blend Equities. IYM tracks Dow Jones U.S. Basic Materials Index, while IYY tracks Dow Jones U.S. Index. Their fees differ too: 0.42% for IYM and 0.20% for IYY.

IYY currently has the higher Sharpe Ratio (2.08 vs 1.95), 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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