IYT vs. IYR
IYT (iShares Transportation Average ETF) and IYR (iShares U.S. Real Estate ETF) are both exchange-traded funds - IYT is a Transportation Equities fund tracking the Dow Jones Transportation Average Index, while IYR is a REIT fund tracking the Dow Jones U.S. Real Estate Index. Both are passively managed. Over the past 10 years, IYT returned 11.08%/yr vs 5.97%/yr for IYR. A 0.58 correlation means they provide meaningful diversification when combined. Both charge a 0.42% expense ratio.
Performance
IYT vs. IYR - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, IYT achieves a 16.53% return, which is significantly higher than IYR's 11.47% return. Over the past 10 years, IYT has outperformed IYR with an annualized return of 11.08%, while IYR has yielded a comparatively lower 5.97% annualized return.
IYT
- 1D
- 0.45%
- 1M
- 7.88%
- YTD
- 16.53%
- 6M
- 13.90%
- 1Y
- 34.06%
- 3Y*
- 14.84%
- 5Y*
- 6.47%
- 10Y*
- 11.08%
IYR
- 1D
- 0.89%
- 1M
- 3.00%
- YTD
- 11.47%
- 6M
- 11.46%
- 1Y
- 12.40%
- 3Y*
- 9.71%
- 5Y*
- 2.47%
- 10Y*
- 5.97%
IYT vs. IYR - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
IYT iShares Transportation Average ETF | 16.53% | 11.48% | 4.10% | 24.62% | -21.74% | 26.41% | 14.20% | 20.11% | -12.87% | 18.89% |
IYR iShares U.S. Real Estate ETF | 11.47% | 3.38% | 4.41% | 11.89% | -25.51% | 38.74% | -5.23% | 28.21% | -4.33% | 9.31% |
Correlation
The correlation between IYT and IYR is 0.50, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.50 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.54 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.59 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.51 |
Correlation (All Time) Calculated using the full available price history since Oct 10, 2003 | 0.58 |
The correlation between IYT and IYR has been stable across timeframes, ranging from 0.50 to 0.59 - a consistent structural relationship.
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
IYT vs. IYR — Risk / Return Rank
IYT
IYR
IYT vs. IYR - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares Transportation Average ETF (IYT) and iShares U.S. Real Estate ETF (IYR). 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.
| IYT | IYR | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.70 | ||
| Sortino ratioReturn per unit of downside risk | +0.95 | ||
| Omega ratioGain probability vs. loss probability | 1.27 | 1.15 | +0.12 |
| Calmar ratioReturn relative to maximum drawdown | 2.63 | 1.34 | +1.29 |
| Martin ratioReturn relative to average drawdown | 8.56 | 4.19 | +4.38 |
Loading charts...
Drawdowns
IYT vs. IYR - Drawdown Comparison
The maximum IYT drawdown since its inception was -60.39%, smaller than the maximum IYR drawdown of -74.13%. Use the drawdown chart below to compare losses from any high point for IYT and IYR.
Loading charts...
Drawdown Indicators
| IYT | IYR | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -60.39% | -74.13% | +13.74% |
Max Drawdown (1Y)Largest decline over 1 year | -12.09% | -8.54% | -3.55% |
Max Drawdown (3Y)Largest decline over 3 years | -26.35% | -17.52% | -8.83% |
Max Drawdown (5Y)Largest decline over 5 years | -29.15% | -33.75% | +4.60% |
Max Drawdown (10Y)Largest decline over 10 years | -41.28% | -42.32% | +1.04% |
Current DrawdownCurrent decline from peak | 0.00% | 0.00% | 0.00% |
Average DrawdownAverage peak-to-trough decline | -9.30% | -12.89% | +3.59% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.71% | 2.73% | +0.98% |
Volatility
IYT vs. IYR - Volatility Comparison
iShares Transportation Average ETF (IYT) has a higher volatility of 6.45% compared to iShares U.S. Real Estate ETF (IYR) at 4.80%. This indicates that IYT's price experiences larger fluctuations and is considered to be riskier than IYR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
Loading charts...
Volatility by Period
| IYT | IYR | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 6.45% | 4.80% | +1.65% |
Volatility (6M)Calculated over the trailing 6-month period | 15.94% | 9.87% | +6.07% |
Volatility (1Y)Calculated over the trailing 1-year period | 20.61% | 13.58% | +7.03% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 22.38% | 18.76% | +3.62% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 23.18% | 20.34% | +2.84% |
IYT vs. IYR - Expense Ratio Comparison
Both IYT and IYR have an expense ratio of 0.42%.
Dividends
IYT vs. IYR - Dividend Comparison
IYT's dividend yield for the trailing twelve months is around 0.93%, less than IYR's 2.15% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IYR iShares U.S. Real Estate ETF | 2.15% | 2.48% | 2.57% | 2.75% | 2.92% | 2.06% | 2.58% | 3.05% | 3.53% | 3.73% | 4.41% | 3.92% |
IYT iShares Transportation Average ETF | 0.93% | 1.00% | 1.08% | 1.26% | 1.40% | 0.77% | 0.93% | 1.29% | 1.35% | 0.92% | 0.96% | 1.28% |
Frequently Asked Questions
IYT and IYR have a correlation of 0.50, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
IYT has higher volatility (6.45%) compared to IYR (4.80%). In terms of maximum drawdown, IYT dropped -60.39% vs IYR's -74.13%.
On 10-year performance, IYT leads with 11.08% vs 5.97% for IYR. Both ETFs have the same 0.42% expense ratio. On volatility, IYR has been the lower-risk option at 4.80%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, IYT has performed better with a 11.08% return vs 5.97%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
IYT and IYR have the same expense ratio: 0.42% per year.
IYR has the higher dividend yield at 2.15%, compared with 0.93% for IYT.
IYT is categorized as Transportation Equities, while IYR is REIT. IYT tracks Dow Jones Transportation Average Index, while IYR tracks Dow Jones U.S. Real Estate Index.
IYT currently has the higher Sharpe Ratio (1.54 vs 0.84), 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.
Find the right allocation for IYT and IYR
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer