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IYW vs. HEWJ
Performance
Return for Risk
Drawdowns
Volatility
Dividends

IYW vs. HEWJ

Last updated Jun 9, 2026

IYW (iShares U.S. Technology ETF) and HEWJ (iShares Currency Hedged MSCI Japan ETF) are both exchange-traded funds - IYW is a Technology Equities fund tracking the Russell 1000 Technology RIC 22.5/45 Capped Index, while HEWJ is a Japan Equities fund tracking the MSCI Japan 100% Hedged to USD Index. Both are passively managed. Over the past 10 years, IYW returned 25.53%/yr vs 16.30%/yr for HEWJ. A 0.57 correlation means they provide meaningful diversification when combined. IYW charges 0.38%/yr vs 0.49%/yr for HEWJ.

Performance

IYW vs. HEWJ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares U.S. Technology ETF (IYW) and iShares Currency Hedged MSCI Japan ETF (HEWJ). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, IYW achieves a 22.81% return, which is significantly higher than HEWJ's 17.99% return. Over the past 10 years, IYW has outperformed HEWJ with an annualized return of 25.53%, while HEWJ has yielded a comparatively lower 16.30% annualized return.

IYW

1D
1.61%
1M
2.72%
YTD
22.81%
6M
20.20%
1Y
50.11%
3Y*
33.35%
5Y*
21.56%
10Y*
25.53%

HEWJ

1D
1.25%
1M
1.78%
YTD
17.99%
6M
19.77%
1Y
49.16%
3Y*
27.85%
5Y*
21.09%
10Y*
16.30%
*Multi-year figures are annualized to reflect compound growth (CAGR)

IYW vs. HEWJ - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
IYW
iShares U.S. Technology ETF		22.81%25.38%30.25%65.44%-34.83%35.44%47.45%46.64%-0.93%36.60%
HEWJ
iShares Currency Hedged MSCI Japan ETF		17.99%30.25%24.80%36.21%-4.39%12.79%10.29%20.79%-14.68%21.47%

Correlation

The correlation between IYW and HEWJ is 0.51, 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

0.51

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

0.52

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

0.57

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

0.57

Correlation (All Time)
Calculated using the full available price history since Feb 6, 2014

0.57

The correlation between IYW and HEWJ has been stable across timeframes, ranging from 0.51 to 0.57 - 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.

iShares U.S. Technology ETF

iShares Currency Hedged MSCI Japan ETF

Often compared with IYW:
IYW vs. VGTIYW vs. QQQIYW vs. XLKIYW vs. IGMIYW vs. SMHIYW vs. IWFIYW vs. SOXX
Often compared with HEWJ:
HEWJ vs. EWJHEWJ vs. EWJVHEWJ vs. DBJPHEWJ vs. FLJHHEWJ vs. HEFAHEWJ vs. DXJHEWJ vs. VOO

Return for Risk

IYW vs. HEWJ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
IYW
IYW Risk / Return Rank: 7070
Overall Rank
IYW Sharpe Ratio Rank: 8282
Sharpe Ratio Rank
IYW Sortino Ratio Rank: 7373
Sortino Ratio Rank
IYW Omega Ratio Rank: 7676
Omega Ratio Rank
IYW Calmar Ratio Rank: 6262
Calmar Ratio Rank
IYW Martin Ratio Rank: 5858
Martin Ratio Rank
HEWJ
HEWJ Risk / Return Rank: 8787
Overall Rank
HEWJ Sharpe Ratio Rank: 8787
Sharpe Ratio Rank
HEWJ Sortino Ratio Rank: 8787
Sortino Ratio Rank
HEWJ Omega Ratio Rank: 8686
Omega Ratio Rank
HEWJ Calmar Ratio Rank: 8888
Calmar Ratio Rank
HEWJ Martin Ratio Rank: 8989
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.

IYW vs. HEWJ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares U.S. Technology ETF (IYW) and iShares Currency Hedged MSCI Japan ETF (HEWJ). 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.

IYWHEWJDifference
Sharpe ratioReturn per unit of total volatility
2.40
2.61

-0.21

Sortino ratioReturn per unit of downside risk
2.97
3.55

-0.58

Omega ratioGain probability vs. loss probability

1.40

1.47

-0.07

Calmar ratioReturn relative to maximum drawdown

2.83

4.76

-1.94

Martin ratioReturn relative to average drawdown

9.20

18.61

-9.41

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IYW vs. HEWJ - Sharpe Ratio Comparison

The current IYW Sharpe Ratio is 2.40, which is comparable to the HEWJ Sharpe Ratio of 2.61. The chart below compares the historical Sharpe Ratios of IYW and HEWJ, 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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Sharpe Ratios by Period

IYWHEWJDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.40

2.61

-0.21

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.83

1.11

-0.28

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

1.02

0.83

+0.19

Sharpe Ratio (All Time)

Calculated using the full available price history

0.35

0.68

-0.34

Drawdowns

IYW vs. HEWJ - Drawdown Comparison

The maximum IYW drawdown since its inception was -81.90%, which is greater than HEWJ's maximum drawdown of -31.53%. Use the drawdown chart below to compare losses from any high point for IYW and HEWJ.

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Drawdown Indicators

IYWHEWJDifference

Max Drawdown

Largest peak-to-trough decline

-81.90%

-31.53%

-50.37%

Max Drawdown (1Y)

Largest decline over 1 year

-17.81%

-10.37%

-7.44%

Max Drawdown (3Y)

Largest decline over 3 years

-26.47%

-20.90%

-5.57%

Max Drawdown (5Y)

Largest decline over 5 years

-39.44%

-20.90%

-18.54%

Max Drawdown (10Y)

Largest decline over 10 years

-39.44%

-31.53%

-7.91%

Current Drawdown

Current decline from peak

-5.70%

-2.29%

-3.41%

Average Drawdown

Average peak-to-trough decline

-34.64%

-6.61%

-28.03%

Ulcer Index

Depth and duration of drawdowns from previous peaks

5.46%

2.65%

+2.81%

Volatility

IYW vs. HEWJ - Volatility Comparison

iShares U.S. Technology ETF (IYW) has a higher volatility of 8.86% compared to iShares Currency Hedged MSCI Japan ETF (HEWJ) at 5.17%. This indicates that IYW's price experiences larger fluctuations and is considered to be riskier than HEWJ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

IYWHEWJDifference

Volatility (1M)

Calculated over the trailing 1-month period

8.86%

5.17%

+3.69%

Volatility (6M)

Calculated over the trailing 6-month period

17.10%

14.16%

+2.94%

Volatility (1Y)

Calculated over the trailing 1-year period

21.05%

18.99%

+2.06%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

26.01%

19.11%

+6.90%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

25.18%

19.68%

+5.50%

IYW vs. HEWJ - Expense Ratio Comparison

IYW has a 0.38% expense ratio, which is lower than HEWJ's 0.49% expense ratio.

Dividends

IYW vs. HEWJ - Dividend Comparison

IYW's dividend yield for the trailing twelve months is around 0.11%, less than HEWJ's 4.32% yield.

PositionTTM20252024202320222021202020192018201720162015
HEWJ
iShares Currency Hedged MSCI Japan ETF		4.32%5.10%2.20%2.02%47.68%2.03%1.20%2.78%1.37%1.21%1.88%3.25%
IYW
iShares U.S. Technology ETF		0.11%0.14%0.21%0.34%0.50%0.31%0.56%0.72%0.92%0.82%1.14%1.12%

Frequently Asked Questions

IYW and HEWJ have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IYW has higher volatility (8.86%) compared to HEWJ (5.17%). In terms of maximum drawdown, IYW dropped -81.90% vs HEWJ's -31.53%.

On 10-year performance, IYW leads with 25.53% vs 16.30% for HEWJ. On fees, IYW is cheaper at 0.38% per year. On volatility, HEWJ has been the lower-risk option at 5.17%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, IYW has performed better with a 25.53% return vs 16.30%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

IYW is cheaper with a 0.38% expense ratio, compared with 0.49% for HEWJ.

HEWJ has the higher dividend yield at 4.32%, compared with 0.11% for IYW.

IYW is categorized as Technology Equities, while HEWJ is Japan Equities. IYW tracks Russell 1000 Technology RIC 22.5/45 Capped Index, while HEWJ tracks MSCI Japan 100% Hedged to USD Index. Their fees differ too: 0.38% for IYW and 0.49% for HEWJ.

HEWJ currently has the higher Sharpe Ratio (2.61 vs 2.40), 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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