JEPQ vs. IWM

Last updated Jun 9, 2026

JEPQ (JPMorgan Nasdaq Equity Premium Income ETF) and IWM (iShares Russell 2000 ETF) are both exchange-traded funds - JEPQ is a Nasdaq-100 fund tracking the Nasdaq-100 Index, while IWM is a Small Cap Blend Equities fund tracking the Russell 2000 Index. Both are passively managed. Over the past 3 years, JEPQ returned 20.04%/yr vs 16.64%/yr for IWM. A 0.70 correlation means they provide meaningful diversification when combined. JEPQ charges 0.35%/yr vs 0.19%/yr for IWM.

Performance

JEPQ vs. IWM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) and iShares Russell 2000 ETF (IWM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, JEPQ achieves a 7.44% return, which is significantly lower than IWM's 15.62% return.

JEPQ

• 1D: 1.24%
• 1M: 0.97%
• YTD: 7.44%
• 6M: 7.26%
• 1Y: 25.85%
• 3Y*: 20.04%
• 5Y*: —
• 10Y*: —

IWM

• 1D: 0.87%
• 1M: -0.02%
• YTD: 15.62%
• 6M: 13.83%
• 1Y: 35.52%
• 3Y*: 16.64%
• 5Y*: 5.48%
• 10Y*: 10.78%

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

JEPQ vs. IWM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
JEPQ JPMorgan Nasdaq Equity Premium Income ETF	7.44%	15.18%	24.85%	36.28%	-12.89%
IWM iShares Russell 2000 ETF	15.62%	12.66%	11.38%	16.83%	-8.78%

Correlation

The correlation between JEPQ and IWM is 0.67, 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	0.67
Correlation (3Y) Calculated over the trailing 3-year period	0.63
Correlation (All Time) Calculated using the full available price history since May 5, 2022	0.70

The correlation between JEPQ and IWM has been stable across timeframes, ranging from 0.63 to 0.70 - a consistent structural relationship.

JEPQ vs. IWM - Sectors Allocation Comparison

Sectors	JEPQ	IWM
Technology	54.0%	19.5%
Communication Services	15.4%	2.1%
Consumer Cyclical	12.8%	7.9%
Consumer Defensive	7.1%	2.1%
Healthcare	4.4%	16.1%
Industrials	3.1%	17.2%
Utilities	1.3%	3.0%
Basic Materials	1.0%	4.5%
Energy	0.4%	5.8%
Financial Services	0.4%	15.6%
Real Estate	0.2%	5.6%

Return for Risk

JEPQ vs. IWM — Risk / Return Rank

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

JEPQ

JEPQ Risk / Return Rank: 73
JEPQ Sharpe Ratio Rank: 73
JEPQ Sortino Ratio Rank: 68
JEPQ Omega Ratio Rank: 79
JEPQ Calmar Ratio Rank: 65
JEPQ Martin Ratio Rank: 80

IWM

IWM Risk / Return Rank: 63
IWM Sharpe Ratio Rank: 61
IWM Sortino Ratio Rank: 60
IWM Omega Ratio Rank: 54
IWM Calmar Ratio Rank: 71
IWM Martin Ratio Rank: 68

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.

JEPQ vs. IWM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) and iShares Russell 2000 ETF (IWM). 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.

	JEPQ	IWM	Difference
Sharpe ratio: Return per unit of total volatility	2.13	1.83	+0.30
Sortino ratio: Return per unit of downside risk	2.79	2.54	+0.25
Omega ratio: Gain probability vs. loss probability	1.42	1.30	+0.12
Calmar ratio: Return relative to maximum drawdown	2.95	3.24	-0.29
Martin ratio: Return relative to average drawdown	14.33	11.44	+2.89
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

JEPQ vs. IWM - Sharpe Ratio Comparison

The current JEPQ Sharpe Ratio is 2.13, which is comparable to the IWM Sharpe Ratio of 1.83. The chart below compares the historical Sharpe Ratios of JEPQ and IWM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	JEPQ	IWM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.13	1.83	+0.30
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.24	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.47	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.96	0.36	+0.60

Drawdowns

JEPQ vs. IWM - Drawdown Comparison

The maximum JEPQ drawdown since its inception was -20.07%, smaller than the maximum IWM drawdown of -59.05%. Use the drawdown chart below to compare losses from any high point for JEPQ and IWM.

Drawdown Indicators

	JEPQ	IWM	Difference
Max Drawdown Largest peak-to-trough decline	-20.07%	-59.05%	+38.98%
Max Drawdown (1Y) Largest decline over 1 year	-8.82%	-11.03%	+2.21%
Max Drawdown (3Y) Largest decline over 3 years	-20.07%	-27.50%	+7.43%
Max Drawdown (5Y) Largest decline over 5 years	—	-31.91%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-41.13%	—
Current Drawdown Current decline from peak	-2.02%	-2.71%	+0.69%
Average Drawdown Average peak-to-trough decline	-3.42%	-10.76%	+7.34%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.81%	3.11%	-1.30%

Volatility

JEPQ vs. IWM - Volatility Comparison

The current volatility for JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) is 3.65%, while iShares Russell 2000 ETF (IWM) has a volatility of 6.52%. This indicates that JEPQ experiences smaller price fluctuations and is considered to be less risky than IWM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	JEPQ	IWM	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.65%	6.52%	-2.87%
Volatility (6M) Calculated over the trailing 6-month period	9.66%	14.00%	-4.34%
Volatility (1Y) Calculated over the trailing 1-year period	12.19%	19.53%	-7.34%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.67%	22.58%	-5.91%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.67%	23.07%	-6.40%

JEPQ vs. IWM - Expense Ratio Comparison

JEPQ has a 0.35% expense ratio, which is higher than IWM's 0.19% expense ratio.

Dividends

JEPQ vs. IWM - Dividend Comparison

JEPQ's dividend yield for the trailing twelve months is around 10.26%, more than IWM's 0.89% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IWM iShares Russell 2000 ETF	0.89%	1.04%	1.15%	1.35%	1.48%	0.94%	1.04%	1.26%	1.40%	1.26%	1.38%	1.54%
JEPQ JPMorgan Nasdaq Equity Premium Income ETF	10.26%	10.53%	9.65%	10.03%	9.44%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both JEPQ and IWM in my portfolio?

JEPQ and IWM have a correlation of 0.67, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, JEPQ or IWM?

IWM has higher volatility (6.52%) compared to JEPQ (3.65%). In terms of maximum drawdown, JEPQ dropped -20.07% vs IWM's -59.05%.

Which ETF is better, JEPQ or IWM?

On 3-year performance, JEPQ leads with 20.04% vs 16.64% for IWM. On fees, IWM is cheaper at 0.19% per year. On volatility, JEPQ has been the lower-risk option at 3.65%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, JEPQ or IWM?

Over the 3-year period, JEPQ has performed better with a 20.04% return vs 16.64%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, JEPQ or IWM?

IWM is cheaper with a 0.19% expense ratio, compared with 0.35% for JEPQ.

Which ETF pays a higher dividend yield, JEPQ or IWM?

JEPQ has the higher dividend yield at 10.26%, compared with 0.89% for IWM.

What is the main difference between JEPQ and IWM?

JEPQ is categorized as Nasdaq-100, while IWM is Small Cap Blend Equities. JEPQ tracks Nasdaq-100 Index, while IWM tracks Russell 2000 Index. They also come from different issuers: JPMorgan and iShares. Their fees differ too: 0.35% for JEPQ and 0.19% for IWM.

Which has better risk-adjusted returns?

JEPQ currently has the higher Sharpe Ratio (2.13 vs 1.83), 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.