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KBWB vs. IYF
Performance
Return for Risk
Drawdowns
Volatility
Dividends

KBWB vs. IYF

Last updated Jun 23, 2026

KBWB (Invesco KBW Bank ETF) and IYF (iShares U.S. Financials ETF) are both Financials Equities funds - KBWB tracks the KBW Nasdaq Bank Index while IYF tracks the Dow Jones U.S. Financials Index. Both are passively managed. Over the past 10 years, KBWB returned 13.99%/yr vs 13.86%/yr for IYF. Their correlation of 0.91 suggests significant overlap in exposure. KBWB charges 0.35%/yr vs 0.42%/yr for IYF.

Performance

KBWB vs. IYF - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco KBW Bank ETF (KBWB) and iShares U.S. Financials ETF (IYF). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, KBWB achieves a 12.18% return, which is significantly higher than IYF's 0.50% return. Both investments have delivered pretty close results over the past 10 years, with KBWB having a 13.99% annualized return and IYF not far behind at 13.86%.

KBWB

1D
1.42%
1M
8.59%
YTD
12.18%
6M
10.15%
1Y
41.92%
3Y*
36.76%
5Y*
11.16%
10Y*
13.99%

IYF

1D
0.74%
1M
4.16%
YTD
0.50%
6M
-0.59%
1Y
12.56%
3Y*
22.98%
5Y*
11.62%
10Y*
13.86%
*Multi-year figures are annualized to reflect compound growth (CAGR)

KBWB vs. IYF - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
KBWB
Invesco KBW Bank ETF		12.18%32.05%36.73%-1.18%-21.68%37.72%-10.46%35.90%-18.30%18.11%
IYF
iShares U.S. Financials ETF		0.50%18.25%31.30%15.32%-11.33%31.60%-1.00%31.86%-9.39%19.58%

Correlation

The correlation between KBWB and IYF is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.90

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

0.91

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

0.93

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

0.91

Correlation (All Time)
Calculated using the full available price history since Nov 1, 2011

0.91

The correlation between KBWB and IYF has been stable across timeframes, ranging from 0.90 to 0.93 - a consistent structural relationship.

KBWB vs. IYF - Sectors Allocation Comparison

Sectors
KBWB
IYF

Financial Services

100.0%
99.1%

Basic Materials

-

-

Communication Services

-

-

Consumer Cyclical

-

-

Consumer Defensive

-

-

Energy

-

-

Healthcare

-

-

Industrials

-

-

Real Estate

-

0.6%

Technology

-

0.3%

Utilities

-

-

Financial Services

KBWB
100.0%
IYF
99.1%

Basic Materials

KBWB

-

IYF

-

Communication Services

KBWB

-

IYF

-

Consumer Cyclical

KBWB

-

IYF

-

Consumer Defensive

KBWB

-

IYF

-

Energy

KBWB

-

IYF

-

Healthcare

KBWB

-

IYF

-

Industrials

KBWB

-

IYF

-

Real Estate

KBWB

-

IYF
0.6%

Technology

KBWB

-

IYF
0.3%

Utilities

KBWB

-

IYF

-

Compare stocks, funds, or ETFs

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Invesco KBW Bank ETF

iShares U.S. Financials ETF

Often compared with KBWB:
KBWB vs. XLFKBWB vs. KREKBWB vs. KBEKBWB vs. VFHKBWB vs. SPYKBWB vs. DPSTKBWB vs. FTXO
Often compared with IYF:
IYF vs. XLFIYF vs. VFHIYF vs. IYGIYF vs. KBEIYF vs. IXGIYF vs. FTXOIYF vs. VOO

Return for Risk

KBWB vs. IYF — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
KBWB
KBWB Risk / Return Rank: 5858
Overall Rank
KBWB Sharpe Ratio Rank: 6666
Sharpe Ratio Rank
KBWB Sortino Ratio Rank: 5959
Sortino Ratio Rank
KBWB Omega Ratio Rank: 6161
Omega Ratio Rank
KBWB Calmar Ratio Rank: 5353
Calmar Ratio Rank
KBWB Martin Ratio Rank: 4949
Martin Ratio Rank
IYF
IYF Risk / Return Rank: 2222
Overall Rank
IYF Sharpe Ratio Rank: 2525
Sharpe Ratio Rank
IYF Sortino Ratio Rank: 2323
Sortino Ratio Rank
IYF Omega Ratio Rank: 2323
Omega Ratio Rank
IYF Calmar Ratio Rank: 2020
Calmar Ratio Rank
IYF Martin Ratio Rank: 2121
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.

KBWB vs. IYF - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco KBW Bank ETF (KBWB) and iShares U.S. Financials ETF (IYF). 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.

KBWBIYFDifference
Sharpe ratioReturn per unit of total volatility
2.08
0.87

+1.21

Sortino ratioReturn per unit of downside risk
2.69
1.25

+1.45

Omega ratioGain probability vs. loss probability

1.36

1.16

+0.20

Calmar ratioReturn relative to maximum drawdown

2.57

0.91

+1.66

Martin ratioReturn relative to average drawdown

8.09

2.45

+5.64

KBWB vs. IYF - Sharpe Ratio Comparison

The current KBWB Sharpe Ratio is 2.08, which is higher than the IYF Sharpe Ratio of 0.87. The chart below compares the historical Sharpe Ratios of KBWB and IYF, 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

KBWB vs. IYF - Drawdown Comparison

The maximum KBWB drawdown since its inception was -50.27%, smaller than the maximum IYF drawdown of -79.09%. Use the drawdown chart below to compare losses from any high point for KBWB and IYF.

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Drawdown Indicators

KBWBIYFDifference

Max Drawdown

Largest peak-to-trough decline

-50.27%

-79.09%

+28.82%

Max Drawdown (1Y)

Largest decline over 1 year

-16.38%

-13.88%

-2.50%

Max Drawdown (3Y)

Largest decline over 3 years

-25.43%

-16.60%

-8.83%

Max Drawdown (5Y)

Largest decline over 5 years

-49.31%

-25.06%

-24.25%

Max Drawdown (10Y)

Largest decline over 10 years

-50.27%

-42.57%

-7.70%

Current Drawdown

Current decline from peak

0.00%

-2.57%

+2.57%

Average Drawdown

Average peak-to-trough decline

-11.70%

-17.58%

+5.88%

Ulcer Index

Depth and duration of drawdowns from previous peaks

5.20%

5.14%

+0.06%

Volatility

KBWB vs. IYF - Volatility Comparison

Invesco KBW Bank ETF (KBWB) has a higher volatility of 5.65% compared to iShares U.S. Financials ETF (IYF) at 4.13%. This indicates that KBWB's price experiences larger fluctuations and is considered to be riskier than IYF based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

KBWBIYFDifference

Volatility (1M)

Calculated over the trailing 1-month period

5.65%

4.13%

+1.52%

Volatility (6M)

Calculated over the trailing 6-month period

15.88%

11.19%

+4.69%

Volatility (1Y)

Calculated over the trailing 1-year period

20.30%

14.55%

+5.75%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

26.55%

19.00%

+7.55%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

29.21%

20.91%

+8.30%

KBWB vs. IYF - Expense Ratio Comparison

KBWB has a 0.35% expense ratio, which is lower than IYF's 0.42% expense ratio.

Dividends

KBWB vs. IYF - Dividend Comparison

KBWB's dividend yield for the trailing twelve months is around 2.43%, more than IYF's 1.49% yield.

PositionTTM20252024202320222021202020192018201720162015
IYF
iShares U.S. Financials ETF		1.49%1.32%1.29%1.67%1.86%1.27%1.72%1.64%1.90%1.46%1.67%1.66%
KBWB
Invesco KBW Bank ETF		2.43%2.04%2.46%3.20%3.05%2.13%2.62%2.38%2.54%1.35%1.53%1.53%

Frequently Asked Questions

With a correlation of 0.90, KBWB and IYF move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

KBWB has higher volatility (5.65%) compared to IYF (4.13%). In terms of maximum drawdown, KBWB dropped -50.27% vs IYF's -79.09%.

On 10-year performance, KBWB leads with 13.99% vs 13.86% for IYF. On fees, KBWB is cheaper at 0.35% per year. On volatility, IYF has been the lower-risk option at 4.13%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, KBWB has performed better with a 13.99% return vs 13.86%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

KBWB is cheaper with a 0.35% expense ratio, compared with 0.42% for IYF.

KBWB has the higher dividend yield at 2.43%, compared with 1.49% for IYF.

KBWB tracks KBW Nasdaq Bank Index, while IYF tracks Dow Jones U.S. Financials Index. They also come from different issuers: Invesco and iShares. Their fees differ too: 0.35% for KBWB and 0.42% for IYF.

KBWB currently has the higher Sharpe Ratio (2.08 vs 0.87), 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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