RAFE vs. IUS

Last updated Jun 25, 2026

RAFE (PIMCO RAFI ESG U.S. ETF) and IUS (Invesco RAFI Strategic US ETF) are both Large Cap Blend Equities funds - RAFE tracks the RAFI ESG US Index while IUS tracks the Invesco Strategic US Index. Both are passively managed. Over the past 5 years, RAFE returned 11.13%/yr vs 13.63%/yr for IUS. Their correlation of 0.93 suggests significant overlap in exposure. RAFE charges 0.30%/yr vs 0.19%/yr for IUS.

Performance

RAFE vs. IUS - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in PIMCO RAFI ESG U.S. ETF (RAFE) and Invesco RAFI Strategic US ETF (IUS). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, RAFE achieves a 13.50% return, which is significantly lower than IUS's 14.47% return.

RAFE

• 1D: 0.04%
• 1M: 2.27%
• YTD: 13.50%
• 6M: 12.30%
• 1Y: 28.30%
• 3Y*: 19.09%
• 5Y*: 11.13%
• 10Y*: —

IUS

• 1D: 0.03%
• 1M: 0.21%
• YTD: 14.47%
• 6M: 13.60%
• 1Y: 29.78%
• 3Y*: 19.92%
• 5Y*: 13.63%
• 10Y*: —

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

RAFE vs. IUS - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
RAFE PIMCO RAFI ESG U.S. ETF	13.50%	17.60%	13.81%	18.80%	-13.76%	30.16%	5.29%	0.43%
IUS Invesco RAFI Strategic US ETF	14.47%	16.94%	16.51%	20.79%	-8.34%	32.17%	15.09%	0.91%

Correlation

The correlation between RAFE and IUS is 0.92, 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	0.92
Correlation (3Y) Calculated over the trailing 3-year period	0.93
Correlation (5Y) Calculated over the trailing 5-year period	0.94
Correlation (All Time) Calculated using the full available price history since Dec 19, 2019	0.93

The correlation between RAFE and IUS has been stable across timeframes, ranging from 0.92 to 0.94 - a consistent structural relationship.

Return for Risk

RAFE vs. IUS — Risk / Return Rank

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

RAFE

RAFE Risk / Return Rank: 84
RAFE Sharpe Ratio Rank: 86
RAFE Sortino Ratio Rank: 87
RAFE Omega Ratio Rank: 83
RAFE Calmar Ratio Rank: 81
RAFE Martin Ratio Rank: 83

IUS

IUS Risk / Return Rank: 91
IUS Sharpe Ratio Rank: 91
IUS Sortino Ratio Rank: 91
IUS Omega Ratio Rank: 90
IUS Calmar Ratio Rank: 89
IUS Martin Ratio Rank: 92

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.

RAFE vs. IUS - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for PIMCO RAFI ESG U.S. ETF (RAFE) and Invesco RAFI Strategic US ETF (IUS). 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.

	RAFE	IUS	Difference
Sharpe ratio: Return per unit of total volatility	2.48	2.81	-0.32
Sortino ratio: Return per unit of downside risk	3.46	3.84	-0.37
Omega ratio: Gain probability vs. loss probability	1.44	1.51	-0.07
Calmar ratio: Return relative to maximum drawdown	3.81	4.87	-1.05
Martin ratio: Return relative to average drawdown	14.74	20.20	-5.46

RAFE vs. IUS - Sharpe Ratio Comparison

The current RAFE Sharpe Ratio is 2.48, which is comparable to the IUS Sharpe Ratio of 2.81. The chart below compares the historical Sharpe Ratios of RAFE and IUS, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

RAFE vs. IUS - Drawdown Comparison

The maximum RAFE drawdown since its inception was -35.74%, roughly equal to the maximum IUS drawdown of -34.67%. Use the drawdown chart below to compare losses from any high point for RAFE and IUS.

Drawdown Indicators

	RAFE	IUS	Difference
Max Drawdown Largest peak-to-trough decline	-35.74%	-34.67%	-1.07%
Max Drawdown (1Y) Largest decline over 1 year	-7.46%	-6.15%	-1.31%
Max Drawdown (3Y) Largest decline over 3 years	-16.36%	-15.61%	-0.75%
Max Drawdown (5Y) Largest decline over 5 years	-24.28%	-18.72%	-5.56%
Current Drawdown Current decline from peak	-1.21%	-1.73%	+0.52%
Average Drawdown Average peak-to-trough decline	-6.17%	-3.85%	-2.32%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.93%	1.48%	+0.45%

Volatility

RAFE vs. IUS - Volatility Comparison

PIMCO RAFI ESG U.S. ETF (RAFE) and Invesco RAFI Strategic US ETF (IUS) have volatilities of 3.71% and 3.77%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	RAFE	IUS	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.71%	3.77%	-0.06%
Volatility (6M) Calculated over the trailing 6-month period	8.70%	8.03%	+0.67%
Volatility (1Y) Calculated over the trailing 1-year period	11.51%	10.69%	+0.82%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.10%	15.03%	+0.07%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.39%	18.02%	+1.37%

RAFE vs. IUS - Expense Ratio Comparison

RAFE has a 0.30% expense ratio, which is higher than IUS's 0.19% expense ratio.

Dividends

RAFE vs. IUS - Dividend Comparison

RAFE's dividend yield for the trailing twelve months is around 1.50%, more than IUS's 1.30% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018
IUS Invesco RAFI Strategic US ETF	1.30%	1.48%	1.52%	1.72%	1.78%	1.46%	1.74%	1.77%	0.73%
RAFE PIMCO RAFI ESG U.S. ETF	1.50%	1.67%	1.79%	1.81%	2.22%	1.42%	2.36%	0.00%	0.00%

Frequently Asked Questions

Can I hold both RAFE and IUS in my portfolio?

With a correlation of 0.92, RAFE and IUS 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.

Which is riskier, RAFE or IUS?

IUS has higher volatility (3.77%) compared to RAFE (3.71%). In terms of maximum drawdown, RAFE dropped -35.74% vs IUS's -34.67%.

Which ETF is better, RAFE or IUS?

On 5-year performance, IUS leads with 13.63% vs 11.13% for RAFE. On fees, IUS is cheaper at 0.19% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, RAFE or IUS?

Over the 5-year period, IUS has performed better with a 13.63% return vs 11.13%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, RAFE or IUS?

IUS is cheaper with a 0.19% expense ratio, compared with 0.30% for RAFE.

Which ETF pays a higher dividend yield, RAFE or IUS?

RAFE has the higher dividend yield at 1.50%, compared with 1.30% for IUS.

What is the main difference between RAFE and IUS?

RAFE tracks RAFI ESG US Index, while IUS tracks Invesco Strategic US Index. They also come from different issuers: PIMCO and Invesco. Their fees differ too: 0.30% for RAFE and 0.19% for IUS.

Which has better risk-adjusted returns?

IUS currently has the higher Sharpe Ratio (2.81 vs 2.48), 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.