VNQ vs. IWMY
VNQ (Vanguard Real Estate ETF) and IWMY (Defiance R2000 Enhanced Options & 0DTE Income ETF) are both exchange-traded funds - VNQ is a REIT fund tracking the MSCI US Investable Market Real Estate 25/50 Index, while IWMY is a Options Trading fund tracking the Russell 2000 Index. Both are passively managed. Over the past year, VNQ returned 10.45% vs 19.66% for IWMY. A 0.54 correlation means they provide meaningful diversification when combined. VNQ charges 0.13%/yr vs 0.99%/yr for IWMY.
Performance
VNQ vs. IWMY - Performance Comparison
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Returns By Period
In the year-to-date period, VNQ achieves a 9.04% return, which is significantly lower than IWMY's 10.55% return.
VNQ
- 1D
- -1.36%
- 1M
- -1.19%
- YTD
- 9.04%
- 6M
- 9.17%
- 1Y
- 10.45%
- 3Y*
- 9.24%
- 5Y*
- 1.97%
- 10Y*
- 5.30%
IWMY
- 1D
- 0.63%
- 1M
- -0.57%
- YTD
- 10.55%
- 6M
- 8.47%
- 1Y
- 19.66%
- 3Y*
- —
- 5Y*
- —
- 10Y*
- —
VNQ vs. IWMY - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | |
|---|---|---|---|---|
VNQ Vanguard Real Estate ETF | 9.04% | 3.24% | 4.81% | 24.76% |
IWMY Defiance R2000 Enhanced Options & 0DTE Income ETF | 10.55% | 10.18% | 5.56% | 10.06% |
Correlation
The correlation between VNQ and IWMY is 0.48, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.48 |
Correlation (All Time) Calculated using the full available price history since Oct 31, 2023 | 0.54 |
The correlation between VNQ and IWMY has been stable across timeframes, ranging from 0.48 to 0.54 - a consistent structural relationship.
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Return for Risk
VNQ vs. IWMY — Risk / Return Rank
VNQ
IWMY
VNQ vs. IWMY - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Real Estate ETF (VNQ) and Defiance R2000 Enhanced Options & 0DTE Income ETF (IWMY). 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.
| VNQ | IWMY | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.44 | ||
| Sortino ratioReturn per unit of downside risk | -0.52 | ||
| Omega ratioGain probability vs. loss probability | 1.14 | 1.21 | -0.07 |
| Calmar ratioReturn relative to maximum drawdown | 1.26 | 1.71 | -0.45 |
| Martin ratioReturn relative to average drawdown | 3.96 | 5.59 | -1.63 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| VNQ | IWMY | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 0.79 | 1.23 | -0.44 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.11 | — | — |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.26 | — | — |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.27 | 0.90 | -0.63 |
Drawdowns
VNQ vs. IWMY - Drawdown Comparison
The maximum VNQ drawdown since its inception was -73.07%, which is greater than IWMY's maximum drawdown of -18.72%. Use the drawdown chart below to compare losses from any high point for VNQ and IWMY.
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Drawdown Indicators
| VNQ | IWMY | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -73.07% | -18.72% | -54.35% |
Max Drawdown (1Y)Largest decline over 1 year | -8.34% | -11.57% | +3.23% |
Max Drawdown (3Y)Largest decline over 3 years | -17.46% | — | — |
Max Drawdown (5Y)Largest decline over 5 years | -34.48% | — | — |
Max Drawdown (10Y)Largest decline over 10 years | -42.40% | — | — |
Current DrawdownCurrent decline from peak | -2.67% | -2.89% | +0.22% |
Average DrawdownAverage peak-to-trough decline | -13.62% | -2.98% | -10.64% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 2.65% | 3.53% | -0.88% |
Volatility
VNQ vs. IWMY - Volatility Comparison
The current volatility for Vanguard Real Estate ETF (VNQ) is 4.13%, while Defiance R2000 Enhanced Options & 0DTE Income ETF (IWMY) has a volatility of 6.26%. This indicates that VNQ experiences smaller price fluctuations and is considered to be less risky than IWMY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| VNQ | IWMY | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 4.13% | 6.26% | -2.13% |
Volatility (6M)Calculated over the trailing 6-month period | 9.53% | 13.20% | -3.67% |
Volatility (1Y)Calculated over the trailing 1-year period | 13.38% | 16.15% | -2.77% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 18.82% | 15.90% | +2.92% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 20.71% | 15.90% | +4.81% |
VNQ vs. IWMY - Expense Ratio Comparison
VNQ has a 0.13% expense ratio, which is lower than IWMY's 0.99% expense ratio.
Dividends
VNQ vs. IWMY - Dividend Comparison
VNQ's dividend yield for the trailing twelve months is around 3.65%, less than IWMY's 46.29% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IWMY Defiance R2000 Enhanced Options & 0DTE Income ETF | 46.29% | 63.33% | 107.92% | 11.34% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
VNQ Vanguard Real Estate ETF | 3.65% | 3.92% | 3.85% | 3.95% | 3.91% | 2.56% | 3.93% | 3.39% | 4.74% | 4.23% | 4.82% | 3.92% |
Frequently Asked Questions
VNQ and IWMY have a correlation of 0.48, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
IWMY has higher volatility (6.26%) compared to VNQ (4.13%). In terms of maximum drawdown, VNQ dropped -73.07% vs IWMY's -18.72%.
On 1-year performance, IWMY leads with 19.66% vs 10.45% for VNQ. On fees, VNQ is cheaper at 0.13% per year. On volatility, VNQ 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 1-year period, IWMY has performed better with a 19.66% return vs 10.45%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
VNQ is cheaper with a 0.13% expense ratio, compared with 0.99% for IWMY.
IWMY has the higher dividend yield at 46.29%, compared with 3.65% for VNQ.
VNQ is categorized as REIT, while IWMY is Options Trading. VNQ tracks MSCI US Investable Market Real Estate 25/50 Index, while IWMY tracks Russell 2000 Index. They also come from different issuers: Vanguard and Defiance. Their fees differ too: 0.13% for VNQ and 0.99% for IWMY.
IWMY currently has the higher Sharpe Ratio (1.23 vs 0.79), 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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