VTWG vs. ISCG

Last updated Aug 4, 2026

VTWG (Vanguard Russell 2000 Growth ETF) and ISCG (iShares Morningstar Small-Cap Growth ETF) are both Small Cap Growth Equities funds - VTWG tracks the Russell 2000 Growth Index while ISCG tracks the Morningstar US Small Cap Broad Growth Extended Index. Both are passively managed. Over the past 10 years, VTWG returned 10.77%/yr vs 10.96%/yr for ISCG. Their correlation of 0.94 means they have usually moved in the same direction. Both charge a 0.06% expense ratio.

Performance

VTWG vs. ISCG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Russell 2000 Growth ETF (VTWG) and iShares Morningstar Small-Cap Growth ETF (ISCG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VTWG achieves a 17.46% return, which is significantly higher than ISCG's 15.27% return. Both investments have delivered pretty close results over the past 10 years, with VTWG having a 10.77% annualized return and ISCG not far ahead at 10.96%.

VTWG

• 1D: 2.10%
• 1M: -2.12%
• 6M: 11.88%
• YTD: 17.46%
• 1Y: 33.76%
• 3Y*: 16.31%
• 5Y*: 5.73%
• 10Y*: 10.77%
• ALL TIME*: 11.91%

ISCG

• 1D: 1.80%
• 1M: -1.30%
• 6M: 10.53%
• YTD: 15.27%
• 1Y: 28.31%
• 3Y*: 15.66%
• 5Y*: 5.85%
• 10Y*: 10.96%
• ALL TIME*: 9.52%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
ISCG iShares Morningstar Small-Cap Growth ETF	$1.42M	$1.48M	$1.82M
VTWG Vanguard Russell 2000 Growth ETF	$5.94M	$5.47M	$5.78M

VTWG vs. ISCG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VTWG Vanguard Russell 2000 Growth ETF	17.46%	13.07%	15.15%	18.90%	-26.49%	2.84%	34.72%	28.75%	-9.45%	22.27%
ISCG iShares Morningstar Small-Cap Growth ETF	15.27%	12.88%	13.35%	23.13%	-26.75%	-1.26%	43.41%	27.66%	-6.91%	24.68%

Correlation

The correlation between VTWG and ISCG is 0.96 - they have historically moved very closely together. At this level, their price movements offset little of one another.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.96
Correlation (3Y) Balances recent behavior with more history.	0.97
Correlation (5Y) Shows whether the relationship held over a longer period.	0.98
Correlation (10Y) Provides a long-term view across more market conditions.	0.96
Correlation (All Time) Calculated using the full available price history since Sep 22, 2010	0.94

The correlation between VTWG and ISCG has been stable across timeframes, ranging from 0.94 to 0.98 - a consistent structural relationship.

VTWG vs. ISCG - Sectors Allocation Comparison

Sectors	VTWG	ISCG
Healthcare	28.8%	18.3%
Technology	22.1%	21.8%
Industrials	15.9%	22.2%
Consumer Cyclical	8.1%	8.4%
Financial Services	8.1%	10.0%
Basic Materials	5.0%	4.3%
Energy	4.8%	3.1%
Real Estate	2.5%	5.4%
Consumer Defensive	2.3%	2.6%
Communication Services	1.9%	2.8%
Utilities	0.6%	1.0%

Return for Risk

VTWG vs. ISCG — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

VTWG

VTWG Risk / Return Rank: 61
VTWG Sharpe Ratio Rank: 63
VTWG Sortino Ratio Rank: 62
VTWG Omega Ratio Rank: 55
VTWG Calmar Ratio Rank: 63
VTWG Martin Ratio Rank: 63

ISCG

ISCG Risk / Return Rank: 65
ISCG Sharpe Ratio Rank: 64
ISCG Sortino Ratio Rank: 65
ISCG Omega Ratio Rank: 58
ISCG Calmar Ratio Rank: 69
ISCG Martin Ratio Rank: 71

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

VTWG vs. ISCG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Russell 2000 Growth ETF (VTWG) and iShares Morningstar Small-Cap Growth ETF (ISCG). 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.

	VTWG	ISCG	Difference
Sharpe ratio: Return per unit of total volatility	1.50	1.53	-0.03
Sortino ratio: Return per unit of downside risk	2.14	2.20	-0.06
Omega ratio: Gain probability vs. loss probability	1.25	1.26	-0.01
Calmar ratio: Return relative to maximum drawdown	2.28	2.49	-0.21
Martin ratio: Return relative to average drawdown	7.86	8.98	-1.12

VTWG vs. ISCG - Sharpe Ratio Comparison

The current VTWG Sharpe Ratio is 1.50, which is comparable to the ISCG Sharpe Ratio of 1.53. The chart below compares the historical Sharpe Ratios of VTWG and ISCG, 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

VTWG vs. ISCG - Drawdown Comparison

The maximum VTWG drawdown since its inception was -42.07%, smaller than the maximum ISCG drawdown of -57.72%. Use the drawdown chart below to compare losses from any high point for VTWG and ISCG.

Drawdown Indicators

	VTWG	ISCG	Difference
Max Drawdown Largest peak-to-trough decline	-42.07%	-57.72%	+15.65%
Max Drawdown (1Y) Largest decline over 1 year	-14.88%	-11.43%	-3.45%
Max Drawdown (3Y) Largest decline over 3 years	-28.58%	-26.71%	-1.87%
Max Drawdown (5Y) Largest decline over 5 years	-40.49%	-37.80%	-2.69%
Max Drawdown (10Y) Largest decline over 10 years	-42.07%	-41.48%	-0.59%
Current Drawdown Current decline from peak	-3.93%	-2.75%	-1.18%
Average Drawdown Average peak-to-trough decline	-10.45%	-11.56%	+1.11%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.30%	3.16%	+1.14%

Volatility

VTWG vs. ISCG - Volatility Comparison

Vanguard Russell 2000 Growth ETF (VTWG) has a higher volatility of 6.26% compared to iShares Morningstar Small-Cap Growth ETF (ISCG) at 4.60%. This indicates that VTWG's price experiences larger fluctuations and is considered to be riskier than ISCG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VTWG	ISCG	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.26%	4.60%	+1.66%
Volatility (6M) Calculated over the trailing 6-month period	17.30%	13.70%	+3.60%
Volatility (1Y) Calculated over the trailing 1-year period	22.62%	18.61%	+4.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.67%	22.99%	+1.68%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.28%	23.15%	+1.13%

VTWG vs. ISCG - Expense Ratio Comparison

Both VTWG and ISCG have an expense ratio of 0.06%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

VTWG vs. ISCG - Dividend Comparison

VTWG's dividend yield for the trailing twelve months is around 0.60%, more than ISCG's 0.58% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ISCG iShares Morningstar Small-Cap Growth ETF	0.58%	0.61%	0.84%	0.77%	0.92%	0.62%	0.10%	0.27%	0.40%	0.52%	1.19%	0.64%
VTWG Vanguard Russell 2000 Growth ETF	0.60%	0.64%	0.55%	0.79%	0.71%	0.54%	0.48%	0.72%	0.72%	0.64%	0.96%	0.72%

Frequently Asked Questions

Can I hold both VTWG and ISCG in my portfolio?

With a correlation of 0.96, VTWG and ISCG 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, VTWG or ISCG?

VTWG has higher volatility (6.26%) compared to ISCG (4.60%). In terms of maximum drawdown, VTWG dropped -42.07% vs ISCG's -57.72%.

Which ETF is better, VTWG or ISCG?

On 10-year performance, ISCG leads with 10.96% vs 10.77% for VTWG. Both ETFs have the same 0.06% expense ratio. On volatility, ISCG has been the lower-risk option at 4.60%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VTWG or ISCG?

Over the 10-year period, ISCG has performed better with a 10.96% return vs 10.77%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VTWG or ISCG?

VTWG and ISCG have the same expense ratio: 0.06% per year.

Which ETF pays a higher dividend yield, VTWG or ISCG?

VTWG has the higher dividend yield at 0.60%, compared with 0.58% for ISCG.

What is the main difference between VTWG and ISCG?

VTWG tracks Russell 2000 Growth Index, while ISCG tracks Morningstar US Small Cap Broad Growth Extended Index. They also come from different issuers: Vanguard and iShares.

Which has better risk-adjusted returns?

ISCG currently has the higher Sharpe Ratio (1.53 vs 1.50), 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.