VTWO vs. IWN
Compare and contrast key facts about Vanguard Russell 2000 ETF (VTWO) and iShares Russell 2000 Value ETF (IWN).
VTWO and IWN are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. VTWO is a passively managed fund by Vanguard that tracks the performance of the Russell 2000 Index. It was launched on Sep 20, 2010. IWN is a passively managed fund by iShares that tracks the performance of the Russell 2000 Value Index. It was launched on Jul 24, 2000. Both VTWO and IWN are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.
Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: VTWO or IWN.
Key characteristics
| VTWO | IWN | |
|---|---|---|
| YTD Return | 2.26% | 0.99% |
| 1Y Return | 20.39% | 22.36% |
| 3Y Return (Ann) | -1.06% | 0.13% |
| 5Y Return (Ann) | 7.44% | 7.30% |
| 10Y Return (Ann) | 8.02% | 7.02% |
| Sharpe Ratio | 1.03 | 1.09 |
| Daily Std Dev | 19.72% | 20.36% |
| Max Drawdown | -41.19% | -61.55% |
| Current Drawdown | -12.30% | -6.92% |
Correlation
The correlation between VTWO and IWN is 0.96, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.
Performance
VTWO vs. IWN - Performance Comparison
In the year-to-date period, VTWO achieves a 2.26% return, which is significantly higher than IWN's 0.99% return. Over the past 10 years, VTWO has outperformed IWN with an annualized return of 8.02%, while IWN has yielded a comparatively lower 7.02% annualized return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.
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VTWO vs. IWN - Expense Ratio Comparison
VTWO has a 0.10% expense ratio, which is lower than IWN's 0.24% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.
Risk-Adjusted Performance
VTWO vs. IWN - Risk-Adjusted Performance Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard Russell 2000 ETF (VTWO) and iShares Russell 2000 Value ETF (IWN). 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.
Dividends
VTWO vs. IWN - Dividend Comparison
VTWO's dividend yield for the trailing twelve months is around 1.37%, less than IWN's 1.94% yield.
| TTM | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
VTWO Vanguard Russell 2000 ETF | 1.37% | 1.45% | 1.48% | 1.13% | 0.92% | 1.36% | 1.41% | 1.18% | 1.27% | 1.23% | 1.12% | 1.04% |
IWN iShares Russell 2000 Value ETF | 1.94% | 2.04% | 2.12% | 1.48% | 1.60% | 1.92% | 1.99% | 1.78% | 1.74% | 2.15% | 1.88% | 1.77% |
Drawdowns
VTWO vs. IWN - Drawdown Comparison
The maximum VTWO drawdown since its inception was -41.19%, smaller than the maximum IWN drawdown of -61.55%. Use the drawdown chart below to compare losses from any high point for VTWO and IWN. For additional features, visit the drawdowns tool.
Volatility
VTWO vs. IWN - Volatility Comparison
Vanguard Russell 2000 ETF (VTWO) and iShares Russell 2000 Value ETF (IWN) have volatilities of 4.74% and 4.57%, 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.