XJR vs. SMMD

Last updated Jun 4, 2026

XJR (iShares ESG Screened S&P Small-Cap ETF) and SMMD (iShares Russell 2500 ETF) are both exchange-traded funds - XJR is a Small Cap Blend Equities fund tracking the S&P SmallCap 600 Sustainability Screened Index, while SMMD is a Small Cap Growth Equities fund tracking the Russell 2500 Index. Both are passively managed. Over the past 5 years, XJR returned 5.38%/yr vs 7.64%/yr for SMMD. Their correlation of 0.95 suggests significant overlap in exposure. XJR charges 0.12%/yr vs 0.15%/yr for SMMD.

Performance

XJR vs. SMMD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares ESG Screened S&P Small-Cap ETF (XJR) and iShares Russell 2500 ETF (SMMD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, XJR achieves a 14.91% return, which is significantly lower than SMMD's 18.37% return.

XJR

• 1D: -0.96%
• 1M: 2.16%
• YTD: 14.91%
• 6M: 13.91%
• 1Y: 28.36%
• 3Y*: 14.13%
• 5Y*: 5.38%
• 10Y*: —

SMMD

• 1D: -0.63%
• 1M: 4.41%
• YTD: 18.37%
• 6M: 18.20%
• 1Y: 36.03%
• 3Y*: 18.53%
• 5Y*: 7.64%
• 10Y*: —

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

XJR vs. SMMD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
XJR iShares ESG Screened S&P Small-Cap ETF	14.91%	4.73%	9.59%	16.39%	-17.30%	24.96%	35.61%
SMMD iShares Russell 2500 ETF	18.37%	11.72%	11.87%	17.71%	-18.53%	18.30%	32.10%

Correlation

The correlation between XJR and SMMD 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	0.94
Correlation (5Y) Calculated over the trailing 5-year period	0.95
Correlation (All Time) Calculated using the full available price history since Sep 25, 2020	0.95

The correlation between XJR and SMMD has been stable across timeframes, ranging from 0.92 to 0.95 - a consistent structural relationship.

XJR vs. SMMD - Sectors Allocation Comparison

Sectors	XJR	SMMD
Financial Services	18.2%	13.8%
Technology	16.8%	18.8%
Industrials	15.5%	21.0%
Consumer Cyclical	13.5%	10.6%
Healthcare	10.7%	11.8%
Real Estate	7.6%	6.7%
Energy	4.7%	4.9%
Basic Materials	4.5%	4.4%
Consumer Defensive	2.7%	2.8%
Communication Services	2.5%	2.5%
Utilities	2.0%	2.7%

Return for Risk

XJR vs. SMMD — Risk / Return Rank

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

XJR

XJR Risk / Return Rank: 51
XJR Sharpe Ratio Rank: 46
XJR Sortino Ratio Rank: 48
XJR Omega Ratio Rank: 43
XJR Calmar Ratio Rank: 60
XJR Martin Ratio Rank: 56

SMMD

SMMD Risk / Return Rank: 66
SMMD Sharpe Ratio Rank: 61
SMMD Sortino Ratio Rank: 63
SMMD Omega Ratio Rank: 58
SMMD Calmar Ratio Rank: 74
SMMD Martin Ratio Rank: 75

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.

XJR vs. SMMD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares ESG Screened S&P Small-Cap ETF (XJR) and iShares Russell 2500 ETF (SMMD). 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.

	XJR	SMMD	Difference
Sharpe ratio Return per unit of total volatility	1.60	2.11	-0.51
Sortino ratio Return per unit of downside risk	2.36	2.96	-0.59
Omega ratio Gain probability vs. loss probability	1.28	1.36	-0.08
Calmar ratio Return relative to maximum drawdown	3.02	3.75	-0.73
Martin ratio Return relative to average drawdown	9.70	14.29	-4.59
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XJR vs. SMMD - Sharpe Ratio Comparison

The current XJR Sharpe Ratio is 1.60, which is comparable to the SMMD Sharpe Ratio of 2.11. The chart below compares the historical Sharpe Ratios of XJR and SMMD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	XJR	SMMD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.60	2.11	-0.51
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.25	0.37	-0.12
Sharpe Ratio (All Time) Calculated using the full available price history	0.67	0.50	+0.17

Drawdowns

XJR vs. SMMD - Drawdown Comparison

The maximum XJR drawdown since its inception was -27.14%, smaller than the maximum SMMD drawdown of -41.06%. Use the drawdown chart below to compare losses from any high point for XJR and SMMD.

Drawdown Indicators

	XJR	SMMD	Difference
Max Drawdown Largest peak-to-trough decline	-27.14%	-41.06%	+13.92%
Max Drawdown (1Y) Largest decline over 1 year	-9.43%	-9.66%	+0.23%
Max Drawdown (3Y) Largest decline over 3 years	-27.14%	-25.50%	-1.64%
Max Drawdown (5Y) Largest decline over 5 years	-27.14%	-28.26%	+1.12%
Current Drawdown Current decline from peak	-0.96%	-0.63%	-0.33%
Average Drawdown Average peak-to-trough decline	-9.48%	-8.37%	-1.11%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.93%	2.53%	+0.40%

Volatility

XJR vs. SMMD - Volatility Comparison

The current volatility for iShares ESG Screened S&P Small-Cap ETF (XJR) is 4.77%, while iShares Russell 2500 ETF (SMMD) has a volatility of 5.17%. This indicates that XJR experiences smaller price fluctuations and is considered to be less risky than SMMD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XJR	SMMD	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.77%	5.17%	-0.40%
Volatility (6M) Calculated over the trailing 6-month period	12.22%	12.58%	-0.36%
Volatility (1Y) Calculated over the trailing 1-year period	17.85%	17.20%	+0.65%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.43%	20.82%	+0.61%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.73%	22.37%	-0.64%

XJR vs. SMMD - Expense Ratio Comparison

XJR has a 0.12% expense ratio, which is lower than SMMD's 0.15% 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%.

Dividends

XJR vs. SMMD - Dividend Comparison

XJR's dividend yield for the trailing twelve months is around 0.99%, less than SMMD's 1.05% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
SMMD iShares Russell 2500 ETF	1.05%	1.28%	1.27%	1.44%	1.79%	1.12%	1.31%	1.50%	2.45%	0.68%
XJR iShares ESG Screened S&P Small-Cap ETF	0.99%	1.14%	1.96%	0.92%	1.29%	2.00%	0.58%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both XJR and SMMD in my portfolio?

With a correlation of 0.92, XJR and SMMD 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, XJR or SMMD?

SMMD has higher volatility (5.17%) compared to XJR (4.77%). In terms of maximum drawdown, XJR dropped -27.14% vs SMMD's -41.06%.

Which ETF is better, XJR or SMMD?

On 5-year performance, SMMD leads with 7.64% vs 5.38% for XJR. On fees, XJR is cheaper at 0.12% per year. On volatility, XJR has been the lower-risk option at 4.77%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, XJR or SMMD?

Over the 5-year period, SMMD has performed better with a 7.64% return vs 5.38%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, XJR or SMMD?

XJR is cheaper with a 0.12% expense ratio, compared with 0.15% for SMMD.

Which ETF pays a higher dividend yield, XJR or SMMD?

SMMD has the higher dividend yield at 1.05%, compared with 0.99% for XJR.

What is the main difference between XJR and SMMD?

XJR is categorized as Small Cap Blend Equities, while SMMD is Small Cap Growth Equities. XJR tracks S&P SmallCap 600 Sustainability Screened Index, while SMMD tracks Russell 2500 Index. Their fees differ too: 0.12% for XJR and 0.15% for SMMD.

Which has better risk-adjusted returns?

SMMD currently has the higher Sharpe Ratio (2.11 vs 1.60), 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.