-
IWN costs the next expense ratio and yields barely lower than ISCV
-
IWN has delivered a stronger 1-year complete return however skilled a deeper five-year drawdown
-
IWN holds extra shares and tilts extra towards actual property, whereas ISCV has better publicity to client cyclicals
-
These 10 shares may mint the subsequent wave of millionaires ›
The iShares Russell 2000 Worth ETF (NYSEMKT:IWN) costs 4 instances the expense ratio of the iShares Morningstar Small-Cap Worth ETF (NYSEMKT:ISCV), however presents broader holdings, increased latest returns, and a modest tilt towards actual property over consumer-focused sectors.
Each the iShares Morningstar Small-Cap Worth ETF (ISCV) and the iShares Russell 2000 Worth ETF (IWN) monitor U.S. small-cap worth shares, aiming to seize firms buying and selling at decrease costs relative to fundamentals. This comparability focuses on their prices, efficiency, liquidity, and portfolio make-up to assist make clear which fund’s strategy could attraction, relying on private priorities.
|
Metric
|
ISCV
|
IWN
|
|
Issuer
|
iShares
|
iShares
|
|
Expense ratio
|
0.06%
|
0.24%
|
|
1-yr return (as of 2026-01-05)
|
11.9%
|
13.8%
|
|
Dividend yield
|
2.0%
|
1.7%
|
|
AUM
|
$586.9 million
|
$12.4 billion
|
ISCV is extra reasonably priced, charging simply 0.06% in annual charges in comparison with IWN’s 0.24%, and in addition delivers a barely increased yield, which can attraction to cost-conscious, or income-focused, traders.
|
Metric
|
ISCV
|
IWN
|
|
Max drawdown (5 y)
|
-25.35%
|
-26.71%
|
|
Development of $1,000 over 5 years
|
$1,657
|
$1,534
|
IWN tracks a Russell index of small-cap U.S. shares with worth traits, holding 1,407 securities as of its 25.4-year historical past. Its sector allocation leans most closely on monetary companies (26%), actual property (12%), and industrials (11%), with high holdings together with Blk Csh Fnd Treasury Sl Company (XTSLA) 0.99%, Echostar (NASDAQ:SATS) 0.98%, and Hecla Mining (NYSE:HL) 0.61%.
ISCV additionally focuses on U.S. small-cap worth, however with a barely totally different sector combine: monetary companies (21%), client cyclical (16%), and industrials (13%). Amongst its 1,101 holdings, high positions are Sandisk (NASDAQ:SNDK) 0.93%, Blk Csh Fnd Treasury Sl Company (XTSLA) 0.89%, and Rocket Corporations (NYSE:RKT) 0.60%. Neither fund introduces leverage, ESG, or different structural quirks.
For extra steering on ETF investing, try the total information at this hyperlink.
Each of those funds share many related traits, nevertheless, there are some key variations traders ought to take into account.
For instance, whereas each funds goal small-cap shares, there are variations of their holdings. IWN leans extra closely on the monetary sector, with 26% of its total holdings in that business. ISCV, by comparability, has solely 21% of its complete holdings within the monetary sector.
One other key distinction is price. IWN has an expense ratio of 0.24%. That is not dangerous, however ISCV boasts a a lot decrease expense ratio of 0.06%. To place this in context, somebody who invests $10,000 in IWN would count on to pay $24 in annual charges; the identical investor would pay $6 in annual charges for $10,000 price of ISCV shares.
Granted, this quantity is not earth-shattering, however for cost-conscious traders it will possibly make it distinction.
Lastly, there are two different key factors of divergence: dividend yield and liquidity.
ISCV presents a barely increased dividend yield at 2.0% versus 1.7% for IWN — making ISCV a more sensible choice for these in search of earnings from their funding. As for liquidity, IWN has over $12 billion in belongings underneath administration. ISCV, against this, has about $600 million. Whereas $600 million ought to present ample liquidity for traders to commerce out and in of shares, it’s close to a stage the place bid-ask spreads may start to widen, significantly throughout a correction or bear market. Subsequently, traders involved with liquidity threat may be clever to pick out IWN.
Expense ratio: The annual price, as a proportion of belongings, {that a} fund costs to cowl working prices.
Dividend yield: The annual dividends paid by a fund, expressed as a proportion of its present worth.
Complete return: The funding’s worth change plus all dividends and distributions, assuming these payouts are reinvested.
Max drawdown: The biggest proportion drop from a fund’s peak worth to its lowest level over a selected interval.
Beta: A measure of a fund’s volatility in comparison with the general market, sometimes the S&P 500.
AUM (Property Beneath Administration): The entire market worth of all belongings managed by a fund.
Small-cap: Refers to firms with comparatively small market capitalizations, typically between $300 million and $2 billion.
Worth shares: Shares thought of undervalued primarily based on monetary metrics like earnings, gross sales, or guide worth.
Shopper cyclical: Sector together with firms whose gross sales are delicate to financial cycles, like retailers, or automakers.
Securities: Monetary devices that may be traded, akin to shares, bonds, or ETFs.
Leverage: The usage of borrowed cash to extend potential funding returns, or losses.
Ever really feel such as you missed the boat in shopping for essentially the most profitable shares? You then’ll need to hear this.
On uncommon events, our knowledgeable staff of analysts points a “Double Down” inventory suggestion for firms that they suppose are about to pop. If you happen to’re anxious you’ve already missed your likelihood to take a position, now could be the most effective time to purchase earlier than it’s too late. And the numbers converse for themselves:
-
Nvidia: if you happen to invested $1,000 once we doubled down in 2009, you’d have $479,385!*
-
Apple: if you happen to invested $1,000 once we doubled down in 2008, you’d have $49,331!*
-
Netflix: if you happen to invested $1,000 once we doubled down in 2004, you’d have $482,326!*
Proper now, we’re issuing “Double Down” alerts for 3 unbelievable firms, accessible while you be part of Inventory Advisor, and there is probably not one other likelihood like this anytime quickly.
See the three shares »
*Inventory Advisor returns as of January 5, 2026
Jake Lerch has no place in any of the shares talked about. The Motley Idiot has positions in and recommends Rocket Corporations. The Motley Idiot has a disclosure coverage.
ISCV vs. IWN: ISCV Gives Decrease Prices However IWN Offers Higher Liquidity was initially printed by The Motley Idiot
