IWO: iShares Russell 2000 Growth ETF returns, drawdowns and risk
Funds on smaller companies split by style, the corner of the market where the value premium has historically been strongest.
Data updated October 2026
IWO · US exchange · USDCategory: Small cap value and growth ETFsData from October 2006
From October 2006 to October 2026 IWO returned 8.6% a year on average with dividends reinvested, in US dollars: $10,000 invested at the start grew to $51,988.
Its deepest fall was 57.6%, from October 2007 to March 2009, and it took about 38 months to get back to the previous high. Annual volatility was 25.0%; at the last close it was 13.4% below its high.
Against SPY (SPDR S&P 500 ETF Trust), over the 240 months both have data, the correlation of monthly returns was 0.88: they usually moved together. Beta was 1.20. In months when SPY rose, IWO moved 111% as much on average; in months when SPY fell, 127% as much.
Key figures
- Annual return (CAGR)
- +8.6%
- 1-year return
- +6.2%
- 5 years, a year
- +3.2%
- 10 years, a year
- +9.8%
- Annual volatility
- 25.0%
- Maximum drawdown
- −57.6%
- Sharpe ratio
- 0.39
- Worst year
- 2008: −38.5%
Trailing returns
| Period | IWO | SPY |
|---|---|---|
| 1 year | +6.2% | +16.6% |
| 3 years, a year | +17.9% | +23.1% |
| 5 years, a year | +3.2% | +12.7% |
| 10 years, a year | +9.8% | +15.4% |
To the last close of October 2026. Periods longer than a year are annualised.
Growth of $10,000: IWO vs SPY
Month-end values from November 2006, the first month both funds have data.
IWO drawdowns
Percentage below the previous high, weekly.
Returns by calendar year
| Year | IWO | SPY |
|---|---|---|
| 2026(partial) | +6.3% | +13.3% |
| 2025 | +12.9% | +17.7% |
| 2024 | +15.0% | +24.9% |
| 2023 | +18.5% | +26.2% |
| 2022 | −26.3% | −18.2% |
| 2021 | +2.5% | +28.7% |
| 2020 | +34.7% | +18.3% |
| 2019 | +28.5% | +31.2% |
| 2018 | −9.4% | −4.6% |
| 2017 | +22.3% | +21.7% |
| 2016 | +11.7% | +12.0% |
| 2015 | −1.4% | +1.2% |
| 2014 | +5.9% | +13.5% |
| 2013 | +43.3% | +32.3% |
| 2012 | +14.8% | +16.0% |
| 2011 | −3.0% | +1.9% |
| 2010 | +29.4% | +15.1% |
| 2009 | +34.6% | +26.4% |
| 2008 | −38.5% | −36.8% |
| 2007 | +6.9% | +5.1% |
| 2006(partial) | +2.9% | — |
IWO compared
How the figures are calculated
Total return in the fund’s trading currency, from end-of-day prices with dividends reinvested on the ex-date. The fund’s own ongoing charges are already reflected in its price; trading costs, taxes and currency conversion are not included. Past returns do not predict future returns.
Sharpe ratio uses the return of short-term government bills in the same currency as the risk-free rate. The growth chart uses month-end values; drawdowns and volatility use daily closes.
Questions
What is the average annual return of IWO?
From October 2006 to October 2026 IWO returned 8.6% a year on average (CAGR) with dividends reinvested, in USD. Over the last 5 years: +3.2% a year. Over the last 12 months: +6.2%.
What was the worst drawdown of IWO?
57.6%, from October 2007 to March 2009; it took about 38 months from the previous high to get back to it.
How volatile is IWO?
Annual volatility was 25.0% over the period. Its worst month was −21.7% and 60% of months were positive. Worst calendar year: 2008 (−38.5%).
How closely does IWO follow SPY?
Over 240 months the correlation of monthly returns was 0.88, so they usually moved together, with a beta of 1.20.
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Other Small cap value and growth ETFs
- All Small cap value and growth ETFsReturns and risk side by side
- AVUV — Avantis U.S. Small Cap Value ETFCAGR +14.8%
- VBR — Vanguard Small-Cap Value ETFCAGR +15.4%
- IWN — iShares Russell 2000 Value ETFCAGR +7.2%
- ZPRV — SPDR MSCI USA Small Cap Value Weighted UCITS ETFCAGR +8.8%
- ZPRX — SPDR MSCI Europe Small Cap Value Weighted UCITS ETFCAGR +7.4%
Source: MarketStack end-of-day prices, total return with dividends reinvested. Figures are historical and descriptive; they are not forecasts and not investment advice. MEDGE Capital does not recommend buying or selling any instrument. Risk disclaimer.