The iShares Russell 2000 Value ETF (IWN 0.41%) commands a more expansive small-cap domain and has danced ahead of its peers in the past year, while the iShares S&P Mid-Cap 400 Value ETF (IJJ 0.11%) boasts lower fees, a more generous yield, and a mid-cap focus. A curious dichotomy, one might say, between the audacious and the pragmatic.
Both the iShares Russell 2000 Value ETF (IWN) and the iShares S&P Mid-Cap 400 Value ETF (IJJ) cater to investors seeking U.S. value stocks, yet they court different corners of the market. IWN waltzes through small-cap value companies, while IJJ prefers the mid-cap tango. This comparison, though, is less about preference and more about the eternal question: which fund offers the better dance card?
| Metric | IJJ | IWN |
|---|---|---|
| Issuer | IShares | IShares |
| Expense ratio | 0.18% | 0.24% |
| 1-yr return (as of Dec. 17, 2025) | 3.8% | 8.1% |
| Dividend yield | 1.7% | 1.6% |
| AUM | $8.0 billion | $11.8 billion |
The one-year return represents total return over the trailing 12 months.
IJJ, with its more frugal fee structure, presents a more economical proposition, though IWN’s returns have been the more lively of the two. A case of the fox and the hedgehog, perhaps?
| Metric | IJJ | IWN |
|---|---|---|
| Max drawdown (5 y) | (22.7%) | (26.7%) |
| Growth of $1,000 over 5 years | $1,695 | $1,549 |
IWN, with its roster of over 1,400 small-cap value stocks, is a veritable mosaic of the market’s more esoteric corners. Financial services dominate, followed by industrials and healthcare. Its top holdings, such as EchoStar, Hecla Mining, and Commercial Metals, are but whispers in the grand scheme. IWN’s 25-year tenure offers a sense of gravitas, though its small-cap nature invites the volatility of a tempestuous sea.
IJJ, by contrast, treads a narrower path, with 295 mid-cap value stocks. Financial services, industrials, and consumer cyclical sectors form its backbone. Top holdings like Flex, Talen Energy, and U.S. Foods carry slightly more weight, offering a more concentrated bet on the mid-cap realm. A fund for those who prefer their companies a touch more established, perhaps.
For more guidance on ETF investing, check out the full guide at this link.
While IJJ has lagged IWN in the past year, it has, over the last five, ten, and 25 years, proven the more consistent performer. Since 2000, IJJ has delivered total returns of around 1,060% compared to IWN’s 777%. A testament to the patience of the investor, one might argue. Both funds, though, have been somewhat out of step with the S&P 500’s more flashy performance, offering a stark contrast to the broader index.
For those seeking to diversify beyond the Magnificent Seven, both ETFs serve as worthy alternatives. IJJ, with its stronger historical returns, lower fees, and slightly higher yield, presents a more compelling case. Its narrower focus on mid-cap value stocks, while less broad, offers a more stable vessel. One might say it’s the more refined choice, though IWN’s breadth is not without its charms.
Moreover, IJJ’s reduced exposure to financial services and increased focus on industrials and consumer cyclical sectors feels more balanced. Both funds, however, remain intriguing options for investors seeking value in a market often dominated by the top-heavy indices. At 18 and 15 times earnings, they offer a refreshing discount.
| Glossary | Definition |
|---|---|
| Small-cap | Firms with modest market capitalizations, generally under $2 billion-akin to the underdog in a world of giants. |
| Mid-cap | Companies with a medium market value, typically between $2 billion and $10 billion-neither the prodigy nor the relic. |
| Value stocks | Equities deemed undervalued relative to their fundamentals, often trading at lower price ratios-like a vintage car with a promising future. |
| Expense ratio | The annual cost of managing a fund, expressed as a percentage of assets-think of it as the price of admission to the party. |
| Dividend yield | The annual dividends paid by a fund or stock, expressed as a percentage of its price-like a steady paycheck from the market. |
| Beta | A measure of a fund’s volatility compared to the overall market-akin to a dance partner’s tendency to lead or follow. |
| AUM (Assets Under Management) | The total market value of assets a fund manages-its financial stature, if you will. |
| Max drawdown | The largest percentage drop from a fund’s peak value to its lowest point-market’s way of saying, “You’re not invincible.” |
| Sector tilt | When a fund allocates more assets to certain industries or sectors-like a chef with a favorite ingredient. |
| Portfolio construction | The art of selecting and weighting assets to achieve specific goals-akin to crafting a masterful symphony. |
| Liquidity | How easily assets can be bought or sold without affecting their price-market’s version of a smooth dance floor. |
So, which fund reigns supreme? A question as timeless as the market itself. One might say the answer lies in the investor’s own temperament-whether they prefer the audacity of IWN or the poise of IJJ. Either way, the dance continues.
🎩
Read More
- Silver Rate Forecast
- Gold Rate Forecast
- Красный Октябрь акции прогноз. Цена KROT
- Nvidia vs AMD: The AI Dividend Duel of 2026
- Dogecoin’s Big Yawn: Musk’s X Money Launch Leaves Market Unimpressed 🐕💸
- Bitcoin’s Ballet: Will the Bull Pirouette or Stumble? 💃🐂
- Navitas: A Director’s Exit and the Market’s Musing
- LINK’s Tumble: A Tale of Woe, Wraiths, and Wrapped Assets 🌉💸
- Can the Stock Market Defy Logic and Achieve a Third Consecutive 20% Gain?
- Solana Spot Trading Unleashed: dYdX’s Wild Ride in the US!
2025-12-18 09:26