Average Daily Volume
1.07M
Fund Overview
The iShares Russell 2000 Value ETF (IWN) is an exchange-traded fund that seeks to track the investment results of the Russell 2000 Value Index. This index measures the performance of small-capitalization U.S. equities with value characteristics, including lower price-to-book ratios and lower expected growth values. IWN provides investors with exposure to a broad range of small-cap value stocks, which historically have offered higher returns than growth stocks over the long term, albeit with higher volatility. The fund is designed for investors seeking diversified exposure to undervalued small-cap companies in the U.S. market.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
Yes
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 2.15 %
- Currency Hedged
-
No
- Portfolio Turnover
-
29 %
- Dividend Date
-
Why Invest in the IWN ETF?
Potential Benefits
- Provides exposure to small-cap value stocks, which have historically outperformed growth stocks over long periods.
- Offers diversification across a broad range of undervalued small-cap companies in various sectors.
- Low expense ratio compared to actively managed small-cap value funds.
- Liquidity is high due to its popularity and large asset base.
- Can serve as a strategic tilt toward value factors in a diversified portfolio.
Potential Risks
- Higher volatility compared to large-cap or blended small-cap ETFs due to the nature of small-cap stocks.
- Value stocks may underperform growth stocks during certain market cycles.
- Concentration risk in financials and industrials, which are heavily weighted in the index.
- Susceptible to economic downturns, as small-cap companies may lack the resilience of larger firms.
- Tracking error risk, as the fund may not perfectly replicate the index due to fees and rebalancing.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+7.0%
|
+1.9%
|
-3.8%
|
+9.6%
|
+2.9%
|
+3.8%
|
0.0%
|
+0.3%
|
-5.2%
|
+1.4%
|
-
|
-
|
| 2025 |
+2.0%
|
-3.8%
|
-6.0%
|
-4.1%
|
+4.2%
|
+5.1%
|
+1.7%
|
+8.5%
|
+2.0%
|
+0.2%
|
+2.9%
|
0.0%
|
| 2024 |
-4.6%
|
+3.3%
|
+4.2%
|
-6.2%
|
+4.6%
|
-1.9%
|
+12.4%
|
-2.0%
|
0.0%
|
-1.5%
|
+9.7%
|
-8.5%
|
| 2023 |
+9.7%
|
-2.3%
|
-7.3%
|
-2.5%
|
-1.8%
|
+7.8%
|
+7.4%
|
-4.8%
|
-5.2%
|
-6.0%
|
+9.1%
|
+12.4%
|
| 2022 |
-5.8%
|
+1.5%
|
+2.0%
|
-7.8%
|
+1.9%
|
-9.9%
|
+9.6%
|
-3.1%
|
-10.3%
|
+12.7%
|
+2.8%
|
-6.6%
|
| 2021 |
+5.0%
|
+9.5%
|
+5.5%
|
+1.8%
|
+3.2%
|
-0.8%
|
-3.5%
|
+2.5%
|
-1.8%
|
+3.8%
|
-3.6%
|
+4.1%
|
| 2020 |
-5.2%
|
-9.6%
|
-25.1%
|
+12.5%
|
+3.1%
|
+2.8%
|
+2.1%
|
+5.4%
|
-4.7%
|
+3.7%
|
+19.1%
|
+8.0%
|
| 2019 |
+10.9%
|
+3.9%
|
-2.8%
|
+3.7%
|
-8.2%
|
+6.1%
|
+0.4%
|
-5.6%
|
+5.1%
|
+2.5%
|
+2.2%
|
+3.4%
|
| 2018 |
+1.2%
|
-5.0%
|
+1.1%
|
+1.8%
|
+5.8%
|
+0.4%
|
+1.8%
|
+2.4%
|
-2.5%
|
-8.9%
|
+1.6%
|
-12.1%
|
| 2017 |
-0.8%
|
+1.4%
|
-0.8%
|
+0.4%
|
-3.1%
|
+3.4%
|
+0.7%
|
-2.5%
|
+7.2%
|
0.0%
|
+2.9%
|
-1.0%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
SSB
|
SOUTHSTATE CORP |
0.8 % |
|
UMBF
|
UMB FINANCIAL CORP |
0.6 % |
|
PRMB
|
n/a |
0.6 % |
|
ONB
|
OLD NATIONAL BANCORP |
0.5 % |
|
TMHC
|
TAYLOR MORRISON HOME CORP |
0.5 % |
|
ESNT
|
ESSENT GROUP LTD |
0.5 % |
|
JXN
|
JACKSON FINANCIAL INC |
0.5 % |
|
GATX
|
GATX CORP |
0.5 % |
|
TRNO
|
TERRENO REALTY CORP |
0.5 % |
|
EPRT
|
ESSENTIAL PROPERTIES REALTY TRUST INC |
0.5 % |
Top 10 holdings shown, out of 1 total holdings.
Related ETFs: IWN vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
IWN seeks to track the Russell 2000 Value Index, which includes small-cap U.S. stocks with value characteristics. The index is constructed using a rules-based methodology that selects companies based on lower price-to-book ratios and lower forecasted growth values. The fund is passively managed and primarily holds common stocks, with periodic rebalancing to align with the index. The Russell 2000 Value Index is reconstituted annually, ensuring that the fund's holdings remain representative of the small-cap value universe. IWN employs full replication, meaning it holds all (or nearly all) of the securities in the index.
Frequently Asked Questions
What is the difference between IWN and IWM?
IWN tracks the Russell 2000 Value Index, focusing on small-cap value stocks, while IWM tracks the broader Russell 2000 Index, which includes both value and growth small-cap stocks.
How often is IWN rebalanced?
IWN is rebalanced annually when the Russell 2000 Value Index is reconstituted, though minor adjustments may occur quarterly to maintain alignment with the index.
Does IWN pay dividends?
Yes, IWN pays dividends quarterly, derived from the dividends of the underlying stocks in the Russell 2000 Value Index.
What sectors are most represented in IWN?
IWN has significant exposure to financials, industrials, and consumer discretionary sectors, which are common in small-cap value indices.
Is IWN suitable for short-term trading?
While IWN is liquid enough for short-term trades, it is primarily designed as a long-term investment vehicle due to the volatility of small-cap value stocks.
Industry Overview
The iShares Russell 2000 Value ETF (IWN) focuses on small-cap value stocks, a segment of the market known for its potential to deliver higher returns over time, albeit with increased volatility. Small-cap value stocks are typically companies with market capitalizations between $300 million and $2 billion that exhibit value characteristics such as low price-to-book ratios and stable earnings. Investing in IWN allows exposure to this niche, which can enhance portfolio diversification and provide a hedge against overvalued growth stocks. The Russell 2000 Value Index, which IWN tracks, is widely regarded as a benchmark for small-cap value performance in the U.S.
Alternative Comparison
Compared to its peers, IWN stands out for its pure exposure to small-cap value stocks, as defined by the Russell 2000 Value Index. For instance, the iShares S&P Small-Cap 600 Value ETF (IJS) tracks a different index with slightly larger and more profitable companies, potentially offering lower volatility. Meanwhile, the Vanguard Small-Cap Value ETF (VBR) includes some mid-cap stocks, providing a broader market cap range. IWN's expense ratio is competitive, though slightly higher than VBR's. Unlike some actively managed small-cap value funds, IWN offers a transparent, rules-based approach with lower costs.
Issuer Overview
iShares, a subsidiary of BlackRock, is the largest ETF provider globally, known for its extensive range of index-tracking funds. With a reputation for low-cost, transparent, and liquid ETFs, iShares has become a go-to choice for both retail and institutional investors. The firm's expertise in passive investing and robust infrastructure ensures efficient fund management and tight tracking of underlying indices.
Conclusion
The iShares Russell 2000 Value ETF (IWN) is a compelling choice for investors seeking targeted exposure to small-cap value stocks. Its low-cost structure, liquidity, and adherence to a well-established index make it a practical tool for long-term value tilts. However, investors should be mindful of the inherent volatility and cyclical risks associated with small-cap investing. For those comfortable with these risks, IWN can serve as a valuable component of a diversified equity portfolio.
Boost Your Returns with SectorSurfer
Award-winning investment strategy automation