ETF Versus

IWM vs SCHA

iShares Russell 2000 ETF vs Schwab U.S. Small-Cap ETF

Last updated: 2026-04-02

IWM iShares

iShares Russell 2000 ETF (IWM) is an exchange-traded fund issued by iShares that provides exposure to small-cap U.S. equities with higher growth potential and volatility. It charges a moderate expense ratio of 0.19%. The fund offers a moderate dividend yield of 1.02%. Launched in 2000, the fund has a 26-year track record.

AUM: $69.0B ER: 0.19% Yield: 1.02% Since: May 22, 2000
SCHA Schwab

Schwab U.S. Small-Cap ETF (SCHA) is an exchange-traded fund issued by Schwab that provides exposure to small-cap U.S. equities with higher growth potential and volatility. It charges a very low expense ratio of 0.04%. The fund offers a moderate dividend yield of 1.16%. Launched in 2009, the fund has a 17-year track record.

AUM: $19.4B ER: 0.04% Yield: 1.16% Since: Nov 3, 2009

Quick Verdict

SCHA is significantly cheaper at 0.04% vs 0.19% expense ratio, saving you approximately $297 per $10,000 invested over 10 years. Both funds have delivered similar 1-year returns (25.1% vs 25.0%), tracking closely.

Key Metrics

Metric IWM SCHA
Expense Ratio 0.19% 0.04%
Dividend Yield 1.0% 1.2%
Fund Family iShares Schwab
Category US Small Cap US Small Cap

Performance Chart

Indexed to 100 at start (5-year comparison)

70 81 92 103 114 125 2021-04 2022-06 2023-09 2024-12 2026-04
IWM +10.9%
SCHA +15.6%

Performance Comparison

Period IWM SCHA Difference
1 Month -5.40% -4.46% -0.94%
3 Months +0.31% +1.91% -1.60%
6 Months +1.52% +3.86% -2.34%
YTD +0.31% +1.91% -1.60%
1 Year +25.09% +25.00% +0.09%
3 Years +39.83% +40.06% -0.23%
5 Years +10.93% +15.59% -4.66%

Fee Impact Over Time

Estimated fee cost difference assuming 8% annual returns

Investment Period IWM Fees SCHA Fees You Save
$10.000 10 years $377 $80 $297
$10.000 20 years $1.613 $344 $1.269
$10.000 30 years $5.178 $1.112 $4.065
$50.000 10 years $1.884 $399 $1.485
$50.000 30 years $25.888 $5.560 $20.327
$100.000 30 years $51.776 $11.121 $40.655

Risk Metrics

Based on 5 years of daily returns

Metric IWM SCHA
Annualized Volatility 22.6% 22.0%
Max Drawdown -33.1% -31.6%
Sharpe Ratio 0.01 0.04

Dividend Comparison

Metric IWM SCHA
Annual Dividend (per share) $2.54 $0.34
Dividend Yield 1.02% 1.16%
Distribution Frequency Quarterly Quarterly

Top Holdings

2 of top 10 holdings overlap (20% overlap in top holdings)

IWM Top Holdings

NameWeight
Bloom Energy CorporationBE1.01%
FabrinetFN0.69%
Nextpower Inc.NXT0.61%
COEUR MINING INCCDE.NE0.60%
EchoStar CorporationSATS0.54%
Credo Technology Group Holding LtdCRDO0.53%
Kratos Defense & Security Solutions, Inc.KTOS0.45%
Sterling Infrastructure, Inc.STRL0.43%
Advanced Energy Industries, Inc.AEIS0.41%
Hecla Mining CompanyHL0.39%

SCHA Top Holdings

NameWeight
Sandisk CorporationSNDK2.27%
Lumentum Holdings Inc.LITE1.25%
ATI Inc.ATI0.48%
Nextpower Inc.NXT0.44%
Coeur Mining, Inc.CDE0.44%
Revolution Medicines, Inc.RVMD0.42%
EchoStar CorporationSATS0.39%
MKS Inc.MKSI0.37%
MACOM Technology Solutions Holdings, Inc.MTSI0.36%
The New York Times CompanyNYT0.33%

Which One Should You Choose?

Choose SCHA if...

you want the lowest fees and plan to buy and hold long-term. Over decades, the expense ratio difference compounds significantly.

Either works if...

you just need broad us small cap exposure. Both are solid options — pick whichever your brokerage offers commission-free.

Related Comparisons