The iShares Russell 2000 Growth ETF (IWO) is a $12.34 billion fund seeking to track the investment results of an index composed of small-capitalization U.S. equities that exhibit growth characteristics. With an expense ratio of 0.24%, IWO provides exposure to the small-cap growth segment of the U.S. equity market. The fund's focus on growth companies within the Russell 2000 index differentiates it, potentially offering higher growth potential compared to broad market ETFs, but also introducing higher volatility.
The iShares Russell 2000 Growth ETF (IWO) is a $12.34 billion fund seeking to track the investment results of an index composed of small-capitalization U.S. equities that exhibit growth characteristics. With an expense ratio of 0.24%, IWO provides exposure to the small-cap growth segment of the U.S. equity market. The fund's focus on growth companies within the Russell 2000 index differentiates it, potentially offering higher growth potential compared to broad market ETFs, but also introducing higher volatility.
ETF Overview
The iShares Russell 2000 Growth ETF seeks to track the investment results of an index composed of small-capitalization U.S. equities that exhibit growth characteristics.
IWO aims to capture the performance of small-cap U.S. companies exhibiting growth characteristics, as defined by the Russell 2000 Growth Index. This ETF is designed for investors seeking exposure to companies with high growth potential, often characterized by higher price-to-book ratios and higher forecasted growth values. The fund invests in a diverse portfolio of 1091 holdings, with the top holdings including Bloom Energy Corp Class A (2.17%), Fabrinet (1.26%), and Credo Technology Group Holding Ltd (1.10%). Sector allocation is heavily weighted towards Healthcare (24.0%), Technology (22.6%), and Industrials (21.9%), reflecting the growth-oriented nature of the underlying index. IWO's investment strategy makes it suitable for investors who believe in the long-term growth potential of small-cap companies and are willing to accept higher volatility for potentially higher returns. Country exposure is primarily focused on the United States (94.6%).
Risk Metrics
IWO's focus on small-cap growth stocks introduces a higher level of risk compared to broader market ETFs. The fund's beta of 1.45 (3Y) indicates that it is more volatile than the overall market. Sector concentration is also a factor, with significant allocations to Healthcare, Technology, and Industrials; any downturn in these sectors could disproportionately impact IWO's performance. While the expense ratio of 0.24% is relatively low, it still represents a cost that can slightly detract from overall returns over time. Investors should be aware that small-cap growth stocks can be more sensitive to economic cycles and market sentiment, potentially leading to greater price fluctuations. Past performance does not guarantee future results.
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Risk Metrics
Beta: 1.45
Questions & Answers
What is IWO and what does it track?
The iShares Russell 2000 Growth ETF (IWO) is an exchange-traded fund that aims to mirror the investment results of the Russell 2000 Growth Index. This index is composed of small-capitalization U.S. equities that exhibit growth characteristics. Essentially, IWO provides investors with exposure to a basket of smaller, rapidly growing companies within the United States. As of 2026-03-15, IWO has $12.34 billion in assets under management and holds 1091 different stocks, offering diversified exposure to the small-cap growth segment.
What is the expense ratio for IWO?
The expense ratio for the iShares Russell 2000 Growth ETF (IWO) is 0.24%. This means that for every $10,000 invested in the fund, $24 is used to cover the fund's operating expenses annually. While there isn't a definitive category average readily available, similar growth-focused ETFs often have expense ratios in the 0.35%-0.50% range, making IWO a relatively cost-effective option for accessing small-cap growth stocks. the may be worth researching expense ratio as one factor in their overall investment decision.
What are the top holdings in IWO?
As of 2026-03-15, the top five holdings in the iShares Russell 2000 Growth ETF (IWO) are: Bloom Energy Corp Class A (2.17%), Fabrinet (1.26%), Credo Technology Group Holding Ltd (1.10%), Kratos Defense & Security Solutions Inc (0.91%), and IonQ Inc Class A (0.83%). These holdings represent a relatively small portion of the overall portfolio, reflecting the fund's diversified approach to investing in small-cap growth companies. The fund's top holdings are subject to change based on market conditions and index rebalancing.
Is IWO a good long-term investment?
Whether IWO is a suitable long-term investment depends on an individual's investment goals, risk tolerance, and time horizon. IWO offers exposure to the small-cap growth segment, which can provide higher growth potential but also comes with increased volatility. The fund's beta of 1.45 indicates that it is more volatile than the overall market. the may be worth researching fund's expense ratio of 0.24% and its sector concentrations when evaluating its long-term suitability. Past performance does not guarantee future results, and careful consideration of market conditions and personal investment objectives is essential.
How does IWO compare to similar ETFs?
IWO competes with other ETFs that focus on small-cap growth stocks. In comparison to other similar ETFs, IWO has a relatively large AUM of $12.34 billion, which indicates its popularity among investors. Its expense ratio of 0.24% is competitive within the category. The fund's strategy of tracking the Russell 2000 Growth Index differentiates it from ETFs that track other small-cap growth indices. Investors should compare the performance, expense ratios, and tracking methodologies of different ETFs before making an investment decision.
Does IWO pay dividends?
Yes, the iShares Russell 2000 Growth ETF (IWO) does pay dividends. As of 2026-03-15, the fund has a dividend yield of 0.37%. This yield represents the annual dividend payment as a percentage of the fund's share price. While the dividend yield is relatively low compared to some other asset classes, it provides a small income component to the overall return. Dividend payments can vary over time and are not guaranteed.