IWM vs LQD23-Year Performance Comparison

US Small-Cap vs Investment-Grade Corp Bonds — backtested 20022024

IWM wins$62,114 vs $26,647 on $10,000 over 23 years
IWMUS Small-Cap
Final value$62,114
CAGR+8.3%
Max drawdown-35.3%
Best year+48% (2003)
Years won15 of 23
LQDInvestment-Grade Corp Bonds
Final value$26,647
CAGR+4.4%
Max drawdown-19.4%
Best year+17% (2019)
Years won8 of 23

Growth of $10,000

20022024
IWMLQD
$35k$64k200220072012201720222024
IWM$62,114
LQD$26,647
50/50 mix$44,434

50/50 blend: $44,434 (+6.7%/yr CAGR)

Splitting equally between IWM and LQD would have landed between the two — slightly lower CAGR than IWM but less volatility. Try a custom split →

Year-by-year: IWM vs LQD

YearIWMLQDWinner
2024+11.4%+0.9%IWM
2023+16.8%+9.4%IWM
2022-20.5%-17.9%LQD
2021+14.5%-1.8%IWM
2020+20.0%+11.0%IWM
2019+25.4%+17.4%IWM
2018-11.1%-3.8%LQD
2017+14.6%+7.1%IWM
2016+21.6%+6.2%IWM
2015-4.5%-1.3%LQD
2014+5.0%+8.2%LQD
2013+38.7%-2.0%IWM
2012+16.7%+10.6%IWM
2011-4.4%+9.7%LQD
2010+26.9%+9.3%IWM
2009+28.5%+8.4%IWM
2008-34.2%+2.4%LQD
2007-1.8%+3.7%LQD
2006+18.3%+4.2%IWM
2005+4.5%+1.2%IWM
2004+18.1%+5.7%IWM
2003+47.9%+7.3%IWM
2002-20.4%+9.9%LQD

More comparisons

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Past performance does not guarantee future results.