How do VTWO and IJR differ fundamentally?

VTWO tracks the Russell 2000 Index from Vanguard, while IJR tracks the S&P SmallCap 600 Index from iShares (BlackRock). Both aim at similar exposure, so the differences show up mainly in index construction, cost, and liquidity rather than the underlying investment thesis.

What should investors watch with VTWO and IJR?

For VTWO: far less liquid and no meaningful options market versus IWM. For IJR: smaller company count than the Russell 2000. Both funds carry the risks typical of their category, so position sizing and time horizon matter as much as the fund choice itself.

Which is better for long-term investors — VTWO or IJR?

Long-term investors should weigh VTWO's emphasis on the low-cost, buy-and-hold version of the small-cap benchmark against IJR's emphasis on quality-screened small-cap exposure via the S&P 600, along with each fund's expense ratio and tracking record, since those factors compound over a multi-year holding period more than any single year's performance.

Data as of: September 6, 2026

brimindinvest.com / compare / vtwo-vs-ijrLIVE

VTWO

Vanguard Russell 2000 ETF · ETF

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N/A this month

VERSUS

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IJR

iShares Core S&P Small-Cap ETF · ETF

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N/A this month

Comparison scoreboard

MIXED SETUP

AI Scorei

VTWO N/A

IJR N/A

1Y Returni

VTWO N/A

IJR N/A

Fwd P/Ei

VTWO N/A

IJR N/A

Target Up.i

VTWO N/A

IJR N/A

Op. Margini

VTWO N/A

IJR N/A

Quick take

VTWO vs IJR Stock Comparison: AI Score, Valuation, Performance and Upside

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VTWO and IJR both target small-cap blend exposure but take different paths to get there — VTWO via the Russell 2000 Index, and IJR via the S&P SmallCap 600 Index. The practical differences come down to issuer, cost structure, and the specific index rules each fund follows, since both are pursuing a similar investment outcome.

VTWO vs IJR is largely a question of which issuer and index methodology you trust more for small-cap blend exposure — the underlying investment case is similar, so cost, liquidity, and tracking precision tend to be the deciding factors.

Normalized 1Y performance

VTWO

IJR

Not enough data to chart yet.

Recent returns

VTWO

IJR

Not enough data to chart yet.

Analyst price targets & sentiment

Human Wall Street analysts' price targets, typically implying a ~12-month view — a separate signal from this site's own AI Prediction Signal further down the page, which is a 5-/30-day machine-learning forecast based on price history alone.

VTWO

Price target data unavailable

N/A

IJR

Price target data unavailable

N/A

Who should consider this stock?

VTWO may suit investors who:

want the low-cost, buy-and-hold version of the small-cap benchmark
prefer Vanguard's approach and fund lineup
value significantly cheaper than IWM for the same index exposure
are comfortable with far less liquid and no meaningful options market versus IWM

IJR may suit investors who:

want quality-screened small-cap exposure via the S&P 600
prefer iShares (BlackRock)'s approach and fund lineup
value s&P 600's profitability requirement screens out weaker companies
are comfortable with smaller company count than the Russell 2000

Performance & AI score

Performance & AI score
Metric	VTWO	IJR
AI scorei	N/A	N/A
AI ranki	N/A	N/A
Latest closei	N/A	N/A

Valuation & upside potential

Valuation & upside potential
Metric	VTWO	IJR
Market capi	N/A	N/A
Trailing P/Ei	N/A	N/A
Forward P/Ei	N/A	N/A
Price/Salesi	N/A	N/A
EV/Revenuei	N/A	N/A
Analyst targeti	N/A	N/A
Target upsidei	N/A	N/A

Growth, profitability & risk

Growth, profitability & risk
Metric	VTWO	IJR
Revenue growthi	N/A	N/A
Earnings growthi	N/A	N/A
EPS growthi	N/A	N/A
FCF margini	N/A	N/A
Operating margini	N/A	N/A
Profit margini	N/A	N/A
ROIC proxyi	N/A	N/A
Return on equityi	N/A	N/A
Dividend yieldi	N/A	N/A
Payout ratioi	N/A	N/A
Dividend growth streaki	N/A	N/A
Betai	N/A	N/A
Debt/equityi	N/A	N/A
Current ratioi	N/A	N/A
Quick ratioi	N/A	N/A

Drawdown & downside risk

Lower drawdown and smaller single-period drops generally indicate a smoother ride, though they do not guarantee lower future risk.

1Y risk snapshot

VTWO max drawdowniN/A

IJR max drawdowniN/A

VTWO max wkly dropiN/A

IJR max wkly dropiN/A

5Y risk snapshot

VTWO max drawdowniN/A

IJR max drawdowniN/A

VTWO max wkly dropiN/A

IJR max wkly dropiN/A

10Y risk snapshot

VTWO max drawdowniN/A

IJR max drawdowniN/A

VTWO max wkly dropiN/A

IJR max wkly dropiN/A

Performance metrics by period

Performance metrics by period
Period	Metric	VTWO	IJR
1Y	Growthi	N/A	N/A
	CAGRi	N/A	N/A
	Volatilityi	N/A	N/A
	Sharpe ratioi	N/A	N/A
	Sortino ratioi	N/A	N/A
	Max drawdowni	N/A	N/A
	Current drawdowni	N/A	N/A
	Avg drawdowni	N/A	N/A
	Ulcer Indexi	N/A	N/A
	Max daily dropi	N/A	N/A
	Max wkly dropi	N/A	N/A
5Y	Growthi	N/A	N/A
	CAGRi	N/A	N/A
	Volatilityi	N/A	N/A
	Sharpe ratioi	N/A	N/A
	Sortino ratioi	N/A	N/A
	Max drawdowni	N/A	N/A
	Current drawdowni	N/A	N/A
	Avg drawdowni	N/A	N/A
	Ulcer Indexi	N/A	N/A
	Max daily dropi	N/A	N/A
	Max wkly dropi	N/A	N/A
10Y	Growthi	N/A	N/A
	CAGRi	N/A	N/A
	Volatilityi	N/A	N/A
	Sharpe ratioi	N/A	N/A
	Sortino ratioi	N/A	N/A
	Max drawdowni	N/A	N/A
	Current drawdowni	N/A	N/A
	Avg drawdowni	N/A	N/A
	Ulcer Indexi	N/A	N/A
	Max daily dropi	N/A	N/A
	Max wkly dropi	N/A	N/A

AI Prediction Signali

Members only

Next 5 trading days

VTWO

+2.8%BUY

IJR

+1.1%HOLD

Next 30 trading days

VTWO

+6.4%BUY

IJR

+3.2%HOLD

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Business comparison

Business comparison
Category	VTWO	IJR
Company	Vanguard Russell 2000 ETF	iShares Core S&P Small-Cap ETF
Sector	ETF	ETF
Industry	N/A	N/A
Core business	VTWO tracks the identical Russell 2000 Index as IWM but at a much lower cost, appealing to buy-and-hold investors over traders. Issued by Vanguard, it tracks the Russell 2000 Index.	IJR tracks the S&P SmallCap 600, which unlike the Russell 2000 requires companies to show positive earnings before inclusion. Issued by iShares (BlackRock), it tracks the S&P SmallCap 600 Index.
Investor focus	VTWO is built around the low-cost, buy-and-hold version of the small-cap benchmark, appealing to investors who want that specific exposure rather than IJR's approach.	IJR is built around quality-screened small-cap exposure via the S&P 600, appealing to investors who want that specific exposure rather than VTWO's approach.

VTWO strengths

Significantly cheaper than IWM for the same index exposure
Vanguard's tax-efficient structure
Ideal for long-term small-cap allocations rather than trading

IJR strengths

S&P 600's profitability requirement screens out weaker companies
Historically has outperformed the unscreened Russell 2000 over long periods
Low expense ratio in the iShares Core lineup

Risks to watch — VTWO

Far less liquid and no meaningful options market versus IWM
Same inclusion of unprofitable small-caps as any Russell 2000 fund
Small-caps remain volatile and rate-sensitive

Risks to watch — IJR

Smaller company count than the Russell 2000
Still carries small-cap volatility and cyclicality
Less name-brand recognition than IWM among traders

Frequently asked questions

Neither VTWO nor IJR is universally "better" — VTWO is built for the low-cost, buy-and-hold version of the small-cap benchmark, while IJR is built for quality-screened small-cap exposure via the S&P 600. Investors should pick based on which exposure and cost structure fits their own portfolio goals rather than assuming one strictly dominates the other.

Interactive comparison engine

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Scoreboard verdict

AI score, forward P/E, analyst target upside, operating margin, and revenue growth are scored head-to-head, with a running tally of which ticker leads on how many metrics.

Full risk suite

Volatility, Sharpe and Sortino ratios, maximum, current, and average drawdown, Ulcer Index, and worst single-day and single-week drops across every timeframe.

Correlation heatmap

Pairwise daily-return correlation for every combination, so you can see whether two holdings actually diversify each other or just move together.

Valuation vs profitability

A scatter plot of forward P/E against return on equity, plus drawdown and 30-day rolling volatility charts, to separate what is cheap from what is merely beaten down.

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