IWM vs KRT: Correlation
iShares Russell 2000 ETF (IWM) and Karat Packaging Inc. (KRT) show a moderate relationship: their 3-year correlation of weekly returns is 0.58.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IWM and KRT?
Across a 3-year window, the weekly returns of IWM and KRT correlate at 0.58, moderate. The past 12 months show a weaker link (0.36) than the 3-year average (0.58). Stretching to 5 years gives 0.43, with an annualized covariance of 469.2 %².
Among the 320 assets we track against IWM, KRT ranks #146 by 3-year correlation. The last year tells two different stories: KRT led by 81.5 percentage points, +28.4% for IWM against +109.9% for KRT. Note the risk asymmetry: KRT runs 2.0 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
IWM vs KRT: side by side
| IWM (iShares Russell 2000 ETF) | KRT (Karat Packaging Inc.) | |
|---|---|---|
| 1-year return | +28.4% | +109.9% |
| 5-year return | +41.5% | +172.9% |
| Volatility (ann.) | 19.8% | 40.5% |
| Beta vs S&P 500 | 1.06 | 1.09 |
| Max drawdown (3Y) | -27.5% | -34.0% |
| Market cap | – | $1.0B |
| P/E (trailing) | – | 19.7 |
| Dividend yield | 0.91% | 3.65% |
| Expense ratio | 0.19% | – |
| Assets under management | $80.1B | – |
| Sector / category | ETF · US Small & Mid Cap | US Listed |
IWM is a Small Blend fund from iShares: $80.1B under management, 1757 holdings, a 0.19% expense ratio, a 0.91% trailing dividend yield.
Year-by-year returns
| Year | IWM | KRT |
|---|---|---|
| 2022 | -20.5% | -27.1% |
| 2023 | +16.8% | +82.2% |
| 2024 | +11.4% | +28.8% |
| 2025 | +12.7% | -20.1% |
| 2026 | +22.3% | +130.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are IWM and KRT good diversifiers for each other?
To a limited degree. At 0.58 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between IWM and KRT?
Using weekly returns as of 2026-08-27: 0.58 over 3 years, with 0.36 over the last year and 0.43 over 5 years.
Is KRT a good diversifier for IWM?
To a limited degree. At 0.58 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.58 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/iwm-vs-krt.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/iwm-vs-krt/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: IWM correlations · KRT correlations
