IWM vs NTCT: Correlation
How closely do iShares Russell 2000 ETF (IWM) and NetScout Systems, Inc. (NTCT) trade together? Their weekly returns over three years give a correlation of 0.50, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IWM and NTCT?
Over the past 3 years, IWM and NTCT moved with a correlation of 0.50, which is moderate. Lately the two have drifted apart, with the 1-year correlation at 0.26 versus 0.50 over 3 years. Over 5 years the correlation is 0.47, and the annualized covariance of weekly returns is 303.7 %².
By 3-year correlation, NTCT places #231 of the 320 assets tracked against IWM. Correlation aside, the last 12 months split them widely, with NTCT ahead by 31.0 points (+28.4% versus +59.4%). Note the risk asymmetry: NTCT runs 1.5 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 NTCT: side by side
| IWM (iShares Russell 2000 ETF) | NTCT (NetScout Systems, Inc.) | |
|---|---|---|
| 1-year return | +28.4% | +59.4% |
| 5-year return | +41.5% | +42.7% |
| Volatility (ann.) | 19.8% | 30.4% |
| Beta vs S&P 500 | 1.06 | 0.85 |
| Max drawdown (3Y) | -27.5% | -38.4% |
| Market cap | – | $2.9B |
| P/E (trailing) | – | 23.5 |
| Dividend yield | 0.91% | 0.00% |
| Expense ratio | 0.19% | – |
| Assets under management | $80.1B | – |
| Sector / category | ETF · US Small & Mid Cap | US Listed |
IWM, iShares's Small Blend fund, carries $80.1B under management, 1757 holdings, a 0.19% expense ratio, a 0.91% trailing dividend yield.
Year-by-year returns
| Year | IWM | NTCT |
|---|---|---|
| 2022 | -20.5% | -1.7% |
| 2023 | +16.8% | -32.5% |
| 2024 | +11.4% | -1.3% |
| 2025 | +12.7% | +24.9% |
| 2026 | +22.3% | +45.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
A structural note: 0.09% of IWM is NTCT itself, so the fund partly moves with the stock by construction.
Are IWM and NTCT good diversifiers for each other?
Somewhat, no more. With 0.50 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between IWM and NTCT?
The IWM/NTCT correlation stands at 0.50 on a 3-year window (1 year: 0.26, 5 years: 0.47), computed from weekly returns as of 2026-08-27.
Is NTCT a good diversifier for IWM?
Somewhat, no more. With 0.50 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.50 mean?
A reading of 0.50 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/iwm-vs-ntct.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/iwm-vs-ntct/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: IWM correlations · NTCT correlations
