IWM vs TWST: Correlation
Measured on weekly returns over the past three years, iShares Russell 2000 ETF (IWM) and Twist Bioscience Corporation (TWST) carry a correlation of 0.60, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IWM and TWST?
On 3 years of weekly data the IWM/TWST correlation comes out at 0.60, strong. The relationship has been stable: the 1-year correlation (0.55) sits close to the 3-year figure. The 5-year figure is 0.59, and annualized covariance runs at 900.5 %².
Among the 320 assets we track against IWM, TWST ranks #123 by 3-year correlation. The last year tells two different stories: TWST led by 434.7 percentage points, +28.4% for IWM against +463.1% for TWST. One caveat on sizing: TWST is 3.8 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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 TWST: side by side
| IWM (iShares Russell 2000 ETF) | TWST (Twist Bioscience Corporation) | |
|---|---|---|
| 1-year return | +28.4% | +463.1% |
| 5-year return | +41.5% | +39.8% |
| Volatility (ann.) | 19.8% | 76.1% |
| Beta vs S&P 500 | 1.06 | 2.21 |
| Max drawdown (3Y) | -27.5% | -59.0% |
| Market cap | – | $9.6B |
| P/E (trailing) | – | – |
| 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 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 | TWST |
|---|---|---|
| 2022 | -20.5% | -69.2% |
| 2023 | +16.8% | +54.8% |
| 2024 | +11.4% | +26.1% |
| 2025 | +12.7% | -31.7% |
| 2026 | +22.3% | +382.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
A structural note: 0.3% of IWM is TWST itself, so the fund partly moves with the stock by construction.
Are IWM and TWST good diversifiers for each other?
Only partially. A correlation of 0.60 means IWM and TWST share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between IWM and TWST?
As of 2026-08-27, the correlation of weekly returns between IWM and TWST is 0.60 over 3 years, 0.55 over 1 year and 0.59 over 5 years.
Is TWST a good diversifier for IWM?
Only partially. A correlation of 0.60 means IWM and TWST share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.60 mean?
A reading of 0.60 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-twst.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/iwm-vs-twst/)
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Related comparisons
Hubs: IWM correlations · TWST correlations
