IWM vs WRBY: Correlation
How closely do iShares Russell 2000 ETF (IWM) and Warby Parker Inc. (WRBY) trade together? Their weekly returns over three years give a correlation of 0.45, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IWM and WRBY?
On 3 years of weekly data the IWM/WRBY correlation comes out at 0.45, moderate. The relationship has been stable: the 1-year correlation (0.44) sits close to the 3-year figure. The 5-year figure is 0.53, and annualized covariance runs at 552.6 %².
Among the 320 assets we track against IWM, WRBY ranks #278 by 3-year correlation. The last year tells two different stories: IWM led by 33.1 percentage points, +28.4% for IWM against -4.7% for WRBY. One caveat on sizing: WRBY is 3.1 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 WRBY: side by side
| IWM (iShares Russell 2000 ETF) | WRBY (Warby Parker Inc.) | |
|---|---|---|
| 1-year return | +28.4% | -4.7% |
| 5-year return | +41.5% | -53.6% |
| Volatility (ann.) | 19.8% | 62.2% |
| Beta vs S&P 500 | 1.06 | 1.49 |
| Max drawdown (3Y) | -27.5% | -50.7% |
| Market cap | – | $3.1B |
| P/E (trailing) | – | 421.2 |
| 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 | WRBY |
|---|---|---|
| 2022 | -20.5% | -71.0% |
| 2023 | +16.8% | +4.5% |
| 2024 | +11.4% | +71.7% |
| 2025 | +12.7% | -10.0% |
| 2026 | +22.3% | +16.0% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
WRBY represents 0.08% of IWM's portfolio, so part of any move in IWM is WRBY itself, and the correlation between them is partly mechanical.
Are IWM and WRBY good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.45 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between IWM and WRBY?
As of 2026-08-27, the correlation of weekly returns between IWM and WRBY is 0.45 over 3 years, 0.44 over 1 year and 0.53 over 5 years.
Is WRBY a good diversifier for IWM?
Yes, to a useful degree: a correlation of 0.45 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.45 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-wrby.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/iwm-vs-wrby/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: IWM correlations · WRBY correlations
