IWM — iShares Russell 2000 ETF
iShares (BlackRock) · Expense Ratio: 0.19% · US Small/Mid Cap · 7bp above the US Small/Mid Cap category average of 0.12%
Key Facts
| Ticker | IWM |
| Full Name | iShares Russell 2000 ETF |
| Provider | iShares (BlackRock) |
| Expense Ratio | 0.19% |
| Category | US Small/Mid Cap |
| Assets Under Management | $70B |
| Inception Year | 2000 (26 years ago) |
| Number of Holdings | 1,900 |
| Dividend Yield | ~1.1% (low) |
| Top Holdings | SMCI, FTAI, INSM |
What Is IWM?
IWM, managed by iShares (BlackRock), launched in 2000, is a major ETF with deep liquidity and tight bid-ask spreads in the US Small/Mid Cap category. US small-cap and mid-cap stock ETF covering smaller US companies with higher growth potential. With $70B in assets under management, it benefits from deep institutional liquidity and tight bid-ask spreads.
IWM in a FIRE Portfolio
This fund serves as a satellite position — adding targeted exposure to us small/mid cap within a FIRE portfolio built around a broad-market core.
Satellite holdings typically make up 5-20% of your portfolio. Small-cap stocks have historically outperformed large-caps over long periods — a 10-20% tilt can boost long-term returns for FIRE investors with 30+ year horizons.
Cost Analysis: How IWM's 0.19% Fee Affects Your FIRE Timeline
At 0.19%, IWM is moderately priced. Annual cost on a $100K position: $190. Over 30 years, fees could consume approximately 1.1% of total returns. On a $1M FIRE portfolio, cumulative fees approach $19,000. Compare with lower-cost peers in US Small/Mid Cap: .
Dividend Income Potential
With a low dividend yield of approximately 1.1%, here's what IWM could generate in annual income at different portfolio sizes:
| Portfolio Value | Annual Dividend Income | Monthly Income |
|---|---|---|
| $100,000 | $1,100/year | $92/month |
| $250,000 | $2,750/year | $229/month |
| $500,000 | $5,500/year | $458/month |
| $1,000,000 | $11,000/year | $917/month |
Frequently Asked Questions About IWM
What is the expense ratio for IWM?
IWM has an expense ratio of 0.19%. This is moderately priced — on a $100K portfolio, annual fees are $190. 7bp above the us small/mid cap category average of 0.12%.
Is IWM good for a FIRE portfolio?
This fund serves as a satellite position — adding targeted exposure to us small/mid cap within a FIRE portfolio built around a broad-market core. Its 0.19% expense ratio is moderately priced for the US Small/Mid Cap category.
How does the 0.19% fee affect long-term returns?
At 0.19%, you'll pay $190/year per $100K invested. Over 30 years, fees reduce total returns by approximately 1.1%. Use the embedded calculator below to model the exact impact on your specific portfolio.
Similar ETFs in US Small/Mid Cap
- VB — Vanguard Small-Cap ETF (0.05% · Satellite Position)
- IJR — iShares Core S&P Small-Cap ETF (0.06% · Satellite Position)
- AVUV — Avantis US Small Cap Value ETF (0.25% · Satellite Position)
- VIOV — Vanguard S&P Small-Cap 600 Value ETF (0.15% · Satellite Position)
- SLYV — SPDR S&P 600 Small Cap Value ETF (0.15% · Satellite Position)
- SCHA — Schwab US Small-Cap ETF (0.04% · Satellite Position)
- SPSM — SPDR Portfolio S&P 600 Small Cap ETF (0.05% · Satellite Position)
- IWO — iShares Russell 2000 Growth ETF (0.24% · Satellite Position)
- VTWO — Vanguard Russell 2000 ETF (0.1% · Satellite Position)