Investors comparing the iShares S&P Small-Cap 600 Growth ETF (NASDAQ:IJT) and the Invesco S&P SmallCap 600 Pure Growth ETF (NYSEMKT:RZG) must weigh the significantly lower ownership costs of the iShares fund against the Invesco fund’s stronger recent 1-year total return.
Both funds target the small-cap segment of the U.S. market but use different selection criteria
IJT focuses on classic growth factors such as earnings momentum and sales growth, while RZG weights companies in the same small-company universe by its “growth score.” This technical nuance creates distinct risk-reward profiles for investors seeking small-company exposure. Snapshot (cost & size) The iShares fund is notably more affordable, with an expense ratio of 0.18% compared to 0.35% for the Invesco fund. Additionally, the iShares fund offers a higher yield, nearly doubling its competitor’s 0.41% payments.
Performance & risk comparison What’s inside The iShares S&P Small-Cap 600 Growth ETF (IJT) aims to replicate the investment results of its chosen index by concentrating its holdings in smaller U.S. companies that display robust growth prospects. Its portfolio currently includes 376 holdings, with weightings in the technology (21%), industrials (19%), and healthcare (15%) sectors. Its largest individual positions include Viasat at 1.25%, Brightspring Health Services at 1.21%, and Argan at 1.09%.