Best Small Cap Value ETFs (2026)

Which small-cap value fund to hold — 7 funds ranked on cost, yield, return, risk and ETFValuer's overall grade.

Updated July 26, 2026

Every figure on this page is recalculated from market data each day, so the ranking reflects current conditions rather than whenever this page was written. Educational content — not financial advice.

Top Picks Right Now

#1
IWN
iShares Russell 2000 Value ETF
B 72.2/100
  • best risk-adjusted return (Sharpe 1.73)
#2
AVUV
Avantis US Small Cap Value ETF
B 72.0/100
  • strongest 3-year return at +56.9%
#3
VBR
Vanguard Small-Cap Value Index Fund ETF Shares
B 69.9/100
  • cheapest in the group at 0.05%
  • largest and most liquid at $67.8B
  • lowest volatility at 14.9%

Ranked by ETFValuer's overall score. Recalculated every day from live market data — these positions change as the underlying numbers move.

At a Glance

Cheapest
VBR
0.05%
Highest yield
DFSV
1.38%
Best risk-adjusted
IWN
Sharpe 1.73
Largest
VBR
$67.8B
Shallowest drawdown
VBR
-24.2%

Each superlative is measured within this group of 7 funds, not across the whole market.

All 7 Funds Ranked

FundCategoryCostYield1Y3YVolatilityMax DDSharpeAUMScoreGrade
1 IWNiShares Russell 2000 Value ETFUS Small Cap0.24%0.93%+35.3%+55.6%17.5%-26.7%1.73$14.5B72.2B
2 AVUVAvantis US Small Cap Value ETFUS Small Cap0.25%1.25%+33.2%+56.9%17.1%-28.8%1.65$29.1B72.0B
3 VBRVanguard Small-Cap Value Index Fund ETF SharesUS Small Cap0.05%1.29%+21.9%+48.7%14.9%-24.2%1.13$67.8B69.9B
4 IJSiShares S&P Small-Cap 600 Value ETFUS Small Cap0.18%0.81%+32.4%+42.6%17.9%-28.6%1.53$8.0B67.7B
5 DFATDimensional U.S. Targeted Value ETFUS Small Cap0.28%1.37%+26.4%+48.3%16.2%-26.1%1.32$14.3B67.5B
6 SLYVState Street SPDR S&P 600 Small Cap Value ETFUS Small Cap0.15%0.86%+32.4%+42.7%17.8%-28.7%1.53$4.8B67.2B
7 DFSVDimensional US Small Cap Value ETFUS Small Cap0.30%1.38%+29.4%+49.4%17.0%-28.0%1.43$7.9B66.8B

Max DD is the deepest peak-to-trough fall over the measurement window. Sharpe ratio measures return per unit of volatility — higher is better. Every figure is recalculated daily.

What Makes a Good Fund Here

Small-cap value is the most heavily researched factor tilt in investing, and the funds implementing it differ far more than their shared label suggests — chiefly in how aggressively they screen and whether they exclude unprofitable companies. That screen, not the fee, drives the gap between them.

The ETFValuer score blends trailing return, risk-adjusted return, expense ratio, maximum drawdown, fund size and volatility, each percentile-ranked against the full tracked universe, into a single 0-100 figure graded A+ to F. It is a systematic summary of past data, not a forecast — read it alongside the individual columns rather than instead of them.

Head-to-Head Comparisons

Full metric-by-metric breakdowns for the closest calls in this group.

Frequently Asked Questions

What is the best small cap value ETF?

IWN ranks highest of the 7 small-cap value funds tracked, scoring 72.2 (B). VBR charges the least at 0.05%.

Is small cap value still worth tilting toward?

The historical premium is well documented, but it has gone missing for long stretches — including much of the past decade. A tilt is a decades-long commitment that requires holding through extended underperformance, which is the part most investors underestimate.

Compare any of these funds directly

Side-by-side metrics, holdings overlap and return correlation for any pair.

Other Rankings