AVSE vs. AVEM

Last updated Jun 24, 2026

AVSE (Avantis Responsible Emerging Markets Equity ETF) and AVEM (Avantis Emerging Markets Equity ETF) are both exchange-traded funds - AVSE is a Emerging Markets Diversified fund tracking the MSCI Emerging Markets Index, while AVEM is a Emerging Markets Equities fund actively managed by Avantis. AVSE is passively managed, while AVEM is actively managed. Over the past 3 years, AVSE returned 24.48%/yr vs 24.70%/yr for AVEM. With a 0.99 correlation, they move nearly in lockstep. Both charge a 0.33% expense ratio.

Performance

AVSE vs. AVEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Avantis Responsible Emerging Markets Equity ETF (AVSE) and Avantis Emerging Markets Equity ETF (AVEM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both stocks are quite close, with AVSE having a 23.92% return and AVEM slightly lower at 23.75%.

AVSE

• 1D: -5.42%
• 1M: 3.43%
• YTD: 23.92%
• 6M: 24.59%
• 1Y: 44.42%
• 3Y*: 24.48%
• 5Y*: —
• 10Y*: —

AVEM

• 1D: -5.47%
• 1M: 2.36%
• YTD: 23.75%
• 6M: 24.18%
• 1Y: 46.12%
• 3Y*: 24.70%
• 5Y*: 9.50%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

AVSE vs. AVEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
AVSE Avantis Responsible Emerging Markets Equity ETF	23.92%	32.54%	8.29%	16.01%	-14.43%
AVEM Avantis Emerging Markets Equity ETF	23.75%	34.48%	7.49%	15.30%	-13.93%

Correlation

The correlation between AVSE and AVEM is 0.99 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.99
Correlation (3Y) Calculated over the trailing 3-year period	0.99
Correlation (All Time) Calculated using the full available price history since Mar 30, 2022	0.99

The correlation between AVSE and AVEM has been stable across timeframes, ranging from 0.99 to 0.99 - a consistent structural relationship.

Return for Risk

AVSE vs. AVEM — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

AVSE

AVSE Risk / Return Rank: 66
AVSE Sharpe Ratio Rank: 66
AVSE Sortino Ratio Rank: 60
AVSE Omega Ratio Rank: 69
AVSE Calmar Ratio Rank: 67
AVSE Martin Ratio Rank: 70

AVEM

AVEM Risk / Return Rank: 68
AVEM Sharpe Ratio Rank: 66
AVEM Sortino Ratio Rank: 58
AVEM Omega Ratio Rank: 70
AVEM Calmar Ratio Rank: 72
AVEM Martin Ratio Rank: 73

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

AVSE vs. AVEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Avantis Responsible Emerging Markets Equity ETF (AVSE) and Avantis Emerging Markets Equity ETF (AVEM). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	AVSE	AVEM	Difference
Sharpe ratio: Return per unit of total volatility	2.02	2.09	-0.07
Sortino ratio: Return per unit of downside risk	2.62	2.66	-0.04
Omega ratio: Gain probability vs. loss probability	1.38	1.40	-0.01
Calmar ratio: Return relative to maximum drawdown	3.15	3.53	-0.38
Martin ratio: Return relative to average drawdown	12.04	13.36	-1.31

AVSE vs. AVEM - Sharpe Ratio Comparison

The current AVSE Sharpe Ratio is 2.02, which is comparable to the AVEM Sharpe Ratio of 2.09. The chart below compares the historical Sharpe Ratios of AVSE and AVEM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

AVSE vs. AVEM - Drawdown Comparison

The maximum AVSE drawdown since its inception was -26.28%, smaller than the maximum AVEM drawdown of -36.05%. Use the drawdown chart below to compare losses from any high point for AVSE and AVEM.

Drawdown Indicators

	AVSE	AVEM	Difference
Max Drawdown Largest peak-to-trough decline	-26.28%	-36.05%	+9.77%
Max Drawdown (1Y) Largest decline over 1 year	-14.17%	-13.13%	-1.04%
Max Drawdown (3Y) Largest decline over 3 years	-17.68%	-18.02%	+0.34%
Max Drawdown (5Y) Largest decline over 5 years	—	-33.88%	—
Current Drawdown Current decline from peak	-5.42%	-5.47%	+0.05%
Average Drawdown Average peak-to-trough decline	-6.78%	-10.04%	+3.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.70%	3.46%	+0.24%

Volatility

AVSE vs. AVEM - Volatility Comparison

Avantis Responsible Emerging Markets Equity ETF (AVSE) and Avantis Emerging Markets Equity ETF (AVEM) have volatilities of 12.30% and 12.55%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AVSE	AVEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	12.30%	12.55%	-0.25%
Volatility (6M) Calculated over the trailing 6-month period	19.98%	20.07%	-0.09%
Volatility (1Y) Calculated over the trailing 1-year period	22.13%	22.23%	-0.10%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.68%	18.99%	-0.31%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.68%	20.91%	-2.23%

AVSE vs. AVEM - Expense Ratio Comparison

Both AVSE and AVEM have an expense ratio of 0.33%.

Dividends

AVSE vs. AVEM - Dividend Comparison

AVSE's dividend yield for the trailing twelve months is around 2.81%, more than AVEM's 2.62% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019
AVEM Avantis Emerging Markets Equity ETF	2.62%	2.45%	3.17%	3.06%	2.77%	2.61%	1.60%	0.35%
AVSE Avantis Responsible Emerging Markets Equity ETF	2.81%	2.68%	3.03%	3.20%	1.27%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both AVSE and AVEM in my portfolio?

With a correlation of 0.99, AVSE and AVEM move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, AVSE or AVEM?

AVEM has higher volatility (12.55%) compared to AVSE (12.30%). In terms of maximum drawdown, AVSE dropped -26.28% vs AVEM's -36.05%.

Which ETF is better, AVSE or AVEM?

On 3-year performance, AVEM leads with 24.70% vs 24.48% for AVSE. Both ETFs have the same 0.33% expense ratio. On volatility, AVSE has been the lower-risk option at 12.30%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, AVSE or AVEM?

Over the 3-year period, AVEM has performed better with a 24.70% return vs 24.48%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, AVSE or AVEM?

AVSE and AVEM have the same expense ratio: 0.33% per year.

Which ETF pays a higher dividend yield, AVSE or AVEM?

AVSE has the higher dividend yield at 2.81%, compared with 2.62% for AVEM.

What is the main difference between AVSE and AVEM?

AVSE is categorized as Emerging Markets Diversified, while AVEM is Emerging Markets Equities.

Which has better risk-adjusted returns?

AVEM currently has the higher Sharpe Ratio (2.09 vs 2.02), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.