DBEM vs. EMDM

Last updated Aug 4, 2026

DBEM (Xtrackers MSCI Emerging Markets Hedged Equity ETF) and EMDM (First Trust Bloomberg Emerging Market Democracies ETF) are both Emerging Markets Equities funds - DBEM tracks the MSCI EM US Dollar Hedged Index while EMDM tracks the Bloomberg Emerging Market Democracies Index - Benchmark TR Net. Both are passively managed. Over the past 3 years, DBEM returned 20.50%/yr vs 28.08%/yr for EMDM. Their correlation of 0.82 means they have usually moved in the same direction. DBEM charges 0.66%/yr vs 0.75%/yr for EMDM.

Performance

DBEM vs. EMDM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Xtrackers MSCI Emerging Markets Hedged Equity ETF (DBEM) and First Trust Bloomberg Emerging Market Democracies ETF (EMDM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, DBEM achieves a 20.05% return, which is significantly lower than EMDM's 28.39% return.

DBEM

• 1D: -0.16%
• 1M: -3.76%
• 6M: 10.83%
• YTD: 20.05%
• 1Y: 39.42%
• 3Y*: 20.50%
• 5Y*: 8.67%
• 10Y*: 9.11%
• ALL TIME*: 5.23%

EMDM

• 1D: 0.42%
• 1M: -3.12%
• 6M: 12.42%
• YTD: 28.39%
• 1Y: 66.69%
• 3Y*: 28.08%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 26.54%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
DBEM Xtrackers MSCI Emerging Markets Hedged Equity ETF	$211.10K	$775.94K	$508.07K
EMDM First Trust Bloomberg Emerging Market Democracies ETF	$370.33K	$752.09K	$541.22K

DBEM vs. EMDM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
DBEM Xtrackers MSCI Emerging Markets Hedged Equity ETF	20.05%	30.42%	10.61%	6.56%
EMDM First Trust Bloomberg Emerging Market Democracies ETF	28.39%	59.68%	-4.93%	14.75%

Correlation

The correlation between DBEM and EMDM is 0.87, meaning they have usually moved in the same direction, including during past declines.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.87
Correlation (3Y) Balances recent behavior with more history.	0.83
Correlation (All Time) Calculated using the full available price history since Mar 3, 2023	0.82

The correlation between DBEM and EMDM has been stable across timeframes, ranging from 0.82 to 0.87 - a consistent structural relationship.

DBEM vs. EMDM - Sectors Allocation Comparison

Sectors	DBEM	EMDM
Technology	45.3%	39.9%
Financial Services	18.4%	25.6%
Consumer Cyclical	7.4%	5.3%
Industrials	6.3%	2.6%
Communication Services	6.1%	4.0%
Basic Materials	5.5%	12.7%
Energy	3.2%	4.8%
Consumer Defensive	2.5%	3.1%
Healthcare	2.5%	0.5%
Utilities	1.8%	1.5%
Real Estate	1.0%	-

Return for Risk

DBEM vs. EMDM — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

DBEM

DBEM Risk / Return Rank: 72
DBEM Sharpe Ratio Rank: 74
DBEM Sortino Ratio Rank: 67
DBEM Omega Ratio Rank: 74
DBEM Calmar Ratio Rank: 72
DBEM Martin Ratio Rank: 73

EMDM

EMDM Risk / Return Rank: 89
EMDM Sharpe Ratio Rank: 91
EMDM Sortino Ratio Rank: 85
EMDM Omega Ratio Rank: 89
EMDM Calmar Ratio Rank: 92
EMDM Martin Ratio Rank: 88

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

DBEM vs. EMDM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Xtrackers MSCI Emerging Markets Hedged Equity ETF (DBEM) and First Trust Bloomberg Emerging Market Democracies ETF (EMDM). 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.

	DBEM	EMDM	Difference
Sharpe ratio: Return per unit of total volatility	1.77	2.41	-0.63
Sortino ratio: Return per unit of downside risk	2.32	2.94	-0.62
Omega ratio: Gain probability vs. loss probability	1.33	1.42	-0.09
Calmar ratio: Return relative to maximum drawdown	2.66	4.28	-1.62
Martin ratio: Return relative to average drawdown	9.56	13.58	-4.03

DBEM vs. EMDM - Sharpe Ratio Comparison

The current DBEM Sharpe Ratio is 1.77, which is comparable to the EMDM Sharpe Ratio of 2.41. The chart below compares the historical Sharpe Ratios of DBEM and EMDM, 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

DBEM vs. EMDM - Drawdown Comparison

The maximum DBEM drawdown since its inception was -33.51%, which is greater than EMDM's maximum drawdown of -18.81%. Use the drawdown chart below to compare losses from any high point for DBEM and EMDM.

Drawdown Indicators

	DBEM	EMDM	Difference
Max Drawdown Largest peak-to-trough decline	-33.51%	-18.81%	-14.70%
Max Drawdown (1Y) Largest decline over 1 year	-14.90%	-15.65%	+0.75%
Max Drawdown (3Y) Largest decline over 3 years	-15.12%	-18.81%	+3.69%
Max Drawdown (5Y) Largest decline over 5 years	-28.14%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-33.51%	—	—
Current Drawdown Current decline from peak	-11.04%	-10.51%	-0.53%
Average Drawdown Average peak-to-trough decline	-11.64%	-4.21%	-7.43%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.14%	4.93%	-0.79%

Volatility

DBEM vs. EMDM - Volatility Comparison

The current volatility for Xtrackers MSCI Emerging Markets Hedged Equity ETF (DBEM) is 8.57%, while First Trust Bloomberg Emerging Market Democracies ETF (EMDM) has a volatility of 9.92%. This indicates that DBEM experiences smaller price fluctuations and is considered to be less risky than EMDM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DBEM	EMDM	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.57%	9.92%	-1.35%
Volatility (6M) Calculated over the trailing 6-month period	20.29%	25.36%	-5.07%
Volatility (1Y) Calculated over the trailing 1-year period	22.38%	27.91%	-5.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.97%	21.15%	-3.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.57%	21.15%	-3.58%

DBEM vs. EMDM - Expense Ratio Comparison

DBEM has a 0.66% expense ratio, which is lower than EMDM's 0.75% expense ratio.

Dividends

DBEM vs. EMDM - Dividend Comparison

DBEM's dividend yield for the trailing twelve months is around 2.20%, less than EMDM's 2.95% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DBEM Xtrackers MSCI Emerging Markets Hedged Equity ETF	2.20%	1.84%	2.48%	2.55%	2.65%	1.77%	1.74%	2.59%	2.85%	1.51%	1.59%	3.49%
EMDM First Trust Bloomberg Emerging Market Democracies ETF	2.95%	3.57%	5.87%	2.16%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both DBEM and EMDM in my portfolio?

DBEM and EMDM have a correlation of 0.87, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, DBEM or EMDM?

EMDM has higher volatility (9.92%) compared to DBEM (8.57%). In terms of maximum drawdown, DBEM dropped -33.51% vs EMDM's -18.81%.

Which ETF is better, DBEM or EMDM?

On 3-year performance, EMDM leads with 28.08% vs 20.50% for DBEM. On fees, DBEM is cheaper at 0.66% per year. On volatility, DBEM has been the lower-risk option at 8.57%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DBEM or EMDM?

Over the 3-year period, EMDM has performed better with a 28.08% return vs 20.50%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DBEM or EMDM?

DBEM is cheaper with a 0.66% expense ratio, compared with 0.75% for EMDM.

Which ETF pays a higher dividend yield, DBEM or EMDM?

EMDM has the higher dividend yield at 2.95%, compared with 2.20% for DBEM.

What is the main difference between DBEM and EMDM?

DBEM tracks MSCI EM US Dollar Hedged Index, while EMDM tracks Bloomberg Emerging Market Democracies Index - Benchmark TR Net. They also come from different issuers: Deutsche Bank and First Trust. Their fees differ too: 0.66% for DBEM and 0.75% for EMDM.

Which has better risk-adjusted returns?

EMDM currently has the higher Sharpe Ratio (2.41 vs 1.77), 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.