DFEV vs. DFEM

Last updated Jun 4, 2026

DFEV (Dimensional Emerging Markets Value ETF) and DFEM (Dimensional Emerging Markets Core Equity 2 ETF) are both Emerging Markets Diversified funds from Dimensional. Both are actively managed. Over the past 3 years, DFEV returned 25.84%/yr vs 23.24%/yr for DFEM. With a 0.96 correlation, they move nearly in lockstep. DFEV charges 0.43%/yr vs 0.39%/yr for DFEM.

Performance

DFEV vs. DFEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Dimensional Emerging Markets Value ETF (DFEV) and Dimensional Emerging Markets Core Equity 2 ETF (DFEM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, DFEV achieves a 29.46% return, which is significantly higher than DFEM's 25.59% return.

DFEV

• 1D: -1.36%
• 1M: 9.10%
• YTD: 29.46%
• 6M: 32.40%
• 1Y: 57.15%
• 3Y*: 25.84%
• 5Y*: —
• 10Y*: —

DFEM

• 1D: -1.28%
• 1M: 6.85%
• YTD: 25.59%
• 6M: 27.96%
• 1Y: 50.40%
• 3Y*: 23.24%
• 5Y*: —
• 10Y*: —

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

DFEV vs. DFEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
DFEV Dimensional Emerging Markets Value ETF	29.46%	32.54%	7.26%	15.52%	-6.71%
DFEM Dimensional Emerging Markets Core Equity 2 ETF	25.59%	29.51%	7.53%	13.91%	-8.69%

Correlation

The correlation between DFEV and DFEM is 0.96 - 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	0.96
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (All Time) Calculated using the full available price history since Apr 28, 2022	0.96

The correlation between DFEV and DFEM has been stable across timeframes, ranging from 0.96 to 0.96 - a consistent structural relationship.

DFEV vs. DFEM - Sectors Allocation Comparison

Sectors	DFEV	DFEM
Technology	28.6%	32.9%
Financial Services	16.8%	15.4%
Consumer Cyclical	10.5%	9.8%
Industrials	9.8%	11.9%
Energy	7.6%	4.4%
Basic Materials	7.4%	8.4%
Communication Services	3.5%	5.5%
Consumer Defensive	3.4%	3.7%
Healthcare	3.3%	3.8%
Real Estate	1.6%	2.0%
Utilities	0.8%	2.2%

Return for Risk

DFEV vs. DFEM — Risk / Return Rank

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

DFEV

DFEV Risk / Return Rank: 89
DFEV Sharpe Ratio Rank: 92
DFEV Sortino Ratio Rank: 90
DFEV Omega Ratio Rank: 91
DFEV Calmar Ratio Rank: 87
DFEV Martin Ratio Rank: 87

DFEM

DFEM Risk / Return Rank: 81
DFEM Sharpe Ratio Rank: 83
DFEM Sortino Ratio Rank: 78
DFEM Omega Ratio Rank: 82
DFEM Calmar Ratio Rank: 80
DFEM Martin Ratio Rank: 81

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.

DFEV vs. DFEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Dimensional Emerging Markets Value ETF (DFEV) and Dimensional Emerging Markets Core Equity 2 ETF (DFEM). 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.

	DFEV	DFEM	Difference
Sharpe ratio Return per unit of total volatility	3.32	2.74	+0.57
Sortino ratio Return per unit of downside risk	4.29	3.54	+0.75
Omega ratio Gain probability vs. loss probability	1.61	1.50	+0.10
Calmar ratio Return relative to maximum drawdown	5.06	4.18	+0.88
Martin ratio Return relative to average drawdown	19.06	16.33	+2.73
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

DFEV vs. DFEM - Sharpe Ratio Comparison

The current DFEV Sharpe Ratio is 3.32, which is comparable to the DFEM Sharpe Ratio of 2.74. The chart below compares the historical Sharpe Ratios of DFEV and DFEM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	DFEV	DFEM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.32	2.74	+0.57
Sharpe Ratio (All Time) Calculated using the full available price history	1.11	0.92	+0.20

Drawdowns

DFEV vs. DFEM - Drawdown Comparison

The maximum DFEV drawdown since its inception was -18.49%, smaller than the maximum DFEM drawdown of -20.82%. Use the drawdown chart below to compare losses from any high point for DFEV and DFEM.

Drawdown Indicators

	DFEV	DFEM	Difference
Max Drawdown Largest peak-to-trough decline	-18.49%	-20.82%	+2.33%
Max Drawdown (1Y) Largest decline over 1 year	-11.35%	-12.12%	+0.77%
Max Drawdown (3Y) Largest decline over 3 years	-17.94%	-18.09%	+0.15%
Current Drawdown Current decline from peak	-1.36%	-1.28%	-0.08%
Average Drawdown Average peak-to-trough decline	-4.65%	-5.03%	+0.38%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.01%	3.09%	-0.08%

Volatility

DFEV vs. DFEM - Volatility Comparison

Dimensional Emerging Markets Value ETF (DFEV) and Dimensional Emerging Markets Core Equity 2 ETF (DFEM) have volatilities of 7.73% and 7.78%, 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

	DFEV	DFEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.73%	7.78%	-0.05%
Volatility (6M) Calculated over the trailing 6-month period	14.85%	16.02%	-1.17%
Volatility (1Y) Calculated over the trailing 1-year period	17.31%	18.45%	-1.14%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.42%	17.26%	-0.84%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.42%	17.26%	-0.84%

DFEV vs. DFEM - Expense Ratio Comparison

DFEV has a 0.43% expense ratio, which is higher than DFEM's 0.39% expense ratio.

Dividends

DFEV vs. DFEM - Dividend Comparison

DFEV's dividend yield for the trailing twelve months is around 2.02%, more than DFEM's 1.82% yield.

Position	TTM	2025	2024	2023	2022
DFEM Dimensional Emerging Markets Core Equity 2 ETF	1.82%	2.32%	2.50%	2.38%	1.99%
DFEV Dimensional Emerging Markets Value ETF	2.02%	2.69%	3.17%	3.47%	3.35%

Frequently Asked Questions

Can I hold both DFEV and DFEM in my portfolio?

With a correlation of 0.96, DFEV and DFEM 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, DFEV or DFEM?

DFEM has higher volatility (7.78%) compared to DFEV (7.73%). In terms of maximum drawdown, DFEV dropped -18.49% vs DFEM's -20.82%.

Which ETF is better, DFEV or DFEM?

On 3-year performance, DFEV leads with 25.84% vs 23.24% for DFEM. On fees, DFEM is cheaper at 0.39% per year. Their volatility is very similar. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DFEV or DFEM?

Over the 3-year period, DFEV has performed better with a 25.84% return vs 23.24%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DFEV or DFEM?

DFEM is cheaper with a 0.39% expense ratio, compared with 0.43% for DFEV.

Which ETF pays a higher dividend yield, DFEV or DFEM?

DFEV has the higher dividend yield at 2.02%, compared with 1.82% for DFEM.

What is the main difference between DFEV and DFEM?

Their fees differ too: 0.43% for DFEV and 0.39% for DFEM.

Which has better risk-adjusted returns?

DFEV currently has the higher Sharpe Ratio (3.32 vs 2.74), 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.