DFNG.L vs. HYEM.L

Last updated Jul 16, 2026

DFNG.L (VanEck Defense UCITS ETF) and HYEM.L (VanEck Emerging Markets High Yield Bond UCITS ETF) are both exchange-traded funds - DFNG.L is a Aerospace & Defense fund tracking the MarketVector Global Defense Industry index, while HYEM.L is a High Yield Bonds fund tracking the VanEck Emerging Markets High Yield Bond UCITS ETF. Both are passively managed. Over the past 3 years, DFNG.L returned 34.05%/yr vs 8.70%/yr for HYEM.L. At a 0.14 correlation, their price movements are largely independent. DFNG.L charges 0.55%/yr vs 0.40%/yr for HYEM.L.

Performance

DFNG.L vs. HYEM.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in VanEck Defense UCITS ETF (DFNG.L) and VanEck Emerging Markets High Yield Bond UCITS ETF (HYEM.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

DFNG.L is traded in GBP, while HYEM.L is traded in USD. To make them comparable, the HYEM.L values have been converted to GBP using the latest available exchange rates.

Returns By Period

In the year-to-date period, DFNG.L achieves a -5.39% return, which is significantly lower than HYEM.L's 3.10% return.

DFNG.L

• 1D: 0.00%
• 1M: -5.59%
• 6M: -20.55%
• YTD: -5.39%
• 1Y: 1.83%
• 3Y*: 34.05%
• 5Y*: —
• 10Y*: —

HYEM.L

• 1D: 0.00%
• 1M: -1.20%
• 6M: 2.35%
• YTD: 3.10%
• 1Y: 7.12%
• 3Y*: 8.70%
• 5Y*: 3.12%
• 10Y*: —

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

DFNG.L vs. HYEM.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
DFNG.L VanEck Defense UCITS ETF	-5.39%	56.54%	46.20%	-1.18%
HYEM.L VanEck Emerging Markets High Yield Bond UCITS ETF	3.10%	1.22%	13.85%	3.06%

Correlation

The correlation between DFNG.L and HYEM.L is 0.05, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.05
Correlation (3Y) Calculated over the trailing 3-year period	0.14
Correlation (All Time) Calculated using the full available price history since Mar 31, 2023	0.14

Return for Risk

DFNG.L vs. HYEM.L — Risk / Return Rank

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

DFNG.L

DFNG.L Risk / Return Rank: 10
DFNG.L Sharpe Ratio Rank: 10
DFNG.L Sortino Ratio Rank: 11
DFNG.L Omega Ratio Rank: 10
DFNG.L Calmar Ratio Rank: 10
DFNG.L Martin Ratio Rank: 10

HYEM.L

HYEM.L Risk / Return Rank: 64
HYEM.L Sharpe Ratio Rank: 54
HYEM.L Sortino Ratio Rank: 64
HYEM.L Omega Ratio Rank: 72
HYEM.L Calmar Ratio Rank: 63
HYEM.L Martin Ratio Rank: 67

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.

DFNG.L vs. HYEM.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for VanEck Defense UCITS ETF (DFNG.L) and VanEck Emerging Markets High Yield Bond UCITS ETF (HYEM.L). 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.

	DFNG.L	HYEM.L	Difference
Sharpe ratio: Return per unit of total volatility	0.07	0.91	-0.84
Sortino ratio: Return per unit of downside risk	0.29	1.33	-1.04
Omega ratio: Gain probability vs. loss probability	1.03	1.17	-0.13
Calmar ratio: Return relative to maximum drawdown	0.08	1.71	-1.63
Martin ratio: Return relative to average drawdown	0.18	4.63	-4.44

DFNG.L vs. HYEM.L - Sharpe Ratio Comparison

The current DFNG.L Sharpe Ratio is 0.07, which is lower than the HYEM.L Sharpe Ratio of 0.91. The chart below compares the historical Sharpe Ratios of DFNG.L and HYEM.L, 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

DFNG.L vs. HYEM.L - Drawdown Comparison

The maximum DFNG.L drawdown since its inception was -24.31%, which is greater than HYEM.L's maximum drawdown of -15.44%. Use the drawdown chart below to compare losses from any high point for DFNG.L and HYEM.L.

Drawdown Indicators

	DFNG.L	HYEM.L	Difference
Max Drawdown Largest peak-to-trough decline	-24.31%	-15.44%	-8.87%
Max Drawdown (1Y) Largest decline over 1 year	-24.31%	-4.06%	-20.25%
Max Drawdown (3Y) Largest decline over 3 years	-24.31%	-9.01%	-15.30%
Max Drawdown (5Y) Largest decline over 5 years	—	-13.20%	—
Current Drawdown Current decline from peak	-22.71%	-2.59%	-20.12%
Average Drawdown Average peak-to-trough decline	-5.39%	-3.64%	-1.75%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.00%	1.50%	+8.50%

Volatility

DFNG.L vs. HYEM.L - Volatility Comparison

VanEck Defense UCITS ETF (DFNG.L) has a higher volatility of 9.66% compared to VanEck Emerging Markets High Yield Bond UCITS ETF (HYEM.L) at 1.74%. This indicates that DFNG.L's price experiences larger fluctuations and is considered to be riskier than HYEM.L based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DFNG.L	HYEM.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.66%	1.74%	+7.92%
Volatility (6M) Calculated over the trailing 6-month period	19.49%	5.85%	+13.64%
Volatility (1Y) Calculated over the trailing 1-year period	25.74%	7.61%	+18.13%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	23.67%	9.99%	+13.68%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	23.67%	10.09%	+13.58%

DFNG.L vs. HYEM.L - Expense Ratio Comparison

DFNG.L has a 0.55% expense ratio, which is higher than HYEM.L's 0.40% expense ratio.

Dividends

DFNG.L vs. HYEM.L - Dividend Comparison

Neither DFNG.L nor HYEM.L has paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022
DFNG.L VanEck Defense UCITS ETF	0.00%	0.00%	0.00%	0.00%	0.00%
HYEM.L VanEck Emerging Markets High Yield Bond UCITS ETF	0.00%	0.00%	0.00%	0.00%	0.09%

Frequently Asked Questions

Can I hold both DFNG.L and HYEM.L in my portfolio?

DFNG.L and HYEM.L have a correlation of 0.05, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, DFNG.L or HYEM.L?

On fees, HYEM.L is cheaper at 0.40% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, DFNG.L or HYEM.L?

HYEM.L is cheaper with a 0.40% expense ratio, compared with 0.55% for DFNG.L.

What is the main difference between DFNG.L and HYEM.L?

DFNG.L is categorized as Aerospace & Defense, while HYEM.L is High Yield Bonds. DFNG.L tracks MarketVector Global Defense Industry index, while HYEM.L tracks VanEck Emerging Markets High Yield Bond UCITS ETF. Their fees differ too: 0.55% for DFNG.L and 0.40% for HYEM.L.