DGS vs. AVEM

Last updated Jun 3, 2026

DGS (WisdomTree Emerging Markets SmallCap Dividend Fund) and AVEM (Avantis Emerging Markets Equity ETF) are both exchange-traded funds - DGS is a Emerging Markets Diversified fund tracking the WisdomTree Emerging Markets SmallCap Dividend Index, while AVEM is a Foreign Large Cap Equities fund tracking the MSCI Emerging Markets Index. Both are passively managed. Over the past 5 years, DGS returned 8.34%/yr vs 10.44%/yr for AVEM. Their correlation of 0.92 suggests significant overlap in exposure. DGS charges 0.58%/yr vs 0.33%/yr for AVEM.

Performance

DGS vs. AVEM - Performance Comparison

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

Returns By Period

In the year-to-date period, DGS achieves a 16.12% return, which is significantly lower than AVEM's 29.38% return.

DGS

• 1D: 0.01%
• 1M: 3.58%
• YTD: 16.12%
• 6M: 17.73%
• 1Y: 29.05%
• 3Y*: 16.70%
• 5Y*: 8.34%
• 10Y*: 10.08%

AVEM

• 1D: 0.71%
• 1M: 10.00%
• YTD: 29.38%
• 6M: 31.57%
• 1Y: 57.57%
• 3Y*: 26.65%
• 5Y*: 10.44%
• 10Y*: —

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

DGS vs. AVEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
DGS WisdomTree Emerging Markets SmallCap Dividend Fund	16.12%	21.18%	1.13%	19.08%	-12.35%	15.33%	4.06%	6.43%
AVEM Avantis Emerging Markets Equity ETF	29.38%	34.48%	7.49%	15.30%	-18.15%	5.16%	14.39%	11.13%

Correlation

The correlation between DGS and AVEM is 0.90, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.90
Correlation (3Y) Calculated over the trailing 3-year period	0.91
Correlation (5Y) Calculated over the trailing 5-year period	0.91
Correlation (All Time) Calculated using the full available price history since Sep 20, 2019	0.92

The correlation between DGS and AVEM has been stable across timeframes, ranging from 0.90 to 0.92 - a consistent structural relationship.

Return for Risk

DGS vs. AVEM — Risk / Return Rank

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

DGS

DGS Risk / Return Rank: 56
DGS Sharpe Ratio Rank: 54
DGS Sortino Ratio Rank: 53
DGS Omega Ratio Rank: 55
DGS Calmar Ratio Rank: 59
DGS Martin Ratio Rank: 56

AVEM

AVEM Risk / Return Rank: 85
AVEM Sharpe Ratio Rank: 88
AVEM Sortino Ratio Rank: 84
AVEM Omega Ratio Rank: 86
AVEM Calmar Ratio Rank: 83
AVEM Martin Ratio Rank: 85

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.

DGS vs. AVEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree Emerging Markets SmallCap Dividend Fund (DGS) 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.

	DGS	AVEM	Difference
Sharpe ratio Return per unit of total volatility	1.88	2.98	-1.10
Sortino ratio Return per unit of downside risk	2.58	3.80	-1.22
Omega ratio Gain probability vs. loss probability	1.34	1.54	-0.20
Calmar ratio Return relative to maximum drawdown	2.98	4.50	-1.52
Martin ratio Return relative to average drawdown	10.03	17.88	-7.85
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

DGS vs. AVEM - Sharpe Ratio Comparison

The current DGS Sharpe Ratio is 1.88, which is lower than the AVEM Sharpe Ratio of 2.98. The chart below compares the historical Sharpe Ratios of DGS 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.

Sharpe Ratios by Period

	DGS	AVEM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.88	2.98	-1.10
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.56	0.57	-0.01
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.58	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.23	0.67	-0.44

Drawdowns

DGS vs. AVEM - Drawdown Comparison

The maximum DGS drawdown since its inception was -61.83%, which is greater than AVEM's maximum drawdown of -36.05%. Use the drawdown chart below to compare losses from any high point for DGS and AVEM.

Drawdown Indicators

	DGS	AVEM	Difference
Max Drawdown Largest peak-to-trough decline	-61.83%	-36.05%	-25.78%
Max Drawdown (1Y) Largest decline over 1 year	-10.06%	-13.13%	+3.07%
Max Drawdown (3Y) Largest decline over 3 years	-19.31%	-18.02%	-1.29%
Max Drawdown (5Y) Largest decline over 5 years	-24.86%	-34.00%	+9.14%
Max Drawdown (10Y) Largest decline over 10 years	-44.08%	—	—
Current Drawdown Current decline from peak	-0.03%	0.00%	-0.03%
Average Drawdown Average peak-to-trough decline	-12.59%	-10.10%	-2.49%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.98%	3.30%	-0.32%

Volatility

DGS vs. AVEM - Volatility Comparison

The current volatility for WisdomTree Emerging Markets SmallCap Dividend Fund (DGS) is 5.04%, while Avantis Emerging Markets Equity ETF (AVEM) has a volatility of 8.14%. This indicates that DGS experiences smaller price fluctuations and is considered to be less risky than AVEM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DGS	AVEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.04%	8.14%	-3.10%
Volatility (6M) Calculated over the trailing 6-month period	12.95%	16.64%	-3.69%
Volatility (1Y) Calculated over the trailing 1-year period	15.50%	19.40%	-3.90%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.86%	18.33%	-3.47%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.31%	20.55%	-3.24%

DGS vs. AVEM - Expense Ratio Comparison

DGS has a 0.58% expense ratio, which is higher than AVEM's 0.33% expense ratio.

Dividends

DGS vs. AVEM - Dividend Comparison

DGS's dividend yield for the trailing twelve months is around 3.17%, more than AVEM's 1.95% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AVEM Avantis Emerging Markets Equity ETF	1.95%	2.45%	3.17%	3.06%	2.77%	2.61%	1.60%	0.35%	0.00%	0.00%	0.00%	0.00%
DGS WisdomTree Emerging Markets SmallCap Dividend Fund	3.17%	3.45%	3.36%	4.55%	5.34%	3.98%	3.69%	3.95%	4.24%	2.81%	3.42%	3.28%

Frequently Asked Questions

Can I hold both DGS and AVEM in my portfolio?

With a correlation of 0.90, DGS 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, DGS or AVEM?

AVEM has higher volatility (8.14%) compared to DGS (5.04%). In terms of maximum drawdown, DGS dropped -61.83% vs AVEM's -36.05%.

Which ETF is better, DGS or AVEM?

On 5-year performance, AVEM leads with 10.44% vs 8.34% for DGS. On fees, AVEM is cheaper at 0.33% per year. On volatility, DGS has been the lower-risk option at 5.04%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DGS or AVEM?

Over the 5-year period, AVEM has performed better with a 10.44% return vs 8.34%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DGS or AVEM?

AVEM is cheaper with a 0.33% expense ratio, compared with 0.58% for DGS.

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

DGS has the higher dividend yield at 3.17%, compared with 1.95% for AVEM.

What is the main difference between DGS and AVEM?

DGS is categorized as Emerging Markets Diversified, while AVEM is Foreign Large Cap Equities. DGS tracks WisdomTree Emerging Markets SmallCap Dividend Index, while AVEM tracks MSCI Emerging Markets Index. They also come from different issuers: WisdomTree and American Century. Their fees differ too: 0.58% for DGS and 0.33% for AVEM.

Which has better risk-adjusted returns?

AVEM currently has the higher Sharpe Ratio (2.98 vs 1.88), 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.