DGSE.L vs. VDEM.L

Last updated Jun 5, 2026

DGSE.L (WisdomTree Emerging Markets SmallCap Dividend UCITS ETF) and VDEM.L (Vanguard FTSE Emerging Markets UCITS) are both Emerging Markets Equities funds - DGSE.L tracks the MSCI Emerging Markets SMID NR USD while VDEM.L tracks the FTSE Emerging Index. Both are passively managed. Over the past 10 years, DGSE.L returned 6.84%/yr vs 9.49%/yr for VDEM.L. A 0.80 correlation means they provide meaningful diversification when combined. DGSE.L charges 0.54%/yr vs 0.22%/yr for VDEM.L.

Performance

DGSE.L vs. VDEM.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in WisdomTree Emerging Markets SmallCap Dividend UCITS ETF (DGSE.L) and Vanguard FTSE Emerging Markets UCITS (VDEM.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

DGSE.L is traded in GBp, while VDEM.L is traded in USD. To make them comparable, the VDEM.L values have been converted to GBp using the latest available exchange rates.

Returns By Period

In the year-to-date period, DGSE.L achieves a 10.61% return, which is significantly lower than VDEM.L's 11.73% return. Over the past 10 years, DGSE.L has underperformed VDEM.L with an annualized return of 6.84%, while VDEM.L has yielded a comparatively higher 9.49% annualized return.

DGSE.L

• 1D: 0.15%
• 1M: 0.92%
• YTD: 10.61%
• 6M: 11.47%
• 1Y: 19.49%
• 3Y*: 8.09%
• 5Y*: 4.59%
• 10Y*: 6.84%

VDEM.L

• 1D: -0.39%
• 1M: 2.44%
• YTD: 11.73%
• 6M: 12.06%
• 1Y: 30.30%
• 3Y*: 15.27%
• 5Y*: 6.17%
• 10Y*: 9.49%

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

DGSE.L vs. VDEM.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
DGSE.L WisdomTree Emerging Markets SmallCap Dividend UCITS ETF	10.61%	7.78%	-0.93%	9.14%	-4.67%	11.05%	-0.71%	8.36%	-12.58%	20.40%
VDEM.L Vanguard FTSE Emerging Markets UCITS	11.73%	16.95%	14.24%	1.92%	-7.35%	0.05%	11.48%	14.31%	-7.37%	20.21%

Correlation

The correlation between DGSE.L and VDEM.L is 0.71, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.71
Correlation (3Y) Calculated over the trailing 3-year period	0.70
Correlation (5Y) Calculated over the trailing 5-year period	0.69
Correlation (10Y) Calculated over the trailing 10-year period	0.77
Correlation (All Time) Calculated using the full available price history since Nov 21, 2014	0.80

The correlation between DGSE.L and VDEM.L shifts across timeframes, from 0.69 (5 years) to 0.80 (all time), reflecting how their relationship changes across market environments.

DGSE.L vs. VDEM.L - Sectors Allocation Comparison

Sectors	DGSE.L	VDEM.L
Technology	21.5%	29.6%
Industrials	15.7%	7.1%
Financial Services	12.7%	20.8%
Consumer Cyclical	10.7%	10.8%
Real Estate	9.2%	1.7%
Consumer Defensive	8.2%	3.6%
Basic Materials	7.8%	7.8%
Healthcare	5.0%	3.4%
Utilities	4.7%	3.0%
Communication Services	3.3%	7.5%
Energy	1.3%	4.9%

Return for Risk

DGSE.L vs. VDEM.L — Risk / Return Rank

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

DGSE.L

DGSE.L Risk / Return Rank: 43
DGSE.L Sharpe Ratio Rank: 42
DGSE.L Sortino Ratio Rank: 44
DGSE.L Omega Ratio Rank: 43
DGSE.L Calmar Ratio Rank: 45
DGSE.L Martin Ratio Rank: 43

VDEM.L

VDEM.L Risk / Return Rank: 54
VDEM.L Sharpe Ratio Rank: 53
VDEM.L Sortino Ratio Rank: 54
VDEM.L Omega Ratio Rank: 53
VDEM.L Calmar Ratio Rank: 56
VDEM.L Martin Ratio Rank: 55

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.

DGSE.L vs. VDEM.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for WisdomTree Emerging Markets SmallCap Dividend UCITS ETF (DGSE.L) and Vanguard FTSE Emerging Markets UCITS (VDEM.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.

	DGSE.L	VDEM.L	Difference
Sharpe ratio: Return per unit of total volatility	1.46	2.00	-0.54
Sortino ratio: Return per unit of downside risk	2.16	2.75	-0.59
Omega ratio: Gain probability vs. loss probability	1.27	1.36	-0.09
Calmar ratio: Return relative to maximum drawdown	2.19	3.35	-1.16
Martin ratio: Return relative to average drawdown	6.68	10.58	-3.89
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

DGSE.L vs. VDEM.L - Sharpe Ratio Comparison

The current DGSE.L Sharpe Ratio is 1.46, which is comparable to the VDEM.L Sharpe Ratio of 2.00. The chart below compares the historical Sharpe Ratios of DGSE.L and VDEM.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.

Sharpe Ratios by Period

	DGSE.L	VDEM.L	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.46	2.00	-0.54
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.34	0.38	-0.04
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.44	0.52	-0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.32	0.42	-0.10

Drawdowns

DGSE.L vs. VDEM.L - Drawdown Comparison

The maximum DGSE.L drawdown since its inception was -35.43%, which is greater than VDEM.L's maximum drawdown of -32.14%. Use the drawdown chart below to compare losses from any high point for DGSE.L and VDEM.L.

Drawdown Indicators

	DGSE.L	VDEM.L	Difference
Max Drawdown Largest peak-to-trough decline	-35.43%	-32.14%	-3.29%
Max Drawdown (1Y) Largest decline over 1 year	-8.87%	-9.00%	+0.13%
Max Drawdown (3Y) Largest decline over 3 years	-18.85%	-14.89%	-3.96%
Max Drawdown (5Y) Largest decline over 5 years	-18.85%	-19.79%	+0.94%
Max Drawdown (10Y) Largest decline over 10 years	-35.43%	-25.47%	-9.96%
Current Drawdown Current decline from peak	-1.82%	-1.50%	-0.32%
Average Drawdown Average peak-to-trough decline	-7.71%	-8.93%	+1.22%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.91%	2.86%	+0.05%

Volatility

DGSE.L vs. VDEM.L - Volatility Comparison

The current volatility for WisdomTree Emerging Markets SmallCap Dividend UCITS ETF (DGSE.L) is 4.43%, while Vanguard FTSE Emerging Markets UCITS (VDEM.L) has a volatility of 5.70%. This indicates that DGSE.L experiences smaller price fluctuations and is considered to be less risky than VDEM.L based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DGSE.L	VDEM.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.43%	5.70%	-1.27%
Volatility (6M) Calculated over the trailing 6-month period	11.24%	12.41%	-1.17%
Volatility (1Y) Calculated over the trailing 1-year period	13.29%	15.12%	-1.83%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.37%	16.27%	-2.90%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.72%	18.11%	-2.39%

DGSE.L vs. VDEM.L - Expense Ratio Comparison

DGSE.L has a 0.54% expense ratio, which is higher than VDEM.L's 0.22% expense ratio.

Dividends

DGSE.L vs. VDEM.L - Dividend Comparison

DGSE.L's dividend yield for the trailing twelve months is around 0.03%, less than VDEM.L's 2.04% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DGSE.L WisdomTree Emerging Markets SmallCap Dividend UCITS ETF	0.03%	0.03%	0.05%	0.04%	0.04%	0.03%	0.03%	0.03%	0.03%	0.02%	0.01%	0.03%
VDEM.L Vanguard FTSE Emerging Markets UCITS	2.04%	2.34%	2.38%	2.58%	3.27%	2.30%	1.81%	2.33%	2.82%	2.16%	2.40%	2.94%

Frequently Asked Questions

Can I hold both DGSE.L and VDEM.L in my portfolio?

DGSE.L and VDEM.L have a correlation of 0.71, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, DGSE.L or VDEM.L?

On fees, VDEM.L is cheaper at 0.22% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, DGSE.L or VDEM.L?

VDEM.L is cheaper with a 0.22% expense ratio, compared with 0.54% for DGSE.L.

What is the main difference between DGSE.L and VDEM.L?

DGSE.L tracks MSCI Emerging Markets SMID NR USD, while VDEM.L tracks FTSE Emerging Index. They also come from different issuers: WisdomTree and Vanguard. Their fees differ too: 0.54% for DGSE.L and 0.22% for VDEM.L.