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EEM vs. RNEM
Performance
Return for Risk
Drawdowns
Volatility
Dividends

EEM vs. RNEM

Last updated Aug 6, 2026
Documentation

EEM (iShares MSCI Emerging Markets ETF) and RNEM (First Trust Emerging Markets Equity Select ETF) are both Emerging Markets Equities funds - EEM tracks the MSCI Emerging Markets Index (Net) while RNEM tracks the Nasdaq Riskalyze Emerging Markets Equity Select Index. Both are passively managed. Over the past 5 years, EEM returned 7.31%/yr vs 5.89%/yr for RNEM. Their 0.70 correlation means they have sometimes moved together and sometimes differently. EEM charges 0.72%/yr vs 0.75%/yr for RNEM.

Performance

EEM vs. RNEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI Emerging Markets ETF (EEM) and First Trust Emerging Markets Equity Select ETF (RNEM). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, EEM achieves a 20.75% return, which is significantly higher than RNEM's 4.11% return.

EEM

1D
-0.42%
1M
-2.74%
6M
12.35%
YTD
20.75%
1Y
37.20%
3Y*
20.30%
5Y*
7.31%
10Y*
8.37%
ALL TIME*
9.98%

RNEM

1D
-0.26%
1M
2.94%
6M
0.91%
YTD
4.11%
1Y
8.67%
3Y*
7.49%
5Y*
5.89%
10Y*
—
ALL TIME*
4.47%
*Multi-year figures are annualized to reflect compound growth (CAGR)

Liquidity Comparison

PositionAvg. Volume Value (2W)Avg. Volume Value (1M)Avg. Volume Value (3M)

EEM

iShares MSCI Emerging Markets ETF
$1.66B$1.55B$1.89B

RNEM

First Trust Emerging Markets Equity Select ETF
$35.77K$31.36K$55.29K

EEM vs. RNEM - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
EEM
iShares MSCI Emerging Markets ETF		20.75%33.98%6.49%8.95%-20.56%-3.63%17.02%18.22%-15.31%15.88%
RNEM
First Trust Emerging Markets Equity Select ETF		4.11%15.58%-1.47%23.43%-8.75%6.16%-8.16%12.76%-9.34%11.97%

Correlation

The correlation between EEM and RNEM is 0.73, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

Correlation
Correlation (1Y)
Focuses on recent behavior, but can change the most.

0.73

Correlation (3Y)
Balances recent behavior with more history.

0.77

Correlation (5Y)
Shows whether the relationship held over a longer period.

0.75

Correlation (All Time)
Calculated using the full available price history since Jun 23, 2017

0.70

The correlation between EEM and RNEM has been stable across timeframes, ranging from 0.70 to 0.77 - a consistent structural relationship.

EEM vs. RNEM - Sectors Allocation Comparison

Sectors
EEM
RNEM

Technology

45.9%
6.5%

Financial Services

18.2%
36.0%

Consumer Cyclical

7.4%
10.0%

Industrials

6.2%
4.1%

Communication Services

6.0%
8.5%

Basic Materials

5.4%
13.8%

Energy

3.2%
6.5%

Consumer Defensive

2.5%
5.9%

Healthcare

2.5%
4.5%

Utilities

1.8%
3.4%

Real Estate

1.0%
0.8%

Technology

EEM
45.9%
RNEM
6.5%

Financial Services

EEM
18.2%
RNEM
36.0%

Consumer Cyclical

EEM
7.4%
RNEM
10.0%

Industrials

EEM
6.2%
RNEM
4.1%

Communication Services

EEM
6.0%
RNEM
8.5%

Basic Materials

EEM
5.4%
RNEM
13.8%

Energy

EEM
3.2%
RNEM
6.5%

Consumer Defensive

EEM
2.5%
RNEM
5.9%

Healthcare

EEM
2.5%
RNEM
4.5%

Utilities

EEM
1.8%
RNEM
3.4%

Real Estate

EEM
1.0%
RNEM
0.8%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares MSCI Emerging Markets ETF

First Trust Emerging Markets Equity Select ETF

Often compared with EEM:
EEM vs. VWOEEM vs. SPYEEM vs. IEMGEEM vs. VXUSEEM vs. IS3N.DEEEM vs. EEMSEEM vs. SPEM
Often compared with RNEM:
RNEM vs. SFENXRNEM vs. SCHERNEM vs. VGTSXRNEM vs. OHIRNEM vs. SCHDRNEM vs. VBINXRNEM vs. EMOP

Return for Risk

EEM vs. RNEM — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.
EEM
EEM Risk / Return Rank: 5757
Overall Rank
EEM Sharpe Ratio Rank: 5555
Sharpe Ratio Rank
EEM Sortino Ratio Rank: 5050
Sortino Ratio Rank
EEM Omega Ratio Rank: 5757
Omega Ratio Rank
EEM Calmar Ratio Rank: 6666
Calmar Ratio Rank
EEM Martin Ratio Rank: 5959
Martin Ratio Rank
RNEM
RNEM Risk / Return Rank: 2525
Overall Rank
RNEM Sharpe Ratio Rank: 2626
Sharpe Ratio Rank
RNEM Sortino Ratio Rank: 2626
Sortino Ratio Rank
RNEM Omega Ratio Rank: 2525
Omega Ratio Rank
RNEM Calmar Ratio Rank: 2323
Calmar Ratio Rank
RNEM Martin Ratio Rank: 2525
Martin Ratio Rank
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.

EEM vs. RNEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI Emerging Markets ETF (EEM) and First Trust Emerging Markets Equity Select ETF (RNEM). 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.

EEMRNEMDifference
Sharpe ratioReturn per unit of total volatility
1.52
0.70

+0.82

Sortino ratioReturn per unit of downside risk
2.05
1.07

+0.98

Omega ratioGain probability vs. loss probability

1.29

1.13

+0.16

Calmar ratioReturn relative to maximum drawdown

2.62

0.81

+1.81

Martin ratioReturn relative to average drawdown

7.91

2.15

+5.76

EEM vs. RNEM - Sharpe Ratio Comparison

The current EEM Sharpe Ratio is 1.52, which is higher than the RNEM Sharpe Ratio of 0.70. The chart below compares the historical Sharpe Ratios of EEM and RNEM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Drawdowns

EEM vs. RNEM - Drawdown Comparison

The maximum EEM drawdown since its inception was -66.43%, which is greater than RNEM's maximum drawdown of -38.38%. Use the drawdown chart below to compare losses from any high point for EEM and RNEM.

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Drawdown Indicators

EEMRNEMDifference

Max Drawdown

Largest peak-to-trough decline

-66.43%

-38.38%

-28.05%

Max Drawdown (1Y)

Largest decline over 1 year

-14.24%

-10.71%

-3.53%

Max Drawdown (3Y)

Largest decline over 3 years

-17.29%

-13.09%

-4.20%

Max Drawdown (5Y)

Largest decline over 5 years

-35.01%

-21.41%

-13.60%

Max Drawdown (10Y)

Largest decline over 10 years

-39.82%

—

—

Current Drawdown

Current decline from peak

-7.71%

-2.18%

-5.53%

Average Drawdown

Average peak-to-trough decline

-15.95%

-9.22%

-6.73%

Ulcer Index

Depth and duration of drawdowns from previous peaks

4.71%

4.04%

+0.67%

Volatility

EEM vs. RNEM - Volatility Comparison

iShares MSCI Emerging Markets ETF (EEM) has a higher volatility of 8.53% compared to First Trust Emerging Markets Equity Select ETF (RNEM) at 2.86%. This indicates that EEM's price experiences larger fluctuations and is considered to be riskier than RNEM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

EEMRNEMDifference

Volatility (1M)

Calculated over the trailing 1-month period

8.53%

2.86%

+5.67%

Volatility (6M)

Calculated over the trailing 6-month period

22.42%

10.79%

+11.63%

Volatility (1Y)

Calculated over the trailing 1-year period

24.55%

12.49%

+12.06%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

19.87%

14.46%

+5.41%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

20.81%

17.13%

+3.68%

EEM vs. RNEM - Expense Ratio Comparison

EEM has a 0.72% expense ratio, which is lower than RNEM's 0.75% expense ratio.

Dividends

EEM vs. RNEM - Dividend Comparison

EEM's dividend yield for the trailing twelve months is around 1.70%, less than RNEM's 2.28% yield.

PositionTTM20252024202320222021202020192018201720162015
EEM
iShares MSCI Emerging Markets ETF		1.70%2.22%2.43%2.63%2.50%1.99%1.45%2.76%2.24%1.89%1.89%2.49%
RNEM
First Trust Emerging Markets Equity Select ETF		2.28%2.75%3.45%1.63%2.99%3.20%3.01%2.85%2.85%2.28%0.00%0.00%

Frequently Asked Questions

EEM and RNEM have a correlation of 0.73, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

EEM has higher volatility (8.53%) compared to RNEM (2.86%). In terms of maximum drawdown, EEM dropped -66.43% vs RNEM's -38.38%.

On 5-year performance, EEM leads with 7.31% vs 5.89% for RNEM. On fees, EEM is cheaper at 0.72% per year. On volatility, RNEM has been the lower-risk option at 2.86%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 5-year period, EEM has performed better with a 7.31% return vs 5.89%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

EEM is cheaper with a 0.72% expense ratio, compared with 0.75% for RNEM.

RNEM has the higher dividend yield at 2.28%, compared with 1.70% for EEM.

EEM tracks MSCI Emerging Markets Index (Net), while RNEM tracks Nasdaq Riskalyze Emerging Markets Equity Select Index. They also come from different issuers: iShares and First Trust. Their fees differ too: 0.72% for EEM and 0.75% for RNEM.

EEM currently has the higher Sharpe Ratio (1.52 vs 0.70), 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.

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