EEMS vs. ECOW

Last updated Jun 4, 2026

EEMS (iShares MSCI Emerging Markets Small-Cap ETF) and ECOW (Pacer Emerging Markets Cash Cows 100 ETF) are both exchange-traded funds - EEMS is a Emerging Markets Diversified fund tracking the MSCI Emerging Markets Small Cap Index, while ECOW is a Emerging Markets Equities fund tracking the Pacer Emerging Markets Cash Cows 100 Index. Both are passively managed. Over the past 5 years, EEMS returned 6.92%/yr vs 6.12%/yr for ECOW. A 0.67 correlation means they provide meaningful diversification when combined. EEMS charges 0.73%/yr vs 0.70%/yr for ECOW.

Performance

EEMS vs. ECOW - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI Emerging Markets Small-Cap ETF (EEMS) and Pacer Emerging Markets Cash Cows 100 ETF (ECOW). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EEMS achieves a 14.63% return, which is significantly higher than ECOW's 13.10% return.

EEMS

• 1D: -1.36%
• 1M: 1.46%
• YTD: 14.63%
• 6M: 16.52%
• 1Y: 29.38%
• 3Y*: 16.81%
• 5Y*: 6.92%
• 10Y*: 9.29%

ECOW

• 1D: -1.50%
• 1M: -0.42%
• YTD: 13.10%
• 6M: 12.29%
• 1Y: 35.35%
• 3Y*: 19.90%
• 5Y*: 6.12%
• 10Y*: —

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

EEMS vs. ECOW - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
EEMS iShares MSCI Emerging Markets Small-Cap ETF	14.63%	19.78%	3.13%	23.09%	-19.12%	18.12%	19.47%	4.29%
ECOW Pacer Emerging Markets Cash Cows 100 ETF	13.10%	32.50%	3.17%	15.79%	-19.28%	7.47%	-2.51%	10.37%

Correlation

The correlation between EEMS and ECOW is 0.74, 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	0.74
Correlation (3Y) Calculated over the trailing 3-year period	0.74
Correlation (5Y) Calculated over the trailing 5-year period	0.74
Correlation (All Time) Calculated using the full available price history since May 7, 2019	0.67

The correlation between EEMS and ECOW has been stable across timeframes, ranging from 0.67 to 0.74 - a consistent structural relationship.

EEMS vs. ECOW - Sectors Allocation Comparison

Sectors	EEMS	ECOW
Technology	22.7%	9.8%
Industrials	18.9%	15.5%
Financial Services	11.1%	-
Consumer Cyclical	9.6%	12.5%
Healthcare	9.4%	1.6%
Basic Materials	9.3%	9.6%
Real Estate	5.9%	-
Consumer Defensive	5.2%	8.5%
Communication Services	2.9%	18.4%
Utilities	2.7%	7.9%
Energy	2.4%	16.1%

Return for Risk

EEMS vs. ECOW — Risk / Return Rank

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

EEMS

EEMS Risk / Return Rank: 51
EEMS Sharpe Ratio Rank: 49
EEMS Sortino Ratio Rank: 46
EEMS Omega Ratio Rank: 49
EEMS Calmar Ratio Rank: 54
EEMS Martin Ratio Rank: 55

ECOW

ECOW Risk / Return Rank: 77
ECOW Sharpe Ratio Rank: 76
ECOW Sortino Ratio Rank: 72
ECOW Omega Ratio Rank: 76
ECOW Calmar Ratio Rank: 81
ECOW Martin Ratio Rank: 79

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.

EEMS vs. ECOW - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI Emerging Markets Small-Cap ETF (EEMS) and Pacer Emerging Markets Cash Cows 100 ETF (ECOW). 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.

	EEMS	ECOW	Difference
Sharpe ratio Return per unit of total volatility	1.71	2.50	-0.80
Sortino ratio Return per unit of downside risk	2.31	3.30	-0.99
Omega ratio Gain probability vs. loss probability	1.31	1.46	-0.14
Calmar ratio Return relative to maximum drawdown	2.72	4.25	-1.54
Martin ratio Return relative to average drawdown	9.56	15.39	-5.83
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

EEMS vs. ECOW - Sharpe Ratio Comparison

The current EEMS Sharpe Ratio is 1.71, which is lower than the ECOW Sharpe Ratio of 2.50. The chart below compares the historical Sharpe Ratios of EEMS and ECOW, 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

	EEMS	ECOW	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.71	2.50	-0.80
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.43	0.35	+0.09
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.52	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.32	0.37	-0.06

Drawdowns

EEMS vs. ECOW - Drawdown Comparison

The maximum EEMS drawdown since its inception was -48.89%, which is greater than ECOW's maximum drawdown of -40.27%. Use the drawdown chart below to compare losses from any high point for EEMS and ECOW.

Drawdown Indicators

	EEMS	ECOW	Difference
Max Drawdown Largest peak-to-trough decline	-48.89%	-40.27%	-8.62%
Max Drawdown (1Y) Largest decline over 1 year	-10.87%	-8.35%	-2.52%
Max Drawdown (3Y) Largest decline over 3 years	-19.71%	-18.77%	-0.94%
Max Drawdown (5Y) Largest decline over 5 years	-27.07%	-33.67%	+6.60%
Max Drawdown (10Y) Largest decline over 10 years	-48.89%	—	—
Current Drawdown Current decline from peak	-2.41%	-3.53%	+1.12%
Average Drawdown Average peak-to-trough decline	-10.50%	-11.07%	+0.57%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.08%	2.30%	+0.78%

Volatility

EEMS vs. ECOW - Volatility Comparison

iShares MSCI Emerging Markets Small-Cap ETF (EEMS) has a higher volatility of 7.07% compared to Pacer Emerging Markets Cash Cows 100 ETF (ECOW) at 4.66%. This indicates that EEMS's price experiences larger fluctuations and is considered to be riskier than ECOW based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EEMS	ECOW	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.07%	4.66%	+2.41%
Volatility (6M) Calculated over the trailing 6-month period	14.90%	10.88%	+4.02%
Volatility (1Y) Calculated over the trailing 1-year period	17.30%	14.19%	+3.11%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.06%	17.65%	-1.59%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.99%	20.13%	-2.14%

EEMS vs. ECOW - Expense Ratio Comparison

EEMS has a 0.73% expense ratio, which is higher than ECOW's 0.70% expense ratio.

Dividends

EEMS vs. ECOW - Dividend Comparison

EEMS's dividend yield for the trailing twelve months is around 2.69%, less than ECOW's 4.60% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ECOW Pacer Emerging Markets Cash Cows 100 ETF	4.60%	5.20%	7.35%	5.46%	7.50%	4.39%	3.35%	8.08%	0.00%	0.00%	0.00%	0.00%
EEMS iShares MSCI Emerging Markets Small-Cap ETF	2.69%	3.09%	2.60%	2.69%	0.89%	3.56%	2.14%	2.64%	3.06%	2.47%	2.51%	2.33%

Frequently Asked Questions

Can I hold both EEMS and ECOW in my portfolio?

EEMS and ECOW have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EEMS or ECOW?

EEMS has higher volatility (7.07%) compared to ECOW (4.66%). In terms of maximum drawdown, EEMS dropped -48.89% vs ECOW's -40.27%.

Which ETF is better, EEMS or ECOW?

On 5-year performance, EEMS leads with 6.92% vs 6.12% for ECOW. On fees, ECOW is cheaper at 0.70% per year. On volatility, ECOW has been the lower-risk option at 4.66%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EEMS or ECOW?

Over the 5-year period, EEMS has performed better with a 6.92% return vs 6.12%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EEMS or ECOW?

ECOW is cheaper with a 0.70% expense ratio, compared with 0.73% for EEMS.

Which ETF pays a higher dividend yield, EEMS or ECOW?

ECOW has the higher dividend yield at 4.60%, compared with 2.69% for EEMS.

What is the main difference between EEMS and ECOW?

EEMS is categorized as Emerging Markets Diversified, while ECOW is Emerging Markets Equities. EEMS tracks MSCI Emerging Markets Small Cap Index, while ECOW tracks Pacer Emerging Markets Cash Cows 100 Index. They also come from different issuers: iShares and Pacer. Their fees differ too: 0.73% for EEMS and 0.70% for ECOW.

Which has better risk-adjusted returns?

ECOW currently has the higher Sharpe Ratio (2.50 vs 1.71), 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.