EGDM.L vs. HMEF.L

Last updated Jun 5, 2026

EGDM.L (iShares MSCI EM ESG Enhanced UCITS ETF USD (Dist)) and HMEF.L (HSBC MSCI Emerging Markets UCITS ETF USD) are both Emerging Markets Equities funds tracking the MSCI EM NR USD, from iShares and HSBC respectively. Both are passively managed. Over the past 5 years, EGDM.L returned 7.74%/yr vs 5.72%/yr for HMEF.L. With a 0.97 correlation, they move nearly in lockstep. EGDM.L charges 0.18%/yr vs 0.15%/yr for HMEF.L.

Performance

EGDM.L vs. HMEF.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in iShares MSCI EM ESG Enhanced UCITS ETF USD (Dist) (EGDM.L) and HSBC MSCI Emerging Markets UCITS ETF USD (HMEF.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

EGDM.L is traded in GBP, while HMEF.L is traded in GBp. To make them comparable, the HMEF.L values have been converted to GBP using the latest available exchange rates.

Returns By Period

The year-to-date returns for both investments are quite close, with EGDM.L having a 25.08% return and HMEF.L slightly higher at 25.52%.

EGDM.L

• 1D: -1.60%
• 1M: 6.55%
• YTD: 25.08%
• 6M: 26.80%
• 1Y: 51.52%
• 3Y*: 20.30%
• 5Y*: 7.74%
• 10Y*: —

HMEF.L

• 1D: -1.66%
• 1M: 6.53%
• YTD: 25.52%
• 6M: 27.29%
• 1Y: 51.20%
• 3Y*: 17.76%
• 5Y*: 5.72%
• 10Y*: 8.47%

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

EGDM.L vs. HMEF.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
EGDM.L iShares MSCI EM ESG Enhanced UCITS ETF USD (Dist)	25.08%	26.25%	8.50%	2.10%	-12.36%	-1.65%	15.68%	2.53%
HMEF.L HSBC MSCI Emerging Markets UCITS ETF USD	25.52%	21.88%	6.43%	-0.16%	-12.59%	-4.10%	12.68%	3.37%

Correlation

The correlation between EGDM.L and HMEF.L is 0.98 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.98
Correlation (3Y) Calculated over the trailing 3-year period	0.98
Correlation (5Y) Calculated over the trailing 5-year period	0.98
Correlation (All Time) Calculated using the full available price history since Nov 25, 2019	0.97

The correlation between EGDM.L and HMEF.L has been stable across timeframes, ranging from 0.97 to 0.98 - a consistent structural relationship.

EGDM.L vs. HMEF.L - Sectors Allocation Comparison

Sectors	EGDM.L	HMEF.L
Technology	43.1%	42.9%
Financial Services	17.9%	17.8%
Consumer Cyclical	8.6%	8.7%
Industrials	7.0%	6.8%
Communication Services	6.3%	6.2%
Basic Materials	5.5%	5.9%
Energy	3.4%	3.5%
Consumer Defensive	2.7%	2.7%
Healthcare	2.6%	2.6%
Utilities	1.7%	1.9%
Real Estate	1.3%	1.0%

Return for Risk

EGDM.L vs. HMEF.L — Risk / Return Rank

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

EGDM.L

EGDM.L Risk / Return Rank: 87
EGDM.L Sharpe Ratio Rank: 90
EGDM.L Sortino Ratio Rank: 87
EGDM.L Omega Ratio Rank: 90
EGDM.L Calmar Ratio Rank: 84
EGDM.L Martin Ratio Rank: 81

HMEF.L

HMEF.L Risk / Return Rank: 86
HMEF.L Sharpe Ratio Rank: 89
HMEF.L Sortino Ratio Rank: 87
HMEF.L Omega Ratio Rank: 89
HMEF.L Calmar Ratio Rank: 85
HMEF.L Martin Ratio Rank: 81

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.

EGDM.L vs. HMEF.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI EM ESG Enhanced UCITS ETF USD (Dist) (EGDM.L) and HSBC MSCI Emerging Markets UCITS ETF USD (HMEF.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.

	EGDM.L	HMEF.L	Difference
Sharpe ratio: Return per unit of total volatility	3.05	2.99	+0.06
Sortino ratio: Return per unit of downside risk	3.92	3.88	+0.04
Omega ratio: Gain probability vs. loss probability	1.56	1.55	+0.01
Calmar ratio: Return relative to maximum drawdown	4.47	4.60	-0.13
Martin ratio: Return relative to average drawdown	15.88	15.90	-0.02
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

EGDM.L vs. HMEF.L - Sharpe Ratio Comparison

The current EGDM.L Sharpe Ratio is 3.05, which is comparable to the HMEF.L Sharpe Ratio of 2.99. The chart below compares the historical Sharpe Ratios of EGDM.L and HMEF.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

	EGDM.L	HMEF.L	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.05	2.99	+0.06
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.48	0.35	+0.13
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.47	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.52	0.27	+0.25

Drawdowns

EGDM.L vs. HMEF.L - Drawdown Comparison

The maximum EGDM.L drawdown since its inception was -28.27%, smaller than the maximum HMEF.L drawdown of -32.91%. Use the drawdown chart below to compare losses from any high point for EGDM.L and HMEF.L.

Drawdown Indicators

	EGDM.L	HMEF.L	Difference
Max Drawdown Largest peak-to-trough decline	-28.27%	-32.91%	+4.64%
Max Drawdown (1Y) Largest decline over 1 year	-11.46%	-11.07%	-0.39%
Max Drawdown (3Y) Largest decline over 3 years	-15.33%	-15.40%	+0.07%
Max Drawdown (5Y) Largest decline over 5 years	-25.09%	-26.99%	+1.90%
Max Drawdown (10Y) Largest decline over 10 years	—	-30.58%	—
Current Drawdown Current decline from peak	-2.51%	-2.56%	+0.05%
Average Drawdown Average peak-to-trough decline	-12.18%	-12.28%	+0.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.23%	3.21%	+0.02%

Volatility

EGDM.L vs. HMEF.L - Volatility Comparison

iShares MSCI EM ESG Enhanced UCITS ETF USD (Dist) (EGDM.L) and HSBC MSCI Emerging Markets UCITS ETF USD (HMEF.L) have volatilities of 7.45% and 7.42%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EGDM.L	HMEF.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.45%	7.42%	+0.03%
Volatility (6M) Calculated over the trailing 6-month period	14.40%	14.61%	-0.21%
Volatility (1Y) Calculated over the trailing 1-year period	16.85%	17.04%	-0.19%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.15%	16.23%	-0.08%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.01%	17.92%	+0.09%

EGDM.L vs. HMEF.L - Expense Ratio Comparison

EGDM.L has a 0.18% expense ratio, which is higher than HMEF.L's 0.15% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

EGDM.L vs. HMEF.L - Dividend Comparison

EGDM.L's dividend yield for the trailing twelve months is around 1.51%, more than HMEF.L's 0.02% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EGDM.L iShares MSCI EM ESG Enhanced UCITS ETF USD (Dist)	1.51%	1.88%	2.34%	2.37%	2.55%	1.96%	1.62%	0.05%	0.00%	0.00%	0.00%	0.00%
HMEF.L HSBC MSCI Emerging Markets UCITS ETF USD	0.02%	0.02%	0.02%	0.03%	0.03%	0.02%	0.02%	0.02%	0.02%	0.02%	0.02%	0.02%

Frequently Asked Questions

Can I hold both EGDM.L and HMEF.L in my portfolio?

With a correlation of 0.98, EGDM.L and HMEF.L 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 ETF is better, EGDM.L or HMEF.L?

On fees, HMEF.L is cheaper at 0.15% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, EGDM.L or HMEF.L?

HMEF.L is cheaper with a 0.15% expense ratio, compared with 0.18% for EGDM.L.

What is the main difference between EGDM.L and HMEF.L?

Both ETFs track MSCI EM NR USD. They also come from different issuers: iShares and HSBC. Their fees differ too: 0.18% for EGDM.L and 0.15% for HMEF.L.