EMBD vs. SCHE

Last updated Jun 24, 2026

EMBD (Global X Emerging Markets Bond ETF) and SCHE (Schwab Emerging Markets Equity ETF) are both exchange-traded funds - EMBD is a Emerging Markets Bonds fund actively managed by Global X, while SCHE is a Emerging Markets Equities fund tracking the FTSE Emerging Index. EMBD is actively managed, while SCHE is passively managed. Over the past 5 years, EMBD returned 2.97%/yr vs 4.91%/yr for SCHE. At a 0.39 correlation, their price movements are largely independent. EMBD charges 0.39%/yr vs 0.11%/yr for SCHE.

Performance

EMBD vs. SCHE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Global X Emerging Markets Bond ETF (EMBD) and Schwab Emerging Markets Equity ETF (SCHE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EMBD achieves a 1.70% return, which is significantly lower than SCHE's 10.23% return.

EMBD

• 1D: -0.13%
• 1M: 0.90%
• YTD: 1.70%
• 6M: 1.88%
• 1Y: 9.76%
• 3Y*: 9.16%
• 5Y*: 2.97%
• 10Y*: —

SCHE

• 1D: -3.06%
• 1M: 0.98%
• YTD: 10.23%
• 6M: 10.33%
• 1Y: 26.99%
• 3Y*: 17.60%
• 5Y*: 4.91%
• 10Y*: 8.96%

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

EMBD vs. SCHE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
EMBD Global X Emerging Markets Bond ETF	1.70%	12.55%	6.76%	10.60%	-13.84%	-1.84%	11.42%
SCHE Schwab Emerging Markets Equity ETF	10.23%	26.54%	10.60%	8.93%	-17.84%	-0.65%	30.67%

Correlation

The correlation between EMBD and SCHE is 0.44, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.44
Correlation (3Y) Calculated over the trailing 3-year period	0.35
Correlation (5Y) Calculated over the trailing 5-year period	0.37
Correlation (All Time) Calculated using the full available price history since Jun 3, 2020	0.39

Return for Risk

EMBD vs. SCHE — Risk / Return Rank

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

EMBD

EMBD Risk / Return Rank: 52
EMBD Sharpe Ratio Rank: 50
EMBD Sortino Ratio Rank: 54
EMBD Omega Ratio Rank: 49
EMBD Calmar Ratio Rank: 50
EMBD Martin Ratio Rank: 55

SCHE

SCHE Risk / Return Rank: 48
SCHE Sharpe Ratio Rank: 47
SCHE Sortino Ratio Rank: 45
SCHE Omega Ratio Rank: 48
SCHE Calmar Ratio Rank: 50
SCHE Martin Ratio Rank: 51

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.

EMBD vs. SCHE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Global X Emerging Markets Bond ETF (EMBD) and Schwab Emerging Markets Equity ETF (SCHE). 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.

	EMBD	SCHE	Difference
Sharpe ratio: Return per unit of total volatility	1.62	1.56	+0.06
Sortino ratio: Return per unit of downside risk	2.42	2.16	+0.26
Omega ratio: Gain probability vs. loss probability	1.30	1.29	0.00
Calmar ratio: Return relative to maximum drawdown	2.32	2.40	-0.09
Martin ratio: Return relative to average drawdown	8.97	8.46	+0.51

EMBD vs. SCHE - Sharpe Ratio Comparison

The current EMBD Sharpe Ratio is 1.62, which is comparable to the SCHE Sharpe Ratio of 1.56. The chart below compares the historical Sharpe Ratios of EMBD and SCHE, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

EMBD vs. SCHE - Drawdown Comparison

The maximum EMBD drawdown since its inception was -24.27%, smaller than the maximum SCHE drawdown of -36.20%. Use the drawdown chart below to compare losses from any high point for EMBD and SCHE.

Drawdown Indicators

	EMBD	SCHE	Difference
Max Drawdown Largest peak-to-trough decline	-24.27%	-36.20%	+11.93%
Max Drawdown (1Y) Largest decline over 1 year	-4.23%	-11.29%	+7.06%
Max Drawdown (3Y) Largest decline over 3 years	-7.03%	-17.08%	+10.05%
Max Drawdown (5Y) Largest decline over 5 years	-24.27%	-33.31%	+9.04%
Max Drawdown (10Y) Largest decline over 10 years	—	-36.20%	—
Current Drawdown Current decline from peak	-0.69%	-3.06%	+2.37%
Average Drawdown Average peak-to-trough decline	-5.83%	-12.56%	+6.73%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.09%	3.20%	-2.11%

Volatility

EMBD vs. SCHE - Volatility Comparison

The current volatility for Global X Emerging Markets Bond ETF (EMBD) is 1.58%, while Schwab Emerging Markets Equity ETF (SCHE) has a volatility of 7.54%. This indicates that EMBD experiences smaller price fluctuations and is considered to be less risky than SCHE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EMBD	SCHE	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.58%	7.54%	-5.96%
Volatility (6M) Calculated over the trailing 6-month period	4.18%	15.01%	-10.83%
Volatility (1Y) Calculated over the trailing 1-year period	6.05%	17.35%	-11.30%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.18%	17.89%	-8.71%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	8.86%	19.45%	-10.59%

EMBD vs. SCHE - Expense Ratio Comparison

EMBD has a 0.39% expense ratio, which is higher than SCHE's 0.11% expense ratio.

Dividends

EMBD vs. SCHE - Dividend Comparison

EMBD's dividend yield for the trailing twelve months is around 5.67%, more than SCHE's 2.61% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EMBD Global X Emerging Markets Bond ETF	5.67%	5.48%	5.83%	5.29%	4.53%	4.99%	3.34%	0.00%	0.00%	0.00%	0.00%	0.00%
SCHE Schwab Emerging Markets Equity ETF	2.61%	2.88%	3.03%	3.83%	2.88%	2.86%	2.09%	3.27%	2.64%	2.31%	2.27%	2.50%

Frequently Asked Questions

Can I hold both EMBD and SCHE in my portfolio?

EMBD and SCHE have a correlation of 0.44, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EMBD or SCHE?

SCHE has higher volatility (7.54%) compared to EMBD (1.58%). In terms of maximum drawdown, EMBD dropped -24.27% vs SCHE's -36.20%.

Which ETF is better, EMBD or SCHE?

On 5-year performance, SCHE leads with 4.91% vs 2.97% for EMBD. On fees, SCHE is cheaper at 0.11% per year. On volatility, EMBD has been the lower-risk option at 1.58%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EMBD or SCHE?

Over the 5-year period, SCHE has performed better with a 4.91% return vs 2.97%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EMBD or SCHE?

SCHE is cheaper with a 0.11% expense ratio, compared with 0.39% for EMBD.

Which ETF pays a higher dividend yield, EMBD or SCHE?

EMBD has the higher dividend yield at 5.67%, compared with 2.61% for SCHE.

What is the main difference between EMBD and SCHE?

EMBD is categorized as Emerging Markets Bonds, while SCHE is Emerging Markets Equities. They also come from different issuers: Global X and Charles Schwab. Their fees differ too: 0.39% for EMBD and 0.11% for SCHE.

Which has better risk-adjusted returns?

EMBD currently has the higher Sharpe Ratio (1.62 vs 1.56), 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.