EMBD vs. SHLD

Last updated Jun 5, 2026

EMBD (Global X Emerging Markets Bond ETF) and SHLD (Global X Defense Tech ETF) are both exchange-traded funds - EMBD is a Emerging Markets Bonds fund actively managed by Global X, while SHLD is a Aerospace & Defense fund tracking the Global X Defense Tech Index. EMBD is actively managed, while SHLD is passively managed. Over the past year, EMBD returned 10.63% vs 11.52% for SHLD. At a 0.18 correlation, their price movements are largely independent. EMBD charges 0.39%/yr vs 0.50%/yr for SHLD.

Performance

EMBD vs. SHLD - Performance Comparison

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

Returns By Period

In the year-to-date period, EMBD achieves a 1.78% return, which is significantly higher than SHLD's -0.74% return.

EMBD

• 1D: 0.51%
• 1M: 0.85%
• YTD: 1.78%
• 6M: 2.30%
• 1Y: 10.63%
• 3Y*: 9.58%
• 5Y*: 2.97%
• 10Y*: —

SHLD

• 1D: 1.58%
• 1M: -4.77%
• YTD: -0.74%
• 6M: 2.22%
• 1Y: 11.52%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

EMBD vs. SHLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
EMBD Global X Emerging Markets Bond ETF	1.78%	12.55%	6.76%	6.71%
SHLD Global X Defense Tech ETF	-0.74%	74.16%	35.03%	12.89%

Correlation

The correlation between EMBD and SHLD is 0.11, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.11
Correlation (All Time) Calculated using the full available price history since Sep 14, 2023	0.18

EMBD vs. SHLD - Sectors Allocation Comparison

Sectors	EMBD	SHLD
Financial Services	0.8%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	-
Industrials	-	88.2%
Real Estate	-	-
Technology	-	11.8%
Utilities	-	-

Return for Risk

EMBD vs. SHLD — Risk / Return Rank

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

EMBD

EMBD Risk / Return Rank: 54
EMBD Sharpe Ratio Rank: 53
EMBD Sortino Ratio Rank: 57
EMBD Omega Ratio Rank: 53
EMBD Calmar Ratio Rank: 51
EMBD Martin Ratio Rank: 57

SHLD

SHLD Risk / Return Rank: 17
SHLD Sharpe Ratio Rank: 17
SHLD Sortino Ratio Rank: 18
SHLD Omega Ratio Rank: 17
SHLD Calmar Ratio Rank: 16
SHLD Martin Ratio Rank: 16

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. SHLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Global X Emerging Markets Bond ETF (EMBD) and Global X Defense Tech ETF (SHLD). 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.

	EMBD	SHLD	Difference
Sharpe ratio: Return per unit of total volatility	1.78	0.48	+1.30
Sortino ratio: Return per unit of downside risk	2.66	0.84	+1.81
Omega ratio: Gain probability vs. loss probability	1.32	1.10	+0.23
Calmar ratio: Return relative to maximum drawdown	2.52	0.58	+1.94
Martin ratio: Return relative to average drawdown	9.79	1.52	+8.27
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

EMBD vs. SHLD - Sharpe Ratio Comparison

The current EMBD Sharpe Ratio is 1.78, which is higher than the SHLD Sharpe Ratio of 0.48. The chart below compares the historical Sharpe Ratios of EMBD and SHLD, 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

	EMBD	SHLD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.78	0.48	+1.30
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.33	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.47	2.03	-1.57

Drawdowns

EMBD vs. SHLD - Drawdown Comparison

The maximum EMBD drawdown since its inception was -24.27%, which is greater than SHLD's maximum drawdown of -20.10%. Use the drawdown chart below to compare losses from any high point for EMBD and SHLD.

Drawdown Indicators

	EMBD	SHLD	Difference
Max Drawdown Largest peak-to-trough decline	-24.27%	-20.10%	-4.17%
Max Drawdown (1Y) Largest decline over 1 year	-4.23%	-20.10%	+15.87%
Max Drawdown (3Y) Largest decline over 3 years	-7.03%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-24.27%	—	—
Current Drawdown Current decline from peak	0.00%	-17.57%	+17.57%
Average Drawdown Average peak-to-trough decline	-5.87%	-3.21%	-2.66%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.09%	7.60%	-6.51%

Volatility

EMBD vs. SHLD - Volatility Comparison

The current volatility for Global X Emerging Markets Bond ETF (EMBD) is 1.59%, while Global X Defense Tech ETF (SHLD) has a volatility of 8.02%. This indicates that EMBD experiences smaller price fluctuations and is considered to be less risky than SHLD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EMBD	SHLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.59%	8.02%	-6.43%
Volatility (6M) Calculated over the trailing 6-month period	4.19%	19.39%	-15.20%
Volatility (1Y) Calculated over the trailing 1-year period	6.01%	24.08%	-18.07%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.17%	21.14%	-11.97%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	8.89%	21.14%	-12.25%

EMBD vs. SHLD - Expense Ratio Comparison

EMBD has a 0.39% expense ratio, which is lower than SHLD's 0.50% expense ratio.

Dividends

EMBD vs. SHLD - Dividend Comparison

EMBD's dividend yield for the trailing twelve months is around 5.66%, more than SHLD's 0.55% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
EMBD Global X Emerging Markets Bond ETF	5.66%	5.48%	5.83%	5.29%	4.53%	4.99%	3.34%
SHLD Global X Defense Tech ETF	0.55%	0.55%	0.53%	0.26%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both EMBD and SHLD in my portfolio?

EMBD and SHLD have a correlation of 0.11, 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 SHLD?

SHLD has higher volatility (8.02%) compared to EMBD (1.59%). In terms of maximum drawdown, EMBD dropped -24.27% vs SHLD's -20.10%.

Which ETF is better, EMBD or SHLD?

On 1-year performance, SHLD leads with 11.52% vs 10.63% for EMBD. On fees, EMBD is cheaper at 0.39% per year. On volatility, EMBD has been the lower-risk option at 1.59%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EMBD or SHLD?

Over the 1-year period, SHLD has performed better with a 11.52% return vs 10.63%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EMBD or SHLD?

EMBD is cheaper with a 0.39% expense ratio, compared with 0.50% for SHLD.

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

EMBD has the higher dividend yield at 5.66%, compared with 0.55% for SHLD.

What is the main difference between EMBD and SHLD?

EMBD is categorized as Emerging Markets Bonds, while SHLD is Aerospace & Defense. Their fees differ too: 0.39% for EMBD and 0.50% for SHLD.

Which has better risk-adjusted returns?

EMBD currently has the higher Sharpe Ratio (1.78 vs 0.48), 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.