EMCS vs. USNZ

Last updated Jun 3, 2026

EMCS (Xtrackers MSCI Emerging Markets Climate Selection ETF) and USNZ (Xtrackers Net Zero Pathway Paris Aligned US Equity ETF) are both exchange-traded funds - EMCS is a Emerging Markets Equities fund tracking the MSCI Emerging Markets Climate Select Index, while USNZ is a Large Cap Blend Equities fund tracking the Solactive ISS ESG United States Net Zero Pathway Enhanced Index - Benchmark TR Net. Both are passively managed. Over the past 3 years, EMCS returned 28.16%/yr vs 21.52%/yr for USNZ. A 0.63 correlation means they provide meaningful diversification when combined. EMCS charges 0.15%/yr vs 0.10%/yr for USNZ.

Performance

EMCS vs. USNZ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Xtrackers MSCI Emerging Markets Climate Selection ETF (EMCS) and Xtrackers Net Zero Pathway Paris Aligned US Equity ETF (USNZ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EMCS achieves a 35.45% return, which is significantly higher than USNZ's 11.68% return.

EMCS

• 1D: 1.81%
• 1M: 14.49%
• YTD: 35.45%
• 6M: 39.15%
• 1Y: 67.22%
• 3Y*: 28.16%
• 5Y*: 8.46%
• 10Y*: —

USNZ

• 1D: 0.03%
• 1M: 6.57%
• YTD: 11.68%
• 6M: 11.70%
• 1Y: 30.85%
• 3Y*: 21.52%
• 5Y*: —
• 10Y*: —

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

EMCS vs. USNZ - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
EMCS Xtrackers MSCI Emerging Markets Climate Selection ETF	35.45%	38.71%	10.12%	5.68%	-6.60%
USNZ Xtrackers Net Zero Pathway Paris Aligned US Equity ETF	11.68%	17.76%	21.96%	27.76%	0.74%

Correlation

The correlation between EMCS and USNZ is 0.71, 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	0.71
Correlation (3Y) Calculated over the trailing 3-year period	0.63
Correlation (All Time) Calculated using the full available price history since Jun 29, 2022	0.63

The correlation between EMCS and USNZ has been stable across timeframes, ranging from 0.63 to 0.71 - a consistent structural relationship.

EMCS vs. USNZ - Sectors Allocation Comparison

Sectors	EMCS	USNZ
Technology	44.5%	41.9%
Financial Services	29.4%	10.5%
Consumer Cyclical	9.1%	10.5%
Communication Services	8.4%	13.4%
Basic Materials	2.6%	1.3%
Industrials	2.5%	3.5%
Energy	1.6%	0.0%
Real Estate	1.0%	3.3%
Utilities	0.8%	1.1%
Consumer Defensive	0.0%	3.4%
Healthcare	0.0%	11.2%

Return for Risk

EMCS vs. USNZ — Risk / Return Rank

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

EMCS

EMCS Risk / Return Rank: 86
EMCS Sharpe Ratio Rank: 88
EMCS Sortino Ratio Rank: 84
EMCS Omega Ratio Rank: 86
EMCS Calmar Ratio Rank: 85
EMCS Martin Ratio Rank: 86

USNZ

USNZ Risk / Return Rank: 67
USNZ Sharpe Ratio Rank: 71
USNZ Sortino Ratio Rank: 70
USNZ Omega Ratio Rank: 69
USNZ Calmar Ratio Rank: 56
USNZ Martin Ratio Rank: 66

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.

EMCS vs. USNZ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Xtrackers MSCI Emerging Markets Climate Selection ETF (EMCS) and Xtrackers Net Zero Pathway Paris Aligned US Equity ETF (USNZ). 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.

	EMCS	USNZ	Difference
Sharpe ratio Return per unit of total volatility	3.03	2.38	+0.64
Sortino ratio Return per unit of downside risk	3.84	3.27	+0.57
Omega ratio Gain probability vs. loss probability	1.54	1.43	+0.12
Calmar ratio Return relative to maximum drawdown	4.78	2.82	+1.96
Martin ratio Return relative to average drawdown	18.54	12.45	+6.10
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

EMCS vs. USNZ - Sharpe Ratio Comparison

The current EMCS Sharpe Ratio is 3.03, which is comparable to the USNZ Sharpe Ratio of 2.38. The chart below compares the historical Sharpe Ratios of EMCS and USNZ, 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

	EMCS	USNZ	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	3.03	2.38	+0.64
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.41	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.55	1.23	-0.67

Drawdowns

EMCS vs. USNZ - Drawdown Comparison

The maximum EMCS drawdown since its inception was -44.86%, which is greater than USNZ's maximum drawdown of -19.16%. Use the drawdown chart below to compare losses from any high point for EMCS and USNZ.

Drawdown Indicators

	EMCS	USNZ	Difference
Max Drawdown Largest peak-to-trough decline	-44.86%	-19.16%	-25.70%
Max Drawdown (1Y) Largest decline over 1 year	-14.32%	-11.07%	-3.25%
Max Drawdown (3Y) Largest decline over 3 years	-16.73%	-19.16%	+2.43%
Max Drawdown (5Y) Largest decline over 5 years	-42.06%	—	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-16.62%	-3.32%	-13.30%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.69%	2.51%	+1.18%

Volatility

EMCS vs. USNZ - Volatility Comparison

Xtrackers MSCI Emerging Markets Climate Selection ETF (EMCS) has a higher volatility of 9.71% compared to Xtrackers Net Zero Pathway Paris Aligned US Equity ETF (USNZ) at 3.33%. This indicates that EMCS's price experiences larger fluctuations and is considered to be riskier than USNZ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EMCS	USNZ	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.71%	3.33%	+6.38%
Volatility (6M) Calculated over the trailing 6-month period	19.36%	10.12%	+9.24%
Volatility (1Y) Calculated over the trailing 1-year period	22.33%	13.00%	+9.33%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.63%	16.63%	+4.00%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.65%	16.63%	+5.02%

EMCS vs. USNZ - Expense Ratio Comparison

EMCS has a 0.15% expense ratio, which is higher than USNZ's 0.10% 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

EMCS vs. USNZ - Dividend Comparison

EMCS's dividend yield for the trailing twelve months is around 1.23%, more than USNZ's 0.93% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019
EMCS Xtrackers MSCI Emerging Markets Climate Selection ETF	1.23%	1.66%	0.67%	3.07%	2.26%	1.46%	1.40%	3.56%
USNZ Xtrackers Net Zero Pathway Paris Aligned US Equity ETF	0.93%	1.02%	1.14%	1.19%	0.80%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both EMCS and USNZ in my portfolio?

EMCS and USNZ have a correlation of 0.71, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EMCS or USNZ?

EMCS has higher volatility (9.71%) compared to USNZ (3.33%). In terms of maximum drawdown, EMCS dropped -44.86% vs USNZ's -19.16%.

Which ETF is better, EMCS or USNZ?

On 3-year performance, EMCS leads with 28.16% vs 21.52% for USNZ. On fees, USNZ is cheaper at 0.10% per year. On volatility, USNZ has been the lower-risk option at 3.33%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EMCS or USNZ?

Over the 3-year period, EMCS has performed better with a 28.16% return vs 21.52%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EMCS or USNZ?

USNZ is cheaper with a 0.10% expense ratio, compared with 0.15% for EMCS.

Which ETF pays a higher dividend yield, EMCS or USNZ?

EMCS has the higher dividend yield at 1.23%, compared with 0.93% for USNZ.

What is the main difference between EMCS and USNZ?

EMCS is categorized as Emerging Markets Equities, while USNZ is Large Cap Blend Equities. EMCS tracks MSCI Emerging Markets Climate Select Index, while USNZ tracks Solactive ISS ESG United States Net Zero Pathway Enhanced Index - Benchmark TR Net. Their fees differ too: 0.15% for EMCS and 0.10% for USNZ.

Which has better risk-adjusted returns?

EMCS currently has the higher Sharpe Ratio (3.03 vs 2.38), 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.