EMD5.L vs. XWQS.L

Last updated Jul 18, 2026

EMD5.L (L&G Emerging Markets Government Bond (USD) 0-5 Year Screened UCITS ETF USD (Dist)) and XWQS.L (Xtrackers MSCI World Quality ESG UCITS ETF 1C) are both exchange-traded funds - EMD5.L is a Emerging Markets Bonds fund tracking the J.P. Morgan ESG EMBI Global Diversified Short-Term Custom Maturity Index, while XWQS.L is a ESG fund tracking the MSCI World Quality Low Carbon SRI Screened Select Index. Both are passively managed. Over the past 3 years, EMD5.L returned 7.13%/yr vs 19.43%/yr for XWQS.L. At a 0.35 correlation, their price movements are largely independent. Both charge a 0.25% expense ratio.

Performance

EMD5.L vs. XWQS.L - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in L&G Emerging Markets Government Bond (USD) 0-5 Year Screened UCITS ETF USD (Dist) (EMD5.L) and Xtrackers MSCI World Quality ESG UCITS ETF 1C (XWQS.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

EMD5.L is traded in USD, while XWQS.L is traded in GBP. To make them comparable, the XWQS.L values have been converted to USD using the latest available exchange rates.

Returns By Period

In the year-to-date period, EMD5.L achieves a -0.96% return, which is significantly lower than XWQS.L's 12.44% return.

EMD5.L

• 1D: 0.11%
• 1M: -0.21%
• 6M: 1.53%
• YTD: -0.96%
• 1Y: 3.67%
• 3Y*: 7.13%
• 5Y*: 2.39%
• 10Y*: —

XWQS.L

• 1D: 0.00%
• 1M: 2.71%
• 6M: 9.06%
• YTD: 12.44%
• 1Y: 27.34%
• 3Y*: 19.43%
• 5Y*: —
• 10Y*: —

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

EMD5.L vs. XWQS.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
EMD5.L L&G Emerging Markets Government Bond (USD) 0-5 Year Screened UCITS ETF USD (Dist)	-0.96%	10.15%	8.41%	4.44%
XWQS.L Xtrackers MSCI World Quality ESG UCITS ETF 1C	12.44%	17.36%	18.93%	-12.65%

Correlation

The correlation between EMD5.L and XWQS.L is 0.38, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.38
Correlation (3Y) Calculated over the trailing 3-year period	0.35
Correlation (All Time) Calculated using the full available price history since Jul 5, 2023	0.35

Return for Risk

EMD5.L vs. XWQS.L — Risk / Return Rank

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

EMD5.L

EMD5.L Risk / Return Rank: 31
EMD5.L Sharpe Ratio Rank: 33
EMD5.L Sortino Ratio Rank: 28
EMD5.L Omega Ratio Rank: 40
EMD5.L Calmar Ratio Rank: 29
EMD5.L Martin Ratio Rank: 27

XWQS.L

XWQS.L Risk / Return Rank: 37
XWQS.L Sharpe Ratio Rank: 23
XWQS.L Sortino Ratio Rank: 30
XWQS.L Omega Ratio Rank: 86
XWQS.L Calmar Ratio Rank: 27
XWQS.L Martin Ratio Rank: 20

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.

EMD5.L vs. XWQS.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for L&G Emerging Markets Government Bond (USD) 0-5 Year Screened UCITS ETF USD (Dist) (EMD5.L) and Xtrackers MSCI World Quality ESG UCITS ETF 1C (XWQS.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.

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.

	EMD5.L	XWQS.L	Difference
Sharpe ratio: Return per unit of total volatility	0.91	0.63	+0.28
Sortino ratio: Return per unit of downside risk	1.23	1.31	-0.08
Omega ratio: Gain probability vs. loss probability	1.21	1.37	-0.16
Calmar ratio: Return relative to maximum drawdown	1.10	1.02	+0.08
Martin ratio: Return relative to average drawdown	2.76	1.60	+1.16

EMD5.L vs. XWQS.L - Sharpe Ratio Comparison

The current EMD5.L Sharpe Ratio is 0.91, which is higher than the XWQS.L Sharpe Ratio of 0.63. The chart below compares the historical Sharpe Ratios of EMD5.L and XWQS.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.

Drawdowns

EMD5.L vs. XWQS.L - Drawdown Comparison

The maximum EMD5.L drawdown since its inception was -16.04%, smaller than the maximum XWQS.L drawdown of -29.52%. Use the drawdown chart below to compare losses from any high point for EMD5.L and XWQS.L.

Drawdown Indicators

	EMD5.L	XWQS.L	Difference
Max Drawdown Largest peak-to-trough decline	-16.04%	-29.52%	+13.48%
Max Drawdown (1Y) Largest decline over 1 year	-3.29%	-26.73%	+23.44%
Max Drawdown (3Y) Largest decline over 3 years	-3.29%	-26.73%	+23.44%
Max Drawdown (5Y) Largest decline over 5 years	-16.04%	—	—
Current Drawdown Current decline from peak	-1.06%	-12.21%	+11.15%
Average Drawdown Average peak-to-trough decline	-4.32%	-11.42%	+7.10%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.31%	17.09%	-15.78%

Volatility

EMD5.L vs. XWQS.L - Volatility Comparison

The current volatility for L&G Emerging Markets Government Bond (USD) 0-5 Year Screened UCITS ETF USD (Dist) (EMD5.L) is 0.95%, while Xtrackers MSCI World Quality ESG UCITS ETF 1C (XWQS.L) has a volatility of 3.45%. This indicates that EMD5.L experiences smaller price fluctuations and is considered to be less risky than XWQS.L based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EMD5.L	XWQS.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.95%	3.45%	-2.50%
Volatility (6M) Calculated over the trailing 6-month period	3.51%	9.73%	-6.22%
Volatility (1Y) Calculated over the trailing 1-year period	3.97%	43.44%	-39.47%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.85%	30.59%	-25.74%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.62%	30.59%	-25.97%

EMD5.L vs. XWQS.L - Expense Ratio Comparison

Both EMD5.L and XWQS.L have an expense ratio of 0.25%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

EMD5.L vs. XWQS.L - Dividend Comparison

Neither EMD5.L nor XWQS.L has paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021
EMD5.L L&G Emerging Markets Government Bond (USD) 0-5 Year Screened UCITS ETF USD (Dist)	0.00%	5.66%	6.09%	4.60%	3.04%	1.25%
XWQS.L Xtrackers MSCI World Quality ESG UCITS ETF 1C	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both EMD5.L and XWQS.L in my portfolio?

EMD5.L and XWQS.L have a correlation of 0.38, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, EMD5.L or XWQS.L?

Both ETFs have the same 0.25% expense ratio. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, EMD5.L or XWQS.L?

EMD5.L and XWQS.L have the same expense ratio: 0.25% per year.

What is the main difference between EMD5.L and XWQS.L?

EMD5.L is categorized as Emerging Markets Bonds, while XWQS.L is ESG. EMD5.L tracks J.P. Morgan ESG EMBI Global Diversified Short-Term Custom Maturity Index, while XWQS.L tracks MSCI World Quality Low Carbon SRI Screened Select Index. They also come from different issuers: L&G and Xtrackers.