EMDM vs. EWY
EMDM (First Trust Bloomberg Emerging Market Democracies ETF) and EWY (iShares MSCI South Korea ETF) are both exchange-traded funds - EMDM is a Emerging Markets Diversified fund tracking the Bloomberg Emerging Market Democracies Index - Benchmark TR Net, while EWY is a Asia Pacific Equities fund tracking the MSCI Korea Index. Both are passively managed. Over the past 3 years, EMDM returned 30.34%/yr vs 46.46%/yr for EWY. A 0.79 correlation means they provide meaningful diversification when combined. EMDM charges 0.75%/yr vs 0.59%/yr for EWY.
Performance
EMDM vs. EWY - Performance Comparison
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Returns By Period
In the year-to-date period, EMDM achieves a 36.28% return, which is significantly lower than EWY's 103.10% return.
EMDM
- 1D
- 0.70%
- 1M
- 6.11%
- YTD
- 36.28%
- 6M
- 42.03%
- 1Y
- 83.08%
- 3Y*
- 30.34%
- 5Y*
- —
- 10Y*
- —
EWY
- 1D
- -0.75%
- 1M
- 10.39%
- YTD
- 103.10%
- 6M
- 117.85%
- 1Y
- 203.95%
- 3Y*
- 46.46%
- 5Y*
- 18.80%
- 10Y*
- 16.84%
EMDM vs. EWY - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | |
|---|---|---|---|---|
EMDM First Trust Bloomberg Emerging Market Democracies ETF | 36.28% | 59.68% | -4.93% | 14.75% |
EWY iShares MSCI South Korea ETF | 103.10% | 95.33% | -20.48% | 13.28% |
Correlation
The correlation between EMDM and EWY is 0.82, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.82 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.80 |
Correlation (All Time) Calculated using the full available price history since Mar 3, 2023 | 0.79 |
The correlation between EMDM and EWY has been stable across timeframes, ranging from 0.79 to 0.82 - a consistent structural relationship.
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Return for Risk
EMDM vs. EWY — Risk / Return Rank
EMDM
EWY
EMDM vs. EWY - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for First Trust Bloomberg Emerging Market Democracies ETF (EMDM) and iShares MSCI South Korea ETF (EWY). 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.
| EMDM | EWY | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -1.08 | ||
| Sortino ratioReturn per unit of downside risk | -0.30 | ||
| Omega ratioGain probability vs. loss probability | 1.55 | 1.59 | -0.04 |
| Calmar ratioReturn relative to maximum drawdown | 5.18 | 8.65 | -3.47 |
| Martin ratioReturn relative to average drawdown | 20.59 | 30.24 | -9.64 |
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Drawdowns
EMDM vs. EWY - Drawdown Comparison
The maximum EMDM drawdown since its inception was -18.81%, smaller than the maximum EWY drawdown of -74.14%. Use the drawdown chart below to compare losses from any high point for EMDM and EWY.
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Drawdown Indicators
| EMDM | EWY | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -18.81% | -74.14% | +55.33% |
Max Drawdown (1Y)Largest decline over 1 year | -15.65% | -23.08% | +7.43% |
Max Drawdown (3Y)Largest decline over 3 years | -18.81% | -27.36% | +8.55% |
Max Drawdown (5Y)Largest decline over 5 years | — | -48.55% | — |
Max Drawdown (10Y)Largest decline over 10 years | — | -49.73% | — |
Current DrawdownCurrent decline from peak | -3.27% | -8.88% | +5.61% |
Average DrawdownAverage peak-to-trough decline | -4.08% | -20.11% | +16.03% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.93% | 6.59% | -2.66% |
Volatility
EMDM vs. EWY - Volatility Comparison
The current volatility for First Trust Bloomberg Emerging Market Democracies ETF (EMDM) is 12.16%, while iShares MSCI South Korea ETF (EWY) has a volatility of 25.64%. This indicates that EMDM experiences smaller price fluctuations and is considered to be less risky than EWY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| EMDM | EWY | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 12.16% | 25.64% | -13.48% |
Volatility (6M)Calculated over the trailing 6-month period | 22.86% | 42.65% | -19.79% |
Volatility (1Y)Calculated over the trailing 1-year period | 25.23% | 46.51% | -21.28% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 20.36% | 30.15% | -9.79% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 20.36% | 28.06% | -7.70% |
EMDM vs. EWY - Expense Ratio Comparison
EMDM has a 0.75% expense ratio, which is higher than EWY's 0.59% expense ratio.
Dividends
EMDM vs. EWY - Dividend Comparison
EMDM's dividend yield for the trailing twelve months is around 2.62%, more than EWY's 1.03% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
EMDM First Trust Bloomberg Emerging Market Democracies ETF | 2.62% | 3.57% | 5.87% | 2.16% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
EWY iShares MSCI South Korea ETF | 1.03% | 2.10% | 2.55% | 2.52% | 1.23% | 2.16% | 0.73% | 2.10% | 1.34% | 2.90% | 1.21% | 2.42% |
Frequently Asked Questions
EMDM and EWY have a correlation of 0.82, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
EWY has higher volatility (25.64%) compared to EMDM (12.16%). In terms of maximum drawdown, EMDM dropped -18.81% vs EWY's -74.14%.
On 3-year performance, EWY leads with 46.46% vs 30.34% for EMDM. On fees, EWY is cheaper at 0.59% per year. On volatility, EMDM has been the lower-risk option at 12.16%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 3-year period, EWY has performed better with a 46.46% return vs 30.34%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
EWY is cheaper with a 0.59% expense ratio, compared with 0.75% for EMDM.
EMDM has the higher dividend yield at 2.62%, compared with 1.03% for EWY.
EMDM is categorized as Emerging Markets Diversified, while EWY is Asia Pacific Equities. EMDM tracks Bloomberg Emerging Market Democracies Index - Benchmark TR Net, while EWY tracks MSCI Korea Index. They also come from different issuers: First Trust and iShares. Their fees differ too: 0.75% for EMDM and 0.59% for EWY.
EWY currently has the higher Sharpe Ratio (4.29 vs 3.21), 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.
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