EMDM vs. FDL
EMDM (First Trust Bloomberg Emerging Market Democracies ETF) and FDL (First Trust Morningstar Dividend Leaders Index Fund) are both exchange-traded funds - EMDM is a Emerging Markets Diversified fund tracking the Bloomberg Emerging Market Democracies Index - Benchmark TR Net, while FDL is a Large Cap Value Equities fund tracking the Morningstar Dividend Leaders Index. Both are passively managed. Over the past 3 years, EMDM returned 30.82%/yr vs 19.10%/yr for FDL. At a 0.32 correlation, their price movements are largely independent. EMDM charges 0.75%/yr vs 0.43%/yr for FDL.
Performance
EMDM vs. FDL - Performance Comparison
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Returns By Period
In the year-to-date period, EMDM achieves a 35.53% return, which is significantly higher than FDL's 12.67% return.
EMDM
- 1D
- -5.54%
- 1M
- 3.57%
- YTD
- 35.53%
- 6M
- 38.16%
- 1Y
- 81.79%
- 3Y*
- 30.82%
- 5Y*
- —
- 10Y*
- —
FDL
- 1D
- 1.20%
- 1M
- -2.75%
- YTD
- 12.67%
- 6M
- 13.02%
- 1Y
- 22.39%
- 3Y*
- 19.10%
- 5Y*
- 13.08%
- 10Y*
- 11.12%
EMDM vs. FDL - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | |
|---|---|---|---|---|
EMDM First Trust Bloomberg Emerging Market Democracies ETF | 35.53% | 59.68% | -4.93% | 14.75% |
FDL First Trust Morningstar Dividend Leaders Index Fund | 12.67% | 14.79% | 17.98% | 2.97% |
Correlation
The correlation between EMDM and FDL is 0.06, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.06 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.29 |
Correlation (All Time) Calculated using the full available price history since Mar 3, 2023 | 0.32 |
Over the past year, the correlation between EMDM and FDL has dropped to 0.06 - well below their long-term average of 0.32, suggesting their price drivers have been diverging.
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Return for Risk
EMDM vs. FDL — Risk / Return Rank
EMDM
FDL
EMDM vs. FDL - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for First Trust Bloomberg Emerging Market Democracies ETF (EMDM) and First Trust Morningstar Dividend Leaders Index Fund (FDL). 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 | FDL | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +1.20 | ||
| Sortino ratioReturn per unit of downside risk | +0.69 | ||
| Omega ratioGain probability vs. loss probability | 1.54 | 1.34 | +0.20 |
| Calmar ratioReturn relative to maximum drawdown | 5.25 | 5.26 | -0.01 |
| Martin ratioReturn relative to average drawdown | 20.82 | 12.40 | +8.43 |
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Drawdowns
EMDM vs. FDL - Drawdown Comparison
The maximum EMDM drawdown since its inception was -18.81%, smaller than the maximum FDL drawdown of -65.93%. Use the drawdown chart below to compare losses from any high point for EMDM and FDL.
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Drawdown Indicators
| EMDM | FDL | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -18.81% | -65.93% | +47.12% |
Max Drawdown (1Y)Largest decline over 1 year | -15.65% | -4.27% | -11.38% |
Max Drawdown (3Y)Largest decline over 3 years | -18.81% | -12.24% | -6.57% |
Max Drawdown (5Y)Largest decline over 5 years | — | -16.46% | — |
Max Drawdown (10Y)Largest decline over 10 years | — | -41.40% | — |
Current DrawdownCurrent decline from peak | -5.54% | -3.09% | -2.45% |
Average DrawdownAverage peak-to-trough decline | -4.06% | -9.64% | +5.58% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.94% | 1.81% | +2.13% |
Volatility
EMDM vs. FDL - Volatility Comparison
First Trust Bloomberg Emerging Market Democracies ETF (EMDM) has a higher volatility of 13.23% compared to First Trust Morningstar Dividend Leaders Index Fund (FDL) at 3.72%. This indicates that EMDM's price experiences larger fluctuations and is considered to be riskier than FDL based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| EMDM | FDL | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 13.23% | 3.72% | +9.51% |
Volatility (6M)Calculated over the trailing 6-month period | 23.83% | 8.09% | +15.74% |
Volatility (1Y)Calculated over the trailing 1-year period | 26.11% | 11.54% | +14.57% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 20.67% | 14.31% | +6.36% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 20.67% | 17.11% | +3.56% |
EMDM vs. FDL - Expense Ratio Comparison
EMDM has a 0.75% expense ratio, which is higher than FDL's 0.43% expense ratio.
Dividends
EMDM vs. FDL - Dividend Comparison
EMDM's dividend yield for the trailing twelve months is around 2.63%, less than FDL's 3.70% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
EMDM First Trust Bloomberg Emerging Market Democracies ETF | 2.63% | 3.57% | 5.87% | 2.16% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
FDL First Trust Morningstar Dividend Leaders Index Fund | 3.70% | 4.04% | 4.96% | 4.58% | 3.58% | 4.59% | 4.48% | 3.75% | 3.97% | 3.18% | 2.93% | 3.65% |
Frequently Asked Questions
EMDM and FDL have a correlation of 0.06, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
EMDM has higher volatility (13.23%) compared to FDL (3.72%). In terms of maximum drawdown, EMDM dropped -18.81% vs FDL's -65.93%.
On 3-year performance, EMDM leads with 30.82% vs 19.10% for FDL. On fees, FDL is cheaper at 0.43% per year. On volatility, FDL has been the lower-risk option at 3.72%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 3-year period, EMDM has performed better with a 30.82% return vs 19.10%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
FDL is cheaper with a 0.43% expense ratio, compared with 0.75% for EMDM.
FDL has the higher dividend yield at 3.70%, compared with 2.63% for EMDM.
EMDM is categorized as Emerging Markets Diversified, while FDL is Large Cap Value Equities. EMDM tracks Bloomberg Emerging Market Democracies Index - Benchmark TR Net, while FDL tracks Morningstar Dividend Leaders Index. Their fees differ too: 0.75% for EMDM and 0.43% for FDL.
EMDM currently has the higher Sharpe Ratio (3.15 vs 1.95), 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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