EMF vs. EEM
EMF (Templeton Emerging Markets Fund) and EEM (iShares MSCI Emerging Markets ETF) are both funds - EMF is a Emerging Markets Equities fund actively managed by Franklin Templeton, while EEM is a Emerging Markets Diversified fund tracking the MSCI Emerging Markets Index (Net). EMF is actively managed, while EEM is passively managed. Over the past 10 years, EMF returned 16.28%/yr vs 10.51%/yr for EEM. A 0.80 correlation means they provide meaningful diversification when combined. EMF charges 1.43%/yr vs 0.72%/yr for EEM.
Performance
EMF vs. EEM - Performance Comparison
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Returns By Period
In the year-to-date period, EMF achieves a 46.72% return, which is significantly higher than EEM's 30.84% return. Over the past 10 years, EMF has outperformed EEM with an annualized return of 16.28%, while EEM has yielded a comparatively lower 10.51% annualized return.
EMF
- 1D
- 1.94%
- 1M
- 12.69%
- YTD
- 46.72%
- 6M
- 51.89%
- 1Y
- 93.11%
- 3Y*
- 37.95%
- 5Y*
- 13.15%
- 10Y*
- 16.28%
EEM
- 1D
- 0.59%
- 1M
- 8.65%
- YTD
- 30.84%
- 6M
- 32.53%
- 1Y
- 56.71%
- 3Y*
- 24.99%
- 5Y*
- 7.99%
- 10Y*
- 10.51%
EMF vs. EEM - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
EMF Templeton Emerging Markets Fund | 46.72% | 58.20% | 6.56% | 8.84% | -21.53% | -8.23% | 24.48% | 27.20% | -14.78% | 53.55% |
EEM iShares MSCI Emerging Markets ETF | 30.84% | 33.98% | 6.49% | 8.95% | -20.56% | -3.63% | 17.02% | 18.22% | -15.31% | 37.26% |
Correlation
The correlation between EMF and EEM is 0.76, 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 | 0.76 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.81 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.82 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.84 |
Correlation (All Time) Calculated using the full available price history since Apr 14, 2003 | 0.80 |
The correlation between EMF and EEM has been stable across timeframes, ranging from 0.76 to 0.84 - a consistent structural relationship.
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Return for Risk
EMF vs. EEM — Risk / Return Rank
EMF
EEM
EMF vs. EEM - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Templeton Emerging Markets Fund (EMF) and iShares MSCI Emerging Markets ETF (EEM). 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.
| EMF | EEM | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +1.36 | ||
| Sortino ratioReturn per unit of downside risk | +1.39 | ||
| Omega ratioGain probability vs. loss probability | 1.69 | 1.48 | +0.21 |
| Calmar ratioReturn relative to maximum drawdown | 4.81 | 4.22 | +0.59 |
| Martin ratioReturn relative to average drawdown | 18.78 | 15.52 | +3.26 |
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Drawdowns
EMF vs. EEM - Drawdown Comparison
The maximum EMF drawdown since its inception was -76.97%, which is greater than EEM's maximum drawdown of -66.43%. Use the drawdown chart below to compare losses from any high point for EMF and EEM.
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Drawdown Indicators
| EMF | EEM | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -76.97% | -66.43% | -10.54% |
Max Drawdown (1Y)Largest decline over 1 year | -19.48% | -13.52% | -5.96% |
Max Drawdown (3Y)Largest decline over 3 years | -19.48% | -17.29% | -2.19% |
Max Drawdown (5Y)Largest decline over 5 years | -45.08% | -37.49% | -7.59% |
Max Drawdown (10Y)Largest decline over 10 years | -47.65% | -39.82% | -7.83% |
Current DrawdownCurrent decline from peak | 0.00% | 0.00% | 0.00% |
Average DrawdownAverage peak-to-trough decline | -28.96% | -15.99% | -12.97% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 4.98% | 3.66% | +1.32% |
Volatility
EMF vs. EEM - Volatility Comparison
The current volatility for Templeton Emerging Markets Fund (EMF) is 9.25%, while iShares MSCI Emerging Markets ETF (EEM) has a volatility of 10.95%. This indicates that EMF experiences smaller price fluctuations and is considered to be less risky than EEM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| EMF | EEM | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 9.25% | 10.95% | -1.70% |
Volatility (6M)Calculated over the trailing 6-month period | 21.21% | 19.83% | +1.38% |
Volatility (1Y)Calculated over the trailing 1-year period | 23.72% | 22.04% | +1.68% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 20.74% | 19.39% | +1.35% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 20.67% | 20.69% | -0.02% |
EMF vs. EEM - Expense Ratio Comparison
EMF has a 1.43% expense ratio, which is higher than EEM's 0.72% expense ratio.
Dividends
EMF vs. EEM - Dividend Comparison
EMF's dividend yield for the trailing twelve months is around 5.82%, more than EEM's 1.56% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
EEM iShares MSCI Emerging Markets ETF | 1.56% | 2.22% | 2.43% | 2.63% | 2.50% | 1.99% | 1.45% | 2.76% | 2.24% | 1.89% | 1.89% | 2.49% |
EMF Templeton Emerging Markets Fund | 5.82% | 9.73% | 4.28% | 6.22% | 9.89% | 6.92% | 3.51% | 7.36% | 5.92% | 12.11% | 1.62% | 12.81% |
Frequently Asked Questions
EMF and EEM have a correlation of 0.76, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
EEM has higher volatility (10.95%) compared to EMF (9.25%). In terms of maximum drawdown, EMF dropped -76.97% vs EEM's -66.43%.
EMF currently has the higher Sharpe Ratio (3.96 vs 2.59), 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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