EMLC vs. EMBD

Last updated Jun 23, 2026

EMLC (VanEck Vectors J.P. Morgan EM Local Currency Bond ETF) and EMBD (Global X Emerging Markets Bond ETF) are both Emerging Markets Bonds funds. EMLC is passively managed, while EMBD is actively managed. Over the past 5 years, EMLC returned 1.78%/yr vs 3.00%/yr for EMBD. A 0.53 correlation means they provide meaningful diversification when combined. EMLC charges 0.30%/yr vs 0.39%/yr for EMBD.

Performance

EMLC vs. EMBD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in VanEck Vectors J.P. Morgan EM Local Currency Bond ETF (EMLC) and Global X Emerging Markets Bond ETF (EMBD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EMLC achieves a 1.56% return, which is significantly lower than EMBD's 1.83% return.

EMLC

• 1D: -0.08%
• 1M: 1.42%
• YTD: 1.56%
• 6M: 2.07%
• 1Y: 9.48%
• 3Y*: 6.52%
• 5Y*: 1.78%
• 10Y*: 2.22%

EMBD

• 1D: -0.50%
• 1M: 1.02%
• YTD: 1.83%
• 6M: 2.18%
• 1Y: 9.66%
• 3Y*: 9.20%
• 5Y*: 3.00%
• 10Y*: —

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

EMLC vs. EMBD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
EMLC VanEck Vectors J.P. Morgan EM Local Currency Bond ETF	1.56%	18.81%	-2.97%	11.18%	-10.58%	-9.72%	9.05%
EMBD Global X Emerging Markets Bond ETF	1.83%	12.55%	6.76%	10.60%	-13.84%	-1.84%	11.42%

Correlation

The correlation between EMLC and EMBD is 0.47, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.47
Correlation (3Y) Calculated over the trailing 3-year period	0.45
Correlation (5Y) Calculated over the trailing 5-year period	0.53
Correlation (All Time) Calculated using the full available price history since Jun 3, 2020	0.53

The correlation between EMLC and EMBD has been stable across timeframes, ranging from 0.45 to 0.53 - a consistent structural relationship.

Return for Risk

EMLC vs. EMBD — Risk / Return Rank

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

EMLC

EMLC Risk / Return Rank: 37
EMLC Sharpe Ratio Rank: 39
EMLC Sortino Ratio Rank: 37
EMLC Omega Ratio Rank: 41
EMLC Calmar Ratio Rank: 32
EMLC Martin Ratio Rank: 35

EMBD

EMBD Risk / Return Rank: 49
EMBD Sharpe Ratio Rank: 47
EMBD Sortino Ratio Rank: 51
EMBD Omega Ratio Rank: 46
EMBD Calmar Ratio Rank: 48
EMBD Martin Ratio Rank: 53

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.

EMLC vs. EMBD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for VanEck Vectors J.P. Morgan EM Local Currency Bond ETF (EMLC) and Global X Emerging Markets Bond ETF (EMBD). 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.

	EMLC	EMBD	Difference
Sharpe ratio: Return per unit of total volatility	1.33	1.60	-0.27
Sortino ratio: Return per unit of downside risk	1.88	2.40	-0.52
Omega ratio: Gain probability vs. loss probability	1.26	1.29	-0.03
Calmar ratio: Return relative to maximum drawdown	1.54	2.29	-0.76
Martin ratio: Return relative to average drawdown	5.09	8.88	-3.79

EMLC vs. EMBD - Sharpe Ratio Comparison

The current EMLC Sharpe Ratio is 1.33, which is comparable to the EMBD Sharpe Ratio of 1.60. The chart below compares the historical Sharpe Ratios of EMLC and EMBD, 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

EMLC vs. EMBD - Drawdown Comparison

The maximum EMLC drawdown since its inception was -32.43%, which is greater than EMBD's maximum drawdown of -24.27%. Use the drawdown chart below to compare losses from any high point for EMLC and EMBD.

Drawdown Indicators

	EMLC	EMBD	Difference
Max Drawdown Largest peak-to-trough decline	-32.43%	-24.27%	-8.16%
Max Drawdown (1Y) Largest decline over 1 year	-6.19%	-4.23%	-1.96%
Max Drawdown (3Y) Largest decline over 3 years	-9.15%	-7.03%	-2.12%
Max Drawdown (5Y) Largest decline over 5 years	-23.91%	-24.27%	+0.36%
Max Drawdown (10Y) Largest decline over 10 years	-26.47%	—	—
Current Drawdown Current decline from peak	-3.68%	-0.56%	-3.12%
Average Drawdown Average peak-to-trough decline	-14.33%	-5.83%	-8.50%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.87%	1.09%	+0.78%

Volatility

EMLC vs. EMBD - Volatility Comparison

VanEck Vectors J.P. Morgan EM Local Currency Bond ETF (EMLC) has a higher volatility of 2.26% compared to Global X Emerging Markets Bond ETF (EMBD) at 1.57%. This indicates that EMLC's price experiences larger fluctuations and is considered to be riskier than EMBD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EMLC	EMBD	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.26%	1.57%	+0.69%
Volatility (6M) Calculated over the trailing 6-month period	6.28%	4.19%	+2.09%
Volatility (1Y) Calculated over the trailing 1-year period	7.15%	6.06%	+1.09%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.13%	9.18%	-0.05%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.03%	8.87%	+1.16%

EMLC vs. EMBD - Expense Ratio Comparison

EMLC has a 0.30% expense ratio, which is lower than EMBD's 0.39% expense ratio.

Dividends

EMLC vs. EMBD - Dividend Comparison

EMLC's dividend yield for the trailing twelve months is around 6.15%, more than EMBD's 5.66% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EMBD Global X Emerging Markets Bond ETF	5.66%	5.48%	5.83%	5.29%	4.53%	4.99%	3.34%	0.00%	0.00%	0.00%	0.00%	0.00%
EMLC VanEck Vectors J.P. Morgan EM Local Currency Bond ETF	6.15%	5.91%	6.55%	5.97%	5.54%	5.25%	4.90%	6.25%	6.50%	5.34%	5.32%	6.25%

Frequently Asked Questions

Can I hold both EMLC and EMBD in my portfolio?

EMLC and EMBD have a correlation of 0.47, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EMLC or EMBD?

EMLC has higher volatility (2.26%) compared to EMBD (1.57%). In terms of maximum drawdown, EMLC dropped -32.43% vs EMBD's -24.27%.

Which ETF is better, EMLC or EMBD?

On 5-year performance, EMBD leads with 3.00% vs 1.78% for EMLC. On fees, EMLC is cheaper at 0.30% per year. On volatility, EMBD has been the lower-risk option at 1.57%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EMLC or EMBD?

Over the 5-year period, EMBD has performed better with a 3.00% return vs 1.78%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EMLC or EMBD?

EMLC is cheaper with a 0.30% expense ratio, compared with 0.39% for EMBD.

Which ETF pays a higher dividend yield, EMLC or EMBD?

EMLC has the higher dividend yield at 6.15%, compared with 5.66% for EMBD.

What is the main difference between EMLC and EMBD?

They also come from different issuers: VanEck and Global X. Their fees differ too: 0.30% for EMLC and 0.39% for EMBD.

Which has better risk-adjusted returns?

EMBD currently has the higher Sharpe Ratio (1.60 vs 1.33), 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.