EMLP vs. FRDM

Last updated Jun 4, 2026

EMLP (First Trust North American Energy Infrastructure Fund) and FRDM (Freedom 100 Emerging Markets ETF) are both exchange-traded funds - EMLP is a MLPs fund actively managed by First Trust, while FRDM is a Emerging Markets Diversified fund tracking the Life + Liberty Freedom 100 Emerging Markets Index. EMLP is actively managed, while FRDM is passively managed. Over the past 5 years, EMLP returned 15.47%/yr vs 19.30%/yr for FRDM. At a 0.43 correlation, their price movements are largely independent. EMLP charges 0.96%/yr vs 0.49%/yr for FRDM.

Performance

EMLP vs. FRDM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust North American Energy Infrastructure Fund (EMLP) and Freedom 100 Emerging Markets ETF (FRDM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EMLP achieves a 14.62% return, which is significantly lower than FRDM's 44.61% return.

EMLP

• 1D: -0.07%
• 1M: -3.08%
• YTD: 14.62%
• 6M: 13.20%
• 1Y: 18.77%
• 3Y*: 21.22%
• 5Y*: 15.47%
• 10Y*: 10.24%

FRDM

• 1D: -1.30%
• 1M: 17.06%
• YTD: 44.61%
• 6M: 53.16%
• 1Y: 97.46%
• 3Y*: 37.08%
• 5Y*: 19.30%
• 10Y*: —

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

EMLP vs. FRDM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
EMLP First Trust North American Energy Infrastructure Fund	14.62%	9.67%	33.39%	8.05%	10.39%	23.20%	-13.36%	4.94%
FRDM Freedom 100 Emerging Markets ETF	44.61%	61.27%	1.70%	22.77%	-14.45%	6.13%	16.90%	12.33%

Correlation

The correlation between EMLP and FRDM 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	0.27
Correlation (5Y) Calculated over the trailing 5-year period	0.40
Correlation (All Time) Calculated using the full available price history since May 24, 2019	0.43

Over the past year, the correlation between EMLP and FRDM has dropped to 0.06 - well below their long-term average of 0.43, suggesting their price drivers have been diverging.

EMLP vs. FRDM - Sectors Allocation Comparison

Sectors	EMLP	FRDM
Energy	48.1%	0.1%
Utilities	47.4%	2.6%
Industrials	3.9%	8.6%
Basic Materials	0.6%	7.4%
Communication Services	-	3.9%
Consumer Cyclical	-	7.8%
Consumer Defensive	-	2.2%
Financial Services	-	22.1%
Healthcare	-	1.8%
Real Estate	-	2.5%
Technology	-	41.1%

Return for Risk

EMLP vs. FRDM — Risk / Return Rank

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

EMLP

EMLP Risk / Return Rank: 61
EMLP Sharpe Ratio Rank: 55
EMLP Sortino Ratio Rank: 57
EMLP Omega Ratio Rank: 51
EMLP Calmar Ratio Rank: 75
EMLP Martin Ratio Rank: 67

FRDM

FRDM Risk / Return Rank: 93
FRDM Sharpe Ratio Rank: 95
FRDM Sortino Ratio Rank: 93
FRDM Omega Ratio Rank: 93
FRDM Calmar Ratio Rank: 91
FRDM Martin Ratio Rank: 92

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.

EMLP vs. FRDM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust North American Energy Infrastructure Fund (EMLP) and Freedom 100 Emerging Markets ETF (FRDM). 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.

	EMLP	FRDM	Difference
Sharpe ratio: Return per unit of total volatility	1.89	4.00	-2.11
Sortino ratio: Return per unit of downside risk	2.73	4.65	-1.93
Omega ratio: Gain probability vs. loss probability	1.32	1.67	-0.34
Calmar ratio: Return relative to maximum drawdown	3.82	5.81	-1.99
Martin ratio: Return relative to average drawdown	12.42	23.37	-10.95
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

EMLP vs. FRDM - Sharpe Ratio Comparison

The current EMLP Sharpe Ratio is 1.89, which is lower than the FRDM Sharpe Ratio of 4.00. The chart below compares the historical Sharpe Ratios of EMLP and FRDM, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	EMLP	FRDM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.89	4.00	-2.11
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.07	0.93	+0.14
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.58	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.57	0.85	-0.29

Drawdowns

EMLP vs. FRDM - Drawdown Comparison

The maximum EMLP drawdown since its inception was -43.61%, which is greater than FRDM's maximum drawdown of -40.49%. Use the drawdown chart below to compare losses from any high point for EMLP and FRDM.

Drawdown Indicators

	EMLP	FRDM	Difference
Max Drawdown Largest peak-to-trough decline	-43.61%	-40.49%	-3.12%
Max Drawdown (1Y) Largest decline over 1 year	-4.94%	-16.87%	+11.93%
Max Drawdown (3Y) Largest decline over 3 years	-11.47%	-16.87%	+5.40%
Max Drawdown (5Y) Largest decline over 5 years	-14.59%	-29.25%	+14.66%
Max Drawdown (10Y) Largest decline over 10 years	-43.61%	—	—
Current Drawdown Current decline from peak	-3.62%	-1.30%	-2.32%
Average Drawdown Average peak-to-trough decline	-5.76%	-7.09%	+1.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.52%	4.18%	-2.66%

Volatility

EMLP vs. FRDM - Volatility Comparison

The current volatility for First Trust North American Energy Infrastructure Fund (EMLP) is 4.10%, while Freedom 100 Emerging Markets ETF (FRDM) has a volatility of 11.03%. This indicates that EMLP experiences smaller price fluctuations and is considered to be less risky than FRDM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EMLP	FRDM	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.10%	11.03%	-6.93%
Volatility (6M) Calculated over the trailing 6-month period	7.87%	21.65%	-13.78%
Volatility (1Y) Calculated over the trailing 1-year period	9.97%	24.50%	-14.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.53%	20.80%	-6.27%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.69%	22.77%	-5.08%

EMLP vs. FRDM - Expense Ratio Comparison

EMLP has a 0.96% expense ratio, which is higher than FRDM's 0.49% expense ratio.

Dividends

EMLP vs. FRDM - Dividend Comparison

EMLP's dividend yield for the trailing twelve months is around 2.79%, more than FRDM's 1.51% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EMLP First Trust North American Energy Infrastructure Fund	2.79%	3.18%	3.19%	3.92%	3.15%	3.29%	4.70%	3.71%	4.71%	3.80%	3.62%	4.63%
FRDM Freedom 100 Emerging Markets ETF	1.51%	2.26%	2.53%	2.66%	2.72%	2.17%	1.11%	1.07%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both EMLP and FRDM in my portfolio?

EMLP and FRDM 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.

Which is riskier, EMLP or FRDM?

FRDM has higher volatility (11.03%) compared to EMLP (4.10%). In terms of maximum drawdown, EMLP dropped -43.61% vs FRDM's -40.49%.

Which ETF is better, EMLP or FRDM?

On 5-year performance, FRDM leads with 19.30% vs 15.47% for EMLP. On fees, FRDM is cheaper at 0.49% per year. On volatility, EMLP has been the lower-risk option at 4.10%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EMLP or FRDM?

Over the 5-year period, FRDM has performed better with a 19.30% return vs 15.47%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EMLP or FRDM?

FRDM is cheaper with a 0.49% expense ratio, compared with 0.96% for EMLP.

Which ETF pays a higher dividend yield, EMLP or FRDM?

EMLP has the higher dividend yield at 2.79%, compared with 1.51% for FRDM.

What is the main difference between EMLP and FRDM?

EMLP is categorized as MLPs, while FRDM is Emerging Markets Diversified. They also come from different issuers: First Trust and Freedom Funds. Their fees differ too: 0.96% for EMLP and 0.49% for FRDM.

Which has better risk-adjusted returns?

FRDM currently has the higher Sharpe Ratio (4.00 vs 1.89), 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.