EMM vs. SHLD

Last updated Jun 4, 2026

EMM (Global X Emerging Markets ex-China ETF) and SHLD (Global X Defense Tech ETF) are both exchange-traded funds - EMM is a Emerging Markets Diversified fund actively managed by Global X, while SHLD is a Aerospace & Defense fund tracking the Global X Defense Tech Index. EMM is actively managed, while SHLD is passively managed. Over the past year, EMM returned 63.51% vs 9.71% for SHLD. At a 0.36 correlation, their price movements are largely independent. EMM charges 0.75%/yr vs 0.50%/yr for SHLD.

Performance

EMM vs. SHLD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Global X Emerging Markets ex-China ETF (EMM) and Global X Defense Tech ETF (SHLD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EMM achieves a 32.97% return, which is significantly higher than SHLD's -2.28% return.

EMM

• 1D: -1.15%
• 1M: 10.12%
• YTD: 32.97%
• 6M: 38.50%
• 1Y: 63.51%
• 3Y*: 22.67%
• 5Y*: —
• 10Y*: —

SHLD

• 1D: -2.39%
• 1M: -7.01%
• YTD: -2.28%
• 6M: 1.71%
• 1Y: 9.71%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

EMM vs. SHLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
EMM Global X Emerging Markets ex-China ETF	32.97%	30.21%	2.34%	4.44%
SHLD Global X Defense Tech ETF	-2.28%	74.16%	35.03%	12.89%

Correlation

The correlation between EMM and SHLD is 0.33, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.33
Correlation (All Time) Calculated using the full available price history since Sep 14, 2023	0.36

EMM vs. SHLD - Sectors Allocation Comparison

Sectors	EMM	SHLD
Technology	45.5%	11.8%
Financial Services	25.0%	-
Industrials	5.9%	88.2%
Consumer Defensive	5.1%	-
Energy	4.8%	-
Basic Materials	3.9%	-
Consumer Cyclical	2.7%	-
Communication Services	2.7%	-
Real Estate	1.8%	-
Healthcare	1.5%	-
Utilities	1.2%	-

Return for Risk

EMM vs. SHLD — Risk / Return Rank

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

EMM

EMM Risk / Return Rank: 85
EMM Sharpe Ratio Rank: 87
EMM Sortino Ratio Rank: 84
EMM Omega Ratio Rank: 85
EMM Calmar Ratio Rank: 82
EMM Martin Ratio Rank: 86

SHLD

SHLD Risk / Return Rank: 15
SHLD Sharpe Ratio Rank: 14
SHLD Sortino Ratio Rank: 15
SHLD Omega Ratio Rank: 14
SHLD Calmar Ratio Rank: 14
SHLD Martin Ratio Rank: 15

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.

EMM vs. SHLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Global X Emerging Markets ex-China ETF (EMM) and Global X Defense Tech ETF (SHLD). 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.

	EMM	SHLD	Difference
Sharpe ratio: Return per unit of total volatility	2.94	0.41	+2.54
Sortino ratio: Return per unit of downside risk	3.79	0.74	+3.05
Omega ratio: Gain probability vs. loss probability	1.52	1.08	+0.44
Calmar ratio: Return relative to maximum drawdown	4.33	0.49	+3.84
Martin ratio: Return relative to average drawdown	18.13	1.30	+16.84
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

EMM vs. SHLD - Sharpe Ratio Comparison

The current EMM Sharpe Ratio is 2.94, which is higher than the SHLD Sharpe Ratio of 0.41. The chart below compares the historical Sharpe Ratios of EMM and SHLD, 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

	EMM	SHLD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.94	0.41	+2.54
Sharpe Ratio (All Time) Calculated using the full available price history	1.17	2.00	-0.83

Drawdowns

EMM vs. SHLD - Drawdown Comparison

The maximum EMM drawdown since its inception was -21.99%, which is greater than SHLD's maximum drawdown of -20.10%. Use the drawdown chart below to compare losses from any high point for EMM and SHLD.

Drawdown Indicators

	EMM	SHLD	Difference
Max Drawdown Largest peak-to-trough decline	-21.99%	-20.10%	-1.89%
Max Drawdown (1Y) Largest decline over 1 year	-14.75%	-20.10%	+5.35%
Max Drawdown (3Y) Largest decline over 3 years	-21.99%	—	—
Current Drawdown Current decline from peak	-1.15%	-18.85%	+17.70%
Average Drawdown Average peak-to-trough decline	-4.68%	-3.19%	-1.49%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.51%	7.51%	-4.00%

Volatility

EMM vs. SHLD - Volatility Comparison

Global X Emerging Markets ex-China ETF (EMM) has a higher volatility of 9.79% compared to Global X Defense Tech ETF (SHLD) at 7.81%. This indicates that EMM's price experiences larger fluctuations and is considered to be riskier than SHLD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EMM	SHLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.79%	7.81%	+1.98%
Volatility (6M) Calculated over the trailing 6-month period	19.28%	19.35%	-0.07%
Volatility (1Y) Calculated over the trailing 1-year period	21.69%	24.05%	-2.36%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.83%	21.13%	-2.30%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.83%	21.13%	-2.30%

EMM vs. SHLD - Expense Ratio Comparison

EMM has a 0.75% expense ratio, which is higher than SHLD's 0.50% expense ratio.

Dividends

EMM vs. SHLD - Dividend Comparison

EMM's dividend yield for the trailing twelve months is around 0.67%, more than SHLD's 0.56% yield.

Position	TTM	2025	2024	2023
EMM Global X Emerging Markets ex-China ETF	0.67%	0.90%	0.80%	0.66%
SHLD Global X Defense Tech ETF	0.56%	0.55%	0.53%	0.26%

Frequently Asked Questions

Can I hold both EMM and SHLD in my portfolio?

EMM and SHLD have a correlation of 0.33, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EMM or SHLD?

EMM has higher volatility (9.79%) compared to SHLD (7.81%). In terms of maximum drawdown, EMM dropped -21.99% vs SHLD's -20.10%.

Which ETF is better, EMM or SHLD?

On 1-year performance, EMM leads with 63.51% vs 9.71% for SHLD. On fees, SHLD is cheaper at 0.50% per year. On volatility, SHLD has been the lower-risk option at 7.81%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EMM or SHLD?

Over the 1-year period, EMM has performed better with a 63.51% return vs 9.71%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EMM or SHLD?

SHLD is cheaper with a 0.50% expense ratio, compared with 0.75% for EMM.

Which ETF pays a higher dividend yield, EMM or SHLD?

EMM has the higher dividend yield at 0.67%, compared with 0.56% for SHLD.

What is the main difference between EMM and SHLD?

EMM is categorized as Emerging Markets Diversified, while SHLD is Aerospace & Defense. Their fees differ too: 0.75% for EMM and 0.50% for SHLD.

Which has better risk-adjusted returns?

EMM currently has the higher Sharpe Ratio (2.94 vs 0.41), 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.