EPEM vs. DIEM

Last updated Jun 25, 2026

EPEM (Harbor Emerging Markets Equity ETF) and DIEM (Franklin Emerging Market Core Dividend Tilt Index ETF) are both Emerging Markets Diversified funds. EPEM is actively managed, while DIEM is passively managed. Over the past year, EPEM returned 44.02% vs 48.92% for DIEM. Their correlation of 0.93 suggests significant overlap in exposure. EPEM charges 0.84%/yr vs 0.19%/yr for DIEM.

Performance

EPEM vs. DIEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Harbor Emerging Markets Equity ETF (EPEM) and Franklin Emerging Market Core Dividend Tilt Index ETF (DIEM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EPEM achieves a 23.73% return, which is significantly lower than DIEM's 29.14% return.

EPEM

• 1D: -0.40%
• 1M: 0.78%
• YTD: 23.73%
• 6M: 25.59%
• 1Y: 44.02%
• 3Y*: —
• 5Y*: —
• 10Y*: —

DIEM

• 1D: -0.55%
• 1M: 4.22%
• YTD: 29.14%
• 6M: 29.82%
• 1Y: 48.92%
• 3Y*: 27.02%
• 5Y*: 11.36%
• 10Y*: 9.21%

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

EPEM vs. DIEM - Yearly Performance Comparison

	2026 (YTD)	2025
EPEM Harbor Emerging Markets Equity ETF	23.73%	20.73%
DIEM Franklin Emerging Market Core Dividend Tilt Index ETF	29.14%	19.73%

Correlation

The correlation between EPEM and DIEM is 0.93, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.93
Correlation (All Time) Calculated using the full available price history since Jun 5, 2025	0.93

The correlation between EPEM and DIEM has been stable across timeframes, ranging from 0.93 to 0.93 - a consistent structural relationship.

Return for Risk

EPEM vs. DIEM — Risk / Return Rank

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

EPEM

EPEM Risk / Return Rank: 74
EPEM Sharpe Ratio Rank: 76
EPEM Sortino Ratio Rank: 67
EPEM Omega Ratio Rank: 76
EPEM Calmar Ratio Rank: 75
EPEM Martin Ratio Rank: 74

DIEM

DIEM Risk / Return Rank: 82
DIEM Sharpe Ratio Rank: 83
DIEM Sortino Ratio Rank: 75
DIEM Omega Ratio Rank: 86
DIEM Calmar Ratio Rank: 83
DIEM Martin Ratio Rank: 84

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.

EPEM vs. DIEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Harbor Emerging Markets Equity ETF (EPEM) and Franklin Emerging Market Core Dividend Tilt Index ETF (DIEM). 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.

	EPEM	DIEM	Difference
Sharpe ratio: Return per unit of total volatility	2.10	2.35	-0.26
Sortino ratio: Return per unit of downside risk	2.67	2.96	-0.29
Omega ratio: Gain probability vs. loss probability	1.39	1.46	-0.07
Calmar ratio: Return relative to maximum drawdown	3.33	3.99	-0.65
Martin ratio: Return relative to average drawdown	11.97	15.36	-3.39

EPEM vs. DIEM - Sharpe Ratio Comparison

The current EPEM Sharpe Ratio is 2.10, which is comparable to the DIEM Sharpe Ratio of 2.35. The chart below compares the historical Sharpe Ratios of EPEM and DIEM, 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

EPEM vs. DIEM - Drawdown Comparison

The maximum EPEM drawdown since its inception was -13.27%, smaller than the maximum DIEM drawdown of -38.61%. Use the drawdown chart below to compare losses from any high point for EPEM and DIEM.

Drawdown Indicators

	EPEM	DIEM	Difference
Max Drawdown Largest peak-to-trough decline	-13.27%	-38.61%	+25.34%
Max Drawdown (1Y) Largest decline over 1 year	-13.27%	-12.33%	-0.94%
Max Drawdown (3Y) Largest decline over 3 years	—	-16.82%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-33.34%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-38.61%	—
Current Drawdown Current decline from peak	-6.10%	-5.49%	-0.61%
Average Drawdown Average peak-to-trough decline	-2.09%	-9.68%	+7.59%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.69%	3.19%	+0.50%

Volatility

EPEM vs. DIEM - Volatility Comparison

The current volatility for Harbor Emerging Markets Equity ETF (EPEM) is 10.68%, while Franklin Emerging Market Core Dividend Tilt Index ETF (DIEM) has a volatility of 12.23%. This indicates that EPEM experiences smaller price fluctuations and is considered to be less risky than DIEM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EPEM	DIEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	10.68%	12.23%	-1.55%
Volatility (6M) Calculated over the trailing 6-month period	18.89%	19.23%	-0.34%
Volatility (1Y) Calculated over the trailing 1-year period	21.19%	20.99%	+0.20%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.88%	17.58%	+3.30%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	20.88%	17.91%	+2.97%

EPEM vs. DIEM - Expense Ratio Comparison

EPEM has a 0.84% expense ratio, which is higher than DIEM's 0.19% expense ratio.

Dividends

EPEM vs. DIEM - Dividend Comparison

EPEM's dividend yield for the trailing twelve months is around 2.96%, more than DIEM's 1.64% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
DIEM Franklin Emerging Market Core Dividend Tilt Index ETF	1.64%	2.99%	4.92%	4.45%	6.31%	4.06%	2.75%	5.98%	3.87%	2.61%	0.35%
EPEM Harbor Emerging Markets Equity ETF	2.96%	3.66%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both EPEM and DIEM in my portfolio?

With a correlation of 0.93, EPEM and DIEM move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, EPEM or DIEM?

DIEM has higher volatility (12.23%) compared to EPEM (10.68%). In terms of maximum drawdown, EPEM dropped -13.27% vs DIEM's -38.61%.

Which ETF is better, EPEM or DIEM?

On 1-year performance, DIEM leads with 48.92% vs 44.02% for EPEM. On fees, DIEM is cheaper at 0.19% per year. On volatility, EPEM has been the lower-risk option at 10.68%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EPEM or DIEM?

Over the 1-year period, DIEM has performed better with a 48.92% return vs 44.02%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EPEM or DIEM?

DIEM is cheaper with a 0.19% expense ratio, compared with 0.84% for EPEM.

Which ETF pays a higher dividend yield, EPEM or DIEM?

EPEM has the higher dividend yield at 2.96%, compared with 1.64% for DIEM.

What is the main difference between EPEM and DIEM?

They also come from different issuers: Harbor and Franklin Templeton. Their fees differ too: 0.84% for EPEM and 0.19% for DIEM.

Which has better risk-adjusted returns?

DIEM currently has the higher Sharpe Ratio (2.35 vs 2.10), 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.