FDEM vs. DIEM

Last updated Jun 4, 2026

FDEM (Fidelity Emerging Markets Multifactor ETF) and DIEM (Franklin Emerging Market Core Dividend Tilt Index ETF) are both exchange-traded funds - FDEM is a Emerging Markets Equities fund tracking the Fidelity Targeted Emerging Markets Factor Index, while DIEM is a Emerging Markets Diversified fund tracking the Morningstar Emerging Markets Dividend Enhanced Select Index. Both are passively managed. Over the past 5 years, FDEM returned 9.43%/yr vs 11.49%/yr for DIEM. Their correlation of 0.90 suggests significant overlap in exposure. FDEM charges 0.45%/yr vs 0.19%/yr for DIEM.

Performance

FDEM vs. DIEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Emerging Markets Multifactor ETF (FDEM) 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, FDEM achieves a 22.58% return, which is significantly lower than DIEM's 32.78% return.

FDEM

• 1D: -1.46%
• 1M: 7.69%
• YTD: 22.58%
• 6M: 24.26%
• 1Y: 45.52%
• 3Y*: 23.79%
• 5Y*: 9.43%
• 10Y*: —

DIEM

• 1D: -1.37%
• 1M: 12.08%
• YTD: 32.78%
• 6M: 35.57%
• 1Y: 60.54%
• 3Y*: 28.35%
• 5Y*: 11.49%
• 10Y*: —

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

FDEM vs. DIEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
FDEM Fidelity Emerging Markets Multifactor ETF	22.58%	26.75%	9.34%	17.26%	-13.11%	-3.52%	8.87%	5.73%
DIEM Franklin Emerging Market Core Dividend Tilt Index ETF	32.78%	30.81%	12.29%	15.41%	-20.61%	6.92%	1.27%	6.72%

Correlation

The correlation between FDEM and DIEM is 0.92, 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	0.92
Correlation (3Y) Calculated over the trailing 3-year period	0.90
Correlation (5Y) Calculated over the trailing 5-year period	0.89
Correlation (All Time) Calculated using the full available price history since Mar 1, 2019	0.90

The correlation between FDEM and DIEM has been stable across timeframes, ranging from 0.89 to 0.92 - a consistent structural relationship.

FDEM vs. DIEM - Sectors Allocation Comparison

Sectors	FDEM	DIEM
Technology	31.8%	40.3%
Financial Services	16.3%	23.3%
Consumer Cyclical	12.2%	6.7%
Communication Services	10.6%	5.6%
Energy	8.3%	6.0%
Consumer Defensive	7.6%	2.9%
Real Estate	5.2%	1.6%
Industrials	4.8%	4.7%
Basic Materials	3.2%	4.2%
Healthcare	-	0.6%
Utilities	-	4.1%

Return for Risk

FDEM vs. DIEM — Risk / Return Rank

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

FDEM

FDEM Risk / Return Rank: 76
FDEM Sharpe Ratio Rank: 80
FDEM Sortino Ratio Rank: 76
FDEM Omega Ratio Rank: 78
FDEM Calmar Ratio Rank: 71
FDEM Martin Ratio Rank: 74

DIEM

DIEM Risk / Return Rank: 90
DIEM Sharpe Ratio Rank: 92
DIEM Sortino Ratio Rank: 90
DIEM Omega Ratio Rank: 92
DIEM Calmar Ratio Rank: 87
DIEM Martin Ratio Rank: 89

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.

FDEM vs. DIEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Emerging Markets Multifactor ETF (FDEM) 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.

	FDEM	DIEM	Difference
Sharpe ratio: Return per unit of total volatility	2.63	3.35	-0.71
Sortino ratio: Return per unit of downside risk	3.46	4.26	-0.80
Omega ratio: Gain probability vs. loss probability	1.48	1.62	-0.15
Calmar ratio: Return relative to maximum drawdown	3.60	4.93	-1.33
Martin ratio: Return relative to average drawdown	14.12	20.34	-6.22
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FDEM vs. DIEM - Sharpe Ratio Comparison

The current FDEM Sharpe Ratio is 2.63, which is comparable to the DIEM Sharpe Ratio of 3.35. The chart below compares the historical Sharpe Ratios of FDEM 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.

Sharpe Ratios by Period

	FDEM	DIEM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.63	3.35	-0.71
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.59	0.68	-0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.53	0.55	-0.02

Drawdowns

FDEM vs. DIEM - Drawdown Comparison

The maximum FDEM drawdown since its inception was -33.65%, smaller than the maximum DIEM drawdown of -38.61%. Use the drawdown chart below to compare losses from any high point for FDEM and DIEM.

Drawdown Indicators

	FDEM	DIEM	Difference
Max Drawdown Largest peak-to-trough decline	-33.65%	-38.61%	+4.96%
Max Drawdown (1Y) Largest decline over 1 year	-12.70%	-12.33%	-0.37%
Max Drawdown (3Y) Largest decline over 3 years	-16.04%	-16.82%	+0.78%
Max Drawdown (5Y) Largest decline over 5 years	-29.02%	-33.34%	+4.32%
Max Drawdown (10Y) Largest decline over 10 years	—	-38.61%	—
Current Drawdown Current decline from peak	-1.46%	-1.37%	-0.09%
Average Drawdown Average peak-to-trough decline	-8.84%	-9.72%	+0.88%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.23%	2.99%	+0.24%

Volatility

FDEM vs. DIEM - Volatility Comparison

The current volatility for Fidelity Emerging Markets Multifactor ETF (FDEM) is 7.26%, while Franklin Emerging Market Core Dividend Tilt Index ETF (DIEM) has a volatility of 8.52%. This indicates that FDEM 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

	FDEM	DIEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.26%	8.52%	-1.26%
Volatility (6M) Calculated over the trailing 6-month period	15.03%	15.91%	-0.88%
Volatility (1Y) Calculated over the trailing 1-year period	17.36%	18.17%	-0.81%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.13%	16.93%	-0.80%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.91%	17.59%	+0.32%

FDEM vs. DIEM - Expense Ratio Comparison

FDEM has a 0.45% expense ratio, which is higher than DIEM's 0.19% expense ratio.

Dividends

FDEM vs. DIEM - Dividend Comparison

FDEM's dividend yield for the trailing twelve months is around 2.66%, more than DIEM's 2.30% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016
DIEM Franklin Emerging Market Core Dividend Tilt Index ETF	2.30%	2.99%	4.92%	4.45%	6.31%	4.06%	2.75%	5.98%	3.87%	2.61%	0.35%
FDEM Fidelity Emerging Markets Multifactor ETF	2.66%	3.23%	4.05%	4.41%	3.95%	2.71%	1.84%	2.39%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FDEM and DIEM in my portfolio?

With a correlation of 0.92, FDEM 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, FDEM or DIEM?

DIEM has higher volatility (8.52%) compared to FDEM (7.26%). In terms of maximum drawdown, FDEM dropped -33.65% vs DIEM's -38.61%.

Which ETF is better, FDEM or DIEM?

On 5-year performance, DIEM leads with 11.49% vs 9.43% for FDEM. On fees, DIEM is cheaper at 0.19% per year. On volatility, FDEM has been the lower-risk option at 7.26%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FDEM or DIEM?

Over the 5-year period, DIEM has performed better with a 11.49% return vs 9.43%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FDEM or DIEM?

DIEM is cheaper with a 0.19% expense ratio, compared with 0.45% for FDEM.

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

FDEM has the higher dividend yield at 2.66%, compared with 2.30% for DIEM.

What is the main difference between FDEM and DIEM?

FDEM is categorized as Emerging Markets Equities, while DIEM is Emerging Markets Diversified. FDEM tracks Fidelity Targeted Emerging Markets Factor Index, while DIEM tracks Morningstar Emerging Markets Dividend Enhanced Select Index. They also come from different issuers: Fidelity and Franklin Templeton. Their fees differ too: 0.45% for FDEM and 0.19% for DIEM.

Which has better risk-adjusted returns?

DIEM currently has the higher Sharpe Ratio (3.35 vs 2.63), 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.