FEMB vs. GAEM

Last updated Apr 1, 2026

Compare and contrast key facts about First Trust Emerging Markets Local Currency Bond ETF (FEMB) and Simplify Gamma Emerging Market Bond ETF (GAEM).

FEMB and GAEM are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. FEMB is an actively managed fund by First Trust. It was launched on Nov 4, 2014. GAEM is an actively managed fund by Simplify. It was launched on Aug 12, 2024.

Performance

FEMB vs. GAEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in First Trust Emerging Markets Local Currency Bond ETF (FEMB) and Simplify Gamma Emerging Market Bond ETF (GAEM). The values are adjusted to include any dividend payments, if applicable.

FEMB vs. GAEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024
FEMB First Trust Emerging Markets Local Currency Bond ETF	-2.12%	21.77%	-6.25%
GAEM Simplify Gamma Emerging Market Bond ETF	-1.25%	13.55%	3.72%

Returns By Period

In the year-to-date period, FEMB achieves a -2.12% return, which is significantly lower than GAEM's -1.25% return.

FEMB

• 1D: 1.15%
• 1M: -6.18%
• YTD: -2.12%
• 6M: 0.86%
• 1Y: 13.41%
• 3Y*: 7.19%
• 5Y*: 2.14%
• 10Y*: 1.94%

GAEM

• 1D: 0.58%
• 1M: -2.64%
• YTD: -1.25%
• 6M: 1.75%
• 1Y: 9.73%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

FEMB vs. GAEM - Expense Ratio Comparison

FEMB has a 0.85% expense ratio, which is higher than GAEM's 0.76% expense ratio.

FEMB

First Trust Emerging Markets Local Currency Bond ETF

GAEM

Simplify Gamma Emerging Market Bond ETF

Return for Risk

FEMB vs. GAEM — Risk / Return Rank

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

FEMB

FEMB Risk / Return Rank: 77
FEMB Sharpe Ratio Rank: 81
FEMB Sortino Ratio Rank: 81
FEMB Omega Ratio Rank: 77
FEMB Calmar Ratio Rank: 72
FEMB Martin Ratio Rank: 74

GAEM

GAEM Risk / Return Rank: 89
GAEM Sharpe Ratio Rank: 86
GAEM Sortino Ratio Rank: 91
GAEM Omega Ratio Rank: 88
GAEM Calmar Ratio Rank: 88
GAEM Martin Ratio Rank: 90

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.

FEMB vs. GAEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for First Trust Emerging Markets Local Currency Bond ETF (FEMB) and Simplify Gamma Emerging Market Bond ETF (GAEM). 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.

	FEMB	GAEM	Difference
Sharpe ratio Return per unit of total volatility	1.51	1.78	-0.27
Sortino ratio Return per unit of downside risk	2.07	2.67	-0.60
Omega ratio Gain probability vs. loss probability	1.29	1.36	-0.07
Calmar ratio Return relative to maximum drawdown	1.83	2.79	-0.96
Martin ratio Return relative to average drawdown	7.66	11.88	-4.22
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

FEMB vs. GAEM - Sharpe Ratio Comparison

The current FEMB Sharpe Ratio is 1.51, which is comparable to the GAEM Sharpe Ratio of 1.78. The chart below compares the historical Sharpe Ratios of FEMB and GAEM, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	FEMB	GAEM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.51	1.78	-0.27
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.21	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.17	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.07	2.00	-1.94

Correlation

The correlation between FEMB and GAEM is 0.34, which is considered to be low. This implies their price changes are not closely related. A low correlation is generally favorable for portfolio diversification, as it helps to reduce overall risk by spreading it across multiple assets with different performance patterns.

Dividends

FEMB vs. GAEM - Dividend Comparison

FEMB's dividend yield for the trailing twelve months is around 6.00%, less than GAEM's 6.72% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FEMB First Trust Emerging Markets Local Currency Bond ETF	6.00%	5.67%	6.09%	5.15%	6.35%	6.12%	5.29%	5.40%	5.86%	6.38%	5.83%	4.89%
GAEM Simplify Gamma Emerging Market Bond ETF	6.72%	6.50%	3.78%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Drawdowns

FEMB vs. GAEM - Drawdown Comparison

The maximum FEMB drawdown since its inception was -30.44%, which is greater than GAEM's maximum drawdown of -3.84%. Use the drawdown chart below to compare losses from any high point for FEMB and GAEM.

Drawdown Indicators

	FEMB	GAEM	Difference
Max Drawdown Largest peak-to-trough decline	-30.44%	-3.84%	-26.60%
Max Drawdown (1Y) Largest decline over 1 year	-7.58%	-3.61%	-3.97%
Max Drawdown (5Y) Largest decline over 5 years	-27.85%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-30.44%	—	—
Current Drawdown Current decline from peak	-6.52%	-2.80%	-3.72%
Average Drawdown Average peak-to-trough decline	-10.03%	-0.51%	-9.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.81%	0.85%	+0.96%

Volatility

FEMB vs. GAEM - Volatility Comparison

First Trust Emerging Markets Local Currency Bond ETF (FEMB) has a higher volatility of 3.81% compared to Simplify Gamma Emerging Market Bond ETF (GAEM) at 2.27%. This indicates that FEMB's price experiences larger fluctuations and is considered to be riskier than GAEM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FEMB	GAEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.81%	2.27%	+1.54%
Volatility (6M) Calculated over the trailing 6-month period	5.46%	3.37%	+2.09%
Volatility (1Y) Calculated over the trailing 1-year period	8.94%	5.50%	+3.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.21%	4.88%	+5.33%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	11.22%	4.88%	+6.34%