FFEM vs. FEMR

Last updated Jun 23, 2026

FFEM (Fidelity Fundamental Emerging Markets ETF) and FEMR (Fidelity Enhanced Emerging Markets ETF) are both Emerging Markets Diversified funds from Fidelity. Over the past year, FFEM returned 70.78% vs 65.82% for FEMR. Their correlation of 0.94 suggests significant overlap in exposure. FFEM charges 0.60%/yr vs 0.38%/yr for FEMR.

Performance

FFEM vs. FEMR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity Fundamental Emerging Markets ETF (FFEM) and Fidelity Enhanced Emerging Markets ETF (FEMR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with FFEM having a 36.81% return and FEMR slightly higher at 37.31%.

FFEM

• 1D: 0.78%
• 1M: 8.97%
• YTD: 36.81%
• 6M: 39.07%
• 1Y: 70.78%
• 3Y*: —
• 5Y*: —
• 10Y*: —

FEMR

• 1D: 1.35%
• 1M: 9.36%
• YTD: 37.31%
• 6M: 40.13%
• 1Y: 65.82%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

FFEM vs. FEMR - Yearly Performance Comparison

	2026 (YTD)	2025	2024
FFEM Fidelity Fundamental Emerging Markets ETF	36.81%	40.03%	-10.18%
FEMR Fidelity Enhanced Emerging Markets ETF	37.31%	35.27%	-1.48%

Correlation

The correlation between FFEM and FEMR 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 Nov 21, 2024	0.94

The correlation between FFEM and FEMR has been stable across timeframes, ranging from 0.93 to 0.94 - a consistent structural relationship.

Return for Risk

FFEM vs. FEMR — Risk / Return Rank

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

FFEM

FFEM Risk / Return Rank: 89
FFEM Sharpe Ratio Rank: 92
FFEM Sortino Ratio Rank: 86
FFEM Omega Ratio Rank: 89
FFEM Calmar Ratio Rank: 90
FFEM Martin Ratio Rank: 90

FEMR

FEMR Risk / Return Rank: 87
FEMR Sharpe Ratio Rank: 90
FEMR Sortino Ratio Rank: 83
FEMR Omega Ratio Rank: 88
FEMR Calmar Ratio Rank: 86
FEMR Martin Ratio Rank: 86

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.

FFEM vs. FEMR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity Fundamental Emerging Markets ETF (FFEM) and Fidelity Enhanced Emerging Markets ETF (FEMR). 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.

	FFEM	FEMR	Difference
Sharpe ratio: Return per unit of total volatility	3.01	2.87	+0.14
Sortino ratio: Return per unit of downside risk	3.69	3.53	+0.16
Omega ratio: Gain probability vs. loss probability	1.54	1.53	+0.01
Calmar ratio: Return relative to maximum drawdown	5.24	4.57	+0.67
Martin ratio: Return relative to average drawdown	19.73	17.47	+2.26

FFEM vs. FEMR - Sharpe Ratio Comparison

The current FFEM Sharpe Ratio is 3.01, which is comparable to the FEMR Sharpe Ratio of 2.87. The chart below compares the historical Sharpe Ratios of FFEM and FEMR, 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

FFEM vs. FEMR - Drawdown Comparison

The maximum FFEM drawdown since its inception was -18.17%, which is greater than FEMR's maximum drawdown of -15.58%. Use the drawdown chart below to compare losses from any high point for FFEM and FEMR.

Drawdown Indicators

	FFEM	FEMR	Difference
Max Drawdown Largest peak-to-trough decline	-18.17%	-15.58%	-2.59%
Max Drawdown (1Y) Largest decline over 1 year	-13.57%	-14.47%	+0.90%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-3.59%	-2.37%	-1.22%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.60%	3.78%	-0.18%

Volatility

FFEM vs. FEMR - Volatility Comparison

Fidelity Fundamental Emerging Markets ETF (FFEM) and Fidelity Enhanced Emerging Markets ETF (FEMR) have volatilities of 11.41% and 10.94%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FFEM	FEMR	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.41%	10.94%	+0.47%
Volatility (6M) Calculated over the trailing 6-month period	21.25%	20.80%	+0.45%
Volatility (1Y) Calculated over the trailing 1-year period	23.65%	23.08%	+0.57%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	24.04%	22.31%	+1.73%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.04%	22.31%	+1.73%

FFEM vs. FEMR - Expense Ratio Comparison

FFEM has a 0.60% expense ratio, which is higher than FEMR's 0.38% expense ratio.

Dividends

FFEM vs. FEMR - Dividend Comparison

FFEM's dividend yield for the trailing twelve months is around 1.20%, less than FEMR's 1.39% yield.

Position	TTM	2025	2024
FEMR Fidelity Enhanced Emerging Markets ETF	1.39%	1.92%	0.37%
FFEM Fidelity Fundamental Emerging Markets ETF	1.20%	1.59%	0.16%

Frequently Asked Questions

Can I hold both FFEM and FEMR in my portfolio?

With a correlation of 0.93, FFEM and FEMR 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, FFEM or FEMR?

FFEM has higher volatility (11.41%) compared to FEMR (10.94%). In terms of maximum drawdown, FFEM dropped -18.17% vs FEMR's -15.58%.

Which ETF is better, FFEM or FEMR?

On 1-year performance, FFEM leads with 70.78% vs 65.82% for FEMR. On fees, FEMR is cheaper at 0.38% per year. On volatility, FEMR has been the lower-risk option at 10.94%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FFEM or FEMR?

Over the 1-year period, FFEM has performed better with a 70.78% return vs 65.82%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FFEM or FEMR?

FEMR is cheaper with a 0.38% expense ratio, compared with 0.60% for FFEM.

Which ETF pays a higher dividend yield, FFEM or FEMR?

FEMR has the higher dividend yield at 1.39%, compared with 1.20% for FFEM.

What is the main difference between FFEM and FEMR?

Their fees differ too: 0.60% for FFEM and 0.38% for FEMR.

Which has better risk-adjusted returns?

FFEM currently has the higher Sharpe Ratio (3.01 vs 2.87), 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.