HMEF.L vs. HMCD.L

Last updated Jun 5, 2026

HMEF.L (HSBC MSCI Emerging Markets UCITS ETF USD) and HMCD.L (HSBC MSCI China UCITS ETF) are both exchange-traded funds - HMEF.L is a Emerging Markets Equities fund tracking the MSCI EM NR USD, while HMCD.L is a China Equities fund tracking the MSCI China NR USD. Both are passively managed. Over the past 10 years, HMEF.L returned 8.47%/yr vs 5.59%/yr for HMCD.L. Their correlation of 0.80 suggests significant overlap in exposure. HMEF.L charges 0.15%/yr vs 0.30%/yr for HMCD.L.

Performance

HMEF.L vs. HMCD.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in HSBC MSCI Emerging Markets UCITS ETF USD (HMEF.L) and HSBC MSCI China UCITS ETF (HMCD.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

HMEF.L is traded in GBp, while HMCD.L is traded in USD. To make them comparable, the HMCD.L values have been converted to GBp using the latest available exchange rates.

Returns By Period

In the year-to-date period, HMEF.L achieves a 25.52% return, which is significantly higher than HMCD.L's -6.81% return. Over the past 10 years, HMEF.L has outperformed HMCD.L with an annualized return of 8.47%, while HMCD.L has yielded a comparatively lower 5.59% annualized return.

HMEF.L

• 1D: -1.66%
• 1M: 6.53%
• YTD: 25.52%
• 6M: 27.29%
• 1Y: 51.20%
• 3Y*: 17.76%
• 5Y*: 5.72%
• 10Y*: 8.47%

HMCD.L

• 1D: -0.03%
• 1M: -1.83%
• YTD: -6.81%
• 6M: -9.18%
• 1Y: 5.78%
• 3Y*: 7.88%
• 5Y*: -4.13%
• 10Y*: 5.59%

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

HMEF.L vs. HMCD.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
HMEF.L HSBC MSCI Emerging Markets UCITS ETF USD	25.52%	21.88%	6.43%	-0.16%	-12.59%	-4.10%	12.68%	10.34%	-11.43%	23.56%
HMCD.L HSBC MSCI China UCITS ETF	-6.81%	22.20%	20.76%	-15.94%	-13.31%	-21.35%	25.52%	16.97%	-14.14%	40.75%

Correlation

The correlation between HMEF.L and HMCD.L is 0.64, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.64
Correlation (3Y) Calculated over the trailing 3-year period	0.73
Correlation (5Y) Calculated over the trailing 5-year period	0.79
Correlation (10Y) Calculated over the trailing 10-year period	0.83
Correlation (All Time) Calculated using the full available price history since Sep 8, 2011	0.80

The correlation between HMEF.L and HMCD.L shifts across timeframes, from 0.64 (1 year) to 0.83 (10 years), reflecting how their relationship changes across market environments.

HMEF.L vs. HMCD.L - Sectors Allocation Comparison

Sectors	HMEF.L	HMCD.L
Technology	42.9%	9.5%
Financial Services	17.8%	19.1%
Consumer Cyclical	8.7%	26.5%
Industrials	6.8%	5.0%
Communication Services	6.2%	18.8%
Basic Materials	5.9%	5.5%
Energy	3.5%	3.7%
Consumer Defensive	2.7%	3.2%
Healthcare	2.6%	5.3%
Utilities	1.9%	1.7%
Real Estate	1.0%	1.5%

Return for Risk

HMEF.L vs. HMCD.L — Risk / Return Rank

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

HMEF.L

HMEF.L Risk / Return Rank: 86
HMEF.L Sharpe Ratio Rank: 89
HMEF.L Sortino Ratio Rank: 87
HMEF.L Omega Ratio Rank: 89
HMEF.L Calmar Ratio Rank: 85
HMEF.L Martin Ratio Rank: 81

HMCD.L

HMCD.L Risk / Return Rank: 12
HMCD.L Sharpe Ratio Rank: 12
HMCD.L Sortino Ratio Rank: 13
HMCD.L Omega Ratio Rank: 13
HMCD.L Calmar Ratio Rank: 12
HMCD.L Martin Ratio Rank: 12

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.

HMEF.L vs. HMCD.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for HSBC MSCI Emerging Markets UCITS ETF USD (HMEF.L) and HSBC MSCI China UCITS ETF (HMCD.L). 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.

	HMEF.L	HMCD.L	Difference
Sharpe ratio: Return per unit of total volatility	2.99	0.30	+2.70
Sortino ratio: Return per unit of downside risk	3.88	0.55	+3.33
Omega ratio: Gain probability vs. loss probability	1.55	1.06	+0.49
Calmar ratio: Return relative to maximum drawdown	4.60	0.34	+4.27
Martin ratio: Return relative to average drawdown	15.90	0.70	+15.20
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

HMEF.L vs. HMCD.L - Sharpe Ratio Comparison

The current HMEF.L Sharpe Ratio is 2.99, which is higher than the HMCD.L Sharpe Ratio of 0.30. The chart below compares the historical Sharpe Ratios of HMEF.L and HMCD.L, 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

	HMEF.L	HMCD.L	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.99	0.30	+2.70
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.35	-0.15	+0.50
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.47	0.22	+0.26
Sharpe Ratio (All Time) Calculated using the full available price history	0.27	0.16	+0.11

Drawdowns

HMEF.L vs. HMCD.L - Drawdown Comparison

The maximum HMEF.L drawdown since its inception was -32.91%, smaller than the maximum HMCD.L drawdown of -56.56%. Use the drawdown chart below to compare losses from any high point for HMEF.L and HMCD.L.

Drawdown Indicators

	HMEF.L	HMCD.L	Difference
Max Drawdown Largest peak-to-trough decline	-32.91%	-56.56%	+23.65%
Max Drawdown (1Y) Largest decline over 1 year	-11.07%	-17.12%	+6.05%
Max Drawdown (3Y) Largest decline over 3 years	-15.40%	-24.84%	+9.44%
Max Drawdown (5Y) Largest decline over 5 years	-26.99%	-49.36%	+22.37%
Max Drawdown (10Y) Largest decline over 10 years	-30.58%	-56.56%	+25.98%
Current Drawdown Current decline from peak	-2.56%	-32.66%	+30.10%
Average Drawdown Average peak-to-trough decline	-12.28%	-20.52%	+8.24%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.21%	8.22%	-5.01%

Volatility

HMEF.L vs. HMCD.L - Volatility Comparison

HSBC MSCI Emerging Markets UCITS ETF USD (HMEF.L) and HSBC MSCI China UCITS ETF (HMCD.L) have volatilities of 7.42% and 7.71%, 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

	HMEF.L	HMCD.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.42%	7.71%	-0.29%
Volatility (6M) Calculated over the trailing 6-month period	14.61%	14.24%	+0.37%
Volatility (1Y) Calculated over the trailing 1-year period	17.04%	19.56%	-2.52%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.23%	27.89%	-11.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.92%	25.66%	-7.74%

HMEF.L vs. HMCD.L - Expense Ratio Comparison

HMEF.L has a 0.15% expense ratio, which is lower than HMCD.L's 0.30% expense ratio.

Dividends

HMEF.L vs. HMCD.L - Dividend Comparison

HMEF.L's dividend yield for the trailing twelve months is around 0.02%, less than HMCD.L's 2.15% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HMCD.L HSBC MSCI China UCITS ETF	2.15%	2.25%	2.20%	2.08%	1.95%	1.31%	0.86%	1.59%	1.46%	0.75%	2.07%	2.95%
HMEF.L HSBC MSCI Emerging Markets UCITS ETF USD	0.02%	0.02%	0.02%	0.03%	0.03%	0.02%	0.02%	0.02%	0.02%	0.02%	0.02%	0.02%

Frequently Asked Questions

Can I hold both HMEF.L and HMCD.L in my portfolio?

HMEF.L and HMCD.L have a correlation of 0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, HMEF.L or HMCD.L?

On fees, HMEF.L is cheaper at 0.15% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, HMEF.L or HMCD.L?

HMEF.L is cheaper with a 0.15% expense ratio, compared with 0.30% for HMCD.L.

What is the main difference between HMEF.L and HMCD.L?

HMEF.L is categorized as Emerging Markets Equities, while HMCD.L is China Equities. HMEF.L tracks MSCI EM NR USD, while HMCD.L tracks MSCI China NR USD. Their fees differ too: 0.15% for HMEF.L and 0.30% for HMCD.L.