IAU vs. VEMAX

Last updated Jun 14, 2026

IAU (iShares Gold Trust) and VEMAX (Vanguard Emerging Markets Stock Index Fund Admiral Shares) are both funds - IAU is a Gold fund tracking the LBMA Gold Price, while VEMAX is a Emerging Markets Equities fund tracking the FTSE Emerging Markets All Cap China A Inclusion Index. Both are passively managed. Over the past 10 years, IAU returned 12.31%/yr vs 8.79%/yr for VEMAX. At a 0.18 correlation, their price movements are largely independent. IAU charges 0.25%/yr vs 0.13%/yr for VEMAX.

Performance

IAU vs. VEMAX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares Gold Trust (IAU) and Vanguard Emerging Markets Stock Index Fund Admiral Shares (VEMAX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IAU achieves a -2.44% return, which is significantly lower than VEMAX's 9.86% return. Over the past 10 years, IAU has outperformed VEMAX with an annualized return of 12.31%, while VEMAX has yielded a comparatively lower 8.79% annualized return.

IAU

• 1D: 0.08%
• 1M: -9.54%
• YTD: -2.44%
• 6M: -2.22%
• 1Y: 22.32%
• 3Y*: 29.07%
• 5Y*: 17.23%
• 10Y*: 12.31%

VEMAX

• 1D: 2.25%
• 1M: -1.61%
• YTD: 9.86%
• 6M: 11.36%
• 1Y: 25.51%
• 3Y*: 16.48%
• 5Y*: 4.76%
• 10Y*: 8.79%

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

IAU vs. VEMAX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IAU iShares Gold Trust	-2.44%	63.95%	26.85%	12.84%	-0.63%	-4.00%	25.03%	17.98%	-1.76%	12.91%
VEMAX Vanguard Emerging Markets Stock Index Fund Admiral Shares	9.86%	24.76%	11.34%	8.82%	-17.79%	0.85%	15.24%	20.29%	-14.59%	31.37%

Correlation

The correlation between IAU and VEMAX is 0.36, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.36
Correlation (3Y) Calculated over the trailing 3-year period	0.32
Correlation (5Y) Calculated over the trailing 5-year period	0.28
Correlation (10Y) Calculated over the trailing 10-year period	0.20
Correlation (All Time) Calculated using the full available price history since Jun 23, 2006	0.18

The correlation between IAU and VEMAX shifts across timeframes, from 0.18 (all time) to 0.36 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

IAU vs. VEMAX — Risk / Return Rank

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

IAU

IAU Risk / Return Rank: 26
IAU Sharpe Ratio Rank: 28
IAU Sortino Ratio Rank: 25
IAU Omega Ratio Rank: 30
IAU Calmar Ratio Rank: 24
IAU Martin Ratio Rank: 24

VEMAX

VEMAX Risk / Return Rank: 47
VEMAX Sharpe Ratio Rank: 47
VEMAX Sortino Ratio Rank: 46
VEMAX Omega Ratio Rank: 48
VEMAX Calmar Ratio Rank: 47
VEMAX Martin Ratio Rank: 45

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.

IAU vs. VEMAX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Gold Trust (IAU) and Vanguard Emerging Markets Stock Index Fund Admiral Shares (VEMAX). 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.

	IAU	VEMAX	Difference
Sharpe ratio: Return per unit of total volatility	0.89	1.59	-0.70
Sortino ratio: Return per unit of downside risk	1.25	2.22	-0.98
Omega ratio: Gain probability vs. loss probability	1.19	1.29	-0.11
Calmar ratio: Return relative to maximum drawdown	0.99	2.15	-1.16
Martin ratio: Return relative to average drawdown	2.83	7.83	-4.99

IAU vs. VEMAX - Sharpe Ratio Comparison

The current IAU Sharpe Ratio is 0.89, which is lower than the VEMAX Sharpe Ratio of 1.59. The chart below compares the historical Sharpe Ratios of IAU and VEMAX, 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

IAU vs. VEMAX - Drawdown Comparison

The maximum IAU drawdown since its inception was -45.14%, smaller than the maximum VEMAX drawdown of -66.45%. Use the drawdown chart below to compare losses from any high point for IAU and VEMAX.

Drawdown Indicators

	IAU	VEMAX	Difference
Max Drawdown Largest peak-to-trough decline	-45.14%	-66.45%	+21.31%
Max Drawdown (1Y) Largest decline over 1 year	-24.40%	-11.05%	-13.35%
Max Drawdown (3Y) Largest decline over 3 years	-24.40%	-15.78%	-8.62%
Max Drawdown (5Y) Largest decline over 5 years	-24.40%	-32.46%	+8.06%
Max Drawdown (10Y) Largest decline over 10 years	-24.40%	-36.11%	+11.71%
Current Drawdown Current decline from peak	-22.03%	-3.60%	-18.43%
Average Drawdown Average peak-to-trough decline	-15.97%	-16.10%	+0.13%
Ulcer Index Depth and duration of drawdowns from previous peaks	8.47%	3.03%	+5.44%

Volatility

IAU vs. VEMAX - Volatility Comparison

iShares Gold Trust (IAU) has a higher volatility of 7.70% compared to Vanguard Emerging Markets Stock Index Fund Admiral Shares (VEMAX) at 6.17%. This indicates that IAU's price experiences larger fluctuations and is considered to be riskier than VEMAX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IAU	VEMAX	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.70%	6.17%	+1.53%
Volatility (6M) Calculated over the trailing 6-month period	23.94%	12.65%	+11.29%
Volatility (1Y) Calculated over the trailing 1-year period	27.17%	14.97%	+12.20%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.16%	15.50%	+2.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.02%	16.49%	-0.47%

IAU vs. VEMAX - Expense Ratio Comparison

IAU has a 0.25% expense ratio, which is higher than VEMAX's 0.13% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

IAU vs. VEMAX - Dividend Comparison

IAU has not paid dividends to shareholders, while VEMAX's dividend yield for the trailing twelve months is around 2.42%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IAU iShares Gold Trust	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VEMAX Vanguard Emerging Markets Stock Index Fund Admiral Shares	2.42%	2.74%	3.13%	3.47%	4.05%	2.57%	1.87%	3.20%	2.85%	2.31%	2.51%	3.25%

Frequently Asked Questions

Can I hold both IAU and VEMAX in my portfolio?

IAU and VEMAX have a correlation of 0.36, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IAU or VEMAX?

IAU has higher volatility (7.70%) compared to VEMAX (6.17%). In terms of maximum drawdown, IAU dropped -45.14% vs VEMAX's -66.45%.

Which has better risk-adjusted returns?

VEMAX currently has the higher Sharpe Ratio (1.59 vs 0.89), 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.