IEFM.L vs. XWEM.L

Last updated Jun 25, 2026

IEFM.L (iShares Edge MSCI Europe Momentum Factor UCITS ETF) and XWEM.L (Xtrackers MSCI World Momentum ESG UCITS ETF 1C) are both exchange-traded funds - IEFM.L is a Momentum fund tracking the MSCI Europe Momentum Index, while XWEM.L is a Global Equities fund tracking the MSCI World Momentum Low Carbon SRI Screened Select. Both are passively managed. Over the past year, IEFM.L returned 21.17% vs 39.39% for XWEM.L. A 0.70 correlation means they provide meaningful diversification when combined. Both charge a 0.25% expense ratio.

Performance

IEFM.L vs. XWEM.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in iShares Edge MSCI Europe Momentum Factor UCITS ETF (IEFM.L) and Xtrackers MSCI World Momentum ESG UCITS ETF 1C (XWEM.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

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

Returns By Period

In the year-to-date period, IEFM.L achieves a 6.98% return, which is significantly lower than XWEM.L's 24.14% return.

IEFM.L

• 1D: -0.56%
• 1M: 0.12%
• YTD: 6.98%
• 6M: 7.44%
• 1Y: 21.17%
• 3Y*: 20.90%
• 5Y*: 11.45%
• 10Y*: 12.54%

XWEM.L

• 1D: -2.11%
• 1M: 6.06%
• YTD: 24.14%
• 6M: 23.76%
• 1Y: 39.39%
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

IEFM.L vs. XWEM.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
IEFM.L iShares Edge MSCI Europe Momentum Factor UCITS ETF	6.98%	33.05%	15.03%	6.24%
XWEM.L Xtrackers MSCI World Momentum ESG UCITS ETF 1C	24.14%	12.90%	31.08%	9.26%

Correlation

The correlation between IEFM.L and XWEM.L is 0.74, 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	0.74
Correlation (All Time) Calculated using the full available price history since Jul 5, 2023	0.70

The correlation between IEFM.L and XWEM.L has been stable across timeframes, ranging from 0.70 to 0.74 - a consistent structural relationship.

Return for Risk

IEFM.L vs. XWEM.L — Risk / Return Rank

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

IEFM.L

IEFM.L Risk / Return Rank: 41
IEFM.L Sharpe Ratio Rank: 40
IEFM.L Sortino Ratio Rank: 42
IEFM.L Omega Ratio Rank: 41
IEFM.L Calmar Ratio Rank: 39
IEFM.L Martin Ratio Rank: 43

XWEM.L

XWEM.L Risk / Return Rank: 78
XWEM.L Sharpe Ratio Rank: 77
XWEM.L Sortino Ratio Rank: 81
XWEM.L Omega Ratio Rank: 76
XWEM.L Calmar Ratio Rank: 73
XWEM.L Martin Ratio Rank: 81

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.

IEFM.L vs. XWEM.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Edge MSCI Europe Momentum Factor UCITS ETF (IEFM.L) and Xtrackers MSCI World Momentum ESG UCITS ETF 1C (XWEM.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.

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.

	IEFM.L	XWEM.L	Difference
Sharpe ratio: Return per unit of total volatility	1.30	2.41	-1.11
Sortino ratio: Return per unit of downside risk	1.95	3.43	-1.49
Omega ratio: Gain probability vs. loss probability	1.24	1.44	-0.19
Calmar ratio: Return relative to maximum drawdown	1.75	4.43	-2.68
Martin ratio: Return relative to average drawdown	6.42	17.41	-10.99

IEFM.L vs. XWEM.L - Sharpe Ratio Comparison

The current IEFM.L Sharpe Ratio is 1.30, which is lower than the XWEM.L Sharpe Ratio of 2.41. The chart below compares the historical Sharpe Ratios of IEFM.L and XWEM.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.

Drawdowns

IEFM.L vs. XWEM.L - Drawdown Comparison

The maximum IEFM.L drawdown since its inception was -23.88%, which is greater than XWEM.L's maximum drawdown of -20.14%. Use the drawdown chart below to compare losses from any high point for IEFM.L and XWEM.L.

Drawdown Indicators

	IEFM.L	XWEM.L	Difference
Max Drawdown Largest peak-to-trough decline	-23.88%	-20.14%	-3.74%
Max Drawdown (1Y) Largest decline over 1 year	-12.05%	-9.26%	-2.79%
Max Drawdown (3Y) Largest decline over 3 years	-12.95%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-21.33%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-23.88%	—	—
Current Drawdown Current decline from peak	-1.91%	-2.11%	+0.20%
Average Drawdown Average peak-to-trough decline	-5.02%	-2.39%	-2.63%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.29%	2.36%	+0.93%

Volatility

IEFM.L vs. XWEM.L - Volatility Comparison

The current volatility for iShares Edge MSCI Europe Momentum Factor UCITS ETF (IEFM.L) is 3.97%, while Xtrackers MSCI World Momentum ESG UCITS ETF 1C (XWEM.L) has a volatility of 6.06%. This indicates that IEFM.L experiences smaller price fluctuations and is considered to be less risky than XWEM.L based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IEFM.L	XWEM.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.97%	6.06%	-2.09%
Volatility (6M) Calculated over the trailing 6-month period	14.12%	14.32%	-0.20%
Volatility (1Y) Calculated over the trailing 1-year period	16.22%	17.05%	-0.83%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.65%	16.83%	-1.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.94%	16.83%	-0.89%

IEFM.L vs. XWEM.L - Expense Ratio Comparison

Both IEFM.L and XWEM.L have an expense ratio of 0.25%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

IEFM.L vs. XWEM.L - Dividend Comparison

Neither IEFM.L nor XWEM.L has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both IEFM.L and XWEM.L in my portfolio?

IEFM.L and XWEM.L have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, IEFM.L or XWEM.L?

Both ETFs have the same 0.25% expense ratio. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, IEFM.L or XWEM.L?

IEFM.L and XWEM.L have the same expense ratio: 0.25% per year.

What is the main difference between IEFM.L and XWEM.L?

IEFM.L is categorized as Momentum, while XWEM.L is Global Equities. IEFM.L tracks MSCI Europe Momentum Index, while XWEM.L tracks MSCI World Momentum Low Carbon SRI Screened Select. They also come from different issuers: iShares and Xtrackers.