IEMS.L vs. HEMC.L

Last updated Jun 5, 2026

IEMS.L (iShares MSCI Emerging Markets Small Cap UCITS ETF) and HEMC.L (HSBC MSCI Emerging Markets UCITS ETF USD (Acc)) are both Emerging Markets Equities funds - IEMS.L tracks the MSCI Emerging Markets Small Cap while HEMC.L tracks the MSCI EM NR USD. Both are passively managed. Over the past 3 years, IEMS.L returned 17.49%/yr vs 23.65%/yr for HEMC.L. A 0.78 correlation means they provide meaningful diversification when combined. IEMS.L charges 0.74%/yr vs 0.15%/yr for HEMC.L.

Performance

IEMS.L vs. HEMC.L - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI Emerging Markets Small Cap UCITS ETF (IEMS.L) and HSBC MSCI Emerging Markets UCITS ETF USD (Acc) (HEMC.L). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

IEMS.L is traded in USD, while HEMC.L is traded in GBP. To make them comparable, the HEMC.L values have been converted to USD using the latest available exchange rates.

Returns By Period

In the year-to-date period, IEMS.L achieves a 15.99% return, which is significantly lower than HEMC.L's 26.01% return.

IEMS.L

• 1D: -0.70%
• 1M: -1.03%
• YTD: 15.99%
• 6M: 16.76%
• 1Y: 29.31%
• 3Y*: 17.49%
• 5Y*: 7.12%
• 10Y*: 9.32%

HEMC.L

• 1D: -1.61%
• 1M: 5.59%
• YTD: 26.01%
• 6M: 29.12%
• 1Y: 52.79%
• 3Y*: 23.65%
• 5Y*: —
• 10Y*: —

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

IEMS.L vs. HEMC.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
IEMS.L iShares MSCI Emerging Markets Small Cap UCITS ETF	15.99%	19.35%	2.60%	23.28%	1.27%
HEMC.L HSBC MSCI Emerging Markets UCITS ETF USD (Acc)	26.02%	34.15%	7.08%	7.76%	-2.59%

Correlation

The correlation between IEMS.L and HEMC.L is 0.80, 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	0.80
Correlation (3Y) Calculated over the trailing 3-year period	0.79
Correlation (All Time) Calculated using the full available price history since Jun 30, 2022	0.78

The correlation between IEMS.L and HEMC.L has been stable across timeframes, ranging from 0.78 to 0.80 - a consistent structural relationship.

Return for Risk

IEMS.L vs. HEMC.L — Risk / Return Rank

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

IEMS.L

IEMS.L Risk / Return Rank: 54
IEMS.L Sharpe Ratio Rank: 48
IEMS.L Sortino Ratio Rank: 48
IEMS.L Omega Ratio Rank: 51
IEMS.L Calmar Ratio Rank: 63
IEMS.L Martin Ratio Rank: 59

HEMC.L

HEMC.L Risk / Return Rank: 89
HEMC.L Sharpe Ratio Rank: 91
HEMC.L Sortino Ratio Rank: 89
HEMC.L Omega Ratio Rank: 91
HEMC.L Calmar Ratio Rank: 88
HEMC.L Martin Ratio Rank: 85

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.

IEMS.L vs. HEMC.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI Emerging Markets Small Cap UCITS ETF (IEMS.L) and HSBC MSCI Emerging Markets UCITS ETF USD (Acc) (HEMC.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.

	IEMS.L	HEMC.L	Difference
Sharpe ratio: Return per unit of total volatility	1.62	2.79	-1.17
Sortino ratio: Return per unit of downside risk	2.34	3.68	-1.34
Omega ratio: Gain probability vs. loss probability	1.31	1.50	-0.19
Calmar ratio: Return relative to maximum drawdown	3.05	4.09	-1.04
Martin ratio: Return relative to average drawdown	10.31	15.01	-4.70
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IEMS.L vs. HEMC.L - Sharpe Ratio Comparison

The current IEMS.L Sharpe Ratio is 1.62, which is lower than the HEMC.L Sharpe Ratio of 2.79. The chart below compares the historical Sharpe Ratios of IEMS.L and HEMC.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

	IEMS.L	HEMC.L	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.62	2.79	-1.17
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.41	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.51	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.53	0.99	-0.46

Drawdowns

IEMS.L vs. HEMC.L - Drawdown Comparison

The maximum IEMS.L drawdown since its inception was -49.94%, which is greater than HEMC.L's maximum drawdown of -16.94%. Use the drawdown chart below to compare losses from any high point for IEMS.L and HEMC.L.

Drawdown Indicators

	IEMS.L	HEMC.L	Difference
Max Drawdown Largest peak-to-trough decline	-49.94%	-16.94%	-33.00%
Max Drawdown (1Y) Largest decline over 1 year	-9.60%	-12.85%	+3.25%
Max Drawdown (3Y) Largest decline over 3 years	-20.90%	-16.23%	-4.67%
Max Drawdown (5Y) Largest decline over 5 years	-27.85%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-49.94%	—	—
Current Drawdown Current decline from peak	-2.19%	-2.81%	+0.62%
Average Drawdown Average peak-to-trough decline	-11.38%	-4.54%	-6.84%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.85%	3.51%	-0.66%

Volatility

IEMS.L vs. HEMC.L - Volatility Comparison

The current volatility for iShares MSCI Emerging Markets Small Cap UCITS ETF (IEMS.L) is 7.31%, while HSBC MSCI Emerging Markets UCITS ETF USD (Acc) (HEMC.L) has a volatility of 8.19%. This indicates that IEMS.L experiences smaller price fluctuations and is considered to be less risky than HEMC.L based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IEMS.L	HEMC.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.31%	8.19%	-0.88%
Volatility (6M) Calculated over the trailing 6-month period	15.68%	16.14%	-0.46%
Volatility (1Y) Calculated over the trailing 1-year period	18.10%	18.84%	-0.74%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.45%	17.87%	-0.42%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.32%	17.87%	+0.45%

IEMS.L vs. HEMC.L - Expense Ratio Comparison

IEMS.L has a 0.74% expense ratio, which is higher than HEMC.L's 0.15% expense ratio.

Dividends

IEMS.L vs. HEMC.L - Dividend Comparison

IEMS.L's dividend yield for the trailing twelve months is around 1.61%, while HEMC.L has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HEMC.L HSBC MSCI Emerging Markets UCITS ETF USD (Acc)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
IEMS.L iShares MSCI Emerging Markets Small Cap UCITS ETF	1.61%	1.70%	1.81%	2.09%	2.47%	1.29%	1.62%	2.05%	2.19%	1.32%	2.08%	0.87%

Frequently Asked Questions

Can I hold both IEMS.L and HEMC.L in my portfolio?

IEMS.L and HEMC.L have a correlation of 0.80, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, IEMS.L or HEMC.L?

On fees, HEMC.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, IEMS.L or HEMC.L?

HEMC.L is cheaper with a 0.15% expense ratio, compared with 0.74% for IEMS.L.

What is the main difference between IEMS.L and HEMC.L?

IEMS.L tracks MSCI Emerging Markets Small Cap, while HEMC.L tracks MSCI EM NR USD. They also come from different issuers: iShares and HSBC. Their fees differ too: 0.74% for IEMS.L and 0.15% for HEMC.L.