IQDY vs. SDEM

Last updated Jun 4, 2026

IQDY (FlexShares International Quality Dividend Dynamic Index Fund) and SDEM (Global X MSCI SuperDividend Emerging Markets ETF) are both exchange-traded funds - IQDY is a Foreign Large Cap Equities fund tracking the Northern Trust International Quality Dividend Dynamic Index, while SDEM is a Emerging Markets Equities fund tracking the MSCI Emerging Markets Top 50 Dividend. Both are passively managed. Over the past 10 years, IQDY returned 11.61%/yr vs 4.84%/yr for SDEM. A 0.74 correlation means they provide meaningful diversification when combined. IQDY charges 0.47%/yr vs 0.67%/yr for SDEM.

Performance

IQDY vs. SDEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares International Quality Dividend Dynamic Index Fund (IQDY) and Global X MSCI SuperDividend Emerging Markets ETF (SDEM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, IQDY achieves a 17.95% return, which is significantly higher than SDEM's 10.35% return. Over the past 10 years, IQDY has outperformed SDEM with an annualized return of 11.61%, while SDEM has yielded a comparatively lower 4.84% annualized return.

IQDY

• 1D: -0.89%
• 1M: 6.55%
• YTD: 17.95%
• 6M: 20.74%
• 1Y: 41.61%
• 3Y*: 24.42%
• 5Y*: 11.45%
• 10Y*: 11.61%

SDEM

• 1D: -1.52%
• 1M: 1.02%
• YTD: 10.35%
• 6M: 10.30%
• 1Y: 30.03%
• 3Y*: 19.61%
• 5Y*: 4.14%
• 10Y*: 4.84%

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

IQDY vs. SDEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
IQDY FlexShares International Quality Dividend Dynamic Index Fund	17.95%	37.44%	5.97%	23.45%	-15.78%	12.00%	9.54%	27.27%	-20.04%	24.06%
SDEM Global X MSCI SuperDividend Emerging Markets ETF	10.35%	32.01%	4.02%	12.64%	-21.53%	2.11%	-11.13%	17.56%	-17.40%	16.57%

Correlation

The correlation between IQDY and SDEM is 0.78, 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	0.78
Correlation (3Y) Calculated over the trailing 3-year period	0.76
Correlation (5Y) Calculated over the trailing 5-year period	0.76
Correlation (10Y) Calculated over the trailing 10-year period	0.76
Correlation (All Time) Calculated using the full available price history since Mar 18, 2015	0.74

The correlation between IQDY and SDEM has been stable across timeframes, ranging from 0.74 to 0.78 - a consistent structural relationship.

IQDY vs. SDEM - Sectors Allocation Comparison

Sectors	IQDY	SDEM
Financial Services	26.3%	24.2%
Technology	18.2%	5.6%
Industrials	14.5%	12.9%
Consumer Cyclical	8.8%	5.5%
Basic Materials	7.8%	1.2%
Energy	7.6%	5.1%
Healthcare	5.4%	2.0%
Consumer Defensive	3.5%	5.6%
Communication Services	3.5%	5.7%
Utilities	3.4%	7.9%
Real Estate	1.0%	3.2%

Return for Risk

IQDY vs. SDEM — Risk / Return Rank

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

IQDY

IQDY Risk / Return Rank: 79
IQDY Sharpe Ratio Rank: 80
IQDY Sortino Ratio Rank: 77
IQDY Omega Ratio Rank: 78
IQDY Calmar Ratio Rank: 78
IQDY Martin Ratio Rank: 80

SDEM

SDEM Risk / Return Rank: 65
SDEM Sharpe Ratio Rank: 66
SDEM Sortino Ratio Rank: 66
SDEM Omega Ratio Rank: 62
SDEM Calmar Ratio Rank: 67
SDEM Martin Ratio Rank: 64

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.

IQDY vs. SDEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares International Quality Dividend Dynamic Index Fund (IQDY) and Global X MSCI SuperDividend Emerging Markets ETF (SDEM). 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.

	IQDY	SDEM	Difference
Sharpe ratio: Return per unit of total volatility	2.63	2.22	+0.40
Sortino ratio: Return per unit of downside risk	3.51	3.07	+0.44
Omega ratio: Gain probability vs. loss probability	1.47	1.38	+0.09
Calmar ratio: Return relative to maximum drawdown	4.01	3.34	+0.67
Martin ratio: Return relative to average drawdown	15.76	11.64	+4.13
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

IQDY vs. SDEM - Sharpe Ratio Comparison

The current IQDY Sharpe Ratio is 2.63, which is comparable to the SDEM Sharpe Ratio of 2.22. The chart below compares the historical Sharpe Ratios of IQDY and SDEM, 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

	IQDY	SDEM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.63	2.22	+0.40
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.65	0.24	+0.41
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.63	0.25	+0.38
Sharpe Ratio (All Time) Calculated using the full available price history	0.50	0.18	+0.32

Drawdowns

IQDY vs. SDEM - Drawdown Comparison

The maximum IQDY drawdown since its inception was -39.60%, smaller than the maximum SDEM drawdown of -47.38%. Use the drawdown chart below to compare losses from any high point for IQDY and SDEM.

Drawdown Indicators

	IQDY	SDEM	Difference
Max Drawdown Largest peak-to-trough decline	-39.60%	-47.38%	+7.78%
Max Drawdown (1Y) Largest decline over 1 year	-10.42%	-9.03%	-1.39%
Max Drawdown (3Y) Largest decline over 3 years	-14.76%	-12.34%	-2.42%
Max Drawdown (5Y) Largest decline over 5 years	-33.03%	-36.70%	+3.67%
Max Drawdown (10Y) Largest decline over 10 years	-39.60%	-47.38%	+7.78%
Current Drawdown Current decline from peak	-0.89%	-4.20%	+3.31%
Average Drawdown Average peak-to-trough decline	-9.10%	-20.71%	+11.61%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.65%	2.59%	+0.06%

Volatility

IQDY vs. SDEM - Volatility Comparison

FlexShares International Quality Dividend Dynamic Index Fund (IQDY) has a higher volatility of 5.84% compared to Global X MSCI SuperDividend Emerging Markets ETF (SDEM) at 4.90%. This indicates that IQDY's price experiences larger fluctuations and is considered to be riskier than SDEM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	IQDY	SDEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.84%	4.90%	+0.94%
Volatility (6M) Calculated over the trailing 6-month period	13.40%	11.14%	+2.26%
Volatility (1Y) Calculated over the trailing 1-year period	15.93%	13.57%	+2.36%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.81%	17.43%	+0.38%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.43%	19.22%	-0.79%

IQDY vs. SDEM - Expense Ratio Comparison

IQDY has a 0.47% expense ratio, which is lower than SDEM's 0.67% expense ratio.

Dividends

IQDY vs. SDEM - Dividend Comparison

IQDY's dividend yield for the trailing twelve months is around 2.76%, less than SDEM's 5.42% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IQDY FlexShares International Quality Dividend Dynamic Index Fund	2.76%	3.26%	6.95%	6.45%	5.52%	3.89%	2.62%	3.85%	5.97%	3.57%	3.77%	4.08%
SDEM Global X MSCI SuperDividend Emerging Markets ETF	5.42%	5.27%	7.28%	7.50%	8.86%	8.14%	6.30%	6.47%	6.55%	5.01%	5.06%	6.14%

Frequently Asked Questions

Can I hold both IQDY and SDEM in my portfolio?

IQDY and SDEM have a correlation of 0.78, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, IQDY or SDEM?

IQDY has higher volatility (5.84%) compared to SDEM (4.90%). In terms of maximum drawdown, IQDY dropped -39.60% vs SDEM's -47.38%.

Which ETF is better, IQDY or SDEM?

On 10-year performance, IQDY leads with 11.61% vs 4.84% for SDEM. On fees, IQDY is cheaper at 0.47% per year. On volatility, SDEM has been the lower-risk option at 4.90%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, IQDY or SDEM?

Over the 10-year period, IQDY has performed better with a 11.61% return vs 4.84%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, IQDY or SDEM?

IQDY is cheaper with a 0.47% expense ratio, compared with 0.67% for SDEM.

Which ETF pays a higher dividend yield, IQDY or SDEM?

SDEM has the higher dividend yield at 5.42%, compared with 2.76% for IQDY.

What is the main difference between IQDY and SDEM?

IQDY is categorized as Foreign Large Cap Equities, while SDEM is Emerging Markets Equities. IQDY tracks Northern Trust International Quality Dividend Dynamic Index, while SDEM tracks MSCI Emerging Markets Top 50 Dividend. They also come from different issuers: Northern Trust and Global X. Their fees differ too: 0.47% for IQDY and 0.67% for SDEM.

Which has better risk-adjusted returns?

IQDY currently has the higher Sharpe Ratio (2.63 vs 2.22), 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.