LEMB vs. FLOT
LEMB (iShares J.P. Morgan EM Local Currency Bond ETF) and FLOT (iShares Floating Rate Bond ETF) are both exchange-traded funds - LEMB is a Emerging Markets Bonds fund tracking the J.P. Morgan GBI-EM Global 15 cap 4.5 floor, while FLOT is a Ultrashort Bond fund tracking the Bloomberg US Floating Rate Note < 5 Years Index. Both are passively managed. Over the past 10 years, LEMB returned 1.45%/yr vs 3.04%/yr for FLOT. At a 0.11 correlation, their price movements are largely independent. LEMB charges 0.30%/yr vs 0.15%/yr for FLOT.
Performance
LEMB vs. FLOT - Performance Comparison
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Returns By Period
The year-to-date returns for both investments are quite close, with LEMB having a 2.00% return and FLOT slightly higher at 2.03%. Over the past 10 years, LEMB has underperformed FLOT with an annualized return of 1.45%, while FLOT has yielded a comparatively higher 3.04% annualized return.
LEMB
- 1D
- -0.05%
- 1M
- 1.68%
- YTD
- 2.00%
- 6M
- 2.42%
- 1Y
- 9.76%
- 3Y*
- 5.90%
- 5Y*
- 1.19%
- 10Y*
- 1.45%
FLOT
- 1D
- 0.02%
- 1M
- 0.33%
- YTD
- 2.03%
- 6M
- 2.19%
- 1Y
- 4.78%
- 3Y*
- 5.60%
- 5Y*
- 4.22%
- 10Y*
- 3.04%
LEMB vs. FLOT - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
LEMB iShares J.P. Morgan EM Local Currency Bond ETF | 2.00% | 18.02% | -1.72% | 7.23% | -10.74% | -9.92% | 3.10% | 6.40% | -7.49% | 12.49% |
FLOT iShares Floating Rate Bond ETF | 2.03% | 4.91% | 6.53% | 6.43% | 1.28% | 0.45% | 0.87% | 3.97% | 1.48% | 1.65% |
Correlation
The correlation between LEMB and FLOT is 0.17, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.17 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.14 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.19 |
Correlation (10Y) Calculated over the trailing 10-year period | 0.13 |
Correlation (All Time) Calculated using the full available price history since Oct 20, 2011 | 0.11 |
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Return for Risk
LEMB vs. FLOT — Risk / Return Rank
LEMB
FLOT
LEMB vs. FLOT - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for iShares J.P. Morgan EM Local Currency Bond ETF (LEMB) and iShares Floating Rate Bond ETF (FLOT). 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.
| LEMB | FLOT | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -4.96 | ||
| Sortino ratioReturn per unit of downside risk | -9.54 | ||
| Omega ratioGain probability vs. loss probability | 1.28 | 3.15 | -1.87 |
| Calmar ratioReturn relative to maximum drawdown | 1.63 | 11.13 | -9.50 |
| Martin ratioReturn relative to average drawdown | 5.38 | 103.02 | -97.64 |
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Drawdowns
LEMB vs. FLOT - Drawdown Comparison
The maximum LEMB drawdown since its inception was -30.82%, which is greater than FLOT's maximum drawdown of -13.54%. Use the drawdown chart below to compare losses from any high point for LEMB and FLOT.
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Drawdown Indicators
| LEMB | FLOT | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -30.82% | -13.54% | -17.28% |
Max Drawdown (1Y)Largest decline over 1 year | -6.00% | -0.43% | -5.57% |
Max Drawdown (3Y)Largest decline over 3 years | -10.09% | -1.57% | -8.52% |
Max Drawdown (5Y)Largest decline over 5 years | -23.96% | -2.36% | -21.60% |
Max Drawdown (10Y)Largest decline over 10 years | -29.09% | -13.54% | -15.55% |
Current DrawdownCurrent decline from peak | -4.11% | 0.00% | -4.11% |
Average DrawdownAverage peak-to-trough decline | -12.71% | -0.21% | -12.50% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 1.82% | 0.05% | +1.77% |
Volatility
LEMB vs. FLOT - Volatility Comparison
iShares J.P. Morgan EM Local Currency Bond ETF (LEMB) has a higher volatility of 2.04% compared to iShares Floating Rate Bond ETF (FLOT) at 0.21%. This indicates that LEMB's price experiences larger fluctuations and is considered to be riskier than FLOT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| LEMB | FLOT | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 2.04% | 0.21% | +1.83% |
Volatility (6M)Calculated over the trailing 6-month period | 5.59% | 0.63% | +4.96% |
Volatility (1Y)Calculated over the trailing 1-year period | 6.73% | 0.75% | +5.98% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 8.25% | 1.78% | +6.47% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 9.27% | 4.15% | +5.12% |
LEMB vs. FLOT - Expense Ratio Comparison
LEMB has a 0.30% expense ratio, which is higher than FLOT's 0.15% expense ratio.
Dividends
LEMB vs. FLOT - Dividend Comparison
LEMB's dividend yield for the trailing twelve months is around 2.39%, less than FLOT's 4.53% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
FLOT iShares Floating Rate Bond ETF | 4.53% | 4.84% | 5.82% | 5.66% | 2.06% | 0.43% | 1.25% | 2.78% | 2.41% | 1.46% | 0.97% | 0.53% |
LEMB iShares J.P. Morgan EM Local Currency Bond ETF | 2.39% | 2.44% | 0.00% | 1.34% | 0.86% | 3.89% | 0.00% | 4.39% | 3.46% | 0.00% | 0.00% | 0.64% |
Frequently Asked Questions
LEMB and FLOT have a correlation of 0.17, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
LEMB has higher volatility (2.04%) compared to FLOT (0.21%). In terms of maximum drawdown, LEMB dropped -30.82% vs FLOT's -13.54%.
On 10-year performance, FLOT leads with 3.04% vs 1.45% for LEMB. On fees, FLOT is cheaper at 0.15% per year. On volatility, FLOT has been the lower-risk option at 0.21%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 10-year period, FLOT has performed better with a 3.04% return vs 1.45%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
FLOT is cheaper with a 0.15% expense ratio, compared with 0.30% for LEMB.
FLOT has the higher dividend yield at 4.53%, compared with 2.39% for LEMB.
LEMB is categorized as Emerging Markets Bonds, while FLOT is Ultrashort Bond. LEMB tracks J.P. Morgan GBI-EM Global 15 cap 4.5 floor, while FLOT tracks Bloomberg US Floating Rate Note < 5 Years Index. Their fees differ too: 0.30% for LEMB and 0.15% for FLOT.
FLOT currently has the higher Sharpe Ratio (6.42 vs 1.46), 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.
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