OBOR vs. EMDM

Last updated Aug 2, 2026

OBOR (KraneShares MSCI One Belt One Road Index ETF) and EMDM (First Trust Bloomberg Emerging Market Democracies ETF) are both Emerging Markets Equities funds - OBOR tracks the MSCI Global China Infrastructure Exposure while EMDM tracks the Bloomberg Emerging Market Democracies Index - Benchmark TR Net. Both are passively managed. Over the past 3 years, OBOR returned 9.00%/yr vs 26.67%/yr for EMDM. Their 0.63 correlation means they have sometimes moved together and sometimes differently. OBOR charges 0.79%/yr vs 0.75%/yr for EMDM.

Performance

OBOR vs. EMDM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in KraneShares MSCI One Belt One Road Index ETF (OBOR) and First Trust Bloomberg Emerging Market Democracies ETF (EMDM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, OBOR achieves a 0.11% return, which is significantly lower than EMDM's 27.86% return.

OBOR

• 1D: -0.46%
• 1M: 2.33%
• 6M: -6.55%
• YTD: 0.11%
• 1Y: 12.75%
• 3Y*: 9.00%
• 5Y*: 0.52%
• 10Y*: —
• ALL TIME*: 3.24%

EMDM

• 1D: 0.46%
• 1M: -3.52%
• 6M: 13.18%
• YTD: 27.86%
• 1Y: 66.00%
• 3Y*: 26.67%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 26.46%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
EMDM First Trust Bloomberg Emerging Market Democracies ETF	$660.85K	$757.43K	$571.79K
OBOR KraneShares MSCI One Belt One Road Index ETF	$4.43K	$6.82K	$15.71K

OBOR vs. EMDM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
OBOR KraneShares MSCI One Belt One Road Index ETF	0.11%	27.86%	8.55%	-8.76%
EMDM First Trust Bloomberg Emerging Market Democracies ETF	27.86%	59.68%	-4.93%	14.75%

Correlation

The correlation between OBOR and EMDM is 0.62, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.62
Correlation (3Y) Balances recent behavior with more history.	0.62
Correlation (All Time) Calculated using the full available price history since Mar 3, 2023	0.63

The correlation between OBOR and EMDM has been stable across timeframes, ranging from 0.62 to 0.63 - a consistent structural relationship.

OBOR vs. EMDM - Sectors Allocation Comparison

Sectors	OBOR	EMDM
Basic Materials	26.2%	12.7%
Industrials	25.5%	2.6%
Financial Services	23.1%	25.6%
Utilities	13.4%	1.5%
Energy	7.9%	4.8%
Consumer Cyclical	3.3%	5.3%
Technology	0.6%	39.9%
Healthcare	0.2%	0.5%
Communication Services	0.2%	4.0%
Consumer Defensive	-	3.1%
Real Estate	-	-

Return for Risk

OBOR vs. EMDM — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

OBOR

OBOR Risk / Return Rank: 29
OBOR Sharpe Ratio Rank: 31
OBOR Sortino Ratio Rank: 29
OBOR Omega Ratio Rank: 30
OBOR Calmar Ratio Rank: 27
OBOR Martin Ratio Rank: 25

EMDM

EMDM Risk / Return Rank: 90
EMDM Sharpe Ratio Rank: 92
EMDM Sortino Ratio Rank: 87
EMDM Omega Ratio Rank: 89
EMDM Calmar Ratio Rank: 92
EMDM Martin Ratio Rank: 89

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

OBOR vs. EMDM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for KraneShares MSCI One Belt One Road Index ETF (OBOR) and First Trust Bloomberg Emerging Market Democracies ETF (EMDM). 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.

	OBOR	EMDM	Difference
Sharpe ratio: Return per unit of total volatility	0.76	2.38	-1.62
Sortino ratio: Return per unit of downside risk	1.11	2.91	-1.80
Omega ratio: Gain probability vs. loss probability	1.15	1.41	-0.27
Calmar ratio: Return relative to maximum drawdown	0.86	4.23	-3.37
Martin ratio: Return relative to average drawdown	1.99	13.54	-11.55

OBOR vs. EMDM - Sharpe Ratio Comparison

The current OBOR Sharpe Ratio is 0.76, which is lower than the EMDM Sharpe Ratio of 2.38. The chart below compares the historical Sharpe Ratios of OBOR and EMDM, 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

OBOR vs. EMDM - Drawdown Comparison

The maximum OBOR drawdown since its inception was -41.54%, which is greater than EMDM's maximum drawdown of -18.81%. Use the drawdown chart below to compare losses from any high point for OBOR and EMDM.

Drawdown Indicators

	OBOR	EMDM	Difference
Max Drawdown Largest peak-to-trough decline	-41.54%	-18.81%	-22.73%
Max Drawdown (1Y) Largest decline over 1 year	-14.95%	-15.65%	+0.70%
Max Drawdown (3Y) Largest decline over 3 years	-18.06%	-18.81%	+0.75%
Max Drawdown (5Y) Largest decline over 5 years	-34.00%	—	—
Current Drawdown Current decline from peak	-11.67%	-10.88%	-0.79%
Average Drawdown Average peak-to-trough decline	-15.91%	-4.20%	-11.71%
Ulcer Index Depth and duration of drawdowns from previous peaks	6.48%	4.88%	+1.60%

Volatility

OBOR vs. EMDM - Volatility Comparison

The current volatility for KraneShares MSCI One Belt One Road Index ETF (OBOR) is 4.35%, while First Trust Bloomberg Emerging Market Democracies ETF (EMDM) has a volatility of 9.95%. This indicates that OBOR experiences smaller price fluctuations and is considered to be less risky than EMDM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	OBOR	EMDM	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.35%	9.95%	-5.60%
Volatility (6M) Calculated over the trailing 6-month period	14.90%	25.55%	-10.65%
Volatility (1Y) Calculated over the trailing 1-year period	17.10%	27.87%	-10.77%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.19%	21.16%	-4.97%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.51%	21.16%	-2.65%

OBOR vs. EMDM - Expense Ratio Comparison

OBOR has a 0.79% expense ratio, which is higher than EMDM's 0.75% expense ratio.

Dividends

OBOR vs. EMDM - Dividend Comparison

OBOR's dividend yield for the trailing twelve months is around 1.94%, less than EMDM's 2.96% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
EMDM First Trust Bloomberg Emerging Market Democracies ETF	2.96%	3.57%	5.87%	2.16%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
OBOR KraneShares MSCI One Belt One Road Index ETF	1.94%	1.94%	3.87%	3.40%	4.75%	3.26%	2.04%	4.33%	0.02%	0.10%

Frequently Asked Questions

Can I hold both OBOR and EMDM in my portfolio?

OBOR and EMDM have a correlation of 0.62, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, OBOR or EMDM?

EMDM has higher volatility (9.95%) compared to OBOR (4.35%). In terms of maximum drawdown, OBOR dropped -41.54% vs EMDM's -18.81%.

Which ETF is better, OBOR or EMDM?

On 3-year performance, EMDM leads with 26.67% vs 9.00% for OBOR. On fees, EMDM is cheaper at 0.75% per year. On volatility, OBOR has been the lower-risk option at 4.35%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, OBOR or EMDM?

Over the 3-year period, EMDM has performed better with a 26.67% return vs 9.00%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, OBOR or EMDM?

EMDM is cheaper with a 0.75% expense ratio, compared with 0.79% for OBOR.

Which ETF pays a higher dividend yield, OBOR or EMDM?

EMDM has the higher dividend yield at 2.96%, compared with 1.94% for OBOR.

What is the main difference between OBOR and EMDM?

OBOR tracks MSCI Global China Infrastructure Exposure, while EMDM tracks Bloomberg Emerging Market Democracies Index - Benchmark TR Net. They also come from different issuers: CICC and First Trust. Their fees differ too: 0.79% for OBOR and 0.75% for EMDM.

Which has better risk-adjusted returns?

EMDM currently has the higher Sharpe Ratio (2.38 vs 0.76), 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.