PCY vs. NEMD

Last updated Jun 4, 2026

PCY (Invesco Emerging Markets Sovereign Debt ETF) and NEMD (Neuberger Berman Emerging Markets Debt Hard Currency ETF) are both Emerging Markets Bonds funds. PCY is passively managed, while NEMD is actively managed. Their correlation of 0.85 suggests significant overlap in exposure. PCY charges 0.50%/yr vs 0.60%/yr for NEMD.

Performance

PCY vs. NEMD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Invesco Emerging Markets Sovereign Debt ETF (PCY) and Neuberger Berman Emerging Markets Debt Hard Currency ETF (NEMD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PCY achieves a 2.20% return, which is significantly lower than NEMD's 3.76% return.

PCY

• 1D: -0.28%
• 1M: 1.69%
• YTD: 2.20%
• 6M: 1.58%
• 1Y: 15.37%
• 3Y*: 11.35%
• 5Y*: 1.29%
• 10Y*: 2.72%

NEMD

• 1D: -0.39%
• 1M: 1.56%
• YTD: 3.76%
• 6M: 4.02%
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

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

PCY vs. NEMD - Yearly Performance Comparison

	2026 (YTD)	2025
PCY Invesco Emerging Markets Sovereign Debt ETF	2.20%	6.60%
NEMD Neuberger Berman Emerging Markets Debt Hard Currency ETF	3.76%	7.07%

Correlation

The correlation between PCY and NEMD is 0.85, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (All Time) Calculated using the full available price history since Aug 12, 2025	0.85

PCY vs. NEMD - Sectors Allocation Comparison

Sectors	PCY	NEMD
Financial Services	0.0%	-
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	100.0%
Healthcare	-	-
Industrials	-	-
Real Estate	-	-
Technology	-	-
Utilities	-	-

Return for Risk

PCY vs. NEMD — Risk / Return Rank

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

PCY

PCY Risk / Return Rank: 59
PCY Sharpe Ratio Rank: 61
PCY Sortino Ratio Rank: 63
PCY Omega Ratio Rank: 62
PCY Calmar Ratio Rank: 52
PCY Martin Ratio Rank: 59

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.

PCY vs. NEMD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Invesco Emerging Markets Sovereign Debt ETF (PCY) and Neuberger Berman Emerging Markets Debt Hard Currency ETF (NEMD). 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.

	PCY	NEMD	Difference
Sharpe ratio: Return per unit of total volatility	2.08	—	—
Sortino ratio: Return per unit of downside risk	2.97	—	—
Omega ratio: Gain probability vs. loss probability	1.38	—	—
Calmar ratio: Return relative to maximum drawdown	2.61	—	—
Martin ratio: Return relative to average drawdown	10.61	—	—
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

Sharpe Ratios by Period

	PCY	NEMD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.08	—	—
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.10	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.21	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.30	2.14	-1.84

Drawdowns

PCY vs. NEMD - Drawdown Comparison

The maximum PCY drawdown since its inception was -49.13%, which is greater than NEMD's maximum drawdown of -4.43%. Use the drawdown chart below to compare losses from any high point for PCY and NEMD.

Drawdown Indicators

	PCY	NEMD	Difference
Max Drawdown Largest peak-to-trough decline	-49.13%	-4.43%	-44.70%
Max Drawdown (1Y) Largest decline over 1 year	-5.91%	—	—
Max Drawdown (3Y) Largest decline over 3 years	-11.52%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-37.17%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-37.78%	—	—
Current Drawdown Current decline from peak	-0.31%	-0.39%	+0.08%
Average Drawdown Average peak-to-trough decline	-6.97%	-0.57%	-6.40%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.45%	—	—

Volatility

Volatility by Period

	PCY	NEMD	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.30%	—	—
Volatility (6M) Calculated over the trailing 6-month period	5.81%	—	—
Volatility (1Y) Calculated over the trailing 1-year period	7.43%	6.51%	+0.92%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.17%	6.51%	+6.66%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	12.94%	6.51%	+6.43%

PCY vs. NEMD - Expense Ratio Comparison

PCY has a 0.50% expense ratio, which is lower than NEMD's 0.60% expense ratio.

Dividends

PCY vs. NEMD - Dividend Comparison

PCY's dividend yield for the trailing twelve months is around 5.85%, more than NEMD's 4.73% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NEMD Neuberger Berman Emerging Markets Debt Hard Currency ETF	4.73%	2.39%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
PCY Invesco Emerging Markets Sovereign Debt ETF	5.85%	5.93%	6.65%	6.48%	6.81%	4.80%	4.45%	4.78%	4.93%	4.80%	5.19%	5.46%

Frequently Asked Questions

Can I hold both PCY and NEMD in my portfolio?

PCY and NEMD have a correlation of 0.85, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, PCY or NEMD?

On fees, PCY is cheaper at 0.50% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, PCY or NEMD?

PCY is cheaper with a 0.50% expense ratio, compared with 0.60% for NEMD.

Which ETF pays a higher dividend yield, PCY or NEMD?

PCY has the higher dividend yield at 5.85%, compared with 4.73% for NEMD.

What is the main difference between PCY and NEMD?

They also come from different issuers: Invesco and Neuberger Berman. Their fees differ too: 0.50% for PCY and 0.60% for NEMD.