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SHY vs. EMLC
Performance
Return for Risk
Drawdowns
Volatility
Dividends

SHY vs. EMLC

Last updated Jun 9, 2026

SHY (iShares 1-3 Year Treasury Bond ETF) and EMLC (VanEck Vectors J.P. Morgan EM Local Currency Bond ETF) are both exchange-traded funds - SHY is a Government Bonds fund tracking the ICE US Treasury 1-3 Year Index, while EMLC is a Emerging Markets Bonds fund tracking the J.P. Morgan Government Bond Index Emerging Markets Global Core Index. Both are passively managed. Over the past 10 years, SHY returned 1.63%/yr vs 1.99%/yr for EMLC. At a 0.17 correlation, their price movements are largely independent. SHY charges 0.15%/yr vs 0.30%/yr for EMLC.

Performance

SHY vs. EMLC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares 1-3 Year Treasury Bond ETF (SHY) and VanEck Vectors J.P. Morgan EM Local Currency Bond ETF (EMLC). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, SHY achieves a 0.34% return, which is significantly higher than EMLC's -0.23% return. Over the past 10 years, SHY has underperformed EMLC with an annualized return of 1.63%, while EMLC has yielded a comparatively higher 1.99% annualized return.

SHY

1D
0.05%
1M
-0.19%
YTD
0.34%
6M
0.74%
1Y
3.33%
3Y*
4.04%
5Y*
1.70%
10Y*
1.63%

EMLC

1D
-0.16%
1M
-1.80%
YTD
-0.23%
6M
1.29%
1Y
7.90%
3Y*
6.04%
5Y*
0.97%
10Y*
1.99%
*Multi-year figures are annualized to reflect compound growth (CAGR)

SHY vs. EMLC - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
SHY
iShares 1-3 Year Treasury Bond ETF		0.34%4.95%3.92%4.16%-3.88%-0.71%3.03%3.38%1.46%0.26%
EMLC
VanEck Vectors J.P. Morgan EM Local Currency Bond ETF		-0.23%18.81%-2.97%11.18%-10.58%-9.72%3.08%9.79%-7.57%13.84%

Correlation

The correlation between SHY and EMLC is 0.45, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.45

Correlation (3Y)
Calculated over the trailing 3-year period

0.43

Correlation (5Y)
Calculated over the trailing 5-year period

0.41

Correlation (10Y)
Calculated over the trailing 10-year period

0.25

Correlation (All Time)
Calculated using the full available price history since Jul 23, 2010

0.17

Over the past year, SHY and EMLC have become more correlated (0.45) than their long-term average of 0.17, meaning their price movements have been converging.

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares 1-3 Year Treasury Bond ETF

VanEck Vectors J.P. Morgan EM Local Currency Bond ETF

Often compared with SHY:
SHY vs. SGOVSHY vs. VGSHSHY vs. SHVSHY vs. TLTSHY vs. IEFSHY vs. BILSHY vs. BSV
Often compared with EMLC:
EMLC vs. LEMBEMLC vs. VWOBEMLC vs. EMBEMLC vs. EBNDEMLC vs. EMBDEMLC vs. EMHYEMLC vs. HYEM

Return for Risk

SHY vs. EMLC — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
SHY
SHY Risk / Return Rank: 8686
Overall Rank
SHY Sharpe Ratio Rank: 8585
Sharpe Ratio Rank
SHY Sortino Ratio Rank: 9292
Sortino Ratio Rank
SHY Omega Ratio Rank: 8989
Omega Ratio Rank
SHY Calmar Ratio Rank: 8080
Calmar Ratio Rank
SHY Martin Ratio Rank: 8282
Martin Ratio Rank
EMLC
EMLC Risk / Return Rank: 3333
Overall Rank
EMLC Sharpe Ratio Rank: 3535
Sharpe Ratio Rank
EMLC Sortino Ratio Rank: 3333
Sortino Ratio Rank
EMLC Omega Ratio Rank: 3737
Omega Ratio Rank
EMLC Calmar Ratio Rank: 2828
Calmar Ratio Rank
EMLC Martin Ratio Rank: 3232
Martin Ratio Rank
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.

SHY vs. EMLC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares 1-3 Year Treasury Bond ETF (SHY) and VanEck Vectors J.P. Morgan EM Local Currency Bond ETF (EMLC). 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.

SHYEMLCDifference
Sharpe ratioReturn per unit of total volatility
2.51
1.14

+1.38

Sortino ratioReturn per unit of downside risk
4.11
1.60

+2.51

Omega ratioGain probability vs. loss probability

1.51

1.22

+0.29

Calmar ratioReturn relative to maximum drawdown

3.76

1.28

+2.48

Martin ratioReturn relative to average drawdown

15.12

4.34

+10.78

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SHY vs. EMLC - Sharpe Ratio Comparison

The current SHY Sharpe Ratio is 2.51, which is higher than the EMLC Sharpe Ratio of 1.14. The chart below compares the historical Sharpe Ratios of SHY and EMLC, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

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Sharpe Ratios by Period

SHYEMLCDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.51

1.14

+1.38

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.86

0.11

+0.75

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

1.04

0.20

+0.84

Sharpe Ratio (All Time)

Calculated using the full available price history

1.28

0.10

+1.18

Drawdowns

SHY vs. EMLC - Drawdown Comparison

The maximum SHY drawdown since its inception was -5.71%, smaller than the maximum EMLC drawdown of -32.43%. Use the drawdown chart below to compare losses from any high point for SHY and EMLC.

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Drawdown Indicators

SHYEMLCDifference

Max Drawdown

Largest peak-to-trough decline

-5.71%

-32.43%

+26.72%

Max Drawdown (1Y)

Largest decline over 1 year

-0.89%

-6.19%

+5.30%

Max Drawdown (3Y)

Largest decline over 3 years

-0.97%

-9.15%

+8.18%

Max Drawdown (5Y)

Largest decline over 5 years

-5.71%

-25.26%

+19.55%

Max Drawdown (10Y)

Largest decline over 10 years

-5.71%

-26.47%

+20.76%

Current Drawdown

Current decline from peak

-0.39%

-5.38%

+4.99%

Average Drawdown

Average peak-to-trough decline

-0.52%

-14.36%

+13.84%

Ulcer Index

Depth and duration of drawdowns from previous peaks

0.22%

1.82%

-1.60%

Volatility

SHY vs. EMLC - Volatility Comparison

The current volatility for iShares 1-3 Year Treasury Bond ETF (SHY) is 0.38%, while VanEck Vectors J.P. Morgan EM Local Currency Bond ETF (EMLC) has a volatility of 2.20%. This indicates that SHY experiences smaller price fluctuations and is considered to be less risky than EMLC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

SHYEMLCDifference

Volatility (1M)

Calculated over the trailing 1-month period

0.38%

2.20%

-1.82%

Volatility (6M)

Calculated over the trailing 6-month period

0.95%

6.08%

-5.13%

Volatility (1Y)

Calculated over the trailing 1-year period

1.33%

7.00%

-5.67%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

1.99%

9.13%

-7.14%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

1.57%

10.05%

-8.48%

SHY vs. EMLC - Expense Ratio Comparison

SHY has a 0.15% expense ratio, which is lower than EMLC's 0.30% expense ratio.

Dividends

SHY vs. EMLC - Dividend Comparison

SHY's dividend yield for the trailing twelve months is around 3.69%, less than EMLC's 6.26% yield.

PositionTTM20252024202320222021202020192018201720162015
EMLC
VanEck Vectors J.P. Morgan EM Local Currency Bond ETF		6.26%5.91%6.55%5.97%5.54%5.25%4.90%6.25%6.50%5.34%5.32%6.25%
SHY
iShares 1-3 Year Treasury Bond ETF		3.69%3.81%3.92%2.99%1.30%0.26%0.94%2.12%1.72%0.98%0.71%0.54%

Frequently Asked Questions

SHY and EMLC have a correlation of 0.45, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

EMLC has higher volatility (2.20%) compared to SHY (0.38%). In terms of maximum drawdown, SHY dropped -5.71% vs EMLC's -32.43%.

On 10-year performance, EMLC leads with 1.99% vs 1.63% for SHY. On fees, SHY is cheaper at 0.15% per year. On volatility, SHY has been the lower-risk option at 0.38%. The better choice depends on whether you care most about return, fees, risk, or income.

Over the 10-year period, EMLC has performed better with a 1.99% return vs 1.63%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

SHY is cheaper with a 0.15% expense ratio, compared with 0.30% for EMLC.

EMLC has the higher dividend yield at 6.26%, compared with 3.69% for SHY.

SHY is categorized as Government Bonds, while EMLC is Emerging Markets Bonds. SHY tracks ICE US Treasury 1-3 Year Index, while EMLC tracks J.P. Morgan Government Bond Index Emerging Markets Global Core Index. They also come from different issuers: iShares and VanEck. Their fees differ too: 0.15% for SHY and 0.30% for EMLC.

SHY currently has the higher Sharpe Ratio (2.51 vs 1.14), 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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