SPDW vs. IEMG

Last updated Jun 9, 2026

SPDW (SPDR Portfolio World ex-US ETF) and IEMG (iShares Core MSCI Emerging Markets ETF) are both exchange-traded funds - SPDW is a Foreign Large Cap Equities fund tracking the S&P Developed Ex-U.S. BMI Index, while IEMG is a Emerging Markets Diversified fund tracking the MSCI Emerging Markets Investable Market Index (USD) (Net). Both are passively managed. Over the past 10 years, SPDW returned 10.06%/yr vs 9.88%/yr for IEMG. Their correlation of 0.81 suggests significant overlap in exposure. SPDW charges 0.04%/yr vs 0.09%/yr for IEMG.

Performance

SPDW vs. IEMG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in SPDR Portfolio World ex-US ETF (SPDW) and iShares Core MSCI Emerging Markets ETF (IEMG). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, SPDW achieves a 12.18% return, which is significantly lower than IEMG's 18.97% return. Both investments have delivered pretty close results over the past 10 years, with SPDW having a 10.06% annualized return and IEMG not far behind at 9.88%.

SPDW

• 1D: 0.99%
• 1M: -1.17%
• YTD: 12.18%
• 6M: 14.96%
• 1Y: 27.89%
• 3Y*: 18.62%
• 5Y*: 8.90%
• 10Y*: 10.06%

IEMG

• 1D: 1.70%
• 1M: -3.66%
• YTD: 18.97%
• 6M: 20.80%
• 1Y: 40.80%
• 3Y*: 20.51%
• 5Y*: 6.57%
• 10Y*: 9.88%

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

SPDW vs. IEMG - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
SPDW SPDR Portfolio World ex-US ETF	12.18%	34.75%	3.55%	17.81%	-15.98%	11.45%	9.90%	22.41%	-14.22%	25.81%
IEMG iShares Core MSCI Emerging Markets ETF	18.97%	32.56%	6.50%	11.52%	-19.98%	-0.64%	17.87%	17.81%	-14.92%	37.38%

Correlation

The correlation between SPDW and IEMG is 0.82, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.82
Correlation (3Y) Calculated over the trailing 3-year period	0.79
Correlation (5Y) Calculated over the trailing 5-year period	0.80
Correlation (10Y) Calculated over the trailing 10-year period	0.81
Correlation (All Time) Calculated using the full available price history since Oct 25, 2012	0.81

The correlation between SPDW and IEMG has been stable across timeframes, ranging from 0.79 to 0.82 - a consistent structural relationship.

SPDW vs. IEMG - Sectors Allocation Comparison

Sectors	SPDW	IEMG
Financial Services	22.9%	18.4%
Industrials	19.2%	9.0%
Technology	13.7%	35.0%
Healthcare	8.3%	3.7%
Consumer Cyclical	7.8%	9.5%
Basic Materials	7.3%	6.9%
Consumer Defensive	5.7%	3.3%
Energy	5.5%	3.8%
Communication Services	3.8%	6.4%
Utilities	3.3%	2.2%
Real Estate	2.5%	1.7%

Return for Risk

SPDW vs. IEMG — Risk / Return Rank

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

SPDW

SPDW Risk / Return Rank: 56
SPDW Sharpe Ratio Rank: 57
SPDW Sortino Ratio Rank: 55
SPDW Omega Ratio Rank: 56
SPDW Calmar Ratio Rank: 54
SPDW Martin Ratio Rank: 59

IEMG

IEMG Risk / Return Rank: 67
IEMG Sharpe Ratio Rank: 67
IEMG Sortino Ratio Rank: 61
IEMG Omega Ratio Rank: 71
IEMG Calmar Ratio Rank: 68
IEMG Martin Ratio Rank: 69

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.

SPDW vs. IEMG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for SPDR Portfolio World ex-US ETF (SPDW) and iShares Core MSCI Emerging Markets ETF (IEMG). 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.

	SPDW	IEMG	Difference
Sharpe ratio: Return per unit of total volatility	1.74	1.99	-0.25
Sortino ratio: Return per unit of downside risk	2.40	2.58	-0.18
Omega ratio: Gain probability vs. loss probability	1.32	1.38	-0.06
Calmar ratio: Return relative to maximum drawdown	2.43	3.10	-0.68
Martin ratio: Return relative to average drawdown	9.42	11.68	-2.26
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

SPDW vs. IEMG - Sharpe Ratio Comparison

The current SPDW Sharpe Ratio is 1.74, which is comparable to the IEMG Sharpe Ratio of 1.99. The chart below compares the historical Sharpe Ratios of SPDW and IEMG, 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

	SPDW	IEMG	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.74	1.99	-0.25
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.54	0.35	+0.18
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.58	0.49	+0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.23	0.33	-0.09

Drawdowns

SPDW vs. IEMG - Drawdown Comparison

The maximum SPDW drawdown since its inception was -60.02%, which is greater than IEMG's maximum drawdown of -38.71%. Use the drawdown chart below to compare losses from any high point for SPDW and IEMG.

Drawdown Indicators

	SPDW	IEMG	Difference
Max Drawdown Largest peak-to-trough decline	-60.02%	-38.71%	-21.31%
Max Drawdown (1Y) Largest decline over 1 year	-11.55%	-13.21%	+1.66%
Max Drawdown (3Y) Largest decline over 3 years	-13.53%	-17.21%	+3.68%
Max Drawdown (5Y) Largest decline over 5 years	-30.21%	-35.75%	+5.54%
Max Drawdown (10Y) Largest decline over 10 years	-34.98%	-38.71%	+3.73%
Current Drawdown Current decline from peak	-3.30%	-7.00%	+3.70%
Average Drawdown Average peak-to-trough decline	-12.90%	-12.97%	+0.07%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.97%	3.50%	-0.53%

Volatility

SPDW vs. IEMG - Volatility Comparison

The current volatility for SPDR Portfolio World ex-US ETF (SPDW) is 6.07%, while iShares Core MSCI Emerging Markets ETF (IEMG) has a volatility of 10.33%. This indicates that SPDW experiences smaller price fluctuations and is considered to be less risky than IEMG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	SPDW	IEMG	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.07%	10.33%	-4.26%
Volatility (6M) Calculated over the trailing 6-month period	13.76%	18.35%	-4.59%
Volatility (1Y) Calculated over the trailing 1-year period	16.09%	20.62%	-4.53%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.58%	18.62%	-2.04%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.30%	20.14%	-2.84%

SPDW vs. IEMG - Expense Ratio Comparison

SPDW has a 0.04% expense ratio, which is lower than IEMG's 0.09% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

SPDW vs. IEMG - Dividend Comparison

SPDW's dividend yield for the trailing twelve months is around 2.94%, more than IEMG's 2.31% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
IEMG iShares Core MSCI Emerging Markets ETF	2.31%	2.75%	3.20%	2.89%	2.71%	3.06%	1.87%	3.15%	2.76%	2.35%	2.28%	2.53%
SPDW SPDR Portfolio World ex-US ETF	2.94%	3.30%	3.19%	2.75%	3.12%	3.04%	1.87%	3.13%	3.08%	1.86%	3.11%	2.78%

Frequently Asked Questions

Can I hold both SPDW and IEMG in my portfolio?

SPDW and IEMG have a correlation of 0.82, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, SPDW or IEMG?

IEMG has higher volatility (10.33%) compared to SPDW (6.07%). In terms of maximum drawdown, SPDW dropped -60.02% vs IEMG's -38.71%.

Which ETF is better, SPDW or IEMG?

On 10-year performance, SPDW leads with 10.06% vs 9.88% for IEMG. On fees, SPDW is cheaper at 0.04% per year. On volatility, SPDW has been the lower-risk option at 6.07%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, SPDW or IEMG?

Over the 10-year period, SPDW has performed better with a 10.06% return vs 9.88%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, SPDW or IEMG?

SPDW is cheaper with a 0.04% expense ratio, compared with 0.09% for IEMG.

Which ETF pays a higher dividend yield, SPDW or IEMG?

SPDW has the higher dividend yield at 2.94%, compared with 2.31% for IEMG.

What is the main difference between SPDW and IEMG?

SPDW is categorized as Foreign Large Cap Equities, while IEMG is Emerging Markets Diversified. SPDW tracks S&P Developed Ex-U.S. BMI Index, while IEMG tracks MSCI Emerging Markets Investable Market Index (USD) (Net). They also come from different issuers: State Street and iShares. Their fees differ too: 0.04% for SPDW and 0.09% for IEMG.

Which has better risk-adjusted returns?

IEMG currently has the higher Sharpe Ratio (1.99 vs 1.74), 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.