TEDMX vs. SCHE

Last updated Aug 1, 2026

TEDMX (Templeton Developing Markets Trust) and SCHE (Schwab Emerging Markets Equity ETF) are both Emerging Markets Equities funds. Over the past 10 years, TEDMX returned 11.09%/yr vs 7.97%/yr for SCHE. Their correlation of 0.85 means they have usually moved in the same direction. TEDMX charges 1.38%/yr vs 0.11%/yr for SCHE.

Performance

TEDMX vs. SCHE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Templeton Developing Markets Trust (TEDMX) and Schwab Emerging Markets Equity ETF (SCHE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TEDMX achieves a 25.95% return, which is significantly higher than SCHE's 10.15% return. Over the past 10 years, TEDMX has outperformed SCHE with an annualized return of 11.09%, while SCHE has yielded a comparatively lower 7.97% annualized return.

TEDMX

• 1D: 4.06%
• 1M: -3.37%
• 6M: 12.01%
• YTD: 25.95%
• 1Y: 50.84%
• 3Y*: 24.35%
• 5Y*: 10.19%
• 10Y*: 11.09%
• ALL TIME*: 7.29%

SCHE

• 1D: 0.87%
• 1M: 0.50%
• 6M: 4.90%
• YTD: 10.15%
• 1Y: 22.24%
• 3Y*: 15.34%
• 5Y*: 6.23%
• 10Y*: 7.97%
• ALL TIME*: 4.92%

*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)
SCHE Schwab Emerging Markets Equity ETF	$121.98M	$115.93M	$116.46M
TEDMX Templeton Developing Markets Trust	$0.00	$0.00	$0.00

TEDMX vs. SCHE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TEDMX Templeton Developing Markets Trust	25.95%	44.71%	8.14%	12.28%	-22.17%	-5.82%	18.65%	26.39%	-16.21%	40.21%
SCHE Schwab Emerging Markets Equity ETF	10.15%	26.54%	10.60%	8.93%	-17.84%	-0.65%	14.49%	20.31%	-13.57%	32.70%

Correlation

The correlation between TEDMX and SCHE is 0.84, meaning they have usually moved in the same direction, including during past declines.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.84
Correlation (3Y) Balances recent behavior with more history.	0.89
Correlation (5Y) Shows whether the relationship held over a longer period.	0.92
Correlation (10Y) Provides a long-term view across more market conditions.	0.88
Correlation (All Time) Calculated using the full available price history since Jan 14, 2010	0.85

The correlation between TEDMX and SCHE has been stable across timeframes, ranging from 0.84 to 0.92 - a consistent structural relationship.

Return for Risk

TEDMX vs. SCHE — Risk / Return Rank

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

TEDMX

TEDMX Risk / Return Rank: 78
TEDMX Sharpe Ratio Rank: 79
TEDMX Sortino Ratio Rank: 69
TEDMX Omega Ratio Rank: 78
TEDMX Calmar Ratio Rank: 85
TEDMX Martin Ratio Rank: 78

SCHE

SCHE Risk / Return Rank: 52
SCHE Sharpe Ratio Rank: 50
SCHE Sortino Ratio Rank: 49
SCHE Omega Ratio Rank: 50
SCHE Calmar Ratio Rank: 55
SCHE Martin Ratio Rank: 55

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.

TEDMX vs. SCHE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Templeton Developing Markets Trust (TEDMX) and Schwab Emerging Markets Equity ETF (SCHE). 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.

	TEDMX	SCHE	Difference
Sharpe ratio: Return per unit of total volatility	1.84	1.22	+0.62
Sortino ratio: Return per unit of downside risk	2.31	1.74	+0.57
Omega ratio: Gain probability vs. loss probability	1.34	1.23	+0.12
Calmar ratio: Return relative to maximum drawdown	2.91	1.94	+0.97
Martin ratio: Return relative to average drawdown	9.34	6.43	+2.91

TEDMX vs. SCHE - Sharpe Ratio Comparison

The current TEDMX Sharpe Ratio is 1.84, which is higher than the SCHE Sharpe Ratio of 1.22. The chart below compares the historical Sharpe Ratios of TEDMX and SCHE, 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

TEDMX vs. SCHE - Drawdown Comparison

The maximum TEDMX drawdown since its inception was -64.97%, which is greater than SCHE's maximum drawdown of -36.20%. Use the drawdown chart below to compare losses from any high point for TEDMX and SCHE.

Drawdown Indicators

	TEDMX	SCHE	Difference
Max Drawdown Largest peak-to-trough decline	-64.97%	-36.20%	-28.77%
Max Drawdown (1Y) Largest decline over 1 year	-16.36%	-11.29%	-5.07%
Max Drawdown (3Y) Largest decline over 3 years	-16.36%	-17.08%	+0.72%
Max Drawdown (5Y) Largest decline over 5 years	-37.73%	-31.38%	-6.35%
Max Drawdown (10Y) Largest decline over 10 years	-44.36%	-36.20%	-8.16%
Current Drawdown Current decline from peak	-12.96%	-3.13%	-9.83%
Average Drawdown Average peak-to-trough decline	-19.40%	-12.51%	-6.89%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.09%	3.40%	+1.69%

Volatility

TEDMX vs. SCHE - Volatility Comparison

Templeton Developing Markets Trust (TEDMX) has a higher volatility of 10.55% compared to Schwab Emerging Markets Equity ETF (SCHE) at 5.70%. This indicates that TEDMX's price experiences larger fluctuations and is considered to be riskier than SCHE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TEDMX	SCHE	Difference
Volatility (1M) Calculated over the trailing 1-month period	10.55%	5.70%	+4.85%
Volatility (6M) Calculated over the trailing 6-month period	23.90%	15.60%	+8.30%
Volatility (1Y) Calculated over the trailing 1-year period	25.88%	17.99%	+7.89%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.67%	17.87%	+2.80%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.70%	19.44%	+0.26%

TEDMX vs. SCHE - Expense Ratio Comparison

TEDMX has a 1.38% expense ratio, which is higher than SCHE's 0.11% expense ratio.

Dividends

TEDMX vs. SCHE - Dividend Comparison

TEDMX's dividend yield for the trailing twelve months is around 2.10%, less than SCHE's 2.64% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SCHE Schwab Emerging Markets Equity ETF	2.64%	2.88%	3.03%	3.83%	2.88%	2.86%	2.09%	3.27%	2.64%	2.31%	2.27%	2.50%
TEDMX Templeton Developing Markets Trust	2.10%	2.64%	3.30%	3.44%	5.25%	6.76%	2.40%	4.54%	1.35%	0.90%	1.20%	1.02%

Frequently Asked Questions

Can I hold both TEDMX and SCHE in my portfolio?

TEDMX and SCHE have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TEDMX or SCHE?

TEDMX has higher volatility (10.55%) compared to SCHE (5.70%). In terms of maximum drawdown, TEDMX dropped -64.97% vs SCHE's -36.20%.

Which has better risk-adjusted returns?

TEDMX currently has the higher Sharpe Ratio (1.84 vs 1.22), 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.