TLTE vs. DEM

Last updated Aug 4, 2026

TLTE (FlexShares Morningstar Emerging Markets Factor Tilt Index) and DEM (WisdomTree Emerging Markets Equity Income Fund) are both exchange-traded funds - TLTE is a Emerging Markets Equities fund tracking the Morningstar Emerging Markets Factor Tilt Index, while DEM is a Dividend fund tracking the WisdomTree Emerging Markets Equity Income Index. Both are passively managed. Over the past 10 years, TLTE returned 7.90%/yr vs 9.05%/yr for DEM. Their correlation of 0.89 means they have usually moved in the same direction. TLTE charges 0.59%/yr vs 0.63%/yr for DEM.

Performance

TLTE vs. DEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares Morningstar Emerging Markets Factor Tilt Index (TLTE) and WisdomTree Emerging Markets Equity Income Fund (DEM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TLTE achieves a 15.71% return, which is significantly lower than DEM's 17.69% return. Over the past 10 years, TLTE has underperformed DEM with an annualized return of 7.90%, while DEM has yielded a comparatively higher 9.05% annualized return.

TLTE

• 1D: 0.91%
• 1M: -1.41%
• 6M: 6.23%
• YTD: 15.71%
• 1Y: 30.47%
• 3Y*: 17.77%
• 5Y*: 7.25%
• 10Y*: 7.90%
• ALL TIME*: 5.51%

DEM

• 1D: 0.52%
• 1M: 1.12%
• 6M: 10.61%
• YTD: 17.69%
• 1Y: 25.38%
• 3Y*: 17.15%
• 5Y*: 10.09%
• 10Y*: 9.05%
• ALL TIME*: 4.95%

*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)
DEM WisdomTree Emerging Markets Equity Income Fund	$8.16M	$9.32M	$10.88M
TLTE FlexShares Morningstar Emerging Markets Factor Tilt Index	$291.32K	$272.95K	$346.48K

TLTE vs. DEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TLTE FlexShares Morningstar Emerging Markets Factor Tilt Index	15.71%	30.21%	3.53%	13.62%	-17.31%	4.79%	12.10%	14.51%	-17.44%	32.82%
DEM WisdomTree Emerging Markets Equity Income Fund	17.69%	21.29%	4.46%	20.93%	-10.43%	11.49%	-5.84%	19.84%	-7.69%	26.26%

Correlation

The correlation between TLTE and DEM is 0.86, 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.	0.86
Correlation (3Y) Balances recent behavior with more history.	0.88
Correlation (5Y) Shows whether the relationship held over a longer period.	0.88
Correlation (10Y) Provides a long-term view across more market conditions.	0.90
Correlation (All Time) Calculated using the full available price history since Oct 2, 2012	0.89

The correlation between TLTE and DEM has been stable across timeframes, ranging from 0.86 to 0.90 - a consistent structural relationship.

TLTE vs. DEM - Sectors Allocation Comparison

Sectors	TLTE	DEM
Technology	34.6%	17.5%
Financial Services	18.7%	21.9%
Industrials	10.1%	8.9%
Consumer Cyclical	9.9%	5.4%
Basic Materials	7.0%	3.7%
Communication Services	4.2%	3.0%
Real Estate	3.8%	2.9%
Consumer Defensive	3.6%	5.8%
Energy	3.1%	6.2%
Healthcare	2.6%	0.6%
Utilities	2.4%	3.0%

Return for Risk

TLTE vs. DEM — Risk / Return Rank

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

TLTE

TLTE Risk / Return Rank: 56
TLTE Sharpe Ratio Rank: 53
TLTE Sortino Ratio Rank: 51
TLTE Omega Ratio Rank: 57
TLTE Calmar Ratio Rank: 64
TLTE Martin Ratio Rank: 58

DEM

DEM Risk / Return Rank: 75
DEM Sharpe Ratio Rank: 72
DEM Sortino Ratio Rank: 71
DEM Omega Ratio Rank: 71
DEM Calmar Ratio Rank: 84
DEM Martin Ratio Rank: 75

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.

TLTE vs. DEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares Morningstar Emerging Markets Factor Tilt Index (TLTE) and WisdomTree Emerging Markets Equity Income Fund (DEM). 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.

	TLTE	DEM	Difference
Sharpe ratio: Return per unit of total volatility	1.36	1.70	-0.34
Sortino ratio: Return per unit of downside risk	1.89	2.36	-0.47
Omega ratio: Gain probability vs. loss probability	1.26	1.31	-0.04
Calmar ratio: Return relative to maximum drawdown	2.35	3.23	-0.88
Martin ratio: Return relative to average drawdown	7.13	9.72	-2.59

TLTE vs. DEM - Sharpe Ratio Comparison

The current TLTE Sharpe Ratio is 1.36, which is comparable to the DEM Sharpe Ratio of 1.70. The chart below compares the historical Sharpe Ratios of TLTE and DEM, 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

TLTE vs. DEM - Drawdown Comparison

The maximum TLTE drawdown since its inception was -44.21%, smaller than the maximum DEM drawdown of -51.85%. Use the drawdown chart below to compare losses from any high point for TLTE and DEM.

Drawdown Indicators

	TLTE	DEM	Difference
Max Drawdown Largest peak-to-trough decline	-44.21%	-51.85%	+7.64%
Max Drawdown (1Y) Largest decline over 1 year	-13.04%	-7.89%	-5.15%
Max Drawdown (3Y) Largest decline over 3 years	-17.43%	-15.64%	-1.79%
Max Drawdown (5Y) Largest decline over 5 years	-30.97%	-27.18%	-3.79%
Max Drawdown (10Y) Largest decline over 10 years	-44.21%	-37.79%	-6.42%
Current Drawdown Current decline from peak	-8.55%	-3.06%	-5.49%
Average Drawdown Average peak-to-trough decline	-12.08%	-12.82%	+0.74%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.29%	2.62%	+1.67%

Volatility

TLTE vs. DEM - Volatility Comparison

FlexShares Morningstar Emerging Markets Factor Tilt Index (TLTE) has a higher volatility of 8.36% compared to WisdomTree Emerging Markets Equity Income Fund (DEM) at 5.13%. This indicates that TLTE's price experiences larger fluctuations and is considered to be riskier than DEM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TLTE	DEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.36%	5.13%	+3.23%
Volatility (6M) Calculated over the trailing 6-month period	20.72%	13.19%	+7.53%
Volatility (1Y) Calculated over the trailing 1-year period	22.54%	15.02%	+7.52%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.76%	15.61%	+2.15%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.73%	17.86%	+0.87%

TLTE vs. DEM - Expense Ratio Comparison

TLTE has a 0.59% expense ratio, which is lower than DEM's 0.63% expense ratio.

Dividends

TLTE vs. DEM - Dividend Comparison

TLTE's dividend yield for the trailing twelve months is around 3.38%, less than DEM's 4.16% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DEM WisdomTree Emerging Markets Equity Income Fund	4.16%	4.88%	5.24%	5.49%	8.62%	5.87%	4.21%	4.78%	4.47%	3.67%	3.63%	5.21%
TLTE FlexShares Morningstar Emerging Markets Factor Tilt Index	3.38%	3.76%	3.73%	4.03%	4.42%	3.21%	1.95%	3.23%	3.02%	2.12%	2.30%	2.00%

Frequently Asked Questions

Can I hold both TLTE and DEM in my portfolio?

TLTE and DEM have a correlation of 0.86, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TLTE or DEM?

TLTE has higher volatility (8.36%) compared to DEM (5.13%). In terms of maximum drawdown, TLTE dropped -44.21% vs DEM's -51.85%.

Which ETF is better, TLTE or DEM?

On 10-year performance, DEM leads with 9.05% vs 7.90% for TLTE. On fees, TLTE is cheaper at 0.59% per year. On volatility, DEM has been the lower-risk option at 5.13%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TLTE or DEM?

Over the 10-year period, DEM has performed better with a 9.05% return vs 7.90%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TLTE or DEM?

TLTE is cheaper with a 0.59% expense ratio, compared with 0.63% for DEM.

Which ETF pays a higher dividend yield, TLTE or DEM?

DEM has the higher dividend yield at 4.16%, compared with 3.38% for TLTE.

What is the main difference between TLTE and DEM?

TLTE is categorized as Emerging Markets Equities, while DEM is Dividend. TLTE tracks Morningstar Emerging Markets Factor Tilt Index, while DEM tracks WisdomTree Emerging Markets Equity Income Index. They also come from different issuers: Northern Trust and WisdomTree. Their fees differ too: 0.59% for TLTE and 0.63% for DEM.

Which has better risk-adjusted returns?

DEM currently has the higher Sharpe Ratio (1.70 vs 1.36), 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.