TLTE vs. QEMM

Last updated Jun 24, 2026

TLTE (FlexShares Morningstar Emerging Markets Factor Tilt Index) and QEMM (SPDR MSCI Emerging Markets StrategicFactors ETF) are both exchange-traded funds - TLTE is a Foreign Large Cap Equities fund tracking the Morningstar Emerging Markets Factor Tilt Index, while QEMM is a Emerging Markets Equities fund tracking the MSCI EM Factor Mix A-Series (USD). Both are passively managed. Over the past 10 years, TLTE returned 9.47%/yr vs 8.86%/yr for QEMM. Their correlation of 0.86 suggests significant overlap in exposure. TLTE charges 0.59%/yr vs 0.30%/yr for QEMM.

Performance

TLTE vs. QEMM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in FlexShares Morningstar Emerging Markets Factor Tilt Index (TLTE) and SPDR MSCI Emerging Markets StrategicFactors ETF (QEMM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with TLTE having a 20.12% return and QEMM slightly higher at 21.11%. Over the past 10 years, TLTE has outperformed QEMM with an annualized return of 9.47%, while QEMM has yielded a comparatively lower 8.86% annualized return.

TLTE

• 1D: -5.06%
• 1M: 0.90%
• YTD: 20.12%
• 6M: 20.98%
• 1Y: 39.95%
• 3Y*: 21.14%
• 5Y*: 7.23%
• 10Y*: 9.47%

QEMM

• 1D: -3.77%
• 1M: 1.15%
• YTD: 21.11%
• 6M: 21.59%
• 1Y: 35.60%
• 3Y*: 18.42%
• 5Y*: 7.03%
• 10Y*: 8.86%

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

TLTE vs. QEMM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TLTE FlexShares Morningstar Emerging Markets Factor Tilt Index	20.12%	30.21%	3.53%	13.62%	-17.31%	4.79%	12.10%	14.51%	-17.44%	32.82%
QEMM SPDR MSCI Emerging Markets StrategicFactors ETF	21.11%	21.92%	4.98%	12.50%	-17.82%	6.34%	9.95%	15.40%	-13.33%	31.50%

Correlation

The correlation between TLTE and QEMM is 0.93, 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	0.93
Correlation (3Y) Calculated over the trailing 3-year period	0.94
Correlation (5Y) Calculated over the trailing 5-year period	0.94
Correlation (10Y) Calculated over the trailing 10-year period	0.92
Correlation (All Time) Calculated using the full available price history since Jun 6, 2014	0.86

The correlation between TLTE and QEMM has been stable across timeframes, ranging from 0.86 to 0.94 - a consistent structural relationship.

TLTE vs. QEMM - Sectors Allocation Comparison

Sectors	TLTE	QEMM
Technology	33.5%	25.2%
Financial Services	17.7%	13.1%
Industrials	10.5%	1.8%
Consumer Cyclical	9.9%	4.8%
Basic Materials	7.0%	3.0%
Communication Services	4.2%	2.4%
Real Estate	4.1%	0.6%
Consumer Defensive	3.7%	2.1%
Energy	3.7%	2.4%
Utilities	2.9%	1.5%
Healthcare	2.8%	0.9%

Return for Risk

TLTE vs. QEMM — Risk / Return Rank

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

TLTE

TLTE Risk / Return Rank: 64
TLTE Sharpe Ratio Rank: 62
TLTE Sortino Ratio Rank: 56
TLTE Omega Ratio Rank: 67
TLTE Calmar Ratio Rank: 66
TLTE Martin Ratio Rank: 68

QEMM

QEMM Risk / Return Rank: 66
QEMM Sharpe Ratio Rank: 63
QEMM Sortino Ratio Rank: 58
QEMM Omega Ratio Rank: 67
QEMM Calmar Ratio Rank: 72
QEMM Martin Ratio Rank: 70

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.

TLTE vs. QEMM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for FlexShares Morningstar Emerging Markets Factor Tilt Index (TLTE) and SPDR MSCI Emerging Markets StrategicFactors ETF (QEMM). 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	QEMM	Difference
Sharpe ratio: Return per unit of total volatility	1.91	1.94	-0.03
Sortino ratio: Return per unit of downside risk	2.50	2.57	-0.07
Omega ratio: Gain probability vs. loss probability	1.37	1.37	0.00
Calmar ratio: Return relative to maximum drawdown	3.08	3.44	-0.36
Martin ratio: Return relative to average drawdown	11.60	12.14	-0.54

TLTE vs. QEMM - Sharpe Ratio Comparison

The current TLTE Sharpe Ratio is 1.91, which is comparable to the QEMM Sharpe Ratio of 1.94. The chart below compares the historical Sharpe Ratios of TLTE and QEMM, 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. QEMM - Drawdown Comparison

The maximum TLTE drawdown since its inception was -44.21%, which is greater than QEMM's maximum drawdown of -36.89%. Use the drawdown chart below to compare losses from any high point for TLTE and QEMM.

Drawdown Indicators

	TLTE	QEMM	Difference
Max Drawdown Largest peak-to-trough decline	-44.21%	-36.89%	-7.32%
Max Drawdown (1Y) Largest decline over 1 year	-13.04%	-10.40%	-2.64%
Max Drawdown (3Y) Largest decline over 3 years	-17.43%	-17.03%	-0.40%
Max Drawdown (5Y) Largest decline over 5 years	-32.65%	-27.19%	-5.46%
Max Drawdown (10Y) Largest decline over 10 years	-44.21%	-36.89%	-7.32%
Current Drawdown Current decline from peak	-5.06%	-4.06%	-1.00%
Average Drawdown Average peak-to-trough decline	-12.12%	-10.60%	-1.52%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.45%	2.94%	+0.51%

Volatility

TLTE vs. QEMM - Volatility Comparison

FlexShares Morningstar Emerging Markets Factor Tilt Index (TLTE) has a higher volatility of 11.78% compared to SPDR MSCI Emerging Markets StrategicFactors ETF (QEMM) at 9.31%. This indicates that TLTE's price experiences larger fluctuations and is considered to be riskier than QEMM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TLTE	QEMM	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.78%	9.31%	+2.47%
Volatility (6M) Calculated over the trailing 6-month period	19.21%	16.80%	+2.41%
Volatility (1Y) Calculated over the trailing 1-year period	21.00%	18.46%	+2.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.45%	15.64%	+1.81%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.60%	16.98%	+1.62%

TLTE vs. QEMM - Expense Ratio Comparison

TLTE has a 0.59% expense ratio, which is higher than QEMM's 0.30% expense ratio.

Dividends

TLTE vs. QEMM - Dividend Comparison

TLTE's dividend yield for the trailing twelve months is around 3.26%, less than QEMM's 4.46% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
QEMM SPDR MSCI Emerging Markets StrategicFactors ETF	4.46%	4.90%	5.17%	4.88%	4.07%	2.35%	2.48%	3.05%	2.86%	2.11%	2.03%	2.14%
TLTE FlexShares Morningstar Emerging Markets Factor Tilt Index	3.26%	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 QEMM in my portfolio?

With a correlation of 0.93, TLTE and QEMM move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, TLTE or QEMM?

TLTE has higher volatility (11.78%) compared to QEMM (9.31%). In terms of maximum drawdown, TLTE dropped -44.21% vs QEMM's -36.89%.

Which ETF is better, TLTE or QEMM?

On 10-year performance, TLTE leads with 9.47% vs 8.86% for QEMM. On fees, QEMM is cheaper at 0.30% per year. On volatility, QEMM has been the lower-risk option at 9.31%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, TLTE or QEMM?

Over the 10-year period, TLTE has performed better with a 9.47% return vs 8.86%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, TLTE or QEMM?

QEMM is cheaper with a 0.30% expense ratio, compared with 0.59% for TLTE.

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

QEMM has the higher dividend yield at 4.46%, compared with 3.26% for TLTE.

What is the main difference between TLTE and QEMM?

TLTE is categorized as Foreign Large Cap Equities, while QEMM is Emerging Markets Equities. TLTE tracks Morningstar Emerging Markets Factor Tilt Index, while QEMM tracks MSCI EM Factor Mix A-Series (USD). They also come from different issuers: Northern Trust and State Street. Their fees differ too: 0.59% for TLTE and 0.30% for QEMM.

Which has better risk-adjusted returns?

QEMM currently has the higher Sharpe Ratio (1.94 vs 1.91), 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.