UAE vs. DEM

Last updated Jun 4, 2026

UAE (iShares MSCI UAE ETF) and DEM (WisdomTree Emerging Markets Equity Income Fund) are both Emerging Markets Equities funds - UAE tracks the MSCI All UAE Capped Index while DEM tracks the WisdomTree Emerging Markets Equity income Index. Both are passively managed. Over the past 10 years, UAE returned 5.59%/yr vs 10.45%/yr for DEM. At a 0.39 correlation, their price movements are largely independent. UAE charges 0.59%/yr vs 0.63%/yr for DEM.

Performance

UAE vs. DEM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI UAE ETF (UAE) 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, UAE achieves a -2.82% return, which is significantly lower than DEM's 19.97% return. Over the past 10 years, UAE has underperformed DEM with an annualized return of 5.59%, while DEM has yielded a comparatively higher 10.45% annualized return.

UAE

• 1D: -1.38%
• 1M: -2.11%
• YTD: -2.82%
• 6M: -0.47%
• 1Y: 4.41%
• 3Y*: 12.18%
• 5Y*: 8.83%
• 10Y*: 5.59%

DEM

• 1D: -1.19%
• 1M: 6.63%
• YTD: 19.97%
• 6M: 20.75%
• 1Y: 32.23%
• 3Y*: 19.32%
• 5Y*: 9.57%
• 10Y*: 10.45%

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

UAE vs. DEM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
UAE iShares MSCI UAE ETF	-2.82%	21.35%	15.25%	2.91%	-5.36%	44.16%	-7.23%	1.59%	-14.42%	4.99%
DEM WisdomTree Emerging Markets Equity Income Fund	19.97%	21.29%	4.46%	20.93%	-10.43%	11.49%	-5.84%	19.84%	-7.69%	26.26%

Correlation

The correlation between UAE and DEM is 0.38, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.38
Correlation (3Y) Calculated over the trailing 3-year period	0.31
Correlation (5Y) Calculated over the trailing 5-year period	0.32
Correlation (10Y) Calculated over the trailing 10-year period	0.38
Correlation (All Time) Calculated using the full available price history since May 2, 2014	0.39

UAE vs. DEM - Sectors Allocation Comparison

Sectors	UAE	DEM
Financial Services	38.0%	21.9%
Real Estate	20.5%	3.0%
Industrials	11.4%	9.5%
Communication Services	9.6%	3.0%
Energy	8.3%	6.1%
Consumer Cyclical	5.2%	5.0%
Utilities	4.3%	3.0%
Consumer Defensive	1.7%	5.8%
Technology	1.0%	17.4%
Basic Materials	0.1%	3.5%
Healthcare	-	0.6%

Return for Risk

UAE vs. DEM — Risk / Return Rank

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

UAE

UAE Risk / Return Rank: 11
UAE Sharpe Ratio Rank: 11
UAE Sortino Ratio Rank: 11
UAE Omega Ratio Rank: 11
UAE Calmar Ratio Rank: 11
UAE Martin Ratio Rank: 11

DEM

DEM Risk / Return Rank: 74
DEM Sharpe Ratio Rank: 72
DEM Sortino Ratio Rank: 71
DEM Omega Ratio Rank: 71
DEM Calmar Ratio Rank: 79
DEM Martin Ratio Rank: 75

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.

UAE vs. DEM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI UAE ETF (UAE) 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.

	UAE	DEM	Difference
Sharpe ratio: Return per unit of total volatility	0.20	2.38	-2.18
Sortino ratio: Return per unit of downside risk	0.44	3.28	-2.84
Omega ratio: Gain probability vs. loss probability	1.06	1.43	-0.38
Calmar ratio: Return relative to maximum drawdown	0.21	4.10	-3.90
Martin ratio: Return relative to average drawdown	0.53	14.52	-13.99
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

UAE vs. DEM - Sharpe Ratio Comparison

The current UAE Sharpe Ratio is 0.20, which is lower than the DEM Sharpe Ratio of 2.38. The chart below compares the historical Sharpe Ratios of UAE 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.

Sharpe Ratios by Period

	UAE	DEM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.20	2.38	-2.18
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.47	0.63	-0.16
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.29	0.58	-0.30
Sharpe Ratio (All Time) Calculated using the full available price history	0.06	0.22	-0.16

Drawdowns

UAE vs. DEM - Drawdown Comparison

The maximum UAE drawdown since its inception was -60.49%, which is greater than DEM's maximum drawdown of -51.85%. Use the drawdown chart below to compare losses from any high point for UAE and DEM.

Drawdown Indicators

	UAE	DEM	Difference
Max Drawdown Largest peak-to-trough decline	-60.49%	-51.85%	-8.64%
Max Drawdown (1Y) Largest decline over 1 year	-21.50%	-7.89%	-13.61%
Max Drawdown (3Y) Largest decline over 3 years	-21.50%	-15.64%	-5.86%
Max Drawdown (5Y) Largest decline over 5 years	-27.47%	-27.18%	-0.29%
Max Drawdown (10Y) Largest decline over 10 years	-49.71%	-37.79%	-11.92%
Current Drawdown Current decline from peak	-16.42%	-1.19%	-15.23%
Average Drawdown Average peak-to-trough decline	-23.91%	-12.90%	-11.01%
Ulcer Index Depth and duration of drawdowns from previous peaks	8.37%	2.22%	+6.15%

Volatility

UAE vs. DEM - Volatility Comparison

iShares MSCI UAE ETF (UAE) has a higher volatility of 6.49% compared to WisdomTree Emerging Markets Equity Income Fund (DEM) at 5.64%. This indicates that UAE'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

	UAE	DEM	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.49%	5.64%	+0.85%
Volatility (6M) Calculated over the trailing 6-month period	19.05%	11.33%	+7.72%
Volatility (1Y) Calculated over the trailing 1-year period	21.99%	13.59%	+8.40%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.77%	15.33%	+3.44%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.54%	17.96%	+1.58%

UAE vs. DEM - Expense Ratio Comparison

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

Dividends

UAE vs. DEM - Dividend Comparison

UAE's dividend yield for the trailing twelve months is around 4.22%, more than DEM's 3.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DEM WisdomTree Emerging Markets Equity Income Fund	3.76%	4.88%	5.24%	5.49%	8.62%	5.87%	4.21%	4.78%	4.47%	3.67%	3.63%	5.21%
UAE iShares MSCI UAE ETF	4.22%	4.10%	3.32%	3.25%	2.67%	4.88%	4.75%	3.54%	5.56%	3.38%	4.74%	3.77%

Frequently Asked Questions

Can I hold both UAE and DEM in my portfolio?

UAE and DEM have a correlation of 0.38, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, UAE or DEM?

UAE has higher volatility (6.49%) compared to DEM (5.64%). In terms of maximum drawdown, UAE dropped -60.49% vs DEM's -51.85%.

Which ETF is better, UAE or DEM?

On 10-year performance, DEM leads with 10.45% vs 5.59% for UAE. On fees, UAE is cheaper at 0.59% per year. On volatility, DEM has been the lower-risk option at 5.64%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, UAE or DEM?

Over the 10-year period, DEM has performed better with a 10.45% return vs 5.59%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, UAE or DEM?

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

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

UAE has the higher dividend yield at 4.22%, compared with 3.76% for DEM.

What is the main difference between UAE and DEM?

UAE tracks MSCI All UAE Capped Index, while DEM tracks WisdomTree Emerging Markets Equity income Index. They also come from different issuers: iShares and WisdomTree. Their fees differ too: 0.59% for UAE and 0.63% for DEM.

Which has better risk-adjusted returns?

DEM currently has the higher Sharpe Ratio (2.38 vs 0.20), 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.