VABS vs. VEMY

Last updated Aug 2, 2026

VABS (Virtus Newfleet ABS/MBS ETF) and VEMY (Virtus Stone Harbor Emerging Markets High Yield Bond ETF) are both exchange-traded funds - VABS is a Mortgage Backed Securities fund actively managed by Virtus, while VEMY is a Emerging Markets Bonds fund actively managed by Virtus. Both are actively managed. Over the past 3 years, VABS returned 6.16%/yr vs 13.84%/yr for VEMY. Their 0.34 correlation means their historical movements had little consistent relationship. VABS charges 0.39%/yr vs 0.58%/yr for VEMY.

Performance

VABS vs. VEMY - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Virtus Newfleet ABS/MBS ETF (VABS) and Virtus Stone Harbor Emerging Markets High Yield Bond ETF (VEMY). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VABS achieves a 2.04% return, which is significantly lower than VEMY's 5.65% return.

VABS

• 1D: -0.08%
• 1M: 0.13%
• 6M: 1.54%
• YTD: 2.04%
• 1Y: 3.38%
• 3Y*: 6.16%
• 5Y*: 3.26%
• 10Y*: —
• ALL TIME*: 3.14%

VEMY

• 1D: 0.04%
• 1M: -0.85%
• 6M: 3.07%
• YTD: 5.65%
• 1Y: 12.83%
• 3Y*: 13.84%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 13.01%

*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)
VABS Virtus Newfleet ABS/MBS ETF	$47.74K	$55.28K	$583.29K
VEMY Virtus Stone Harbor Emerging Markets High Yield Bond ETF	$966.52K	$884.39K	$876.68K

VABS vs. VEMY - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
VABS Virtus Newfleet ABS/MBS ETF	2.04%	5.40%	7.59%	7.61%	0.32%
VEMY Virtus Stone Harbor Emerging Markets High Yield Bond ETF	5.65%	15.27%	13.48%	14.45%	-1.43%

Correlation

The correlation between VABS and VEMY is 0.27, which is low. Their historical price movements had little consistent relationship.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.27
Correlation (3Y) Balances recent behavior with more history.	0.33
Correlation (All Time) Calculated using the full available price history since Dec 13, 2022	0.34

Return for Risk

VABS vs. VEMY — Risk / Return Rank

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

VABS

VABS Risk / Return Rank: 85
VABS Sharpe Ratio Rank: 85
VABS Sortino Ratio Rank: 83
VABS Omega Ratio Rank: 91
VABS Calmar Ratio Rank: 90
VABS Martin Ratio Rank: 78

VEMY

VEMY Risk / Return Rank: 89
VEMY Sharpe Ratio Rank: 88
VEMY Sortino Ratio Rank: 92
VEMY Omega Ratio Rank: 91
VEMY Calmar Ratio Rank: 85
VEMY Martin Ratio Rank: 91

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.

VABS vs. VEMY - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Virtus Newfleet ABS/MBS ETF (VABS) and Virtus Stone Harbor Emerging Markets High Yield Bond ETF (VEMY). 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.

	VABS	VEMY	Difference
Sharpe ratio: Return per unit of total volatility	1.98	2.15	-0.17
Sortino ratio: Return per unit of downside risk	2.72	3.32	-0.60
Omega ratio: Gain probability vs. loss probability	1.43	1.43	0.00
Calmar ratio: Return relative to maximum drawdown	3.80	3.23	+0.56
Martin ratio: Return relative to average drawdown	9.93	14.88	-4.95

VABS vs. VEMY - Sharpe Ratio Comparison

The current VABS Sharpe Ratio is 1.98, which is comparable to the VEMY Sharpe Ratio of 2.15. The chart below compares the historical Sharpe Ratios of VABS and VEMY, 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

VABS vs. VEMY - Drawdown Comparison

The maximum VABS drawdown since its inception was -7.12%, smaller than the maximum VEMY drawdown of -8.77%. Use the drawdown chart below to compare losses from any high point for VABS and VEMY.

Drawdown Indicators

	VABS	VEMY	Difference
Max Drawdown Largest peak-to-trough decline	-7.12%	-8.77%	+1.65%
Max Drawdown (1Y) Largest decline over 1 year	-0.98%	-4.00%	+3.02%
Max Drawdown (3Y) Largest decline over 3 years	-1.42%	-6.57%	+5.15%
Max Drawdown (5Y) Largest decline over 5 years	-7.12%	—	—
Current Drawdown Current decline from peak	-0.12%	-1.07%	+0.95%
Average Drawdown Average peak-to-trough decline	-1.38%	-1.27%	-0.11%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.38%	0.87%	-0.49%

Volatility

VABS vs. VEMY - Volatility Comparison

The current volatility for Virtus Newfleet ABS/MBS ETF (VABS) is 0.47%, while Virtus Stone Harbor Emerging Markets High Yield Bond ETF (VEMY) has a volatility of 1.13%. This indicates that VABS experiences smaller price fluctuations and is considered to be less risky than VEMY based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VABS	VEMY	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.47%	1.13%	-0.66%
Volatility (6M) Calculated over the trailing 6-month period	1.14%	4.52%	-3.38%
Volatility (1Y) Calculated over the trailing 1-year period	1.89%	6.02%	-4.13%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	2.31%	7.52%	-5.21%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	2.22%	7.52%	-5.30%

VABS vs. VEMY - Expense Ratio Comparison

VABS has a 0.39% expense ratio, which is lower than VEMY's 0.58% expense ratio.

Dividends

VABS vs. VEMY - Dividend Comparison

VABS's dividend yield for the trailing twelve months is around 5.03%, less than VEMY's 8.12% yield.

Position	TTM	2025	2024	2023	2022	2021
VABS Virtus Newfleet ABS/MBS ETF	5.03%	4.94%	5.05%	4.13%	2.47%	1.47%
VEMY Virtus Stone Harbor Emerging Markets High Yield Bond ETF	8.12%	8.89%	10.28%	9.55%	0.00%	0.00%

Frequently Asked Questions

Can I hold both VABS and VEMY in my portfolio?

VABS and VEMY have a correlation of 0.27, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VABS or VEMY?

VEMY has higher volatility (1.13%) compared to VABS (0.47%). In terms of maximum drawdown, VABS dropped -7.12% vs VEMY's -8.77%.

Which ETF is better, VABS or VEMY?

On 3-year performance, VEMY leads with 13.84% vs 6.16% for VABS. On fees, VABS is cheaper at 0.39% per year. On volatility, VABS has been the lower-risk option at 0.47%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, VABS or VEMY?

Over the 3-year period, VEMY has performed better with a 13.84% return vs 6.16%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, VABS or VEMY?

VABS is cheaper with a 0.39% expense ratio, compared with 0.58% for VEMY.

Which ETF pays a higher dividend yield, VABS or VEMY?

VEMY has the higher dividend yield at 8.12%, compared with 5.03% for VABS.

What is the main difference between VABS and VEMY?

VABS is categorized as Mortgage Backed Securities, while VEMY is Emerging Markets Bonds. Their fees differ too: 0.39% for VABS and 0.58% for VEMY.

Which has better risk-adjusted returns?

VEMY currently has the higher Sharpe Ratio (2.15 vs 1.98), 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.