VAGS.L vs. VEMA.L

Last updated Jun 5, 2026

VAGS.L (Vanguard Global Aggregate Bond UCITS ETF GBP Hedged Accumulating) and VEMA.L (Vanguard USD Emerging Markets Government Bond UCITS ETF Accumulating) are both exchange-traded funds - VAGS.L is a Global Bonds fund tracking the Bloomberg Global Aggregate TR Hdg GBP, while VEMA.L is a Emerging Markets Bonds fund tracking the JPM EMBI Global Diversified TR USD. Both are passively managed. Over the past 5 years, VAGS.L returned -0.25%/yr vs 3.45%/yr for VEMA.L. At a 0.28 correlation, their price movements are largely independent. VAGS.L charges 0.10%/yr vs 0.25%/yr for VEMA.L.

Performance

VAGS.L vs. VEMA.L - Performance Comparison

The chart below illustrates the hypothetical performance of a £10,000 investment in Vanguard Global Aggregate Bond UCITS ETF GBP Hedged Accumulating (VAGS.L) and Vanguard USD Emerging Markets Government Bond UCITS ETF Accumulating (VEMA.L). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VAGS.L achieves a 0.19% return, which is significantly lower than VEMA.L's 1.66% return.

VAGS.L

• 1D: 0.14%
• 1M: 0.08%
• YTD: 0.19%
• 6M: 0.50%
• 1Y: 3.31%
• 3Y*: 3.76%
• 5Y*: -0.25%
• 10Y*: —

VEMA.L

• 1D: 0.22%
• 1M: 1.67%
• YTD: 1.66%
• 6M: 1.26%
• 1Y: 11.08%
• 3Y*: 6.06%
• 5Y*: 3.45%
• 10Y*: —

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

VAGS.L vs. VEMA.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
VAGS.L Vanguard Global Aggregate Bond UCITS ETF GBP Hedged Accumulating	0.19%	4.96%	2.39%	5.94%	-13.72%	-2.14%	5.52%	2.06%
VEMA.L Vanguard USD Emerging Markets Government Bond UCITS ETF Accumulating	1.66%	4.15%	8.11%	3.45%	-5.29%	-0.35%	2.49%	-1.18%

Correlation

The correlation between VAGS.L and VEMA.L is 0.19, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.19
Correlation (3Y) Calculated over the trailing 3-year period	0.37
Correlation (5Y) Calculated over the trailing 5-year period	0.33
Correlation (All Time) Calculated using the full available price history since Jun 21, 2019	0.28

The correlation between VAGS.L and VEMA.L shifts across timeframes, from 0.19 (1 year) to 0.37 (3 years), reflecting how their relationship changes across market environments.

Return for Risk

VAGS.L vs. VEMA.L — Risk / Return Rank

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

VAGS.L

VAGS.L Risk / Return Rank: 25
VAGS.L Sharpe Ratio Rank: 26
VAGS.L Sortino Ratio Rank: 24
VAGS.L Omega Ratio Rank: 23
VAGS.L Calmar Ratio Rank: 25
VAGS.L Martin Ratio Rank: 26

VEMA.L

VEMA.L Risk / Return Rank: 52
VEMA.L Sharpe Ratio Rank: 55
VEMA.L Sortino Ratio Rank: 59
VEMA.L Omega Ratio Rank: 54
VEMA.L Calmar Ratio Rank: 50
VEMA.L Martin Ratio Rank: 43

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.

VAGS.L vs. VEMA.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Global Aggregate Bond UCITS ETF GBP Hedged Accumulating (VAGS.L) and Vanguard USD Emerging Markets Government Bond UCITS ETF Accumulating (VEMA.L). 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.

	VAGS.L	VEMA.L	Difference
Sharpe ratio: Return per unit of total volatility	0.89	1.83	-0.94
Sortino ratio: Return per unit of downside risk	1.29	2.76	-1.47
Omega ratio: Gain probability vs. loss probability	1.15	1.33	-0.18
Calmar ratio: Return relative to maximum drawdown	1.17	2.44	-1.27
Martin ratio: Return relative to average drawdown	3.41	6.67	-3.26
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VAGS.L vs. VEMA.L - Sharpe Ratio Comparison

The current VAGS.L Sharpe Ratio is 0.89, which is lower than the VEMA.L Sharpe Ratio of 1.83. The chart below compares the historical Sharpe Ratios of VAGS.L and VEMA.L, 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

	VAGS.L	VEMA.L	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.89	1.83	-0.94
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.05	0.42	-0.47
Sharpe Ratio (All Time) Calculated using the full available price history	0.12	0.31	-0.20

Drawdowns

VAGS.L vs. VEMA.L - Drawdown Comparison

The maximum VAGS.L drawdown since its inception was -17.99%, which is greater than VEMA.L's maximum drawdown of -14.59%. Use the drawdown chart below to compare losses from any high point for VAGS.L and VEMA.L.

Drawdown Indicators

	VAGS.L	VEMA.L	Difference
Max Drawdown Largest peak-to-trough decline	-17.99%	-14.59%	-3.40%
Max Drawdown (1Y) Largest decline over 1 year	-2.67%	-4.39%	+1.72%
Max Drawdown (3Y) Largest decline over 3 years	-3.93%	-8.38%	+4.45%
Max Drawdown (5Y) Largest decline over 5 years	-17.60%	-11.41%	-6.19%
Current Drawdown Current decline from peak	-3.70%	-0.45%	-3.25%
Average Drawdown Average peak-to-trough decline	-6.65%	-6.28%	-0.37%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.91%	1.61%	-0.70%

Volatility

VAGS.L vs. VEMA.L - Volatility Comparison

Vanguard Global Aggregate Bond UCITS ETF GBP Hedged Accumulating (VAGS.L) and Vanguard USD Emerging Markets Government Bond UCITS ETF Accumulating (VEMA.L) have volatilities of 1.44% and 1.47%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VAGS.L	VEMA.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.44%	1.47%	-0.03%
Volatility (6M) Calculated over the trailing 6-month period	2.76%	4.07%	-1.31%
Volatility (1Y) Calculated over the trailing 1-year period	3.51%	5.85%	-2.34%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.86%	8.14%	-3.28%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.57%	9.49%	-4.92%

VAGS.L vs. VEMA.L - Expense Ratio Comparison

VAGS.L has a 0.10% expense ratio, which is lower than VEMA.L's 0.25% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VAGS.L vs. VEMA.L - Dividend Comparison

Neither VAGS.L nor VEMA.L has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both VAGS.L and VEMA.L in my portfolio?

VAGS.L and VEMA.L have a correlation of 0.19, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VAGS.L or VEMA.L?

On fees, VAGS.L is cheaper at 0.10% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VAGS.L or VEMA.L?

VAGS.L is cheaper with a 0.10% expense ratio, compared with 0.25% for VEMA.L.

What is the main difference between VAGS.L and VEMA.L?

VAGS.L is categorized as Global Bonds, while VEMA.L is Emerging Markets Bonds. VAGS.L tracks Bloomberg Global Aggregate TR Hdg GBP, while VEMA.L tracks JPM EMBI Global Diversified TR USD. Their fees differ too: 0.10% for VAGS.L and 0.25% for VEMA.L.