VDEM.L vs. DFIV

Last updated Jun 5, 2026

VDEM.L (Vanguard FTSE Emerging Markets UCITS) and DFIV (Dimensional International Value ETF) are both exchange-traded funds - VDEM.L is a Emerging Markets Equities fund tracking the FTSE Emerging Index, while DFIV is a Foreign Large Cap Equities fund actively managed by Dimensional. VDEM.L is passively managed, while DFIV is actively managed. Over the past 3 years, VDEM.L returned 18.24%/yr vs 24.47%/yr for DFIV. A 0.55 correlation means they provide meaningful diversification when combined. VDEM.L charges 0.22%/yr vs 0.27%/yr for DFIV.

Performance

VDEM.L vs. DFIV - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE Emerging Markets UCITS (VDEM.L) and Dimensional International Value ETF (DFIV). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VDEM.L achieves a 11.28% return, which is significantly lower than DFIV's 12.28% return.

VDEM.L

• 1D: -0.39%
• 1M: 1.51%
• YTD: 11.28%
• 6M: 12.84%
• 1Y: 29.05%
• 3Y*: 18.24%
• 5Y*: 5.04%
• 10Y*: 8.68%

DFIV

• 1D: 0.67%
• 1M: 2.19%
• YTD: 12.28%
• 6M: 15.94%
• 1Y: 35.75%
• 3Y*: 24.47%
• 5Y*: —
• 10Y*: —

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

VDEM.L vs. DFIV - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
VDEM.L Vanguard FTSE Emerging Markets UCITS	11.28%	25.92%	12.28%	7.28%	-17.20%	-4.76%
DFIV Dimensional International Value ETF	12.28%	45.36%	7.26%	17.75%	-3.70%	0.08%

Correlation

The correlation between VDEM.L and DFIV is 0.47, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.47
Correlation (3Y) Calculated over the trailing 3-year period	0.53
Correlation (All Time) Calculated using the full available price history since Sep 14, 2021	0.55

The correlation between VDEM.L and DFIV has been stable across timeframes, ranging from 0.47 to 0.55 - a consistent structural relationship.

VDEM.L vs. DFIV - Sectors Allocation Comparison

Sectors	VDEM.L	DFIV
Technology	29.6%	2.8%
Financial Services	20.8%	32.4%
Consumer Cyclical	10.8%	9.6%
Basic Materials	7.8%	10.9%
Communication Services	7.5%	4.2%
Industrials	7.1%	9.6%
Energy	4.9%	16.4%
Consumer Defensive	3.6%	4.9%
Healthcare	3.4%	4.9%
Utilities	3.0%	2.5%
Real Estate	1.7%	1.8%

Return for Risk

VDEM.L vs. DFIV — Risk / Return Rank

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

VDEM.L

VDEM.L Risk / Return Rank: 54
VDEM.L Sharpe Ratio Rank: 53
VDEM.L Sortino Ratio Rank: 54
VDEM.L Omega Ratio Rank: 53
VDEM.L Calmar Ratio Rank: 56
VDEM.L Martin Ratio Rank: 55

DFIV

DFIV Risk / Return Rank: 79
DFIV Sharpe Ratio Rank: 82
DFIV Sortino Ratio Rank: 81
DFIV Omega Ratio Rank: 80
DFIV Calmar Ratio Rank: 75
DFIV Martin Ratio Rank: 76

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.

VDEM.L vs. DFIV - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Emerging Markets UCITS (VDEM.L) and Dimensional International Value ETF (DFIV). 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.

	VDEM.L	DFIV	Difference
Sharpe ratio: Return per unit of total volatility	1.80	2.63	-0.83
Sortino ratio: Return per unit of downside risk	2.56	3.57	-1.01
Omega ratio: Gain probability vs. loss probability	1.32	1.47	-0.15
Calmar ratio: Return relative to maximum drawdown	2.72	3.72	-1.00
Martin ratio: Return relative to average drawdown	9.29	14.37	-5.08
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VDEM.L vs. DFIV - Sharpe Ratio Comparison

The current VDEM.L Sharpe Ratio is 1.80, which is lower than the DFIV Sharpe Ratio of 2.63. The chart below compares the historical Sharpe Ratios of VDEM.L and DFIV, 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

	VDEM.L	DFIV	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.80	2.63	-0.83
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.28	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.46	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.35	0.94	-0.59

Drawdowns

VDEM.L vs. DFIV - Drawdown Comparison

The maximum VDEM.L drawdown since its inception was -36.63%, which is greater than DFIV's maximum drawdown of -25.42%. Use the drawdown chart below to compare losses from any high point for VDEM.L and DFIV.

Drawdown Indicators

	VDEM.L	DFIV	Difference
Max Drawdown Largest peak-to-trough decline	-36.63%	-25.42%	-11.21%
Max Drawdown (1Y) Largest decline over 1 year	-10.65%	-9.66%	-0.99%
Max Drawdown (3Y) Largest decline over 3 years	-15.97%	-14.72%	-1.25%
Max Drawdown (5Y) Largest decline over 5 years	-33.19%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-36.35%	—	—
Current Drawdown Current decline from peak	-1.85%	-0.36%	-1.49%
Average Drawdown Average peak-to-trough decline	-12.68%	-4.48%	-8.20%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.12%	2.49%	+0.63%

Volatility

VDEM.L vs. DFIV - Volatility Comparison

Vanguard FTSE Emerging Markets UCITS (VDEM.L) has a higher volatility of 6.21% compared to Dimensional International Value ETF (DFIV) at 3.82%. This indicates that VDEM.L's price experiences larger fluctuations and is considered to be riskier than DFIV based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VDEM.L	DFIV	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.21%	3.82%	+2.39%
Volatility (6M) Calculated over the trailing 6-month period	13.31%	11.00%	+2.31%
Volatility (1Y) Calculated over the trailing 1-year period	16.15%	13.68%	+2.47%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	17.80%	16.63%	+1.17%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.75%	16.63%	+2.12%

VDEM.L vs. DFIV - Expense Ratio Comparison

VDEM.L has a 0.22% expense ratio, which is lower than DFIV's 0.27% 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

VDEM.L vs. DFIV - Dividend Comparison

VDEM.L's dividend yield for the trailing twelve months is around 2.04%, less than DFIV's 2.54% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
DFIV Dimensional International Value ETF	2.54%	2.92%	3.88%	3.93%	3.84%	2.30%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VDEM.L Vanguard FTSE Emerging Markets UCITS	2.04%	2.34%	2.38%	2.58%	3.27%	2.30%	1.81%	2.33%	2.82%	2.16%	2.40%	2.94%

Frequently Asked Questions

Can I hold both VDEM.L and DFIV in my portfolio?

VDEM.L and DFIV have a correlation of 0.47, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, VDEM.L or DFIV?

On fees, VDEM.L is cheaper at 0.22% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VDEM.L or DFIV?

VDEM.L is cheaper with a 0.22% expense ratio, compared with 0.27% for DFIV.

What is the main difference between VDEM.L and DFIV?

VDEM.L is categorized as Emerging Markets Equities, while DFIV is Foreign Large Cap Equities. They also come from different issuers: Vanguard and Dimensional. Their fees differ too: 0.22% for VDEM.L and 0.27% for DFIV.