VDEM.L vs. HTWD.L

Last updated Jul 18, 2026

VDEM.L (Vanguard FTSE Emerging Markets UCITS) and HTWD.L (HSBC MSCI Taiwan Capped UCITS ETF USD (Dist)) are both Emerging Markets Equities funds - VDEM.L tracks the FTSE Emerging Index while HTWD.L tracks the MSCI Taiwan Capped Index. Both are passively managed. Over the past 10 years, VDEM.L returned 7.66%/yr vs 20.23%/yr for HTWD.L. A 0.79 correlation means they provide meaningful diversification when combined. VDEM.L charges 0.22%/yr vs 0.50%/yr for HTWD.L.

Performance

VDEM.L vs. HTWD.L - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard FTSE Emerging Markets UCITS (VDEM.L) and HSBC MSCI Taiwan Capped UCITS ETF USD (Dist) (HTWD.L). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VDEM.L achieves a 6.83% return, which is significantly lower than HTWD.L's 51.61% return. Over the past 10 years, VDEM.L has underperformed HTWD.L with an annualized return of 7.66%, while HTWD.L has yielded a comparatively higher 20.23% annualized return.

VDEM.L

• 1D: -2.22%
• 1M: -4.85%
• 6M: 3.16%
• YTD: 6.83%
• 1Y: 17.32%
• 3Y*: 15.10%
• 5Y*: 4.83%
• 10Y*: 7.66%

HTWD.L

• 1D: -4.13%
• 1M: -10.54%
• 6M: 42.37%
• YTD: 51.61%
• 1Y: 73.67%
• 3Y*: 38.33%
• 5Y*: 19.33%
• 10Y*: 20.23%

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

VDEM.L vs. HTWD.L - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VDEM.L Vanguard FTSE Emerging Markets UCITS	6.83%	25.92%	12.28%	7.28%	-17.20%	-0.89%	14.85%	18.83%	-12.55%	31.59%
HTWD.L HSBC MSCI Taiwan Capped UCITS ETF USD (Dist)	51.61%	32.26%	25.40%	28.98%	-29.41%	27.78%	36.62%	33.56%	-8.71%	27.16%

Correlation

The correlation between VDEM.L and HTWD.L is 0.81, 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	0.81
Correlation (3Y) Calculated over the trailing 3-year period	0.75
Correlation (5Y) Calculated over the trailing 5-year period	0.75
Correlation (10Y) Calculated over the trailing 10-year period	0.78
Correlation (All Time) Calculated using the full available price history since May 22, 2012	0.79

The correlation between VDEM.L and HTWD.L has been stable across timeframes, ranging from 0.75 to 0.81 - a consistent structural relationship.

Return for Risk

VDEM.L vs. HTWD.L — 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: 37
VDEM.L Sharpe Ratio Rank: 35
VDEM.L Sortino Ratio Rank: 35
VDEM.L Omega Ratio Rank: 35
VDEM.L Calmar Ratio Rank: 40
VDEM.L Martin Ratio Rank: 42

HTWD.L

HTWD.L Risk / Return Rank: 92
HTWD.L Sharpe Ratio Rank: 94
HTWD.L Sortino Ratio Rank: 90
HTWD.L Omega Ratio Rank: 89
HTWD.L Calmar Ratio Rank: 94
HTWD.L Martin Ratio Rank: 92

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. HTWD.L - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Emerging Markets UCITS (VDEM.L) and HSBC MSCI Taiwan Capped UCITS ETF USD (Dist) (HTWD.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.

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.

	VDEM.L	HTWD.L	Difference
Sharpe ratio: Return per unit of total volatility	1.00	2.66	-1.65
Sortino ratio: Return per unit of downside risk	1.51	3.29	-1.77
Omega ratio: Gain probability vs. loss probability	1.19	1.43	-0.25
Calmar ratio: Return relative to maximum drawdown	1.62	5.31	-3.69
Martin ratio: Return relative to average drawdown	5.19	17.31	-12.12

VDEM.L vs. HTWD.L - Sharpe Ratio Comparison

The current VDEM.L Sharpe Ratio is 1.00, which is lower than the HTWD.L Sharpe Ratio of 2.66. The chart below compares the historical Sharpe Ratios of VDEM.L and HTWD.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.

Drawdowns

VDEM.L vs. HTWD.L - Drawdown Comparison

The maximum VDEM.L drawdown since its inception was -36.63%, smaller than the maximum HTWD.L drawdown of -41.06%. Use the drawdown chart below to compare losses from any high point for VDEM.L and HTWD.L.

Drawdown Indicators

	VDEM.L	HTWD.L	Difference
Max Drawdown Largest peak-to-trough decline	-36.63%	-41.06%	+4.43%
Max Drawdown (1Y) Largest decline over 1 year	-10.64%	-13.80%	+3.16%
Max Drawdown (3Y) Largest decline over 3 years	-15.97%	-28.22%	+12.25%
Max Drawdown (5Y) Largest decline over 5 years	-31.39%	-41.06%	+9.67%
Max Drawdown (10Y) Largest decline over 10 years	-36.35%	-41.06%	+4.71%
Current Drawdown Current decline from peak	-5.79%	-13.80%	+8.01%
Average Drawdown Average peak-to-trough decline	-12.22%	-9.66%	-2.56%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.33%	4.24%	-0.91%

Volatility

VDEM.L vs. HTWD.L - Volatility Comparison

The current volatility for Vanguard FTSE Emerging Markets UCITS (VDEM.L) is 5.70%, while HSBC MSCI Taiwan Capped UCITS ETF USD (Dist) (HTWD.L) has a volatility of 11.37%. This indicates that VDEM.L experiences smaller price fluctuations and is considered to be less risky than HTWD.L based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VDEM.L	HTWD.L	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.70%	11.37%	-5.67%
Volatility (6M) Calculated over the trailing 6-month period	14.68%	24.13%	-9.45%
Volatility (1Y) Calculated over the trailing 1-year period	17.19%	27.64%	-10.45%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	18.02%	23.64%	-5.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.66%	21.67%	-3.01%

VDEM.L vs. HTWD.L - Expense Ratio Comparison

VDEM.L has a 0.22% expense ratio, which is lower than HTWD.L's 0.50% expense ratio.

Dividends

VDEM.L vs. HTWD.L - Dividend Comparison

VDEM.L's dividend yield for the trailing twelve months is around 2.13%, more than HTWD.L's 1.08% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HTWD.L HSBC MSCI Taiwan Capped UCITS ETF USD (Dist)	1.08%	1.53%	1.18%	2.73%	3.31%	1.13%	1.69%	2.08%	2.79%	1.37%	2.64%	2.65%
VDEM.L Vanguard FTSE Emerging Markets UCITS	2.13%	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 HTWD.L in my portfolio?

VDEM.L and HTWD.L have a correlation of 0.81, 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 HTWD.L?

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 HTWD.L?

VDEM.L is cheaper with a 0.22% expense ratio, compared with 0.50% for HTWD.L.

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

VDEM.L tracks FTSE Emerging Index, while HTWD.L tracks MSCI Taiwan Capped Index. They also come from different issuers: Vanguard and HSBC. Their fees differ too: 0.22% for VDEM.L and 0.50% for HTWD.L.