VEE.TO vs. ZEM.TO

Last updated Apr 1, 2026

Compare and contrast key facts about Vanguard FTSE Emerging Markets All Cap Index ETF (VEE.TO) and BMO MSCI Emerging Markets Index ETF (ZEM.TO).

VEE.TO and ZEM.TO are both exchange-traded funds (ETFs), meaning they are traded on stock exchanges and can be bought and sold throughout the day. VEE.TO is a passively managed fund by Vanguard that tracks the performance of the FTSE Emerging Markets All Cap China A Inclusion Index. It was launched on Nov 30, 2011. ZEM.TO is a passively managed fund by BMO that tracks the performance of the MSCI Emerging Markets Index. It was launched on Oct 19, 2009. Both VEE.TO and ZEM.TO are passive ETFs, meaning that they are not actively managed but aim to replicate the performance of the underlying index as closely as possible.

Performance

VEE.TO vs. ZEM.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in Vanguard FTSE Emerging Markets All Cap Index ETF (VEE.TO) and BMO MSCI Emerging Markets Index ETF (ZEM.TO). The values are adjusted to include any dividend payments, if applicable.

VEE.TO vs. ZEM.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
VEE.TO Vanguard FTSE Emerging Markets All Cap Index ETF	1.82%	19.32%	19.06%	6.24%	-12.78%	0.05%	12.32%	14.33%	-7.95%	22.55%
ZEM.TO BMO MSCI Emerging Markets Index ETF	5.85%	27.66%	15.21%	7.38%	-15.80%	-2.64%	16.41%	13.20%	-8.06%	30.19%

Returns By Period

In the year-to-date period, VEE.TO achieves a 1.82% return, which is significantly lower than ZEM.TO's 5.85% return. Over the past 10 years, VEE.TO has underperformed ZEM.TO with an annualized return of 7.75%, while ZEM.TO has yielded a comparatively higher 8.75% annualized return.

VEE.TO

• 1D: 3.01%
• 1M: -5.08%
• YTD: 1.82%
• 6M: 1.29%
• 1Y: 18.12%
• 3Y*: 14.09%
• 5Y*: 5.36%
• 10Y*: 7.75%

ZEM.TO

• 1D: 3.49%
• 1M: -7.48%
• YTD: 5.85%
• 6M: 8.61%
• 1Y: 30.27%
• 3Y*: 17.10%
• 5Y*: 5.87%
• 10Y*: 8.75%

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

VEE.TO vs. ZEM.TO - Expense Ratio Comparison

VEE.TO has a 0.25% expense ratio, which is lower than ZEM.TO'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%.

ZEM.TO

BMO MSCI Emerging Markets Index ETF

VEE.TO

Vanguard FTSE Emerging Markets All Cap Index ETF

Return for Risk

VEE.TO vs. ZEM.TO — Risk / Return Rank

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

VEE.TO

VEE.TO Risk / Return Rank: 61
VEE.TO Sharpe Ratio Rank: 63
VEE.TO Sortino Ratio Rank: 61
VEE.TO Omega Ratio Rank: 62
VEE.TO Calmar Ratio Rank: 61
VEE.TO Martin Ratio Rank: 59

ZEM.TO

ZEM.TO Risk / Return Rank: 82
ZEM.TO Sharpe Ratio Rank: 80
ZEM.TO Sortino Ratio Rank: 81
ZEM.TO Omega Ratio Rank: 81
ZEM.TO Calmar Ratio Rank: 87
ZEM.TO Martin Ratio Rank: 82

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.

VEE.TO vs. ZEM.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Emerging Markets All Cap Index ETF (VEE.TO) and BMO MSCI Emerging Markets Index ETF (ZEM.TO). 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.

	VEE.TO	ZEM.TO	Difference
Sharpe ratio Return per unit of total volatility	1.06	1.45	-0.39
Sortino ratio Return per unit of downside risk	1.50	2.02	-0.52
Omega ratio Gain probability vs. loss probability	1.22	1.30	-0.08
Calmar ratio Return relative to maximum drawdown	1.45	2.66	-1.21
Martin ratio Return relative to average drawdown	5.34	8.76	-3.43
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VEE.TO vs. ZEM.TO - Sharpe Ratio Comparison

The current VEE.TO Sharpe Ratio is 1.06, which is comparable to the ZEM.TO Sharpe Ratio of 1.45. The chart below compares the historical Sharpe Ratios of VEE.TO and ZEM.TO, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	VEE.TO	ZEM.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.06	1.45	-0.39
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.36	0.35	0.00
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.46	0.48	-0.02
Sharpe Ratio (All Time) Calculated using the full available price history	0.40	0.35	+0.05

Correlation

The correlation between VEE.TO and ZEM.TO is 0.91, which is considered to be high. That indicates a strong positive relationship between their price movements. Having highly-correlated positions in a portfolio may signal a lack of diversification, potentially leading to increased risk during market downturns.

Dividends

VEE.TO vs. ZEM.TO - Dividend Comparison

VEE.TO's dividend yield for the trailing twelve months is around 2.13%, which matches ZEM.TO's 2.11% yield.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VEE.TO Vanguard FTSE Emerging Markets All Cap Index ETF	2.13%	2.26%	2.45%	2.83%	3.35%	2.18%	1.61%	2.71%	2.21%	1.89%	1.99%	2.53%
ZEM.TO BMO MSCI Emerging Markets Index ETF	2.11%	2.23%	2.56%	2.87%	2.89%	2.50%	1.69%	2.42%	2.20%	1.76%	4.19%	2.45%

Drawdowns

VEE.TO vs. ZEM.TO - Drawdown Comparison

The maximum VEE.TO drawdown since its inception was -29.84%, smaller than the maximum ZEM.TO drawdown of -34.79%. Use the drawdown chart below to compare losses from any high point for VEE.TO and ZEM.TO.

Drawdown Indicators

	VEE.TO	ZEM.TO	Difference
Max Drawdown Largest peak-to-trough decline	-29.84%	-34.79%	+4.95%
Max Drawdown (1Y) Largest decline over 1 year	-12.77%	-11.64%	-1.13%
Max Drawdown (5Y) Largest decline over 5 years	-26.10%	-30.69%	+4.59%
Max Drawdown (10Y) Largest decline over 10 years	-29.84%	-34.79%	+4.95%
Current Drawdown Current decline from peak	-6.84%	-8.56%	+1.72%
Average Drawdown Average peak-to-trough decline	-8.82%	-10.09%	+1.27%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.46%	3.53%	-0.07%

Volatility

VEE.TO vs. ZEM.TO - Volatility Comparison

The current volatility for Vanguard FTSE Emerging Markets All Cap Index ETF (VEE.TO) is 8.09%, while BMO MSCI Emerging Markets Index ETF (ZEM.TO) has a volatility of 13.62%. This indicates that VEE.TO experiences smaller price fluctuations and is considered to be less risky than ZEM.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VEE.TO	ZEM.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.09%	13.62%	-5.53%
Volatility (6M) Calculated over the trailing 6-month period	11.79%	16.72%	-4.93%
Volatility (1Y) Calculated over the trailing 1-year period	17.18%	20.92%	-3.74%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.09%	16.71%	-1.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.87%	18.28%	-1.41%