VEIEX vs. FRDM

Last updated Jun 3, 2026

VEIEX (Vanguard Emerging Markets Stock Index Fund Investor Shares) and FRDM (Freedom 100 Emerging Markets ETF) are both funds - VEIEX is a Emerging Markets Equities fund tracking the FTSE Emerging Markets All Cap China A Inclusion Index, while FRDM is a Emerging Markets Diversified fund tracking the Life + Liberty Freedom 100 Emerging Markets Index. Both are passively managed. Over the past 5 years, VEIEX returned 4.93%/yr vs 19.81%/yr for FRDM. A 0.79 correlation means they provide meaningful diversification when combined. VEIEX charges 0.29%/yr vs 0.49%/yr for FRDM.

Performance

VEIEX vs. FRDM - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Vanguard Emerging Markets Stock Index Fund Investor Shares (VEIEX) and Freedom 100 Emerging Markets ETF (FRDM). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VEIEX achieves a 12.12% return, which is significantly lower than FRDM's 46.51% return.

VEIEX

• 1D: 0.87%
• 1M: 2.83%
• YTD: 12.12%
• 6M: 13.52%
• 1Y: 30.70%
• 3Y*: 17.83%
• 5Y*: 4.93%
• 10Y*: 8.70%

FRDM

• 1D: 0.85%
• 1M: 18.47%
• YTD: 46.51%
• 6M: 55.81%
• 1Y: 100.10%
• 3Y*: 37.68%
• 5Y*: 19.81%
• 10Y*: —

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

VEIEX vs. FRDM - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019
VEIEX Vanguard Emerging Markets Stock Index Fund Investor Shares	12.12%	24.58%	11.15%	8.66%	-17.91%	0.72%	15.05%	15.39%
FRDM Freedom 100 Emerging Markets ETF	46.51%	61.27%	1.70%	22.77%	-14.45%	6.13%	16.90%	12.33%

Correlation

The correlation between VEIEX and FRDM is 0.83, 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	0.83
Correlation (3Y) Calculated over the trailing 3-year period	0.79
Correlation (5Y) Calculated over the trailing 5-year period	0.78
Correlation (All Time) Calculated using the full available price history since May 24, 2019	0.79

The correlation between VEIEX and FRDM has been stable across timeframes, ranging from 0.78 to 0.83 - a consistent structural relationship.

Return for Risk

VEIEX vs. FRDM — Risk / Return Rank

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

VEIEX

VEIEX Risk / Return Rank: 52
VEIEX Sharpe Ratio Rank: 56
VEIEX Sortino Ratio Rank: 52
VEIEX Omega Ratio Rank: 54
VEIEX Calmar Ratio Rank: 50
VEIEX Martin Ratio Rank: 49

FRDM

FRDM Risk / Return Rank: 94
FRDM Sharpe Ratio Rank: 96
FRDM Sortino Ratio Rank: 93
FRDM Omega Ratio Rank: 94
FRDM Calmar Ratio Rank: 92
FRDM Martin Ratio Rank: 93

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.

VEIEX vs. FRDM - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard Emerging Markets Stock Index Fund Investor Shares (VEIEX) and Freedom 100 Emerging Markets ETF (FRDM). 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.

	VEIEX	FRDM	Difference
Sharpe ratio Return per unit of total volatility	2.22	4.12	-1.90
Sortino ratio Return per unit of downside risk	3.05	4.76	-1.70
Omega ratio Gain probability vs. loss probability	1.41	1.69	-0.28
Calmar ratio Return relative to maximum drawdown	2.73	6.08	-3.36
Martin ratio Return relative to average drawdown	10.20	24.53	-14.34
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VEIEX vs. FRDM - Sharpe Ratio Comparison

The current VEIEX Sharpe Ratio is 2.22, which is lower than the FRDM Sharpe Ratio of 4.12. The chart below compares the historical Sharpe Ratios of VEIEX and FRDM, 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

	VEIEX	FRDM	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.22	4.12	-1.90
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.32	0.96	-0.64
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.53	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.33	0.86	-0.54

Drawdowns

VEIEX vs. FRDM - Drawdown Comparison

The maximum VEIEX drawdown since its inception was -66.47%, which is greater than FRDM's maximum drawdown of -40.49%. Use the drawdown chart below to compare losses from any high point for VEIEX and FRDM.

Drawdown Indicators

	VEIEX	FRDM	Difference
Max Drawdown Largest peak-to-trough decline	-66.47%	-40.49%	-25.98%
Max Drawdown (1Y) Largest decline over 1 year	-11.06%	-16.87%	+5.81%
Max Drawdown (3Y) Largest decline over 3 years	-15.84%	-16.87%	+1.03%
Max Drawdown (5Y) Largest decline over 5 years	-32.67%	-29.25%	-3.42%
Max Drawdown (10Y) Largest decline over 10 years	-36.30%	—	—
Current Drawdown Current decline from peak	-0.44%	0.00%	-0.44%
Average Drawdown Average peak-to-trough decline	-17.21%	-7.10%	-10.11%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.96%	4.18%	-1.22%

Volatility

VEIEX vs. FRDM - Volatility Comparison

The current volatility for Vanguard Emerging Markets Stock Index Fund Investor Shares (VEIEX) is 4.82%, while Freedom 100 Emerging Markets ETF (FRDM) has a volatility of 10.86%. This indicates that VEIEX experiences smaller price fluctuations and is considered to be less risky than FRDM based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VEIEX	FRDM	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.82%	10.86%	-6.04%
Volatility (6M) Calculated over the trailing 6-month period	11.73%	21.59%	-9.86%
Volatility (1Y) Calculated over the trailing 1-year period	14.28%	24.47%	-10.19%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.37%	20.79%	-5.42%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.46%	22.77%	-6.31%

VEIEX vs. FRDM - Expense Ratio Comparison

VEIEX has a 0.29% expense ratio, which is lower than FRDM's 0.49% expense ratio.

Dividends

VEIEX vs. FRDM - Dividend Comparison

VEIEX's dividend yield for the trailing twelve months is around 2.27%, more than FRDM's 1.49% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FRDM Freedom 100 Emerging Markets ETF	1.49%	2.26%	2.53%	2.66%	2.72%	2.17%	1.11%	1.07%	0.00%	0.00%	0.00%	0.00%
VEIEX Vanguard Emerging Markets Stock Index Fund Investor Shares	2.27%	2.59%	2.97%	3.32%	3.87%	2.41%	1.72%	3.07%	2.67%	2.14%	2.33%	3.04%

Frequently Asked Questions

Can I hold both VEIEX and FRDM in my portfolio?

VEIEX and FRDM have a correlation of 0.83, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, VEIEX or FRDM?

FRDM has higher volatility (10.86%) compared to VEIEX (4.82%). In terms of maximum drawdown, VEIEX dropped -66.47% vs FRDM's -40.49%.

Which has better risk-adjusted returns?

FRDM currently has the higher Sharpe Ratio (4.12 vs 2.22), 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.