VFEM.DE vs. H4Z3.DE

Last updated Jun 5, 2026

VFEM.DE (Vanguard FTSE Emerging Markets UCITS ETF Distributing) and H4Z3.DE (HSBC MSCI Emerging Markets UCITS ETF USD (Acc)) are both Emerging Markets Equities funds - VFEM.DE tracks the MSCI EM NR USD while H4Z3.DE tracks the MSCI Emerging Markets. Both are passively managed. Over the past 3 years, VFEM.DE returned 15.05%/yr vs 20.42%/yr for H4Z3.DE. With a 0.96 correlation, they move nearly in lockstep. VFEM.DE charges 0.22%/yr vs 0.15%/yr for H4Z3.DE.

Performance

VFEM.DE vs. H4Z3.DE - Performance Comparison

The chart below illustrates the hypothetical performance of a €10,000 investment in Vanguard FTSE Emerging Markets UCITS ETF Distributing (VFEM.DE) and HSBC MSCI Emerging Markets UCITS ETF USD (Acc) (H4Z3.DE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, VFEM.DE achieves a 12.66% return, which is significantly lower than H4Z3.DE's 27.75% return.

VFEM.DE

• 1D: -0.53%
• 1M: 2.23%
• YTD: 12.66%
• 6M: 13.06%
• 1Y: 26.52%
• 3Y*: 15.05%
• 5Y*: 6.01%
• 10Y*: —

H4Z3.DE

• 1D: -1.67%
• 1M: 6.24%
• YTD: 27.75%
• 6M: 29.51%
• 1Y: 50.16%
• 3Y*: 20.42%
• 5Y*: —
• 10Y*: —

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

VFEM.DE vs. H4Z3.DE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
VFEM.DE Vanguard FTSE Emerging Markets UCITS ETF Distributing	12.66%	11.40%	19.82%	3.29%	-6.02%
H4Z3.DE HSBC MSCI Emerging Markets UCITS ETF USD (Acc)	27.75%	18.60%	13.73%	4.66%	-6.26%

Correlation

The correlation between VFEM.DE and H4Z3.DE is 0.94, 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	0.94
Correlation (3Y) Calculated over the trailing 3-year period	0.96
Correlation (All Time) Calculated using the full available price history since Jul 13, 2022	0.96

The correlation between VFEM.DE and H4Z3.DE has been stable across timeframes, ranging from 0.94 to 0.96 - a consistent structural relationship.

Return for Risk

VFEM.DE vs. H4Z3.DE — Risk / Return Rank

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

VFEM.DE

VFEM.DE Risk / Return Rank: 57
VFEM.DE Sharpe Ratio Rank: 53
VFEM.DE Sortino Ratio Rank: 54
VFEM.DE Omega Ratio Rank: 52
VFEM.DE Calmar Ratio Rank: 64
VFEM.DE Martin Ratio Rank: 59

H4Z3.DE

H4Z3.DE Risk / Return Rank: 86
H4Z3.DE Sharpe Ratio Rank: 87
H4Z3.DE Sortino Ratio Rank: 86
H4Z3.DE Omega Ratio Rank: 86
H4Z3.DE Calmar Ratio Rank: 86
H4Z3.DE Martin Ratio Rank: 85

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.

VFEM.DE vs. H4Z3.DE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Emerging Markets UCITS ETF Distributing (VFEM.DE) and HSBC MSCI Emerging Markets UCITS ETF USD (Acc) (H4Z3.DE). 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.

	VFEM.DE	H4Z3.DE	Difference
Sharpe ratio: Return per unit of total volatility	1.80	2.85	-1.05
Sortino ratio: Return per unit of downside risk	2.57	3.82	-1.25
Omega ratio: Gain probability vs. loss probability	1.32	1.52	-0.20
Calmar ratio: Return relative to maximum drawdown	3.11	4.77	-1.66
Martin ratio: Return relative to average drawdown	10.36	17.12	-6.76
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

VFEM.DE vs. H4Z3.DE - Sharpe Ratio Comparison

The current VFEM.DE Sharpe Ratio is 1.80, which is lower than the H4Z3.DE Sharpe Ratio of 2.85. The chart below compares the historical Sharpe Ratios of VFEM.DE and H4Z3.DE, 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

	VFEM.DE	H4Z3.DE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.80	2.85	-1.05
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.37	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.36	0.91	-0.54

Drawdowns

VFEM.DE vs. H4Z3.DE - Drawdown Comparison

The maximum VFEM.DE drawdown since its inception was -31.59%, which is greater than H4Z3.DE's maximum drawdown of -18.86%. Use the drawdown chart below to compare losses from any high point for VFEM.DE and H4Z3.DE.

Drawdown Indicators

	VFEM.DE	H4Z3.DE	Difference
Max Drawdown Largest peak-to-trough decline	-31.59%	-18.86%	-12.73%
Max Drawdown (1Y) Largest decline over 1 year	-8.49%	-10.47%	+1.98%
Max Drawdown (3Y) Largest decline over 3 years	-18.56%	-18.86%	+0.30%
Max Drawdown (5Y) Largest decline over 5 years	-20.11%	—	—
Current Drawdown Current decline from peak	-1.73%	-2.73%	+1.00%
Average Drawdown Average peak-to-trough decline	-8.24%	-4.95%	-3.29%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.55%	2.92%	-0.37%

Volatility

VFEM.DE vs. H4Z3.DE - Volatility Comparison

The current volatility for Vanguard FTSE Emerging Markets UCITS ETF Distributing (VFEM.DE) is 5.44%, while HSBC MSCI Emerging Markets UCITS ETF USD (Acc) (H4Z3.DE) has a volatility of 7.35%. This indicates that VFEM.DE experiences smaller price fluctuations and is considered to be less risky than H4Z3.DE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	VFEM.DE	H4Z3.DE	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.44%	7.35%	-1.91%
Volatility (6M) Calculated over the trailing 6-month period	11.70%	14.91%	-3.21%
Volatility (1Y) Calculated over the trailing 1-year period	14.69%	17.54%	-2.85%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.93%	15.77%	+0.16%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.20%	15.77%	+2.43%

VFEM.DE vs. H4Z3.DE - Expense Ratio Comparison

VFEM.DE has a 0.22% expense ratio, which is higher than H4Z3.DE's 0.15% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

VFEM.DE vs. H4Z3.DE - Dividend Comparison

VFEM.DE's dividend yield for the trailing twelve months is around 2.04%, while H4Z3.DE has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017
H4Z3.DE HSBC MSCI Emerging Markets UCITS ETF USD (Acc)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
VFEM.DE Vanguard FTSE Emerging Markets UCITS ETF Distributing	2.04%	2.39%	2.28%	2.66%	3.38%	2.26%	1.93%	2.32%	2.79%	0.20%

Frequently Asked Questions

Can I hold both VFEM.DE and H4Z3.DE in my portfolio?

With a correlation of 0.94, VFEM.DE and H4Z3.DE move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which ETF is better, VFEM.DE or H4Z3.DE?

On fees, H4Z3.DE is cheaper at 0.15% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, VFEM.DE or H4Z3.DE?

H4Z3.DE is cheaper with a 0.15% expense ratio, compared with 0.22% for VFEM.DE.

What is the main difference between VFEM.DE and H4Z3.DE?

VFEM.DE tracks MSCI EM NR USD, while H4Z3.DE tracks MSCI Emerging Markets. They also come from different issuers: Vanguard and HSBC. Their fees differ too: 0.22% for VFEM.DE and 0.15% for H4Z3.DE.