VWO vs. BDCX
VWO (Vanguard FTSE Emerging Markets ETF) and BDCX (ETRACS Quarterly Pay 1.5X Leveraged MVIS BDC Index ETN) are both exchange-traded funds - VWO is a Emerging Markets Equities fund tracking the FTSE Emerging Index, while BDCX is a Leveraged Equities fund tracking the MVIS US Business Development Companies (150%). Both are passively managed. Over the past 5 years, VWO returned 4.65%/yr vs 1.22%/yr for BDCX. At a 0.41 correlation, their price movements are largely independent. VWO charges 0.08%/yr vs 0.95%/yr for BDCX.
Performance
VWO vs. BDCX - Performance Comparison
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Returns By Period
In the year-to-date period, VWO achieves a 8.50% return, which is significantly higher than BDCX's -11.90% return.
VWO
- 1D
- 0.52%
- 1M
- -3.65%
- YTD
- 8.50%
- 6M
- 9.73%
- 1Y
- 24.29%
- 3Y*
- 16.22%
- 5Y*
- 4.65%
- 10Y*
- 8.60%
BDCX
- 1D
- -0.44%
- 1M
- -5.50%
- YTD
- -11.90%
- 6M
- -14.62%
- 1Y
- -18.01%
- 3Y*
- 2.98%
- 5Y*
- 1.22%
- 10Y*
- —
VWO vs. BDCX - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | |
|---|---|---|---|---|---|---|---|
VWO Vanguard FTSE Emerging Markets ETF | 8.50% | 25.60% | 10.59% | 9.25% | -17.98% | 1.26% | 28.26% |
BDCX ETRACS Quarterly Pay 1.5X Leveraged MVIS BDC Index ETN | -11.90% | -10.42% | 15.32% | 35.33% | -17.67% | 52.70% | 24.50% |
Correlation
The correlation between VWO and BDCX is 0.35, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.35 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.36 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.42 |
Correlation (All Time) Calculated using the full available price history since Jun 4, 2020 | 0.41 |
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Return for Risk
VWO vs. BDCX — Risk / Return Rank
VWO
BDCX
VWO vs. BDCX - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Vanguard FTSE Emerging Markets ETF (VWO) and ETRACS Quarterly Pay 1.5X Leveraged MVIS BDC Index ETN (BDCX). 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.
| VWO | BDCX | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +2.15 | ||
| Sortino ratioReturn per unit of downside risk | +2.91 | ||
| Omega ratioGain probability vs. loss probability | 1.28 | 0.91 | +0.37 |
| Calmar ratioReturn relative to maximum drawdown | 2.18 | -0.59 | +2.78 |
| Martin ratioReturn relative to average drawdown | 7.79 | -1.04 | +8.83 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| VWO | BDCX | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 1.49 | -0.66 | +2.15 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 0.27 | 0.05 | +0.22 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 0.45 | — | — |
Sharpe Ratio (All Time)Calculated using the full available price history | 0.26 | 0.43 | -0.17 |
Drawdowns
VWO vs. BDCX - Drawdown Comparison
The maximum VWO drawdown since its inception was -67.68%, which is greater than BDCX's maximum drawdown of -34.96%. Use the drawdown chart below to compare losses from any high point for VWO and BDCX.
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Drawdown Indicators
| VWO | BDCX | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -67.68% | -34.96% | -32.72% |
Max Drawdown (1Y)Largest decline over 1 year | -11.17% | -30.46% | +19.29% |
Max Drawdown (3Y)Largest decline over 3 years | -17.37% | -33.39% | +16.02% |
Max Drawdown (5Y)Largest decline over 5 years | -32.60% | -34.96% | +2.36% |
Max Drawdown (10Y)Largest decline over 10 years | -36.39% | — | — |
Current DrawdownCurrent decline from peak | -4.67% | -28.40% | +23.73% |
Average DrawdownAverage peak-to-trough decline | -15.81% | -10.10% | -5.71% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 3.12% | 17.35% | -14.23% |
Volatility
VWO vs. BDCX - Volatility Comparison
The current volatility for Vanguard FTSE Emerging Markets ETF (VWO) is 6.29%, while ETRACS Quarterly Pay 1.5X Leveraged MVIS BDC Index ETN (BDCX) has a volatility of 8.65%. This indicates that VWO experiences smaller price fluctuations and is considered to be less risky than BDCX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| VWO | BDCX | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 6.29% | 8.65% | -2.36% |
Volatility (6M)Calculated over the trailing 6-month period | 13.80% | 22.81% | -9.01% |
Volatility (1Y)Calculated over the trailing 1-year period | 16.37% | 27.60% | -11.23% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 17.45% | 26.59% | -9.14% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 19.23% | 26.94% | -7.71% |
VWO vs. BDCX - Expense Ratio Comparison
VWO has a 0.08% expense ratio, which is lower than BDCX's 0.95% expense ratio.
Dividends
VWO vs. BDCX - Dividend Comparison
VWO's dividend yield for the trailing twelve months is around 2.49%, less than BDCX's 20.31% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
BDCX ETRACS Quarterly Pay 1.5X Leveraged MVIS BDC Index ETN | 20.31% | 19.17% | 15.28% | 14.71% | 17.47% | 11.52% | 6.32% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
VWO Vanguard FTSE Emerging Markets ETF | 2.49% | 2.79% | 3.20% | 3.52% | 4.11% | 2.63% | 1.91% | 3.23% | 2.88% | 2.30% | 2.52% | 3.26% |
Frequently Asked Questions
VWO and BDCX have a correlation of 0.35, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
BDCX has higher volatility (8.65%) compared to VWO (6.29%). In terms of maximum drawdown, VWO dropped -67.68% vs BDCX's -34.96%.
On 5-year performance, VWO leads with 4.65% vs 1.22% for BDCX. On fees, VWO is cheaper at 0.08% per year. On volatility, VWO has been the lower-risk option at 6.29%. The better choice depends on whether you care most about return, fees, risk, or income.
Over the 5-year period, VWO has performed better with a 4.65% return vs 1.22%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.
VWO is cheaper with a 0.08% expense ratio, compared with 0.95% for BDCX.
BDCX has the higher dividend yield at 20.31%, compared with 2.49% for VWO.
VWO is categorized as Emerging Markets Equities, while BDCX is Leveraged Equities. VWO tracks FTSE Emerging Index, while BDCX tracks MVIS US Business Development Companies (150%). They also come from different issuers: Vanguard and UBS. Their fees differ too: 0.08% for VWO and 0.95% for BDCX.
VWO currently has the higher Sharpe Ratio (1.49 vs -0.66), 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.
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