Dividend comparison
VWO vs IEMG: Which Is Better?
Fees, yield, total returns, drawdowns, holdings overlap and dividend history for Vanguard FTSE Emerging Markets ETF and iShares Core MSCI Emerging Markets ETF, side by side. Updated October 21, 2026.
VWO vs IEMG: key differences
The short answer, from the latest data on this page.
- Fees. VWO is cheaper at 0.06% a year versus 0.09% for IEMG. On $10,000 that is $3 a year less in fees.
- Income. VWO pays more income, yielding 2.54% over the last twelve months versus 2.32% for IEMG. That is about $22 more a year on $10,000. VWO pays annual, IEMG pays semi-annual.
- Performance. Over the last 5 years, IEMG returned 35.6% versus 28.9% for VWO, with dividends reinvested. $10,000 would have grown to $13,559 in IEMG and $12,887 in VWO.
- Risk. IEMG has been the bumpier ride. Its worst peak-to-trough decline over the last 5 years was -32.6%, against -30.2% for VWO.
- Diversification. VWO holds 5,942 positions and IEMG holds 2,857. The ten largest positions make up 27.3% of VWO and 32.0% of IEMG.
- Overlap. At least 39% of the two portfolios overlap by weight, across 70 shared holdings.
- Dividend growth. VWO grew its yearly payout 3.6% a year over the last 4 years, versus 0.2% for IEMG.
Bottom line: VWO fits better if you care most about lower fees, faster dividend growth and broader diversification. IEMG fits better if you care most about stronger 5-year returns.
Side-by-side snapshot
Trailing twelve-month figures where available. Higher yield is highlighted — not a buy recommendation.
| Metric | VWO Vanguard FTSE Emerging Markets ETF | IEMG iShares Core MSCI Emerging Markets ETF |
|---|---|---|
| Dividend yield (TTM) | 2.54% | 2.32% |
| Dividend / share (TTM) | $1.48 | $1.80 |
| Payout frequency | Annual | Semi-annual |
| Last dividend | $0.1137 on Sep 22, 2026 | $0.6584 on Jun 18, 2026 |
| Ex-dividend date | Sep 18, 2026 | Jun 15, 2026 |
| Dividend growth (CAGR) | 3.6% over 4 yrs | 0.2% over 4 yrs |
| Price | $58.25 | $77.37 |
| Dividend growth streak | 1 year | 3 years |
| Beta | 0.78 | 1.01 |
| Max drawdown (5Y) | -30.2% | -32.6% |
| Market cap | $164.76B | $151.03B |
| Exchange | AMEX | AMEX |
| Expense ratio | 0.06% | 0.09% |
| Assets under management | $164.70B | $152.28B |
| Number of holdings | 5942 | 2857 |
| Top 10 concentration | 27.3% | 32.0% |
Income on a $10,000 investment
Illustrative only — assumes current TTM yield stays constant. Actual distributions change.
VWO
$21.17/mo
$254 /yr at 2.54% yield
IEMG
$19.36/mo
$232 /yr at 2.32% yield
Dividend history
Total dividends paid per share in each calendar year. VWO pays annual; IEMG pays semi-annual.
| Year | VWO | IEMG |
|---|---|---|
| 2025 | $1.4973 | $1.8486 |
| 2024 | $1.4089 | $1.6720 |
| 2023 | $1.4472 | $1.4602 |
| 2022 | $1.6037 | $1.2633 |
| 2021 | $1.2994 | $1.8319 |
Strategy: International equity
Funds that hold companies outside the United States, either across developed markets like Europe, Japan and Canada, across emerging markets like China, India and Taiwan, or both. Index providers disagree on edge cases such as whether South Korea is developed or emerging and whether small caps or Canada are included, which explains most of the gap between similar-looking funds. Dividend yields are usually higher than in the US market.
Returns are exposed to currency moves and to political and regulatory risk that US investors do not face at home, and emerging markets add wide swings.
Performance
Total returns with dividends reinvested, from the adjusted closing price series. $10,000 invested on Oct 20, 2021 would now be worth $12,887 in VWO and $13,559 in IEMG.
| Period | VWO | IEMG |
|---|---|---|
| 1 month | -2.93% | -5.25% |
| 3 months | 0.74% | 0.51% |
| Year to date | 8.68% | 15.10% |
| 1 year | 8.25% | 14.12% |
| 3 years | 66.91% | 78.81% |
| 5 years | 28.87% | 35.59% |
- VWO
- IEMG
Both series indexed to 100 on 2021-10-20 using the adjusted closing price series. Past performance does not guarantee future results.
Sector allocation
Weight of each sector within the fund. Sectors are aligned on the same row so the two funds can be read against each other directly.
- VWO
- IEMG
VWO vs IEMG holdings overlap
At least 39% overlap by weight, with 70 holdings in common. Overlap adds up the smaller of the two weights for every stock both funds own, so 100% would mean identical portfolios.
| Largest shared holdings | VWO weight | IEMG weight |
|---|---|---|
| 2330.TWTaiwan Semiconductor Manufacturing Co Ltd | 15.72% | 13.79% |
| 0700.HKTencent Holdings Ltd | 2.81% | 2.45% |
| 9988.HKAlibaba Group Holding Ltd | 2.11% | 1.74% |
| 2454.TWMediaTek Inc | 1.87% | 1.42% |
| 0939.HKChina Construction Bank Corp | 0.91% | 0.79% |
| 2308.TWDelta Electronics Inc | 0.94% | 0.74% |
| 2317.TWHon Hai Precision Industry Co Ltd | 0.79% | 0.69% |
| HDFCBANK.NSHDFC Bank Ltd | 0.70% | 0.66% |
| HDFCBANK.BOHDFC Bank Ltd | 0.78% | 0.60% |
| ICICIBANK.NSICICI Bank Ltd | 0.60% | 0.59% |
Top 10 holdings
Largest positions by portfolio weight.
VWO5942 holdings total
| Name | Weight |
|---|---|
| 2330.TWTaiwan Semiconductor Manufacturing Co Ltd | 15.72% |
| 0700.HKTencent Holdings Ltd | 2.81% |
| 9988.HKAlibaba Group Holding Ltd | 2.11% |
| 2454.TWMediaTek Inc | 1.87% |
| 2308.TWDelta Electronics Inc | 0.94% |
| 0939.HKChina Construction Bank Corp | 0.91% |
| 2317.TWHon Hai Precision Industry Co Ltd | 0.79% |
| HDFCBANK.BOHDFC Bank Ltd | 0.78% |
| HDFCBANK.NSHDFC Bank Ltd | 0.70% |
| RELIANCE.BOReliance Industries Ltd | 0.69% |
IEMG2857 holdings total
| Name | Weight |
|---|---|
| 2330.TWTAIWAN SEMICONDUCTOR MANUFACTURING | 13.79% |
| 005930.KSSAMSUNG ELECTRONICS LTD | 5.67% |
| 000660.KSSK HYNIX | 3.95% |
| 0700.HKTENCENT HOLDINGS | 2.45% |
| 9988.HKALIBABA GROUP HOLDING | 1.74% |
| 2454.TWMEDIATEK | 1.42% |
| 0939.HKCHINA CONSTRUCTION BANK CORP H | 0.79% |
| 005935.KSSAMSUNG ELECTRONICS NON VOTING PRE | 0.75% |
| 2308.TWDELTA ELECTRONICS | 0.74% |
| 2317.TWHON HAI PRECISION INDUSTRY | 0.69% |
Quick verdict
VWO fits better if you care most about lower fees, faster dividend growth and broader diversification. IEMG fits better if you care most about stronger 5-year returns. Model the holding inside your real portfolio before deciding.
Still deciding? Compare them in your portfolio
Forecast dividend income, track payouts, and see how VWO vs IEMG fits with the rest of your holdings. Free to start — no credit card required for the trial.
Frequently asked questions
Is VWO or IEMG better for dividend income?
It depends on your goals. VWO currently yields 2.54% Trailing Twelve Months (TTM) while IEMG yields 2.32%. Higher yield means more current income per dollar invested, but may come with different risk, growth, or NAV characteristics. Compare total return and payout sustainability — not just the headline yield.
What is the difference between VWO and IEMG?
Vanguard FTSE Emerging Markets ETF (VWO) is an ETF listed on AMEX. iShares Core MSCI Emerging Markets ETF (IEMG) is an ETF listed on AMEX. Side-by-side metrics on this page cover yield, fees, returns, drawdowns, holdings overlap and dividend history when available.
Which is cheaper, VWO or IEMG?
VWO has the lower expense ratio. VWO charges 0.06% a year and IEMG charges 0.09%, a difference of $3 a year on a $10,000 investment.
Which has performed better, VWO or IEMG?
Over the last 5 years, IEMG has the higher total return with dividends reinvested: VWO returned 28.9% and IEMG returned 35.6%. Past performance does not predict future returns.
Which is riskier, VWO or IEMG?
Measured by the worst peak-to-trough decline over the last five years, IEMG has been riskier: VWO fell as much as 30.2% and IEMG as much as 32.6%. Their betas are 0.78 and 1.01.
How much do VWO and IEMG overlap?
At least 39% of the two portfolios overlap by weight, across 70 shared holdings. The largest shared positions are 2330.TW, 0700.HK, 9988.HK. Holding both still adds meaningful diversification.
How often do VWO and IEMG pay dividends?
VWO pays annual and IEMG pays semi-annual.
How much income does $10,000 in VWO vs IEMG generate?
At current TTM yields, $10,000 in VWO would generate roughly $21.17 per month ($254 annually). The same amount in IEMG would produce about $19.36 per month ($232 annually). Actual payouts vary with distribution changes and reinvestment.
Can I hold both VWO and IEMG?
Yes. Many income investors hold both to diversify strategy or index exposure. Whether the combination actually diversifies depends on overlapping holdings and factor exposure. Model both inside Dividend Wealth to see combined income, sector mix, and forecast impact.
Where can I compare VWO vs IEMG with my full portfolio?
Create a free Dividend Wealth account to import or enter holdings, forecast dividend income, and see how VWO and IEMG fit alongside the rest of your portfolio. A 14-day free trial of Standard is available with no credit card required; a limited Free plan is also available.
Related comparisons
For informational and educational purposes only. Not investment advice. Past performance and current yields do not guarantee future results. Verify figures independently before making investment decisions.