EEM vs IHD: Correlation
How closely do iShares MSCI Emerging Markets ETF (EEM) and Voya Emerging Markets High Income Dividend Equity Fund (IHD) trade together? Their weekly returns over three years give a correlation of 0.76, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are EEM and IHD?
Over the past 3 years, EEM and IHD moved with a correlation of 0.76, which is strong. Recent behaviour matches the longer record: 0.67 over 1 year against 0.76 over 3. Over 5 years the correlation is 0.81, and the annualized covariance of weekly returns is 226.0 %².
By 3-year correlation, IHD places #12 of the 67 assets tracked against EEM. Their 12-month results are close: +38.1% for EEM against +42.2% for IHD.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
EEM vs IHD: side by side
| EEM (iShares MSCI Emerging Markets ETF) | IHD (Voya Emerging Markets High Income Dividend Equity Fund) | |
|---|---|---|
| 1-year return | +38.1% | +42.2% |
| 5-year return | +47.1% | +78.4% |
| Volatility (ann.) | 18.0% | 16.6% |
| Beta vs S&P 500 | 0.85 | 0.65 |
| Max drawdown (3Y) | -17.3% | -14.3% |
| Market cap | – | – |
| P/E (trailing) | – | 3.1 |
| Dividend yield | 1.73% | 0.00% |
| Expense ratio | 0.72% | – |
| Assets under management | $29.2B | – |
| Sector / category | ETF · International | US Listed |
EEM, iShares's Diversified Emerging Mkts fund, carries $29.2B under management, 968 holdings, a 0.72% expense ratio, a 1.73% trailing dividend yield.
Year-by-year returns
| Year | EEM | IHD |
|---|---|---|
| 2022 | -20.6% | -17.2% |
| 2023 | +8.9% | +13.9% |
| 2024 | +6.5% | +6.7% |
| 2025 | +34.0% | +40.3% |
| 2026 | +24.2% | +29.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are EEM and IHD good diversifiers for each other?
To a limited degree. At 0.76 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between EEM and IHD?
As of 2026-08-27, the correlation of weekly returns between EEM and IHD is 0.76 over 3 years, 0.67 over 1 year and 0.81 over 5 years.
Is IHD a good diversifier for EEM?
To a limited degree. At 0.76 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.76 mean?
On the −1 to +1 scale, 0.76 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/eem-vs-ihd.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/eem-vs-ihd/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: EEM correlations · IHD correlations
