EEM vs KF: Correlation
Measured on weekly returns over the past three years, iShares MSCI Emerging Markets ETF (EEM) and Korea Fund, Inc. (The) New (KF) carry a correlation of 0.78, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are EEM and KF?
On 3 years of weekly data the EEM/KF correlation comes out at 0.78, strong. Little has changed lately, as the 1-year reading of 0.87 lands near the 3-year figure. The 5-year figure is 0.76, and annualized covariance runs at 471.9 %².
By 3-year correlation, KF places #11 of the 67 assets tracked against EEM. The last year tells two different stories: KF led by 106.3 percentage points, +38.1% for EEM against +144.4% for KF. Note the risk asymmetry: KF runs 1.9 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
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 KF: side by side
| EEM (iShares MSCI Emerging Markets ETF) | KF (Korea Fund, Inc. (The) New) | |
|---|---|---|
| 1-year return | +38.1% | +144.4% |
| 5-year return | +47.1% | +138.0% |
| Volatility (ann.) | 18.0% | 33.8% |
| Beta vs S&P 500 | 0.85 | 1.18 |
| Max drawdown (3Y) | -17.3% | -35.2% |
| Market cap | – | $0.3B |
| P/E (trailing) | – | 2.9 |
| Dividend yield | 1.73% | 2.17% |
| Expense ratio | 0.72% | – |
| Assets under management | $29.2B | – |
| Sector / category | ETF · International | US Listed |
On the fund side, EEM sits in the Diversified Emerging Mkts category at iShares, with $29.2B under management, 968 holdings, a 0.72% expense ratio, a 1.73% trailing dividend yield.
Year-by-year returns
| Year | EEM | KF |
|---|---|---|
| 2022 | -20.6% | -30.0% |
| 2023 | +8.9% | +12.3% |
| 2024 | +6.5% | -19.3% |
| 2025 | +34.0% | +104.8% |
| 2026 | +24.2% | +78.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are EEM and KF good diversifiers for each other?
Only partially. A correlation of 0.78 means EEM and KF share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between EEM and KF?
The EEM/KF correlation stands at 0.78 on a 3-year window (1 year: 0.87, 5 years: 0.76), computed from weekly returns as of 2026-08-27.
Is KF a good diversifier for EEM?
Only partially. A correlation of 0.78 means EEM and KF share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.78 mean?
A reading of 0.78 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/eem-vs-kf.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/eem-vs-kf/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: EEM correlations · KF correlations
