EEM vs VTV: Correlation & Overlap
How closely do iShares MSCI Emerging Markets ETF (EEM) and Vanguard Value ETF (VTV) trade together? Their weekly returns over three years give a correlation of 0.58, which is moderate. Looking through to holdings, 0.1% of the two portfolios is the same by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are EEM and VTV?
On 3 years of weekly data the EEM/VTV correlation comes out at 0.58, moderate. The relationship has been stable: the 1-year correlation (0.56) sits close to the 3-year figure. The 5-year figure is 0.56, and annualized covariance runs at 124.6 %².
By 3-year correlation, VTV places #38 of the 67 assets tracked against EEM. On 12-month performance EEM holds a 12.4-point edge, +38.1% against +25.7%. The rolling one-year correlation moved between 0.41 and 0.78 over the past three years, a moderate range. Note the risk asymmetry: EEM runs 1.5 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 VTV: side by side
| EEM (iShares MSCI Emerging Markets ETF) | VTV (Vanguard Value ETF) | |
|---|---|---|
| 1-year return | +38.1% | +25.7% |
| 5-year return | +47.1% | +79.1% |
| Volatility (ann.) | 18.0% | 11.9% |
| Beta vs S&P 500 | 0.85 | 0.65 |
| Max drawdown (3Y) | -17.3% | -14.5% |
| Dividend yield | 1.73% | 1.86% |
| Expense ratio | 0.72% | 0.03% |
| Assets under management | $29.2B | $256.4B |
| Sector / category | ETF · International | ETF · US Style |
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. On the fund side, VTV sits in the Large Value category at Vanguard, with $256.4B under management, 308 holdings, a 0.03% expense ratio, a 1.86% trailing dividend yield.
Portfolio overlap between EEM and VTV
The two portfolios are largely distinct. Weighing the shared positions, 0.1% of the two funds is identical, spread across 3 common holdings. That shared book is a large part of why the returns line up.
Largest positions held only by EEM: 2330 (15.14%), 005930 (7.15%), 000660 (5.45%), 700 (2.83%), 9988 (2.02%). Only by VTV: JPM (3.51%), MU (3.46%), BRK.B (2.99%), XOM (2.40%), JNJ (2.30%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 3 common positions shown.
Year-by-year returns
| Year | EEM | VTV |
|---|---|---|
| 2022 | -20.6% | -2.1% |
| 2023 | +8.9% | +9.3% |
| 2024 | +6.5% | +16.0% |
| 2025 | +34.0% | +15.3% |
| 2026 | +24.2% | +19.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are EEM and VTV good diversifiers for each other?
Only partially. A correlation of 0.58 means EEM and VTV 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 VTV?
As of 2026-08-27, the correlation of weekly returns between EEM and VTV is 0.58 over 3 years, 0.56 over 1 year and 0.56 over 5 years.
Is VTV a good diversifier for EEM?
Only partially. A correlation of 0.58 means EEM and VTV share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
How much do EEM and VTV overlap?
The two funds share 3 holdings amounting to 0.1% of weight, per issuer portfolio files dated 2026-08-26.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/eem-vs-vtv.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/eem-vs-vtv/)
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Related comparisons
Hubs: EEM correlations · VTV correlations
