ETO vs IEMG: Correlation
How closely do Eaton Vance Tax-Advantage Global Dividend Opp (ETO) and iShares Core MSCI Emerging Markets ETF (IEMG) trade together? Their weekly returns over three years give a correlation of 0.74, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ETO and IEMG?
Across a 3-year window, the weekly returns of ETO and IEMG correlate at 0.74, strong. Little has changed lately, as the 1-year reading of 0.73 lands near the 3-year figure. Stretching to 5 years gives 0.66, with an annualized covariance of 215.9 %².
Within ETO's tracked universe of 38 assets, IEMG comes in at #21 by 3-year correlation. Over the last 12 months IEMG came out ahead by 11.6 percentage points (+24.4% against +36.0%).
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.
ETO vs IEMG: side by side
| ETO (Eaton Vance Tax-Advantage Global Dividend Opp) | IEMG (iShares Core MSCI Emerging Markets ETF) | |
|---|---|---|
| 1-year return | +24.4% | +36.0% |
| 5-year return | +43.6% | +50.7% |
| Volatility (ann.) | 16.6% | 17.4% |
| Beta vs S&P 500 | 1.02 | 0.84 |
| Max drawdown (3Y) | -18.2% | -17.2% |
| Market cap | $0.5B | – |
| P/E (trailing) | 3.8 | – |
| Dividend yield | 6.57% | 2.31% |
| Expense ratio | – | 0.09% |
| Assets under management | – | $152.2B |
| Sector / category | US Listed | ETF · International |
IEMG, iShares's Diversified Emerging Mkts fund, carries $152.2B under management, 1824 holdings, a 0.09% expense ratio, a 2.31% trailing dividend yield.
Year-by-year returns
| Year | ETO | IEMG |
|---|---|---|
| 2022 | -30.0% | -20.0% |
| 2023 | +21.5% | +11.5% |
| 2024 | +15.5% | +6.5% |
| 2025 | +29.9% | +32.6% |
| 2026 | +9.4% | +23.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ETO and IEMG good diversifiers for each other?
To a limited degree. At 0.74 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 ETO and IEMG?
Using weekly returns as of 2026-08-27: 0.74 over 3 years, with 0.73 over the last year and 0.66 over 5 years.
Is IEMG a good diversifier for ETO?
To a limited degree. At 0.74 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 0.74 mean?
On the −1 to +1 scale, 0.74 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/eto-vs-iemg.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/eto-vs-iemg/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: ETO correlations · IEMG correlations
