ICLN vs IEMG: Correlation & Overlap
Measured on weekly returns over the past three years, iShares Global Clean Energy ETF (ICLN) and iShares Core MSCI Emerging Markets ETF (IEMG) carry a correlation of 0.59, a moderate link. By holdings, the two funds overlap 0.3% by weight.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ICLN and IEMG?
On 3 years of weekly data the ICLN/IEMG correlation comes out at 0.59, moderate. The relationship has been stable: the 1-year correlation (0.59) sits close to the 3-year figure. The 5-year figure is 0.55, and annualized covariance runs at 246.4 %².
Among the 78 assets we track against ICLN, IEMG ranks #9 by 3-year correlation. On 12-month performance IEMG holds a 10.4-point edge, +25.6% against +36.0%. The link looks structural: the rolling one-year correlation barely moved, holding between 0.46 and 0.70.
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.
ICLN vs IEMG: side by side
| ICLN (iShares Global Clean Energy ETF) | IEMG (iShares Core MSCI Emerging Markets ETF) | |
|---|---|---|
| 1-year return | +25.6% | +36.0% |
| 5-year return | -18.4% | +50.7% |
| Volatility (ann.) | 24.0% | 17.4% |
| Beta vs S&P 500 | 0.78 | 0.84 |
| Max drawdown (3Y) | -34.6% | -17.2% |
| Dividend yield | 1.05% | 2.31% |
| Expense ratio | 0.39% | 0.09% |
| Assets under management | $2.3B | $152.2B |
| Sector / category | ETF · Thematic | ETF · International |
ICLN, iShares's Miscellaneous Sector fund, carries $2.3B under management, 102 holdings, a 0.39% expense ratio, a 1.05% trailing dividend yield. 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.
Portfolio overlap between ICLN and IEMG
The two portfolios are largely distinct: 0.3% of the funds' weight sits in the same underlying holdings (16 common positions). Correlation tells you they move together; overlap tells you why.
| Common holding | Weight in ICLN | Weight in IEMG |
|---|---|---|
| EQTL3 | 3.09% | 0.06% |
| SUZLON | 1.99% | 0.04% |
| 600900 | 7.64% | 0.04% |
| ENGI11 | 1.35% | 0.02% |
| WAAREEENER | 0.81% | 0.02% |
| NHPC | 0.72% | 0.02% |
| CPFE3 | 0.91% | 0.01% |
| ENRG | 0.28% | 0.01% |
| PREMIERENE | 0.79% | 0.01% |
| EGIE3 | 0.59% | 0.01% |
| 112610 | 0.81% | 0.01% |
| AURE3 | 0.36% | 0.01% |
| 600905 | 1.18% | 0.01% |
| 336260 | 1.24% | 0.01% |
| 916 | 1.25% | 0.01% |
Largest positions held only by ICLN: FSLR (7.87%), BE (7.36%), NXT (6.81%), ENPH (4.70%), VWS (4.36%). Only by IEMG: 2330 (13.28%), 005930 (6.27%), 000660 (4.78%), 700 (2.49%), 9988 (1.77%).
Overlap = sum of the smaller of the two weights across common holdings, from issuer disclosures as of 2026-08-26. Top 15 common positions shown.
Year-by-year returns
| Year | ICLN | IEMG |
|---|---|---|
| 2022 | -5.4% | -20.0% |
| 2023 | -20.4% | +11.5% |
| 2024 | -25.7% | +6.5% |
| 2025 | +47.0% | +32.6% |
| 2026 | +8.8% | +23.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ICLN and IEMG good diversifiers for each other?
Somewhat, no more. With 0.59 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between ICLN and IEMG?
The ICLN/IEMG correlation stands at 0.59 on a 3-year window (1 year: 0.59, 5 years: 0.55), computed from weekly returns as of 2026-08-27.
Is IEMG a good diversifier for ICLN?
Somewhat, no more. With 0.59 correlation, most large moves hit both names, and the diversification benefit stays modest.
How much do ICLN and IEMG overlap?
0.3% by weight, across 16 common holdings, based on issuer-disclosed portfolios as of 2026-08-26.
Use this data
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Related comparisons
Hubs: ICLN correlations · IEMG correlations
