AFEM vs JHEM
First Trust Active Factor Emerging Markets ETF vs John Hancock Multifactor Emerging Markets ETF
Which is better, AFEM or JHEM?
Nearly the same fund. JHEM costs less.
JHEM has a lower expense ratio. AFEM led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. JHEM is less concentrated, with 24.7% of the fund in its ten largest positions against 36.1%.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | AFEM | JHEM |
|---|---|---|
| Expense Ratio | 0.99% | 0.49%Best |
| AUM | $83M | $979M |
| Dividend Yield | 2.51% | 1.75% |
| Holdings | 178 | 956 |
| YTD Return | +24.14%Best | +18.91% |
| 1Y Return | +31.63%Best | +27.11% |
| 3Y Return (annualized) | +25.76%Best | +21.49% |
| 5Y Return (annualized) | +11.97%Best | +8.90% |
| Volatility (annualized) | 17.7%Tie | 17.7%Tie |
| Max Drawdown | -36.0% | -35.0%Best |
| $10,000 over 5 years | $17,600Best | $15,316 |
| Top 10 Weight | 36.1% | 24.7%Best |
| Fund Family | First Trust Portfolios (US) | John Hancock Investment Management |
| Category | Equity | Equity |
| Style | Large Cap Blend | Large Cap Blend |
| Inception | Jun 14, 2016 | Sep 27, 2018 |
Volatility and max drawdown are measured over the window both funds cover: Sep 28, 2018 to Oct 9, 2026 (8 years).
AFEM vs JHEM growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 8 years both funds cover.
AFEM vs JHEM Performance
First Trust Active Factor Emerging Markets ETF (AFEM) is an ETF from First Trust Portfolios (US) and John Hancock Multifactor Emerging Markets ETF (JHEM) is an ETF from John Hancock Investment Management. Over the past year AFEM returned +31.63% while JHEM returned +27.11%. Year to date, AFEM is up 24.14% versus a gain of 18.91% for JHEM.
Over three years, AFEM compounded at +25.76% per year against +21.49% for JHEM; over five years the annualized figures are +11.97% and +8.90% respectively. Across the full 8-year window we track, AFEM has the edge at +8.70% annualized vs +7.77%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
AFEM and JHEM have been equally volatile, both at 17.7% annualized.
The deepest peak-to-trough decline in our data was -36.0% for AFEM and -35.0% for JHEM. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.95. They move almost in lockstep, so holding both mostly duplicates the same exposure.
Fees and Cost Over Time
AFEM charges 0.99% per year while JHEM charges 0.49%. On a $10,000 position that is $99 vs $49 annually, a gap of $50 per year that compounds over a long holding period. On income, AFEM currently yields 2.51% against 1.75% for JHEM.
Holdings Overlap
52.9% of AFEM's money is in holdings JHEM also owns. 29.9% of JHEM's money is in holdings AFEM also owns.
The two portfolios partly overlap.
82 positions in common, counted across the 178 positions we hold weights for in AFEM and 880 in JHEM, against full books of 178 and 956.
What only one of them owns
Our book lists 18 positions for JHEM that do not appear in our book for AFEM (2.2% of the fund), and 3 for AFEM that do not appear in JHEM (1.5%).
Some of those will be the same company recorded under a different code in one of the two books, so the real difference in what you would own is no larger than this and may be smaller. We do not name the individual positions here for that reason.
Top Shared Holdings
| Stock | Weight in AFEM | Weight in JHEM | Difference |
|---|---|---|---|
| 005930:KRSamsung Electronics (Equity) | 7.51% | 4.94% | 2.57% |
| 000660:KRSk Hynix Inc Common Stock KRW 5000 | 3.81% | 5.22% | 1.41% |
| 2454:TWMediaTek Inc ORD TWD10 | 1.50% | 2.47% | 0.97% |
| 0700:KYTencent Holdings Ltd Ordinary Shares | 0.78% | 2.21% | 1.43% |
| 3037:TWUnimicron Technology | 1.78% | 0.63% | 1.15% |
| 000270:KRKia Corporation | 1.68% | 0.48% | 1.20% |
| 9988:HKAlibaba Group Holding Limited Ordinary Shares | 0.00% | 1.94% | 1.94% |
| 3328:SHBank Of Communications Co Ltd | 1.54% | 0.24% | 1.30% |
| 3653:TWJentech Precision Industrial Co Ltd | 1.45% | 0.10% | 1.35% |
| ICT:PHIntl Container Term Svcs Php1 | 1.41% | 0.14% | 1.27% |
52.9% of AFEM is already inside JHEM.
You probably hold more than these two. Add the rest and see how much of the whole book is the same companies twice.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, AFEM or JHEM?
AFEM has an expense ratio of 0.99% while JHEM charges 0.49%. JHEM is the cheaper option, by $50 a year on a $10,000 investment.
Which performed better, AFEM or JHEM?
Over the past year AFEM returned +31.63% vs +27.11% for JHEM, so AFEM leads on 1-year performance. Over the longest common window we track (8 years), AFEM annualized +8.70% vs +7.77% for JHEM. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, AFEM or JHEM?
AFEM and JHEM have been equally volatile, both at 17.7% annualized. Worst drawdown: AFEM -36.0% vs JHEM -35.0%.
Should I hold both AFEM and JHEM?
AFEM and JHEM have a monthly-return correlation of 0.95, so they move almost identically. What is left to separate them is the fee and the index each one tracks. This is information, not a recommendation.
What is the holdings overlap between AFEM and JHEM?
52.9% of AFEM's money is in holdings JHEM also owns. 29.9% of JHEM's is in holdings AFEM also owns. They hold 82 positions in common, counted across the 178 positions we hold weights for in AFEM and 880 in JHEM.
Which pays a higher dividend, AFEM or JHEM?
AFEM yields 2.51% while JHEM yields 1.75%, so AFEM currently pays the higher dividend yield.
Is JHEM better than AFEM?
JHEM has a lower expense ratio. AFEM led over 1Y, 3Y, 5Y and the full window. The two have moved almost in lockstep, correlation 0.95. JHEM is less concentrated, with 24.7% of the fund in its ten largest positions against 36.1%. Which one suits a particular account depends on what it is for. This is information, not a recommendation.