EMHC vs NEMD

EMHCAState Street SPDR Bloomberg Emerging Markets USD Bond ETF

NEMDCNeuberger Berman Emerging Markets Debt Hard Currency ETF

In short

EMHC Emerging market debt without the currency roulette. EMHC holds only dollar-denominated bonds, and its index reaches past national governments into state-owned issuers, roughly 500 positions, for 0.23% a year.

NEMD Neuberger Berman's active take on emerging-markets debt, issued in hard currency: credit calls drive the outcome instead of local-currency swings. A 2025 arrival holding roughly 300 positions and paying monthly.

Stated mandate

EMHC The fund seeks to track, before fees and expenses, the price and yield performance of the Bloomberg Emerging Market USD Sovereign and Sovereign Owned Index. It is designed to provide broad exposure to fixed-rate U.S.-dollar-denominated debt issued by emerging-market sovereign and quasi-sovereign issuers.

NEMD The Fund invests in emerging-markets debt and other fixed-income instruments, including sovereign debt and direct debt obligations. It may also transact in foreign currencies for hedging or investment purposes.

Why people hold it

• EMHC Costs 0.23% a year, below the median expense ratio in its bond peer group.
• Tracks sovereign and sovereign-owned dollar debt, roughly 500 bonds, so state-backed issuers count too, not just national governments.
• Everything in it is dollar-denominated. Local currency moves against the dollar don't flow into the return the way they do in local-debt funds.
• Pays monthly, and has run inside State Street's SPDR bond lineup since 2021.

• NEMD Hard-currency mandate: the bonds are issued in major currencies, so the exposure is sovereign and corporate credit rather than a bet on the peso, rand or rupiah.
• Actively run, not index-shackled. The team can shift between sovereign debt and direct corporate obligations, and transact in foreign currencies to hedge or to add exposure.
• Spread across roughly 300 positions, with income paid out monthly.
• The portfolio lines up closely with the emerging-markets debt mandate on the label. Little drift between the pitch and the holdings.

Worth knowing

• EMHC Not one of the heavily traded names in its category. Spreads can run wider than on core bond funds like BND or SPAB, so order type and timing matter more.
• Emerging market government and state-owned credit brings default and political risk that Treasuries don't, and it sits at the riskier end of its bond cohort.
• The mandate is emerging market dollar bonds only. No Treasuries, no US corporates, so it works as a slice beside a core bond holding rather than as one.

• NEMD At 0.85% a year, it is the priciest fund in its peer group. Index-tracking rivals JPMB and EMBD charge 0.39%.
• Launched in August 2025, so the record is short and the fund is still building trading volume. Thinner volume usually means wider bid/ask spreads.
• Hard currency strips out the local-FX swing, not the credit risk. These are still emerging-market borrowers, and sovereign stress shows up in prices.

Full EMHC profile⁠

Full NEMD profile⁠