AEME vs E127

The comparison in short

AEME (Amundi Core MSCI Emerging Markets UCITS ETF Acc, LU1437017350) and E127 (Amundi Core MSCI Emerging Markets Swap UCITS ETF Dist, LU2573966905) both track the MSCI Emerging Markets index. E127 has the lower total expense ratio (TER): 0.14% a year against 0.18% for AEME, 0.04 percentage points less, or about 4 a year on 10,000 invested. AEME reports EUR 10.3bn in assets and E127 USD 12.5bn. AEME reports 1,170 holdings and E127 372. E127 replicates its index through a swap and publishes the collateral basket behind it, so the holdings overlap is not measured. In 2025, AEME returned +17.9% and E127 +33.9%, a gap of 16 percentage points. Over 3 years, AEME returned +21.2% a year and E127 +24.2% a year. Returns are in each share class's currency (EUR and USD), so part of the gap reflects exchange rates. AEME reinvests its income (accumulating), while E127 pays it out (distributing). AEME holds the index securities directly (physical replication), while E127 replicates its index through a swap (synthetic). Both are domiciled in Luxembourg. AEME and E127 both carry a risk indicator (SRRI) of 4 on the 1–7 scale. This is a factual comparison from the fund houses' documents, not investment advice.