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Drawdown history

EEM observed max drawdown: 60.4%

iShares MSCI Emerging Markets ETF. From its 2007-10-31 peak, EEM fell 60.4% to the 2009-02-28 trough and needed 10.0 years to make a new high (2017-10-31). Computed from 281 months of observed fund history. Fund inception boundary (first available fund observation): 2003-04-14; the monthly analysis runs from 2003-04-30 through 2026-08-31.

Before 2003-04-14, the extended history is simulated. Observed fund drawdowns come first; simulation assumptions and results are separated below.

What is EEM's observed maximum drawdown?

EEM's observed maximum drawdown was 60.4%, from a peak in 2007-10-31 to a trough in 2009-02-28, based on monthly closes from fund prices first observed on 2003-04-14. The sample contains 281 monthly observations through 2026-08-31. Monthly closes can miss deeper daily losses.

EEM: observed fund prices, monthly closes
MeasureValue
Maximum drawdown-60.4%
Peak2007-10-31
Trough2009-02-28
Recovered2017-10-31
Monthly observations281

Last verified

What is EEM's observed maximum drawdown?

EEM's observed maximum drawdown was 60.4%, from a peak in 2007-10-31 to a trough in 2009-02-28, based on monthly closes from fund prices first observed on 2003-04-14.

How long did EEM take to recover from its worst drawdown?

EEM took 10.0 years from the 2007-10-31 peak to make a new high in 2017-10-31, based only on observed fund prices.

What was EEM's worst 12-month return?

EEM's worst observed rolling 12-month return was -54.3%, in the 12 months ending 2008-11-30.

EEM observed fund drawdown statistics

Maximum drawdown
-60.4%

2007-10-31 peak to 2009-02-28 trough.

Recovery time
10.0 years

New high reached 2017-10-31.

Time underwater
82.2%

Share of all months spent below a prior high.

Worst 12 months
-54.3%

Rolling year ending 2008-11-30.

The biggest EEM drawdowns in observed fund history

DepthPeakTroughRecoveredPeak to troughTotal underwater
-60.4%2007-10-312009-02-282017-10-3116 mo10.0 years
-36.5%2021-06-302022-10-312025-09-3016 mo4.3 years
-29.7%2018-01-312020-03-312020-11-3026 mo2.8 years
-11.3%2004-03-312004-07-312004-10-314 mo7 months
-11.1%2006-04-302006-05-312006-11-301 mo7 months

Methodology: observed EEM fund prices only, first available from 2003-04-14. Monthly closing-price statistics cover 2003-04-30 through 2026-08-31; no proxy or pre-inception simulation is included in this table. Educational information, not investment advice.

Hypothetical, not observed

Before 2003-04-14: simulated from the underlying index with assumptions

This separate series combines observed prices with a modeled pre-inception extension from 1970-01-31 through 2026-09-30. The 2026-09-30 endpoint is the legacy current partial-month bucket/month-end label, not evidence that EEM was observed through that future date. It is not observed EEM performance. The API's observed boundary is 2003-04-14; observed monthly statistics run from 2003-04-30 through 2026-08-31.

  • Rebalancing convention: monthly rebalance at month-end close; drawdown statistics use monthly closing prices.
  • Proxy source for EEM: VEIEX (proxy_etf), from 1994-05-04 to 2003-04-11.
  • Proxy source for EEM: FEMKX (proxy_etf), from 1990-10-31 to 1994-05-03.
  • Proxy source for EEM: eem_synth (static_monthly), from 1925-12-31 to 1990-10-30.
  • Proxy source for SPY: VFINX (proxy_etf), from 1976-08-31 to 1993-01-28.
  • Proxy source for SPY: spy_tr (static_monthly), from 1900-01-31 to 1976-08-30.

Modeled extended statistics

Maximum drawdown
-60.4%

2007-10-31 peak to 2009-02-28 trough.

Recovery time
10.0 years

New high reached 2017-10-31.

Time underwater
81.8%

Share of all months spent below a prior high.

Worst 12 months
-54.3%

Rolling year ending 2008-11-30.

For context, SPY (the S&P 500 baseline) had a maximum drawdown of 50.8% over the same kind of monthly-close analysis.

Modeled extended drawdowns

DepthPeakTroughRecoveredPeak to troughTotal underwater
-60.4%2007-10-312009-02-282017-10-3116 mo10.0 years
-54.0%1997-07-311998-08-312003-12-3113 mo6.4 years
-37.7%1981-06-301982-10-311985-09-3016 mo4.3 years
-36.5%2021-06-302022-10-312025-09-3016 mo4.3 years
-35.4%1987-08-311987-11-301989-02-283 mo18 months

Monthly closing prices, peak-to-trough on total return where available. The pre-inception segment is a reconstruction, not a live fund record, and actual tracking, financing, taxes, spreads, and volatility drag can differ.

Drawdowns are the reason tactical strategies exist

Buy-and-hold EEM means living through every number on this page. BestFolio tracks published TAA strategies whose whole job is cutting these drawdowns, with out-of-sample track records.

EEM Observed Max Drawdown: 60.4% (2007 to 2009), Fund History Since 2003 | BestFolio