VWO observed max drawdown: 61.7%
Vanguard Emerging Markets ETF. From its 2007-10-31 peak, VWO fell 61.7% to the 2009-02-28 trough and needed 10.0 years to make a new high (2017-10-31). Computed from 258 months of observed fund history. Fund inception boundary (first available fund observation): 2005-03-10; the monthly analysis runs from 2005-03-31 through 2026-08-31.
Before 2005-03-10, the extended history is simulated. Observed fund drawdowns come first; simulation assumptions and results are separated below.
What is VWO's observed maximum drawdown?
VWO's observed maximum drawdown was 61.7%, from a peak in 2007-10-31 to a trough in 2009-02-28, based on monthly closes from fund prices first observed on 2005-03-10. The sample contains 258 monthly observations through 2026-08-31. Monthly closes can miss deeper daily losses.
| Measure | Value |
|---|---|
| Maximum drawdown | -61.7% |
| Peak | 2007-10-31 |
| Trough | 2009-02-28 |
| Recovered | 2017-10-31 |
| Monthly observations | 258 |
Last verified
What is VWO's observed maximum drawdown?
VWO's observed maximum drawdown was 61.7%, from a peak in 2007-10-31 to a trough in 2009-02-28, based on monthly closes from fund prices first observed on 2005-03-10.
How long did VWO take to recover from its worst drawdown?
VWO 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 VWO's worst 12-month return?
VWO's worst observed rolling 12-month return was -56.3%, in the 12 months ending 2008-11-30.
VWO observed fund drawdown statistics
2007-10-31 peak to 2009-02-28 trough.
New high reached 2017-10-31.
Share of all months spent below a prior high.
Rolling year ending 2008-11-30.
The biggest VWO drawdowns in observed fund history
| Depth | Peak | Trough | Recovered | Peak to trough | Total underwater |
|---|---|---|---|---|---|
| -61.7% | 2007-10-31 | 2009-02-28 | 2017-10-31 | 16 mo | 10.0 years |
| -31.9% | 2021-06-30 | 2022-10-31 | 2025-06-30 | 16 mo | 4.0 years |
| -28.3% | 2018-01-31 | 2020-03-31 | 2020-11-30 | 26 mo | 2.8 years |
| -11.4% | 2006-04-30 | 2006-06-30 | 2006-11-30 | 2 mo | 7 months |
| -7.0% | 2026-02-28 | 2026-03-31 | 2026-04-30 | 1 mo | 2 months |
Methodology: observed VWO fund prices only, first available from 2005-03-10. Monthly closing-price statistics cover 2005-03-31 through 2026-08-31; no proxy or pre-inception simulation is included in this table. Educational information, not investment advice.
Before 2005-03-10: 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 VWO was observed through that future date. It is not observed VWO performance. The API's observed boundary is 2005-03-10; observed monthly statistics run from 2005-03-31 through 2026-08-31.
- Rebalancing convention: monthly rebalance at month-end close; drawdown statistics use monthly closing prices.
- Proxy source for VWO: EEM (proxy_etf), from 1925-12-31 to 2005-03-09.
- 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
2007-10-31 peak to 2009-02-28 trough.
New high reached 2017-10-31.
Share of all months spent below a prior high.
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
| Depth | Peak | Trough | Recovered | Peak to trough | Total underwater |
|---|---|---|---|---|---|
| -61.7% | 2007-10-31 | 2009-02-28 | 2017-10-31 | 16 mo | 10.0 years |
| -54.0% | 1997-07-31 | 1998-08-31 | 2003-12-31 | 13 mo | 6.4 years |
| -37.7% | 1981-06-30 | 1982-10-31 | 1985-09-30 | 16 mo | 4.3 years |
| -35.4% | 1987-08-31 | 1987-11-30 | 1989-02-28 | 3 mo | 18 months |
| -32.0% | 1973-02-28 | 1974-10-31 | 1977-07-31 | 20 mo | 4.4 years |
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 VWO 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.