When investors are aiming for emerging markets exposure in their portfolio, using popular MSCI-based funds may not be providing you with the best exposure, but many worthwhile options are available, according to an article on Zacks.
The Vanguard MSCI Emerging Markets ETF (NYSEArca: VWO) and the iShares MSCI Emerging Markets Index Fund (NYSEArca: EEM) may be the most popular funds for the sector, however, both are heavily weighted in relatively developed markets like South Korea and Taiwan, reports Zacks.
The following three ETFs were highlighted by Eric Dutram, contributor to the site, as good choices for “true” emerging markets exposure:
- EGShares Low Volatility Emerging Markets Dividend ETF (NYSEArca: HILO)
- iShares MSCI BRIC Index Fund (NYSEArca: BKF)
- EGShares GEMS Composite ETF (NYSEArca: AGEM)
For the full breakdown on the funds mentioned above, visit Zacks.com.