IEMGETF

The article compares two international ETFs: State Street SPDR Portfolio Developed World ex-US ETF (SPDW), which targets established economies with ultra-low fees (0.03%) and higher yields (3.1%), and iShares Core MSCI Emerging Markets ETF (IEMG), which focuses on developing nations with heavy technology exposure (42%) but higher fees (0.09%). While IEMG offers greater growth potential through semiconductor leaders, SPDW is recommended as the better long-term buy due to lower costs, higher income, and more balanced risk exposure.

EDIV, a smart beta ETF with $1.17 billion in assets, offers exposure to emerging market dividend stocks with a 4.32% yield and 0.49% expense ratio. The fund has returned 7.14% year-to-date and 9.18% over the past year with medium risk (beta 0.48). However, cheaper alternatives like VWO (0.06% expense ratio) and IEMG (0.09%) offer broader market exposure at lower costs.

A Financial Times survey of 94 economists suggests that AI-related productivity gains will be widely shared globally, with developed markets better positioned to adopt AI than emerging markets. Vanguard research projects international developed-market stocks will outperform U.S. stocks over the next 10-30 years. The article recommends buying developed-market ETFs (VEA and IEFA) while avoiding emerging-market ETFs (EEM and IEMG).

The article reviews Northern Trust Morningstar Emerging Markets Factor Tilt ETF (TLTE), a smart beta ETF launched in 2012 with $339.07 million in assets. While TLTE has delivered 16.82% year-to-date returns and 20.26% over the past year, the article concludes it is not suitable for investors seeking to outperform the Broad Emerging Market ETFs segment. The article recommends cheaper alternatives like Vanguard Emerging Markets Stock Index Fund (VWO) and iShares Core MSCI Emerging Markets ETF (IEMG), which offer lower expense ratios and reduced risk.

WisdomTree Emerging Markets High Dividend ETF (DEM) is reviewed as a reasonable option for investors seeking emerging market exposure with a 3.98% dividend yield and 0.63% expense ratio. The fund has delivered strong year-to-date returns of 22.64% and 12-month returns of 27.92%, with medium risk profile. However, cheaper alternatives like Vanguard Emerging Markets Stock Index Fund (VWO) and iShares Core MSCI Emerging Markets ETF (IEMG) are highlighted as lower-cost options for investors.