7 Best Emerging-Market ETFs

7 Best Emerging-Market ETFs

Emerging-market exchange-traded funds come in many shapes and sizes. But not every fund that offers overseas investments is worth your time or money. Investors may face two key challenges when attempting to enter emerging markets: keeping fees down and finding investments that are large and liquid enough to buy and sell without complications. That said, many low-cost index funds are competitive on price but still command billions in assets and a high average trading volume. Here are seven of the best emerging-market ETFs to buy now.

Vanguard FTSE Emerging Markets ETF (ticker: VWO)

The largest of the emerging-market ETFs by assets, VWO boasts more than $115 billion in total net assets and holds more than 5,200 stocks from across the globe. Admittedly, it's a bit top-heavy. The fund's 10 largest holdings account for about 24% of the portfolio's weight. More than 30% of the fund is dedicated to technology. "A well-diversified ETF like (the) Vanguard FTSE Emerging Markets ETF gave an annual return of 37% in the last year and CAGR (compound annual growth rate)