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by Richard Rittorno

Now that investors have had time to digest the EU statements in full, it's apparent the great EU bailout plan is rather vague, and will take significant time to execute and repair all the damage. Will it be enough to help emerging markets? Couple the eurozone results with the U.S., China, India, and Russia all slowing, and both India and China's governments looking to take additional measures to avoid a hard landing, and it doesn't look good for strong growth in the second half of 2012.

Emerging Markets are showing increasing signs of contagion as the eurozone crisis weighs on the developed markets that emerging markets depend on for growth.

Where do you hideout during such troubled times? It's too risky for retail investors to hide out in eurozone bonds. With the world seeking a safe-haven in U.S. Treasuries, your first thought might be gold, though I find it to be too volatile to provide a steady stream of income. This is why I'm taking a page out of the domestic trading book and applying it to emerging markets. I'm hunting for yield in emerging market dividend-focused ETFs.

Normally I'd go in-depth with each of the names below, because I fear readers would pull the trigger prior to doing their homework, but with the early close and the holiday, you should have plenty of time to dig into these names and find which works best for you. I caution everyone reading this: do not jump into the largest yielding ETF because it has the biggest dividend. You need to match these names to your risk, investment style, and time horizon.

The iShares Emerging Markets Dividend Index Fund (NYSEARCA:DVYE) yields 7.01%. According to the Yahoo Finance fund summary:

"The investment seeks to replicate, net of expenses, the Dow Jones Emerging Markets Select Dividend Index. The fund generally invests at least 80% of its assets in the securities of the index. The index measures the performance of a group of equity securities in emerging market countries that have provided relatively high dividend yields on a consistent basis over time. Component companies include industrials, materials and telecommunications companies. The fund may invest in other investments, including futures, options, and swaps related to the index, as well as cash and cash equivalents, including shares of money market funds. It is non-diversified."

The SPDR S&P Emerging Markets Dividend Fund (NYSEARCA:EDIV) yields 5.15%. According to the Yahoo Finance fund summary:

"The investment seeks to provide investment results that, before fees and expenses, correspond generally to the price and yield performance of an index that tracks dividend paying securities of publicly-traded companies in emerging markets. The fund generally invests substantially all, but at least 80%, of its total assets in the securities comprising the index, or in American Depositary Receipts ("ADRs") or Global Depositary Receipts ("GDRs") based on securities comprising the index. It may invest in equity securities that are not included in the index, cash and cash equivalents or money market instruments. The fund is non-diversified. "

The WisdomTree Emerging Markets Small Cap Dividend Fund (NYSEARCA:DGS) yields 3.34%. According to the Yahoo Finance fund summary:

"The investment seeks to track the price and yield performance, before fees and expenses, of the WisdomTree Emerging Markets SmallCap Dividend Index. The fund normally invests at least 95% of the fund's total assets (exclusive of collateral held from securities lending) in the component securities of the index. It employs a "passive management" – or indexing – investment approach designed to track the performance of the WisdomTree Emerging Markets SmallCap Dividend Index. The fund attempts to invest all, or substantially all, of its assets in the stocks that make up the index. It is non-diversified."

The WisdomTree Emerging Markets Equity Income Fund (NYSEARCA:DEM) yields 4.02%. According to the Yahoo Finance fund summary:

"The investment seeks to track the price and yield performance, before fees and expenses, of the WisdomTree Emerging Markets Equity Income Index. The fund normally invests at least 95% of the fund's total assets (exclusive of collateral held from securities lending) in the component securities of the index. It employs a "passive management" – or indexing – investment approach designed to track the performance of the WisdomTree Emerging Markets Equity Income Index. The fund attempts to invest all, or substantially all, of its assets in the stocks that make up the index. It is non-diversified."

The Vanguard MSCI Emerging Markets ETF (NYSEARCA:VWO) yields 2.27%. According to the Yahoo Finance fund summary:

"The investment seeks to track the performance of a benchmark index that measures the investment return of stocks issued by companies located in emerging market countries. The fund employs an indexing investment approach by investing substantially all (normally about 95%) of its assets in the common stocks included in the MSCI Emerging Markets Index, while employing a form of sampling to reduce risk. The MSCI Emerging Markets Index includes approximately 820 common stocks of companies located in emerging markets around the world."

The iShares MSCI Emerging Markets Index Fund (NYSEARCA:EEM) yields 2.09%. According to the Yahoo Finance fund summary:

"The investment seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the MSCI Emerging Markets Index (the "underlying index"). The fund generally invests at least 90% of assets in the securities of its underlying index and in depositary receipts representing securities in its underlying index. The underlying index is designed to measure equity market performance in the global emerging markets. The fund invests all of its assets that are invested in India in a wholly owned subsidiary located in the Republic of Mauritius (the "Subsidiary"). It is non-diversified."

Disclosure: No positions

Source: The Hunt For Emerging Markets Yield: 6 ETF Ideas