- The "Emerging Markets Consumer" theme gets another player with the launch of WisdomTree's (WETF +0.4%) Emerging Markets Consumer Growth Fund (EMCG) with an expense ratio of 0.63%.
- An issue with mainstream benchmarks such as the MSCI Emerging Markets Index (EEM -0.7%) is their reliance on giant, state-backed companies, and WisdomTree - along with others - are attempting to capitalize. EMCG's weighting assures an emphasis on small companies. Also, EMCG excludes the energy and materials sectors, while EEM has 20% exposure. Of 250 stocks in the EMCG, 150 are consumer staples or discretionary names.
- The biggest player in the emerging consumer field is Emerging Global Advisors' Emerging Markets Consumer ETF (ECON -1.1%) which has smoked the EEM in its short history - a 3-year annualized yield of 10% vs. EEM at 0.3%.
- Other small cap/consumer oriented: EMDI, DGS.
- EM ETFs: AGEM, EEM, ADRE, SCHE, GMM, VWO, DEM, EWEM, PXH, PIE, EWX, DGS, EMLB, EDC, EET, EMSA, EDZ, EEV, EUM, TLTE, HILO, EELV, EEMA, EMFT, DVYE, FEMS, EVAL, EGRW, EMCR, IEMG, EMDR, EEME.
Another entrant into emerging consumer theme
Sep 27 2013, 10:18 ET