VWO And DVYE: Consider Emerging Markets For Your 2023 Portfolio

Summary

  • After years of valuation comparison, emerging markets have become very attractive at this point, both in absolute terms and relative terms.
  • This article examines two popular emerging market funds to help investors make an informed decision in this space.
  • These two funds are the Vanguard FTSE Emerging Markets ETF and iShares Emerging Markets Dividend ETF.
  • I will closely examine their performance, valuation, dividends, and volatility. And my conclusion is that I do not see a bad choice here.
  • Investors just need to pick the one suitable for their risk tolerance and goals. DVYE is more suitable for investors with need for high current income.
  • I do much more than just articles at Envision Early Retirement: Members get access to model portfolios, regular updates, a chat room, and more. Learn More »

emerging market

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Investment thesis and background

This article examines two popular emerging market funds: the Vanguard FTSE Emerging Markets ETF (NYSEARCA:VWO) and iShares Emerging Markets Dividend ETF (NYSEARCA:DVYE). The article is motivated by the following two considerations.

The first consideration is

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This article was written by

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Sensor Unlimited is an economist by training with a PhD, with a focus on financial economics. She is a quantitative modeler and for the past decade she has been covering the mortgage market, commercial market, and the banking industry. She writes about asset allocation and ETFs, particularly those related to the overall market, bonds, banking and financial sectors, and housing markets.

Sensor Unlimited contributes to the investing group Envision Early Retirement which is led by Sensor Unlimited. They offer proven solutions to generate both high income and high growth with isolated risks through dynamic asset allocation. Features include: two model portfolios - one for short-term survival/withdrawal and one for aggressive long-term growth, direct access via chat to discuss ideas, monthly updates on all holdings, tax discussions, and ticker critiques by request. Learn More.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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