tum3123/iStock via Getty Images Introduction to the iShares MSCI Emerging Markets ex China ETF The iShares MSCI Emerging Markets ex China ETF ( EMXC ), which got listed on the 18 th of July 2017, has managed to amass total AUM of $24B during its near-decade existence. EMXC which is issued by Blackrock under its ‘iShares’ stable of ETFs, pays dividends twice a year, which amount to an annualized yi...
tum3123/iStock via Getty Images Introduction to the iShares MSCI Emerging Markets ex China ETF The iShares MSCI Emerging Markets ex China ETF ( EMXC ), which got listed on the 18 th of July 2017, has managed to amass total AUM of $24B during its near-decade existence. EMXC which is issued by Blackrock under its ‘iShares’ stable of ETFs, pays dividends twice a year, which amount to an annualized yield of over 2%. This ETF is priced at a reasonable expense ratio of 0.25%, which is only half the median ETF rate . What Does EMXC Do? EMXC strives to give investors exposure to a wide variety of emerging market stocks (close to 650 stocks) excluding Chinese stocks, and it seeks to go about this by sampling an index called the MSCI Emerging Markets ex China Index [MEMECI] . MEMECI, in turn, focuses on the top 85% of stocks that comprise the free-float market-cap of 23 different emerging markets including Brazil, Chile, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Kuwait, Malaysia, Mexico, Peru, the Philippines, Poland, Qatar, Saudi Arabia, South Africa, South Korea, Taiwan, Thailand, Turkey and the United Arab Emirates. What Are The Main Features Of EMXC's Portfolio? Given that EMXC’s tracking index focuses on only the top 85% of the free-float market-cap of any EM country, it is pretty obvious that small-cap exposure in this portfolio will be very minimal. Meanwhile, Giant-caps account for almost two-thirds of the portfolio, with the average market-cap ($108 billion), only reiterating the giant-cap centric profile of this product. Morningstar Prima facie, EMXC may attempt to build its portfolio from 23 different emerging markets across the globe, but as things stand, the bulk of the portfolio comes from three key markets in Asia — Taiwan, South Korea, and India, that account for almost three-fourth the portfolio. EMXC Sectorally, EMXC dabbles with stocks from 11 different options, but one sector in particular- technology stands out, accounting for al...