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home / news releases / iemg the risk isn t worth the reward


SPEM - IEMG: The Risk Isn't Worth The Reward

2024-05-13 06:54:48 ET

Summary

  • iShares Core MSCI Emerging Markets ETF warrants a sell rating due to multiple risk factors for the fund outweighing its positive factors.
  • Positive factors for IEMG are a low expense ratio, a high quantity of holdings, and a noteworthy dividend yield.
  • The fund has a high concentration of holdings in China and Taiwan, increasing correlation with domestic and international indexes and adding geopolitical risk.
  • Emerging markets have historically underperformed the U.S. market and there are no current catalysts that are expected to reverse this trend (at least, in the short term).

Investment Thesis

For further details see:

IEMG: The Risk Isn't Worth The Reward
Stock Information

Company Name: SPDR Index Shares Fund Portfolio Emerging Markets
Stock Symbol: SPEM
Market: NYSE

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