VWO News and Press, Vanguard FTSE Emerging Markets From 05/02/22

The stagflation scenario got a little more traction last week with the release of a negative Q1 GDP print on Thursday and hints of more inflation on Friday. April was a really rotten month with everything down but the general commodity indexes. Investing is mostly an exercise in s...

Commodities were the exception, posting a solid gain. Otherwise, losses prevailed, based on a set of ETF proxies. Notably, it’s the same story for year-to-date results in the wake of last month’s losses. The Global Market Index (GMI) resumed its decline in April. Thi...

EM debt currently offers value to investors with a medium- to long-term horizon and a willingness to tolerate a period of higher volatility. EM sovereign high-yield spreads are particularly compelling, especially relative to U.S. high-yield debt. Longer term, we believe the outloo...

I think this is a great macroeconomically hedged pair trade with potential for both positions to succeed in one scenario while one or the other likely prevail in the other. Higher US rates spill over into emerging markets because of linkages in the global financial system. The way...

Chinese stocks delivered a terrible return over the last couple of months compared to the S&P 500 and to other emerging markets. That said, I still believe Chinese stocks are cheap and the country has a good long-term economic outlook. Long-dated call options are in my opinion...

Between the COVID-19 pandemic and Russia's invasion of Ukraine, 2022 has been a difficult year for emerging markets. Further, it could get worse before it gets better. At the same time, EM's forward P/E of 11.6 is roughly 60% of the U.S. market's 19.6. Might that open the door of oppo...

We examine the key differences and similarities between the two products. We examine the return profiles and the risk-adjusted return profiles of the two ETFs. We conclude with some thoughts on why VWO may be the better buy at this juncture. For further details see: VXUS...

Investors face a trifecta of worries: rate hikes, inflation and volatility. In Q1 2022, equity markets took stock of a changing economic and geopolitical landscape. Looking forward, economic and geopolitical uncertainty will likely increase. For further details see: Look...

Historically reliable macro indicators signal growth for the U.S. economy. Our leading indicators weakened slightly during the past month but do not signal an imminent recession yet. Sustained bear markets in equities unfolded in recessions only. The S&P 500 remains on tar...

The Vanguard FTSE Emerging Markets ETF offers exposure to a broad basket of emerging market stocks with a low expense ratio. It is trading at increasingly attractive valuations, particularly relative to its developed market peers, with an underlying forward PE ratio of 11.9x and forwa...