The iShares DVYE ETF follows 100 top dividend paying emerging market stocks, weighted by dividend yield. Additionally, the fund includes screens such as a 12-month EPS, annual dividend yield, dividend history, float-adjusted market-cap, and three-month daily average trading volume. Sector allocations are more evenly spread, with top holdings in financials and basic materials. Taiwan makes up a hefty chunk of the portfolio at 29.2%, followed by Brazil at 14.0%.
The EGShares EMDG ETF launched earlier this month. The fund includes picks out of the FTSE Index and holds companies that have posted positive earnings per share over the past year and paid dividends for each of the past five years. “Only companies with high dividend quality, including a minimum level of dividend growth, are considered for EMDG’s index,” according to Morningstar analyst Robert Goldsborough. The fund has a 20.1% allocation in financials and leans toward China 19.5% and South Africa 17.0%. [New Emerging Markets Dividend ETF Debuts Monday]
For more information on the developing economies, visit our emerging markets category.
Max Chen contributed to this article.