Stable Currencies Help Frontier Market ETFs Attract Investors | Page 2 of 2 | ETF Trends

Qatar and the UAE make up 36.7% of the iShares Frontier Market ETF. However, the two countries were promoted to emerging status from the frontier classification last year by index provider MSCI and will join the MSCI Emerging Markets in the second quarter. FM tracks the MSCI Frontier Markets Index and EEM follows the MSCI Emerging Markets Index.

The WisdomTree Middle East Dividend Fund (NasdaqGS: GULF), on the other hand, holds no distinction between emerging or frontier and holds a 58.7% weight toward the two Middle East countries. [Teeing Off With GULF]

EEM has declined 6.3% year-to-date, whereas FM is up 2.7% and GULF is 12.8% higher.

Additionally, the Market Vectors Vietnam ETF (NYSEArca: VNM) is another performing frontier market so far this year, gaining 17.2% year-to-date. [Don’t Miss Saigon: Another Surge for the Vietnam ETF]

For more information on the frontier markets, visit our frontier markets category.