Consumer sector exposure has the potential to continue being an alluring trait for investors evaluating emerging markets ETFs.
“I also believe the growing emerging market consumer class has the potential to drive much of the economic growth in the region. Given the emerging markets’ youthful demographics and the potential for their low per capita incomes to catch up with those of the developed world, this segment is likely to be a major driver of the region and of global growth,” said Schwartz.
Plus, DGRE offers the dividend kicker, relevant as emerging markets dividends have doubled over the past five year, helping developing world firms contribute $1 to every $7 paid in global dividends last year. [At Least EM Dividends are Rising]
South Africa, Brazil and Russia, countries with struggling ETFs but favorable dividend policies, combine for 40% of DGRE’s weight.
DGRE Index Statistics
Data Courtesy: WisdomTree