A notable exception to the emerging markets inflow ebullience is China. The iShares China Large-Cap ETF, the largest China ETF, is up 3.4% this quarter, but investors have pulled almost $508 million from the ETF.

Russia ETFs standout as the valuation plays that investors have flocked to. Russian equities, which often trade at discounts to the broader emerging markets complex, are still deeply discounted relative to historical standards despite a recent rally. [Russia Rebound: ETFs Lead in May]

Stoked by those compelling valuations, Russia’s status as one of the better emerging markets dividend destinations and rising oil prices, the Market Vectors Russia ETF (NYSEArca: RSX) is up 10% and has pulled in $146 million this current. The positivity is not limited to Russia’s large-cap, state-run companies. The Market Vectors Russia Small-Cap ETF (NYSEArca: RSXJ) is up 13% this quarter and has pulled in 41% of its current AUM total since the start of April.

Vanguard FTSE Emerging Markets ETF

Tom Lydon’s clients own shares of EEM and EMB.

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