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KEMQ allocates over 89% of its combined weight to the communication services and consumer discretionary sectors, significant overweights to those groups relative to traditional emerging markets benchmarks.
“Despite the recent expansion of technology and e-commerce in emerging markets, the largest sector by weight of the top 5 US-listed emerging market ETFs is financials with a median weight of 25%, notes KraneShares. “Discerning investors may consider adding KEMQ to their current emerging market allocation in an attempt to achieve the optimal sector exposure to match their specific risk/growth appetite.”
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