While investors have been repeatedly disappointed with the performance of traditional broad emerging markets ETFs over the past 10 years, one sector has shined. With smartphones and the internet becoming increasingly affordable and accessible, billions of people in the developing world are now leapfrogging traditional consumption patterns and starting to consume online, transforming economies and producing new internet giants equal to or larger than their U.S. counterparts.
In the upcoming webcast, Emerging Markets 3.0: Capturing the Growth with a Thematic Approach, Kevin Carter, Founder and CIO, The Emerging Markets Internet & Ecommerce ETF (EMQQ), will explore this massive consumer wave and the growing digital revolution in developing economies.
ETF investors can gain targeted exposure to the consumer spending potential of a rising middle class in the expanding emerging markets through the Emerging Markets Internet & Ecommerce ETF (NYSEArca: EMQQ). EMQQ focuses on the growing emerging market consumer sector, particularly facets related to online retailers and the quickly expanding e-commerce industry.
The Emerging Markets Internet & Ecommerce ETF tries to reflect the performance of the EMQQ Index, which includes companies that must derive the majority of their profits from e-commerce or internet activities, including search engines, online retail, social networking, online video, e-payments, online gaming, and online travel.
The ETF’s portfolio includes many prominent emerging market names, including Tencent, Alibaba, Meituan, Naspers, JD.com, PinDuoDuo, Netease, MercadoLibre, Prosus, and Sea LTD, among others.
EMQQ primarily focuses on the internet and e-commerce sectors of the developing world, helping investors capitalize on the growth of consumption in emerging markets. More than one billion people are expected to enter the consumer class in the coming decades.
“EMQQ seeks to harness the incredible growth potential of Internet and Ecommerce companies in emerging market economies. Thanks to the great confluence of smartphones, the internet, and growing consumer classes in the developing world, as well as the leapfrog effect that is enabling developing economies to skip over the brick-and-mortar stage that has defined developed market consumer models, EMQQ’s constituents have enjoyed strong revenue growth over the last decade and appear well-positioned to continue to do so in the future,” according to an EMQQ research note.
Financial advisors who are interested in learning more about the emerging markets can register for the Tuesday, June 8 webcast here.