Best Emerging Markets ETFs: Low-Cost EM Index Funds
When MSCI launched its Emerging Markets Index in 1988, it covered just 10 countries representing less than 1% of world market capitalization. That index now spans 24 countries and captures roughly 85% of the free float-adjusted market cap in each one — a measure of how far emerging markets ETFs have come as an asset class.
The two dominant benchmarks behind most emerging markets ETFs — the MSCI Emerging Markets Index and the FTSE Emerging Markets Index — differ in one surprisingly consequential way: South Korea. MSCI classifies South Korea as an emerging market, while FTSE treats it as developed. That means choosing between VWO (which tracks FTSE) and IEMG (which tracks MSCI) is also an implicit bet on whether South Korea belongs in the portfolio.
Notable emerging markets ETFs include:
- VWO — Vanguard FTSE Emerging Markets ETF: Launched in 2005, holds over 6,000 stocks, excludes South Korea. Also available as a mutual fund (VEMAX).
- IEMG — iShares Core MSCI Emerging Markets ETF: Launched in 2012, holds more than 2,600 stocks across large-, mid-, and small-cap companies, covering approximately 99% of EM free float market cap. Includes South Korea.
- EEM — iShares MSCI Emerging Markets ETF: One of the oldest in the category, launched in 2003, holding approximately 1,200 large- and mid-cap stocks. Carries a notably higher expense ratio than newer alternatives.
- SPEM — SPDR Portfolio Emerging Markets ETF: Tracks the S&P Emerging Markets BMI Index with approximately 2,987 holdings. Excludes South Korea, similar to VWO.
Top country exposures across these funds typically include China, Taiwan, India, and — depending on the benchmark — South Korea. Sector weightings lean toward financials, information technology, consumer discretionary, and communication services. The three major providers — Vanguard, BlackRock (iShares), and State Street (SPDR) — each use a different index family, so holdings and country allocations vary more than the broad “emerging markets” label suggests.
The MSCI and FTSE indices are reviewed quarterly, and countries have been added and removed over the years based on criteria around economic development, market size, liquidity, and accessibility. The cost difference between the cheapest and most expensive major EM ETFs can be tenfold — a significant filter when selecting a fund for long-term holding.
Regulated brokerThe table below lists emerging markets stock and index ETFs with live data on fees, performance, and fund structure.
| Stock | Price | Change % | 52 Week Range |
|---|---|---|---|
 iShares Core MSCI Emerging Markets ETF IEMG | $85.98 | 0.41% | |
 Vanguard FTSE Emerging Markets ETF VWO | $61.25 | 0.79% | |
 iShares MSCI Emerging Markets ETF EEM | $71.16 | 0.52% | |
iShares J.P. Morgan USD Emerging Markets Bond ETF EMB | $96.38 | 0.37% | |
iShares MSCI Emerging Markets ex China ETF EMXC | $106.46 | 0.67% | |
 SPDR Portfolio Emerging Markets ETF SPEM | $53.11 | 1.05% | |
Schwab Emerging Markets Equity ETF SCHE | $37.22 | 0.91% | |
 Schwab Fundamental Emerging Markets Equity ETF FNDE | $41.25 | 0.74% | |
Vanguard Emerging Markets Government Bond ETF VWOB | $67.17 | 0.41% | |
iShares MSCI Emerging Markets Min Vol Factor ETF EEMV | $76.98 | 0.41% | |
iShares ESG Aware MSCI EM ETF ESGE | $56.79 | 0.38% | |
 Dimensional Emerging Core Equity Market ETF DFAE | $41.92 | 0.44% | |
Dimensional Emerging Markets Core Equity 2 ETF DFEM | $42.33 | 0.52% | |
WisdomTree Emerging Markets High Dividend Fund DEM | $55.99 | 0.53% | |
VanEck J. P. Morgan EM Local Currency Bond ETF EMLC | $25.56 | 0.10% | |
WisdomTree Emerging Markets SmallCap Dividend Fund DGS | $66.37 | 0.16% | |
 WisdomTree Emerging Markets ex-State-Owned Enterprises Fund XSOE | $51.04 | 0.64% | |
SPDR Bloomberg Emerging Markets Local Bond ETF EBND | $20.92 | 0.26% | |
 Invesco Emerging Markets Sovereign Debt ETF PCY | $21.64 | 0.51% | |
Invesco FTSE RAFI Emerging Markets ETF PXH | $28.85 | 0.54% | |
Columbia EM Core ex-China ETF XCEM | $54.84 | 0.04% | |
 JPMorgan ActiveBuilders Emerging Markets Equity ETF JEMA | $66.21 | 0.43% | |
 Goldman Sachs ActiveBeta Emerging Markets Equity ETF GEM | $54.11 | 0.56% | |
SPDR S&P Emerging Markets Small Cap ETF EWX | $76.35 | 1.02% | |
iShares Emerging Markets Dividend ETF DVYE | $33.25 | 0.41% | |
John Hancock Multifactor Emerging Markets ETF JHEM | $41.80 | 0.39% | |
iShares Emerging Markets Equity Factor ETF EMGF | $76.18 | 0.42% | |
Dimensional Emerging Markets Value ETF DFEV | $44.72 | 0.54% | |
JPMorgan USD Emerging Markets Sovereign Bond ETF JPMB | $40.23 | 0.38% | |
 JPMorgan BetaBuilders Emerging Markets Equity ETF BBEM | $82.43 | 0.70% | |
Invesco S&P Emerging Markets Low Volatility ETF EELV | $28.22 | 0.25% | |
First Trust Emerging Markets AlphaDEX Fund FEM | $32.94 | 0.97% | |
 iShares J.P. Morgan EM Local Currency Bond ETF LEMB | $42.38 | 0.09% | |
 iShares J.P. Morgan EM Corporate Bond ETF CEMB | $45.65 | 0.20% | |
SPDR S&P Emerging Markets Dividend ETF EDIV | $41.27 | 0.38% | |
EMQQ The Emerging Markets Internet ETF EMQQ | $31.46 | 0.55% | |
iShares MSCI Emerging Markets Small-Cap ETF EEMS | $77.86 | 0.16% | |
iShares J.P. Morgan EM High Yield Bond ETF EMHY | $40.61 | 0.34% | |
Cambria Emerging Shareholder Yield ETF EYLD | $47.58 | 0.64% | |
First Trust Emerging Markets Small Cap AlphaDEX Fund FEMS | $47.28 | 1.62% | |
JPMorgan Diversified Return Emerging Markets Equity ETF JPEM | $65.00 | 0.04% | |
SPDR Bloomberg Emerging Markets USD Bond ETF EMHC | $25.39 | 0.39% | |
Xtrackers Emerging Markets Carbon Reduction and Climate Improvers ETF EMCR | $46.14 | 0.72% | |
 Nuveen ESG Emerging Markets Equity ETF NUEM | $44.12 | 1.00% | |
 FlexShares Morningstar Emerging Markets Factor Tilt Index Fund TLTE | $80.63 | 0.30% | |
Dimensional Emerging Markets Sustainability Core 1 ETF DFSE | $50.90 | 0.04% | |
BondBloxx JP Morgan USD Emerging Markets 1-10 Year Bond ETF XEMD | $44.88 | 0.37% | |
Dimensional Emerging Markets High Profitability ETF DEHP | $44.92 | 1.02% | |
 VictoryShares Emerging Markets Value Momentum ETF UEVM | $60.05 | 0.59% | |
 iShares Currency Hedged MSCI Emerging Markets ETF HEEM | $46.24 | 0.28% | |
Global X Emerging Markets Great Consumer ETF EMC | $39.15 | 0.05% | |
Innovator Emerging Markets Power Buffer ETF January EJAN | $36.15 | 0.01% | |
First Trust Emerging Markets Local Currency Bond ETF FEMB | $29.36 | 0.53% | |
Global X Emerging Markets Bond ETF EMBD | $23.86 | 0.54% | |
WisdomTree Emerging Markets Quality Dividend Growth Fund DGRE | $42.02 | 0.50% | |
Invesco Dorsey Wright Emerging Markets Momentum ETF PIE | $34.35 | 0.81% | |
Goldman Sachs MarketBeta Emerging Markets Equity ETF GSEE | $73.50 | 0.95% | |
Pacer Emerging Markets Cash Cows 100 ETF ECOW | $26.73 | 0.85% | |
BNY Mellon Emerging Markets Equity ETF BKEM | $98.80 | 0.22% | |
 PIMCO RAFI Dynamic Multi-Factor Emerging Markets Equity ETF MFEM | $29.57 | 0.13% | |
Xtrackers MSCI Emerging Markets Hedged Equity ETF DBEM | $42.47 | 0.50% | |
Innovator Emerging Markets Power Buffer ETF - July EJUL | $31.22 | 0.21% | |
Direxion Daily MSCI Emerging Markets Bull 3x Shares EDC | $102.00 | 1.61% | |
SPDR DoubleLine Emerging Markets Fixed Income ETF EMTL | $42.77 | 0.06% | |
SPDR MSCI Emerging Markets Fossil Fuel Free ETF EEMX | $56.31 | 0.58% | |
WisdomTree Emerging Markets Local Debt Fund ELD | $28.87 | 0.41% | |
Innovator Emerging Markets Power Buffer ETF - April EAPR | $33.32 | 0.27% | |
 KraneShares MSCI Emerging Markets ex China Index ETF KEMX | $54.56 | 0.77% | |
iShares ESG Advanced MSCI EM ETF EMXF | $59.79 | 0.70% | |
iShares MSCI BIC ETF BKF | $39.88 | 0.50% | |
 Avantis Responsible Emerging Markets Equity ETF AVSE | $84.55 | 0.33% | |
Fidelity Emerging Markets Multifactor ETF FDEM | $37.81 | 0.51% | |
Columbia Research Enhanced Emerging Economies ETF ECON | $37.98 | 0.64% | |
Goldman Sachs Access Emerging Markets USD Bond ETF GEMD | $42.44 | 0.35% | |
Matthews Emerging Markets Equity Active ETF MEM | $47.53 | 0.96% | |
WisdomTree Emerging Markets Corporate Bond Fund EMCB | $66.58 | 0.11% | |
 Rayliant Quantamental Emerging Market ex-China Equity ETF RAYE | $29.00 | 1.26% | |
 OneAscent Emerging Markets ETF OAEM | $51.51 | 0.13% | |
Global X MSCI SuperDividend Emerging Markets ETF SDEM | $32.59 | 0.00% | |
 SPDR MSCI Emerging Markets StrategicFactors ETF QEMM | $82.29 | 0.21% | |
First Trust TCW Emerging Markets Debt ETF EFIX | $15.45 | 0.16% | |
Innovator Emerging Markets Power Buffer ETF - October EOCT | $34.26 | 0.12% | |
iShares ESG MSCI EM Leaders ETF LDEM | $62.44 | 0.82% | |
First Trust RiverFront Dynamic Emerging Markets ETF RFEM | $96.34 | 0.03% | |
American Century Emerging Marke AEMB | $39.18 | 0.08% | |
Putnam PanAgora ESG Emerging Markets Equity ETF PPEM | $23.56 | 0.56% | |
FMQQ The Next Frontier Internet ETF FMQQ | $11.62 | 0.27% | |
Xtrackers MSCI Emerging Markets EMSG | $27.79 | 0.50% | |
ALPS Emerging Sector Dividend Dogs ETF EDOG | $23.86 | 0.52% | |
Global X Emerging Markets ex-China ETF EMM | $47.26 | 0.28% | |
WisdomTree Emerging Markets Efficient Core Fund NTSE | $50.26 | 0.21% | |
WisdomTree Emerging Markets Multifactor Fund EMMF | $40.21 | 0.01% | |
Matthews Emerging Markets Sustainable Future Active ETF EMSF | $43.70 | 1.75% | |
iShares Emerging Markets Infrastructure ETF EMIF | $26.63 | 0.00% | |
Hartford Multifactor Emerging Markets ETF ROAM | $37.57 | 0.18% | |
ProShares Ultra MSCI Emerging Markets EET | $127.92 | 0.73% | |
First Trust Emerging Markets Equity Select ETF RNEM | $55.95 | 0.00% | |
Direxion Daily MSCI Emerging Markets Bear 3X Shares EDZ | $13.33 | 1.70% | |
Global X MSCI Next Emerging & F EMFM | $18.64 | 0.00% | |
ProShares Short MSCI Emerging Markets EUM | $15.08 | 0.60% | |
KraneShares Emerging Markets Consumer Technology Index ETF KEMQ | $26.28 | 1.36% | |
Matthews Emerging Markets ex China Active ETF MEMX | $51.43 | 0.14% | |
Avantis Emerging Markets Small Cap Equity ETF AVEE | $71.73 | 0.06% | |
Franklin Emerging Market Core Dividend Tilt Index ETF DIEM | $45.92 | 0.72% | |
ProShares MSCI Emerging Markets Dividend Growers ETF EMDV | $46.30 | 0.00% | |
FlexShares Emerging Markets Quality Low Volatility Index Fund QLVE | $34.83 | 0.00% | |
Invesco S&P Emerging Markets Momentum ETF EEMO | $25.81 | 1.10% | |
AAM S&P Emerging Markets High D EEMD | $20.09 | 0.02% | |
WisdomTree Emerging Currency Strategy Fund CEW | $19.43 | 0.00% | |
ProShares UltraShort MSCI Emerging Markets EEV | $10.16 | 0.73% | |
KraneShares MSCI One Belt One Road Index ETF OBOR | $26.97 | 0.03% | |
Cambria ETF Trust Cambria Globa FAIL | $16.10 | 0.20% | |
Amplify Emerging Markets FinTec EMFQ | $21.49 | 0.05% |