To say emerging markets equities and exchange traded funds have been jilted be the stronger U.S. dollar and increased speculation that a rate hike by the Federal Reserve is imminent is an understatement.
If not for a plethora of commodities-related ETFs, emerging markets funds would have a heavy a footprint among the worst-performing ETFs over the past several months. As it is, an average loss of 14.3 percent over the past 90 days for the Vanguard FTSE Emerging Markets ETF (NYSE: VWO) and the iShares MSCI Emerging Markets ETF (NYSE: EEM), the two largest emerging markets ETFs by assets, is not going to illicit confidence among investors.
As some single-country ETFs are proving -- think Brazil funds -- isolating individual developing economies has proven no more efficacious than investing in diversified funds such as EEM and VWO. Slack performances by emerging markets ETFs tracking stocks from Bangkok to Sau Paulo to Warsaw are prompting investors to think 2015 is a sequel 2013's “taper tantrum” when emerging equities were ...
/www.benzinga.com/trading-ideas/long-ideas/15/08/5749909/these-emerging-markets-etfs-could-endure-fed-rate-hikes alt=These Emerging Markets ETFs Could Endure Fed Rate Hikes>Full story available on Benzinga.com
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